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EU agrees climate plan deadline EU agrees climate plan deadline
(about 2 hours later)
EU leaders have agreed to finish talks on an ambitious plan to fight climate change by the end of 2008. EU leaders have agreed to finish talks by the end of the year on an ambitious plan to fight climate change.
After a two-day summit in Brussels, the 27 heads of states said they hoped the legislation would be enacted the following spring. After a two-day summit in Brussels, leaders for the 27 nations said they hoped new legislation would be enacted in early 2009.
The bloc aims to implement a 20% cut in greenhouse gases by 2020, compared with 1990 levels.The bloc aims to implement a 20% cut in greenhouse gases by 2020, compared with 1990 levels.
But EU leaders said they needed to look at the consequences for heavy industry and that could complicate negotiations.
The summit also discussed financial instability, as well as liberalisation of the bloc's energy markets.The summit also discussed financial instability, as well as liberalisation of the bloc's energy markets.
"We committed ourselves to finishing negotiating on this package by the end of this year and by doing this we made a huge step forward," Slovenian Prime Minister Janez Jansa, whose country holds the EU presidency, told reporters after the summit. KEY AIMS BY 2020 20% reduction in greenhouse gas emissions by 2020Reduction in energy imports, saving money and increasing energy securityWorld leadership in renewable energy technology class="" href="/1/hi/world/europe/6244465.stm">The EU and emissions class="" href="/1/hi/world/7203407.stm">Climate change quiz Some countries, like Germany and France, are worried about the international competitiveness of their businesses and the potential cost in jobs, the BBC's Nick Childs in Brussels says.
"We are convinced that the costs of these measures will be much lower than if we don't act," Mr Jansa added. European Commission President Jose Manuel Barroso said the EU had "passed a reality test".
class="lp" href="http://news.bbc.co.uk/1/hi/talking_point/default.stm">HAVE YOUR SAYHaving governments setting targets gets us nowhereNicholas, Slough class="" href="http://newsforums.bbc.co.uk/nol/thread.jspa?forumID=4482">Send us your comments The Slovenian Prime Minister, Janez Jansa, whose country holds the rotating EU presidency, told reporters the EU leaders had taken "a huge step forward".
European Commission President Jose Manuel Barroso said that the EU "passed a reality test". "We are convinced that the costs of these measures will be much lower than if we don't act," he said.
But the EU leaders also said they needed to look at the consequences to energy-intensive industries and that could complicate negotiations. Green tax plan
Some EU countries, like Germany and France, are worried about the international competitiveness of their businesses and the potential cost in jobs, the BBC's Nick Childs in Brussels says. The EU leaders also agreed to consider cutting value-added tax (VAT) on environmentally-friendly domestic products.
HAVE YOUR SAYThe most significant counter to climate change is individuals reducing their impact on the environmentNicholas, SloughSend us your commentsThe proposal - put forward by Britain and France - aims to increase the use of so-called green goods.
"People have been persuaded by the arguments that we should look at this very carefully," British Prime Minister Gordon Brown said.
"If - whether it be fridges or household goods generally, or whether it be the insulation materials that make for more energy efficient homes - we can cut the rates of VAT, then I believe that will be a good thing for Europe.
"The debate has started, we have got this review happening, I believe that that is very substantial progress in only two days."
'Club Med'
The summit also gave a formal blessing for a watered-down French proposal for a Mediterranean Union.
French President Nicolas Sarkozy's aim is to forge closer ties between European countries bordering the Mediterranean and those beyond Europe, including Israel, Algeria and Tunisia.
The main objection to what some had dubbed "Club Med" was the cost, but there were also complaints that a Euro-Mediterranean partnership already existed.
In Brussels, the leaders decided to hold further regular forums with Mediterranean nations.