- Traditions and values
- Negative net annual greenhouse gas emissions if the land use and land use change and forestry are included in the total net emissions
- 11 per cent of terrestrial land is the protected areas for biodiversity (in EU -13 per cent)
- We still have many species which are extinct in the rest of Europe
- Comparatively high rankings in different environmentally related indexes (EPI, HPI, ecological footprint).
- Good environmental situation is a result of not doing rather than doing.
- High material and energy intensity of production, lack of clean technologies, underdeveloped waste management system.
- Insufficient interest in Green economics from government and lack of support from it.
- Disinterest of inhabitants and also business people in environmental issues.
- Market failures must be corrected by internalising the external costs, so that the incentives for ecological conduct would be built into the everyday economic life. The state can then function less as a police authority and more as a coordinator.
- Support mechanisms for renewable energy, waste management and other projects for the improvement of sustainability must be transparent, just and available to all interested parties.
- Rise in productivity inevitably reduces employment if the demand does not increase. As the resources are limited, an increased demand is not a sustainable solution. Employment in green jobs - in the sectors of renewable energy, organic agriculture, sustainable forestry, recycling, adaptation to climate change, education, and culture could be a solution in line with Green economics.
Lithuania has a surplus of 50 million assigned amount units (AAUs) which it is willing to sell. In order to be eligible for international trade, Lithuania started to build its GIS when the new government came into power at the end of 2008. It is estimated that there is 9 billion of assigned amount units surplus in the market and the demand is calculated as being around 2 billion. The competition for the buyers, mainly Japanese firms is fierce and the country was trying to create what the minister of Environment Gediminas Kazlauskas calls a sustainable and self- replenishing GIS.
Lithuania rejected the straight forward idea of short term financial instrument which relies solemnly on the revenues from surplus AAUs trade, as seen in majority GIS in the market. “It took us longer as we have done a lot of research and considered many options for the scheme. We were aiming to create a sustainable framework that would serve in disbursing money generated from any Kyoto units trade now and in the future as well as revenues from auctioning of the EUAs from 2013” – says one of the architects of the Green Investment Scheme in Lithuania, adviser to the minister Laura Dzelzyte.
According to Lithuanian GIS at least 40% of the revenues from carbon trade must go to energy efficiency, 40% to renewable energy and the rest to other climate change projects. The money is distributed through subsidies, soft loans and capital investment ensuring fiscal returns to the programme and self-replenishing. The system also puts a requirement for guaranteed CO2 reductions per every euro spent on the financed project.
Lithuania is advocating international carbon trade regulation to ensure the transparency of the carbon dealing. “We built our GIS as a carbon trading tool to finance Lithuania’s long term climate change strategy that would underpin the way to green and sustainable economy. Carbon trade is a very important source of finance for the environmental projects especially in the face of economic downturn and we do not wish to see the market being discredited because of unfair or opaque dealings of other market players” – says Mr Kazlauskas.