3 64 China , theEUandLatinAmerica:CurrentIssuesandFutureCooperation isthesecondlargestsourceofelectricitygenerationintheEU27 , justbehind nuclear ( 30percent ) .Insomecountries , thisshareisconsiderablyhigher , such asinPoland ( 91percent ), Estonia ( 91percent ), theCzechRepublic ( 59per cent ) and Greece ( 59percent )( European Commission2008 ) .Inview of Europesambitiousenergyandclimatechangetargets , cleancoaltechnologies mustbedevelopedquickly , otherwisecoalcannotcontinuetoplayamajorrolein Europesenergymix.ThesameappliestoChina , whichderivesaround70per centofitsenergymixfromcoal. Asindicatedintheintroduction , industrialisedcountriesareexpectedtocut greenhousegasemissionsby8095percentinordertoallowglobalemissionsto dropto50percentof1990levelsby2050.ThecurrentenergymixofEU27is largelycharacterisedbycarbonintensivefossilfuelswhichmadeup79percent ofGrossInlandConsumptionin2005 ( EuropeanCommission2008 ) .Giventhe carbonintensity ofthe European energy mix and the possibility of a “ renaissance ” ofcoalonsecurityofsupplygrounds , Europecanonlyachieve suchambitiousgreenhousegasreductiontargetsifitdevelopscarboncaptureand storage ( CCS ) focusedoncoalfiredpowerproduction , butalsoonemissions fromotherfossilbasedformsofpowerproductionandemissionsfromindustry. Undercurrenttechnologicalconditions , CCSprocessescancapturearound85per centoftheCO 2 emittedatsource.However , theseprocessesreducethethermal efficiencyofplantsby812percent ( IEA2008 ) andthusincreasetheneedfor coalinputs. ThesuccessoftheCCStechnologywilllargelydependonthesuccessofthe demonstrationphase , publicacceptance , thespeedofadoptingEUlegislation andtheprovisionofasecurelegalframework , aswellasonthesuccessofthe EUETSandthepriceofCO 2 .ToimproveliabilityandreducethecostsofCCS technologies , itisimportantintheshorttomediumtermtodevelopappropriate demonstrationprojects , inwhichcurrentlyusedCCStechnologiesareadapted forusein largescale power plants andimproved through research and development.TheEU decidedinDecember2008toraisefundingforthese commercialdemonstrationprojectsbysettingaside300millioncarbonallowances intheEU EmissionsTradingScheme ( ETS ) startingin2013 , equivalentto aboutEUR9billionatapriceofEUR30pertonneofCO 2 .TheEU willalso needtoacceleratedomesticresearchandwillneedtoincreaseinvolvementin internationalresearchcooperation , forexamplewithChina.Afterall , CCSis notjustanopportunityfortheEUtocontinuebenefitingfromtheadvantagesof coalbutalsoforcleaningChinaspowersectorandrelatedtechnologyexport opportunities.
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China, the EU and Latin America : current issues and future cooperation
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