Citi Trading System

O Sistema de Comércio de Emissões da UE (EU ETS) O sistema de comércio de emissões da UE (EU ETS) é uma pedra angular da política da UE para combater as alterações climáticas e a sua ferramenta chave para reduzir as emissões de gases com efeito de estufa de forma rentável. É o primeiro mercado de carbono do mundo e continua sendo o maior. Opera em 31 países (todos os 28 países da UE, mais a Islândia, o Liechtenstein e a Noruega) limitam as emissões de mais de 11 mil instalações de uso intensivo de energia (centrais elétricas de instalações industriais) e as companhias aéreas que operam entre esses países cobre cerca de 45 das emissões de gases de efeito estufa da UE. Um sistema de capitais e comércio O EU ETS trabalha no princípio do capital e do comércio. Um limite é fixado na quantidade total de certos gases de efeito estufa que podem ser emitidos por instalações cobertas pelo sistema. A tampa é reduzida ao longo do tempo para que as emissões totais caírem. Dentro do limite, as empresas recebem ou compram licenças de emissão que podem trocar entre si, conforme necessário. Eles também podem comprar quantidades limitadas de créditos internacionais de projetos de poupança de emissões em todo o mundo. O limite no número total de permissões disponíveis garante que eles tenham um valor. Depois de cada ano, uma empresa deve entregar subsídios suficientes para cobrir todas as suas emissões, caso contrário multas pesadas são impostas. Se uma empresa reduz suas emissões, pode manter as permissões de reposição para cobrir suas necessidades futuras, ou então vendê-las para outra empresa que não possui subsídios. O comércio traz flexibilidade que garante que as emissões sejam reduzidas, quando menos custa. Um preço robusto do carbono também promove o investimento em tecnologias limpas e com baixas emissões de carbono. Principais características da fase 3 (2013-2020) O ETS da UE está agora em sua terceira fase significativamente diferente das fases 1 e 2. As principais mudanças são: Um único limite de emissões da UE em toda a UE aplica-se ao sistema anterior de capitais nacionais. Leilão é o método padrão para a alocação de licenças (em vez da alocação gratuita), e as regras de alocação harmonizadas se aplicam aos subsídios ainda distribuídos De forma gratuita Mais setores e gases incluíram 300 milhões de licenças reservadas na Reserva dos Novos Participantes para financiar a implantação de tecnologias inovadoras de energia renovável e captura e armazenamento de carbono através do programa NER 300 Sectores e gases abrangidos O sistema abrange os seguintes setores e gases com o Foco em emissões que podem ser medidas, reportadas e verificadas com um alto nível de precisão: dióxido de carbono (CO 2) da geração de energia e geração de energia, setores industriais intensivos em energia, incluindo refinarias de petróleo, siderúrgicas e produção de ferro, alumínio, metais, cimento , Limão, vidro, cerâmica, celulose, papel, papelão, ácidos e produtos químicos orgânicos a granel aviação comercial óxido nitroso (N 2 O) de produção De ácidos nítrico, adípico e glioxílico e perfluorocarbonos de glioxal (PFCs) da produção de alumínio. A participação no ETS da UE é obrigatória para as empresas desses setores. Mas em alguns setores, apenas as plantas acima de um certo tamanho estão incluídas, certas pequenas instalações podem ser excluídas se os governos implementarem medidas fiscais ou outras que reduzam suas emissões por um montante equivalente no setor de aviação, até 2016 o ETS da UE se aplica apenas aos vôos Entre os aeroportos situados no Espaço Económico Europeu (EEE). Fornecer reduções de emissões O ETS da UE provou que colocar um preço sobre o carbono e negociá-lo pode funcionar. As emissões das instalações no esquema estão caindo conforme previsto em cerca de 5 em comparação com o início da fase 3 (2013) (ver figuras de 2015). Em 2020. As emissões dos setores abrangidos pelo sistema serão 21 menores do que em 2005. Desenvolvimento do mercado do carbono Em 2005, o EU ETS é o primeiro e maior sistema internacional de comércio de emissões do mundo, representando mais de três quartos do comércio internacional de carbono. O ETS da UE também está inspirando o desenvolvimento do comércio de emissões em outros países e regiões. A UE pretende ligar o EU ETS a outros sistemas compatíveis. Política principal da EU ETS Relatórios do mercado do carbono Revisão do RCLE UE para a fase 3 Implementação História legislativa da Directiva 200387EC Trabalho anterior à proposta da Comissão Proposta da Comissão de Outubro de 2001 Reação das comissões à leitura da proposta no Conselho e no Parlamento (incluindo a posição comum dos conselhos) Aberto Todas as perguntas Perguntas e Respostas sobre o Sistema de Comércio de Emissões revisado da UE (dezembro de 2008) Qual o objetivo do comércio de emissões O objetivo do Sistema de Comércio de Emissões da UE (EU ETS) é ajudar os Estados membros da UE a cumprir seus compromissos de limitar ou reduzir gases com efeito de estufa Emissões de forma econômica. Permitir que as empresas participantes compram ou vendam subsídios de emissão significa que os cortes de emissão podem ser alcançados ao menos custo. O RCLE da UE é a pedra angular da estratégia da UE para lutar contra as alterações climáticas. É o primeiro sistema de comércio internacional de emissões de CO 2 no mundo e está em operação desde 2005. A partir de janeiro de 2008, aplica-se não apenas aos 27 Estados-Membros da UE, mas também aos outros três membros da Área Econômica Européia Noruega, Islândia e Liechtenstein. Atualmente, abrange mais de 10.000 instalações nos setores de energia e industrial, que são coletivamente responsáveis ​​por cerca de metade das emissões de CO 2 da UE e 40 de suas emissões totais de gases de efeito estufa. Uma alteração à Directiva EU ETS acordada em Julho de 2008 trará o sector da aviação para o sistema a partir de 2012. Como funciona o comércio de emissões O ETS da UE é um sistema de capital e comércio, ou seja, indica o limite geral das emissões permitidas, mas , Dentro desse limite, permite que os participantes no sistema compram e vendam subsídios como eles exigem. Essas provisões são a moeda comum no coração do sistema. Um subsídio dá ao titular o direito de emitir uma tonelada de CO 2 ou a quantidade equivalente de outro gás com efeito de estufa. O limite do número total de licenças cria escassez no mercado. No primeiro e no segundo período de negociação ao abrigo do regime, os Estados-Membros tiveram de elaborar planos nacionais de atribuição (NAP) que determinassem o seu nível total de emissões de ETS e quantos subsídios de emissão cada instalação em seu país recebe. No final de cada ano, as instalações devem render subsídios equivalentes às suas emissões. As empresas que mantêm suas emissões abaixo do nível de seus subsídios podem vender seus excedentes de licenças. Aqueles que enfrentam dificuldades em manter suas emissões de acordo com suas licenças têm a opção de tomar medidas para reduzir suas próprias emissões, como investir em tecnologia mais eficiente ou usar fontes de energia menos intensivas em carbono ou comprar os subsídios extras que precisam no mercado, ou Uma combinação dos dois. Essas escolhas provavelmente serão determinadas por custos relativos. Desta forma, as emissões são reduzidas sempre que é mais rentável fazê-lo. Há quanto tempo o EU ETS está funcionando O ETS da UE foi lançado em 1 de Janeiro de 2005. O primeiro período de negociação foi de três anos até o final de 2007 e foi uma fase de aprendizagem por fase para se preparar para o segundo período de negociação crucial. O segundo período de negociação começou em 1 de Janeiro de 2008 e é executado por cinco anos até o final de 2012. A importância do segundo período de negociação decorre do facto de coincidir com o primeiro período de compromisso do Protocolo de Quioto, durante o qual a UE e outros Os países industrializados devem atingir seus objetivos para limitar ou reduzir as emissões de gases de efeito estufa. Para o segundo período de comercialização, as emissões do EU ETS foram limitadas em cerca de 6,5 abaixo dos níveis de 2005, a fim de garantir que a UE como um todo e os Estados-Membros individualmente cumprirão os compromissos de Quioto. Quais são as principais lições aprendidas com a experiência até agora O EU ETS colocou um preço sobre o carbono e provou que o comércio de emissões de gases de efeito estufa funciona. O primeiro período comercial estabeleceu com sucesso a livre negociação de licenças de emissão em toda a UE, implementou a infra-estrutura necessária e desenvolveu um mercado de carbono dinâmico. O benefício ambiental da primeira fase pode ser limitado devido à alocação excessiva de subsídios em alguns Estados-Membros e em alguns setores, devido principalmente à dependência das projeções de emissões antes que os dados de emissão verificados estejam disponíveis no âmbito do ETS da UE. Quando a publicação de dados de emissões verificadas para 2005 destacou essa sobre-alocação, o mercado reagiu como seria esperado pela redução do preço de mercado das provisões. A disponibilidade de dados de emissões verificadas permitiu à Comissão garantir que o limite das dotações nacionais na segunda fase seja estabelecido em um nível que resulte em reduções reais de emissões. Além de sublinhar a necessidade de dados verificados, a experiência até agora demonstrou que uma maior harmonização dentro do RCLE da UE é imperativa para garantir que a UE alcance os seus objetivos de redução de emissões pelo menos com custos e com distorções competitivas mínimas. A necessidade de mais harmonização é mais clara em relação à forma como o limite das licenças de emissão globais é definido. Os dois primeiros períodos de negociação também mostram que métodos nacionais amplamente diferentes de alocação de licenças para instalações ameaçam uma concorrência leal no mercado interno. Além disso, é necessária uma maior harmonização, esclarecimento e aperfeiçoamento em relação ao alcance do sistema, ao acesso a créditos de projetos de redução de emissões fora da UE, as condições para vincular o ETS da UE aos sistemas de comércio de emissões em outros lugares e o monitoramento, verificação e Requisitos de relatórios. Quais são as principais mudanças no ETS da UE e a partir de quando aplicam? As mudanças de design acordadas serão aplicadas a partir do terceiro período de negociação, ou seja, janeiro de 2013. Enquanto os trabalhos preparatórios serão iniciados imediatamente, as regras aplicáveis ​​não serão alteradas até janeiro de 2013 Para garantir que a estabilidade reguladora seja mantida. O EU ETS no terceiro período será um sistema mais eficiente, mais harmonizado e mais justo. O aumento da eficiência é alcançado por meio de um período de negociação mais longo (8 anos em vez de 5 anos), um limite de emissões robusto e anualmente decrescente (21 redução em 2020 em relação a 2005) e um aumento substancial na quantidade de leilão (de menos de 4 Na fase 2 para mais da metade na fase 3). Mais uma harmonização foi acordada em muitas áreas, inclusive no que se refere à definição de limites (um limite da UE em vez dos limites nacionais nas fases 1 e 2) e as regras para a alocação livre de transição. A equidade do sistema foi substancialmente aumentada pela mudança para as regras de atribuição gratuita da UE para as instalações industriais e pela introdução de um mecanismo de redistribuição que permite aos novos Estados-Membros licitar mais subsídios. Como o texto final se compara à proposta inicial da Comissão Os objetivos de clima e energia acordados pelo Conselho Europeu da Primavera de 2007 foram mantidos e a arquitetura geral da proposta da Comissão sobre o ETS da UE permanece intacta. Isto significa que haverá um limite máximo da UE sobre o número de licenças de emissão e este limite diminuirá anualmente ao longo de uma linha de tendência linear, que continuará para além do final do terceiro período comercial (2013-2020). A principal diferença, em comparação com a proposta, é que o leilão de licenças será gradualmente mais lento. Quais são as principais alterações em relação à proposta da Comissão. Em resumo, as principais alterações introduzidas na proposta são as seguintes: certos Estados-Membros podem beneficiar de uma derrogação facultativa e temporária da regra de que nenhuma alocação deve ser atribuída gratuitamente Para os geradores de eletricidade a partir de 2013. Esta opção de derrogação está disponível para os Estados-Membros que cumpram certas condições relacionadas à interconectividade de sua rede elétrica, participação de um único combustível fóssil na produção de eletricidade e GDPcapita em relação à média da UE-27. Além disso, a quantidade de licenças gratuitas que um Estado-Membro pode atribuir a usinas de energia é limitada a 70 de emissões de dióxido de carbono de plantas relevantes na fase 1 e declina nos anos seguintes. Além disso, a alocação gratuita na fase 3 só pode ser dada às usinas que estejam operacionais ou em construção até o final de 2008. Veja a resposta à pergunta 15 abaixo. Haverá mais detalhes na Diretiva sobre os critérios a serem utilizados para determinar os setores ou subsectores considerados expostos a um risco significativo de vazamento de carbono. E uma data anterior à publicação da lista das Comissões desses sectores (31 de dezembro de 2009). Além disso, sujeito a revisão quando um acordo internacional satisfatório for alcançado, as instalações em todas as indústrias expostas receberão 100 subsídios gratuitos na medida em que usem a tecnologia mais eficiente. A alocação gratuita para a indústria é limitada à participação dessas emissões nas emissões totais em 2005 a 2007. O número total de licenças atribuídas gratuitamente às instalações nos setores da indústria diminuirá anualmente de acordo com o declínio do limite de emissões. Os Estados-Membros podem também compensar certas instalações para os custos de CO 2 repercutidos nos preços da electricidade se os custos de CO 2 puderem, de outro modo, expô-los ao risco de vazamento de carbono. A Comissão comprometeu-se a modificar as orientações comunitárias relativas aos auxílios estatais a favor do ambiente a este respeito. Veja a resposta à pergunta 15 abaixo. O nível de leilão de licenças de emissão para a indústria não exposta aumentará de forma linear, conforme proposto pela Comissão, mas, em vez de atingir 100 em 2020, atingirá 70, com vista a atingir 100 até 2027. Conforme previsto na proposta da Comissão , 10 dos subsídios de leilão serão redistribuídos de Estados-Membros com alta renda per capita para aqueles com baixa renda per capita, a fim de fortalecer a capacidade financeira destes últimos para investir em tecnologias amigáveis ​​com o clima. Foi adicionada uma provisão para outro mecanismo redistributivo de 2 de licenças de leilão para levar em conta os Estados membros que em 2005 alcançaram uma redução de pelo menos 20 em emissões de gases de efeito estufa em relação ao ano de referência estabelecido pelo Protocolo de Quioto. A parte das receitas de leilão que os Estados-Membros recomendam utilizar para combater e adaptar-se às alterações climáticas, principalmente na UE, mas também nos países em desenvolvimento, é aumentada de 20 para 50. O texto prevê um complemento ao nível permitido proposto De uso de créditos JICDM no cenário 20 para operadores existentes que receberam os orçamentos mais baixos para importar e usar esses créditos em relação a alocações e acesso a créditos no período 2008-2012. Novos setores, novos participantes nos períodos 2013-2020 e 2008-2012 também poderão usar créditos. O montante total de créditos que podem ser utilizados não excederá, no entanto, 50 da redução entre 2008 e 2020. Com base numa redução de emissões mais rigorosa no contexto de um acordo internacional satisfatório, a Comissão poderia permitir acesso adicional às RCE e URE para Operadores no regime comunitário. Ver resposta à pergunta 20 abaixo. O produto do leilão de 300 milhões de licenças da reserva dos novos participantes será utilizado para apoiar até 12 projetos e projetos de demonstração de captura e armazenamento de carbono que demonstram tecnologias inovadoras de energia renovável. Uma série de condições são anexadas a este mecanismo de financiamento. Ver resposta à pergunta 30 abaixo. A possibilidade de exclusão de pequenas instalações de combustão, desde que estejam sujeitas a medidas equivalentes, tenha sido ampliada para cobrir todas as pequenas instalações, independentemente da atividade, o limiar de emissão foi aumentado de 10.000 para 25.000 toneladas de CO 2 por ano e o limite de capacidade que As instalações de combustão devem ser cumpridas, além disso, foram aumentadas de 25MW para 35MW. Com esses limiares aumentados, a participação das emissões cobertas que poderiam ser excluídas do sistema de comércio de emissões torna-se significativa e, conseqüentemente, uma provisão foi adicionada para permitir uma redução correspondente do limite de licenças de emissão da UE. Ainda haverá planos nacionais de atribuição (NAPs). Nos seus NAPs para os primeiros períodos de negociação (2005-2007) e segundo (2008-2012), os Estados-Membros determinaram a quantidade total de licenças a serem emitidas e a forma como estes Seria atribuído às instalações em questão. Esta abordagem gerou diferenças significativas nas regras de alocação, criando um incentivo para cada Estado-Membro para favorecer sua própria indústria e gerou uma grande complexidade. A partir do terceiro período de negociação, haverá um único limite da UE e os subsídios serão alocados com base em regras harmonizadas. Os planos de alocação nacionais não serão mais necessários. Como determinar o limite de emissão na fase 3 As regras para o cálculo do limite de participação da UE são as seguintes: a partir de 2013, o número total de licenças diminuirá anualmente de forma linear. O ponto de partida desta linha é a quantidade total média de subsídios (limite de fase 2) a ser emitido pelos Estados Membros para o período 2008-12, ajustado para refletir o alcance ampliado do sistema a partir de 2013, bem como quaisquer pequenas instalações que o Membro Os Estados escolheram excluir. O fator linear pelo qual o montante anual deve diminuir é de 1,74 em relação ao limite da fase 2. O ponto de partida para a determinação do fator linear de 1,74 é a redução global de gases com efeito de estufa em relação a 1990, o que equivale a uma redução de 14 em relação a 2005. No entanto, é necessária uma redução maior do ETS da UE porque é mais barato reduzir Emissões nos setores ETS. A divisão que minimiza o custo global de redução equivale a: uma redução de 21 emissões do setor de ETS da UE em relação a 2005, em 2020, uma redução de cerca de 10 em relação a 2005 para os setores que não são abrangidos pelo ETS da UE. A redução de 21 em 2020 resulta em um limite de ETS em 2020 de um máximo de 1720 milhões de subsídios e implica um limite médio da fase 3 (2013 a 2020) de cerca de 1846 milhões de licenças e uma redução de 11 em relação ao limite da fase 2. Todos os valores absolutos indicados correspondem à cobertura no início do segundo período de negociação e, portanto, não levam em conta a aviação, que será adicionada em 2012 e outros setores que serão adicionados na fase 3. Os valores finais dos limites anuais de emissão Na fase 3 será determinado e publicado pela Comissão até 30 de setembro de 2010. Como o limite de emissão para além da fase 3 será determinado O fator linear de 1,74 usado para determinar o limite da fase 3 continuará a ser aplicado além do final do período de negociação em 2020 e determinará o limite para o quarto período comercial (2021 a 2028) e além. Pode ser revisto até 2025, o mais tardar. De fato, as reduções significativas de emissões de 60-80 em relação a 1990 serão necessárias até 2050 para alcançar o objetivo estratégico de limitar o aumento da temperatura média global para não mais de 2C acima dos níveis pré-industriais. Será estabelecido um limite máximo de licenças de emissão a nível da UE para cada ano. Isso reduziria a flexibilidade para as instalações em questão Não, a flexibilidade para instalações não será reduzida. Em qualquer ano, os subsídios a serem leilados e distribuídos devem ser emitidos pelas autoridades competentes até 28 de fevereiro. A última data para os operadores renderem subsídios é 30 de abril do ano seguinte ao ano em que as emissões ocorreram. Assim, os operadores recebem subsídios para o ano em curso antes de terem que entregar subsídios para cobrir suas emissões para o ano anterior. Os subsídios permanecem válidos durante todo o período de negociação e quaisquer subsídios excedentes podem agora ser depositados para uso em períodos de negociação subsequentes. A este respeito, nada mudará. O sistema permanecerá com base nos períodos de negociação, mas o terceiro período de negociação durará oito anos, de 2013 a 2020, em oposição a cinco anos para a segunda fase de 2008 a 2012. Para o segundo período de negociação, os Estados-Membros geralmente decidiram alocar igual Quantidades totais de licenças para cada ano. A diminuição linear anual de 2013 corresponderá melhor às tendências de emissões esperadas ao longo do período. Quais são os valores iniciais preliminares da ETS para o período de 2013 a 2020 Os valores provisórios da bonificação anual são os seguintes: Estes números são baseados no escopo do ETS aplicável na fase 2 (2008 a 2012) e as decisões da Comissão sobre o Planos nacionais de alocação para a fase 2, no valor de 2083 milhões de toneladas. Estes números serão ajustados por vários motivos. Em primeiro lugar, será feito o ajuste para levar em consideração as extensões do escopo na fase 2, desde que os Estados Membros comprovem e verifiquem suas emissões resultantes dessas extensões. Em segundo lugar, o ajuste será feito com relação a extensões adicionais do escopo do ETS no terceiro período de negociação. Em terceiro lugar, qualquer opt-out de pequenas instalações levará a uma redução correspondente do limite. Em quarto lugar, os números não levam em conta a inclusão da aviação, nem as emissões da Noruega, da Islândia e do Liechtenstein. Os subsídios ainda serão alocados para sim. As instalações industriais receberão alocação livre de transição. E, nos Estados-Membros elegíveis para a derrogação facultativa, as centrais eléctricas podem, se o Estado-Membro assim o decidir, também receberem licenças gratuitas. Estima-se que pelo menos metade das licenças disponíveis a partir de 2013 sejam leiloadas. Embora a grande maioria das licenças de emissão tenha sido atribuída gratuitamente às instalações nos primeiros e segundos períodos de negociação, a Comissão propôs que o leilão de licenças de emissão se tornasse o princípio básico da alocação. Isso porque o leilão melhor garante a eficiência, transparência e simplicidade do sistema e cria o maior incentivo para investimentos em uma economia de baixo carbono. É melhor cumprindo com o princípio do poluidor-pagador e evita dar lucros inesperados a certos setores que passaram o custo nocional de subsídios para seus clientes apesar de recebê-los de graça. Como as remunerações serão entregues gratuitamente Até 31 de dezembro de 2010, a Comissão adotará regras a nível da UE, que serão desenvolvidas no âmbito de um procedimento de comitê (Comitologia). Essas regras harmonizarão completamente as dotações e, portanto, todas as empresas em toda a UE com as mesmas atividades ou atividades similares estarão sujeitas às mesmas regras. As regras garantirão, na medida do possível, que a alocação promova tecnologias eficientes em carbono. As regras adotadas estabelecem que, na medida do possível, as alocações devem basear-se nos chamados benchmarks, p. Ex. Uma série de licenças por quantidade de produção histórica. Essas regras recompensam os operadores que tomaram medidas antecipadas para reduzir os gases de efeito estufa, refletem melhor o princípio do poluidor-pagador e dão incentivos mais fortes para reduzir as emissões, já que as alocações não dependerão mais das emissões históricas. Todas as alocações devem ser determinadas antes do início do terceiro período de negociação e não serão permitidos ajustes ex-post. Quais instalações receberão alocações gratuitas e quais não serão Como os impactos negativos sobre a competitividade serão evitados Tendo em vista sua capacidade de repercutir o aumento do custo das licenças de emissão, o leilão completo é a regra a partir de 2013 para geradores de eletricidade. No entanto, os Estados-Membros que cumprem certas condições relativas à sua interconectividade ou à sua quota de combustíveis fósseis na produção de electricidade e ao PIB per capita em relação à média da UE-27 têm a opção de desviar temporariamente esta regra relativamente às centrais eléctricas existentes. A taxa de leilão em 2013 deve ser de pelo menos 30 em relação às emissões no primeiro período e deve aumentar progressivamente para 100 o mais tardar em 2020. Se a opção for aplicada, o Estado-Membro deve comprometer-se a investir na melhoria e atualização de A infra-estrutura, as tecnologias limpas e a diversificação do seu mix energético e as fontes de abastecimento por um montante, na medida do possível, igual ao valor de mercado da alocação gratuita. Em outros sectores, as dotações gratuitas serão progressivamente eliminadas a partir de 2013, e os Estados-Membros concordam em começar em 20 leilões em 2013, aumentando para 70 leilões em 2020 com vista a atingir 100 em 2027. No entanto, será feita uma excepção para Instalações em setores que se encontram expostos a um risco significativo de vazamento de carbono. Este risco poderia ocorrer se o ETS da UE aumentasse tanto os custos de produção que as empresas decidissem deslocar a produção para áreas fora da UE que não estão sujeitas a restrições de emissão comparáveis. A Comissão determinará os sectores em causa até 31 de Dezembro de 2009. Para o efeito, a Comissão avaliará, nomeadamente, se os custos de produção adicionais directos e indirectos induzidos pela aplicação da Directiva ETS como proporção do valor acrescentado bruto excedem 5 e se a O valor total de suas exportações e importações dividido pelo valor total do seu volume de negócios e as importações excedem 10. Se o resultado para qualquer um desses critérios exceder 30, o setor também seria considerado exposto a um risco significativo de vazamento de carbono. As instalações desses setores receberiam 100 da sua participação na quantidade total de licenças de emissão anualmente decrescente gratuitamente. A percentagem destas emissões das indústrias é determinada em relação às emissões totais de ETS em 2005 a 2007. Os custos de CO 2 repercutidos nos preços da electricidade também podem expor certas instalações ao risco de vazamento de carbono. A fim de evitar esse risco, os Estados-Membros podem conceder uma compensação em relação a tais custos. Na ausência de um acordo internacional sobre as alterações climáticas, a Comissão comprometeu-se a modificar as orientações comunitárias relativas aos auxílios estatais a favor do ambiente a este respeito. Nos termos de um acordo internacional que garanta que os concorrentes em outras partes do mundo tenham um custo comparável, o risco de vazamento de carbono pode ser insignificante. Por conseguinte, até 30 de Junho de 2010, a Comissão procederá a uma avaliação aprofundada da situação da indústria de consumo intensivo de energia e ao risco de fugas de carbono, à luz dos resultados das negociações internacionais e tendo em conta qualquer sector vinculativo Acordos que podem ter sido concluídos. O relatório será acompanhado de quaisquer propostas consideradas apropriadas. Estes poderiam potencialmente incluir a manutenção ou o ajustamento da proporção de licenças recebidas gratuitamente para instalações industriais particularmente expostas à concorrência global ou incluindo importadores dos produtos em causa no ETS. Quem irá organizar os leilões e como serão realizados. Os Estados-Membros serão responsáveis ​​por garantir que os subsídios que lhes são atribuídos sejam leiloados. Cada Estado-Membro deve decidir se quer desenvolver a sua própria infra-estrutura e plataforma de leilões ou se quer cooperar com outros Estados-Membros para desenvolver soluções regionais ou a nível da UE. A distribuição dos direitos de leilão aos Estados-Membros baseia-se em grande parte nas emissões na fase 1 do RCLE da UE, mas uma parte dos direitos será redistribuída dos Estados-Membros mais ricos para os mais pobres para ter em conta o PIB por cabeça mais baixo e as perspectivas mais elevadas Para o crescimento e as emissões entre estes últimos. Ainda é o caso de 10 dos subsídios de direitos de leilão serem redistribuídos pelos Estados-Membros com alta renda per capita para aqueles com baixa renda per capita, a fim de fortalecer a capacidade financeira destes últimos para investir em tecnologias amigáveis ​​com o clima. No entanto, foi aditada uma disposição para outro mecanismo redistributivo de 2 para levar em consideração os Estados-Membros que, em 2005, conseguiram uma redução de pelo menos 20 em emissões de gases com efeito de estufa em comparação com o ano de referência estabelecido pelo Protocolo de Quioto. Nove Estados-Membros beneficiam desta disposição. Qualquer leilão deve respeitar as regras do mercado interno e, por conseguinte, deve estar aberto a qualquer potencial comprador em condições não discriminatórias. Até 30 de Junho de 2010, a Comissão adoptará um regulamento (através do procedimento de comitologia) que fornecerá as regras e condições adequadas para assegurar leilões coordenados e coordenados sem perturbar o mercado de licenças. Quantos subsídios cada leilão de Estado-Membro e como este montante é determinado, todos os subsídios que não são atribuídos gratuitamente serão leiloados. Um total de 88 das licenças de emissão a serem leiloadas por cada Estado-Membro é distribuído com base na participação dos Estados-Membros nas emissões históricas no âmbito do RCLE-UE. Para fins de solidariedade e crescimento, 12 da quantidade total são distribuídos de forma a ter em conta o PIB per capita e as realizações no âmbito do Protocolo de Quioto. Quais setores e gases são cobertos a partir de 2013 O ETS abrange instalações que realizam atividades especificadas. Desde o início, cobriu, acima de certos limiares de capacidade, centrais elétricas e outras instalações de combustão, refinarias de petróleo, fornos de coque, plantas de ferro e aço e fábricas de cimento, vidro, lima, tijolos, cerâmica, celulose, papel e cartão. Quanto aos gases com efeito de estufa, atualmente apenas abrange as emissões de dióxido de carbono, com exceção da Holanda, que optou pelas emissões do óxido nitroso. A partir de 2013, o alcance do ETS será alargado para incluir também outros sectores e gases com efeito de estufa. Serão incluídas emissões de CO 2 de produtos petroquímicos, amônia e alumínio, assim como as emissões de N2O da produção de produção de ácido nítrico, adipico e glicocálico e perfluorocarbonos do setor de alumínio. A captura, transporte e armazenamento geológico de todas as emissões de gases de efeito estufa também serão cobertos. Estes setores receberão gratuitamente subsídios de acordo com as regras da UE, da mesma forma que outros setores industriais já cobertos. A partir de 2012, a aviação também será incluída no ETS da UE. As pequenas instalações serão excluídas do escopo. Um grande número de instalações que emitem quantidades relativamente baixas de CO 2 são atualmente cobertas pelo ETS e preocupações foram levantadas sobre a relação custo-eficácia de sua inclusão. A partir de 2013, os Estados-Membros terão permissão para remover estas instalações do ETS sob certas condições. As instalações em causa são aquelas cujas emissões comunicadas foram inferiores a 25 000 toneladas de equivalente de CO 2 em cada um dos 3 anos anteriores ao ano de aplicação. Para instalações de combustão, aplica-se um limite de capacidade adicional de 35MW. Além disso, os Estados-Membros têm a possibilidade de excluir instalações operadas por hospitais. As instalações podem ser excluídas do ETS apenas se forem cobertas por medidas que alcancem uma contribuição equivalente para as reduções de emissões. Quantos créditos de emissão de países terceiros serão permitidos Para o segundo período comercial, os Estados-Membros permitiram que os seus operadores utilizassem quantidades significativas de créditos gerados por projetos de poupança de emissões realizados em países terceiros para cobrir parte de suas emissões da mesma maneira que eles usam Subsídios do ETS. The revised Directive extends the rights to use these credits for the third trading period and allows a limited additional quantity to be used in such a way that the overall use of credits is limited to 50 of the EU-wide reductions over the period 2008-2020. For existing installations, and excluding new sectors within the scope, this will represent a total level of access of approximately 1.6 billion credits over the period 2008-2020. In practice, this means that existing operators will be able to use credits up to a minimum of 11 of their allocation during the period 2008-2012, while a top-up is foreseen for operators with the lowest sum of free allocation and allowed use of credits in the 2008-2012 period. New sectors and new entrants in the third trading period will have a guaranteed minimum access of 4.5 of their verified emissions during the period 2013-2020. For the aviation sector, the minimum access will be 1.5. The precise percentages will be determined through comitology. These projects must be officially recognised under the Kyoto Protocols Joint Implementation (JI) mechanism (covering projects carried out in countries with an emissions reduction target under the Protocol) or Clean Development Mechanism (CDM) (for projects undertaken in developing countries). Credits from JI projects are known as Emission Reduction Units (ERUs) while those from CDM projects are called Certified Emission Reductions (CERs). On the quality side only credits from project types eligible for use in the EU trading scheme during the period 2008-2012 will be accepted in the period 2013-2020. Furthermore, from 1 January 2013 measures may be applied to restrict the use of specific credits from project types. Such a quality control mechanism is needed to assure the environmental and economic integrity of future project types. To create greater flexibility, and in the absence of an international agreement being concluded by 31 December 2009, credits could be used in accordance with agreements concluded with third countries. The use of these credits should however not increase the overall number beyond 50 of the required reductions. Such agreements would not be required for new projects that started from 2013 onwards in Least Developed Countries. Based on a stricter emissions reduction in the context of a satisfactory international agreement . additional access to credits could be allowed, as well as the use of additional types of project credits or other mechanisms created under the international agreement. However, once an international agreement has been reached, from January 2013 onwards only credits from projects in third countries that have ratified the agreement or from additional types of project approved by the Commission will be eligible for use in the Community scheme. Will it be possible to use credits from carbon sinks like forests No. Before making its proposal, the Commission analysed the possibility of allowing credits from certain types of land use, land-use change and forestry (LULUCF) projects which absorb carbon from the atmosphere. It concluded that doing so could undermine the environmental integrity of the EU ETS, for the following reasons: LULUCF projects cannot physically deliver permanent emissions reductions. Insufficient solutions have been developed to deal with the uncertainties, non-permanence of carbon storage and potential emissions leakage problems arising from such projects. The temporary and reversible nature of such activities would pose considerable risks in a company-based trading system and impose great liability risks on Member States. The inclusion of LULUCF projects in the ETS would require a quality of monitoring and reporting comparable to the monitoring and reporting of emissions from installations currently covered by the system. This is not available at present and is likely to incur costs which would substantially reduce the attractiveness of including such projects. The simplicity, transparency and predictability of the ETS would be considerably reduced. Moreover, the sheer quantity of potential credits entering the system could undermine the functioning of the carbon market unless their role were limited, in which case their potential benefits would become marginal. The Commission, the Council and the European Parliament believe that global deforestation can be better addressed through other instruments. For example, using part of the proceeds from auctioning allowances in the EU ETS could generate additional means to invest in LULUCF activities both inside and outside the EU, and may provide a model for future expansion. In this respect the Commission has proposed to set up the Global Forest Carbon Mechanism that would be a performance-based system for financing reductions in deforestation levels in developing countries. Besides those already mentioned, are there other credits that could be used in the revised ETS Yes. Projects in EU Member States which reduce greenhouse gas emissions not covered by the ETS could issue credits. These Community projects would need to be managed according to common EU provisions set up by the Commission in order to be tradable throughout the system. Such provisions would be adopted only for projects that cannot be realised through inclusion in the ETS. The provisions will seek to ensure that credits from Community projects do not result in double-counting of emission reductions nor impede other policy measures to reduce emissions not covered by the ETS, and that they are based on simple, easily administered rules. Are there measures in place to ensure that the price of allowances wont fall sharply during the third trading period A stable and predictable regulatory framework is vital for market stability. The revised Directive makes the regulatory framework as predictable as possible in order to boost stability and rule out policy-induced volatility. Important elements in this respect are the determination of the cap on emissions in the Directive well in advance of the start of the trading period, a linear reduction factor for the cap on emissions which continues to apply also beyond 2020 and the extension of the trading period from 5 to 8 years. The sharp fall in the allowance price during the first trading period was due to over-allocation of allowances which could not be banked for use in the second trading period. For the second and subsequent trading periods, Member States are obliged to allow the banking of allowances from one period to the next and therefore the end of one trading period is not expected to have any impact on the price. A new provision will apply as of 2013 in case of excessive price fluctuations in the allowance market. If, for more than six consecutive months, the allowance price is more than three times the average price of allowances during the two preceding years on the European market, the Commission will convene a meeting with Member States. If it is found that the price evolution does not correspond to market fundamentals, the Commission may either allow Member States to bring forward the auctioning of a part of the quantity to be auctioned, or allow them to auction up to 25 of the remaining allowances in the new entrant reserve. The price of allowances is determined by supply and demand and reflects fundamental factors like economic growth, fuel prices, rainfall and wind (availability of renewable energy) and temperature (demand for heating and cooling) etc. A degree of uncertainty is inevitable for such factors. The markets, however, allow participants to hedge the risks that may result from changes in allowances prices. Are there any provisions for linking the EU ETS to other emissions trading systems Yes. One of the key means to reduce emissions more cost-effectively is to enhance and further develop the global carbon market. The Commission sees the EU ETS as an important building block for the development of a global network of emission trading systems. Linking other national or regional cap-and-trade emissions trading systems to the EU ETS can create a bigger market, potentially lowering the aggregate cost of reducing greenhouse gas emissions. The increased liquidity and reduced price volatility that this would entail would improve the functioning of markets for emission allowances. This may lead to a global network of trading systems in which participants, including legal entities, can buy emission allowances to fulfil their respective reduction commitments. The EU is keen to work with the new US Administration to build a transatlantic and indeed global carbon market to act as the motor of a concerted international push to combat climate change. While the original Directive allows for linking the EU ETS with other industrialised countries that have ratified the Kyoto Protocol, the new rules allow for linking with any country or administrative entity (such as a state or group of states under a federal system) which has established a compatible mandatory cap-and-trade system whose design elements would not undermine the environmental integrity of the EU ETS. Where such systems cap absolute emissions, there would be mutual recognition of allowances issued by them and the EU ETS. What is a Community registry and how does it work Registries are standardised electronic databases ensuring the accurate accounting of the issuance, holding, transfer and cancellation of emission allowances. As a signatory to the Kyoto Protocol in its own right, the Community is also obliged to maintain a registry. This is the Community Registry, which is distinct from the registries of Member States. Allowances issued from 1 January 2013 onwards will be held in the Community registry instead of in national registries. Will there be any changes to monitoring, reporting and verification requirements The Commission will adopt a new Regulation (through the comitology procedure) by 31 December 2011 governing the monitoring and reporting of emissions from the activities listed in Annex I of the Directive. A separate Regulation on the verification of emission reports and the accreditation of verifiers should specify conditions for accreditation, mutual recognition and cancellation of accreditation for verifiers, and for supervision and peer review as appropriate. What provision will be made for new entrants into the market Five percent of the total quantity of allowances will be put into a reserve for new installations or airlines that enter the system after 2013 (new entrants). The allocations from this reserve should mirror the allocations to corresponding existing installations. A part of the new entrant reserve, amounting to 300 million allowances, will be made available to support the investments in up to 12 demonstration projects using the carbon capture and storage technology and demonstration projects using innovative renewable energy technologies. There should be a fair geographical distribution of the projects. In principle, any allowances remaining in the reserve shall be distributed to Member States for auctioning. The distribution key shall take into account the level to which installations in Member States have benefited from this reserve. What has been agreed with respect to the financing of the 12 carbon capture and storage demonstration projects requested by a previous European Council The European Parliaments Environment Committee tabled an amendment to the EU ETS Directive requiring allowances in the new entrant reserve to be set aside in order to co-finance up to 12 demonstration projects as requested by the European Council in spring 2007. This amendment has later been extended to include also innovative renewable energy technologies that are not commercially viable yet. Projects shall be selected on the basis of objective and transparent criteria that include requirements for knowledge sharing. Support shall be given from the proceeds of these allowances via Member States and shall be complementary to substantial co-financing by the operator of the installation. No project shall receive support via this mechanism that exceeds 15 of the total number of allowances (i. e. 45 million allowances) available for this purpose. The Member State may choose to co-finance the project as well, but will in any case transfer the market value of the attributed allowances to the operator, who will not receive any allowances. A total of 300 million allowances will therefore be set aside until 2015 for this purpose. What is the role of an international agreement and its potential impact on EU ETS When an international agreement is reached, the Commission shall submit a report to the European Parliament and the Council assessing the nature of the measures agreed upon in the international agreement and their implications, in particular with respect to the risk of carbon leakage. On the basis of this report, the Commission shall then adopt a legislative proposal amending the present Directive as appropriate. For the effects on the use of credits from Joint Implementation and Clean Development Mechanism projects, please see the reply to question 20. What are the next steps Member States have to bring into force the legal instruments necessary to comply with certain provisions of the revised Directive by 31 December 2009. This concerns the collection of duly substantiated and verified emissions data from installations that will only be covered by the EU ETS as from 2013, and the national lists of installations and the allocation to each one. For the remaining provisions, the national laws, regulations and administrative provisions only have to be ready by 31 December 2012. The Commission has already started the work on implementation. For example, the collection and analysis of data for use in relation to carbon leakage is ongoing (list of sectors due end 2009). Work is also ongoing to prepare the Regulation on timing, administration and other aspects of auctioning (due by June 2010), the harmonised allocation rules (due end 2010) and the two Regulations on monitoring and reporting of emissions and verification of emissions and accreditation of verifiers (due end 2011).When I wrote to you one year ago, just after assuming the role of CEO, I laid out three broad goals for our company. First, I want Citi to generate consistent, quality earnings. Second, I want Citi to be known for making smart decisions in every aspect of our work. Third, I concluded that I wont be satisfied until Citi has completely rebuilt our credibility with all our stakeholders. Let me recap our progress in 2013 toward achieving those goals and lay out the agenda Ive set for our firm for 2014 and beyond. 2013 was a busy year for the firm and for me personally. I traveled some 200,000 miles visiting 53 cities, met with two clients each day on average, spoke with regulators in nearly every country I visited, had dozens of interactions with investors and spoke with our employees at internal gatherings at least once a week. The consistent theme from all these conversations is that our stakeholders agree that our strategy focused on the dominant secular trends of globalization, urbanization and digitization is right, both for our firm and for the times. All three trends reinforce each other. And with our industry leading global network, presence in the worlds top cities, and ambitious digital agenda for our consumer and institutional businesses, Citi is uniquely positioned to harness each for the benefit of our clients. But many also raised questions about our ability to successfully execute that strategy and operate our businesses up to their considerable potential. I know we can, and I believe that our 2013 performance provides some strong evidence. First, and fundamentally, we earned 13.7 billion - our largest profit since the financial crisis. With most developed markets growing well below the levels that used to be taken for granted, and many emerging markets slowing considerably from their recent peaks, this result demonstrates the resiliency of our franchise and the talent of our people to perform even in a persistently challenging environment. We were able to grow our revenues in the face of regulatory, legal and other headwinds. We managed our risk carefully throughout a volatile year, with markets on edge owing to the Federal Reserves announcement that it soon would begin to wind down its Quantitative Easing program. Particularly in a tough revenue environment, expenses - which are largely under our control - are viewed as a proxy for management effectiveness. And Im pleased that we hit our commitment in 2013 and realized 900 million in savings from our repositioning actions, which helped further curb our expenses. We grew our overall loan portfolio in Citicorp by 6. In particular, we met and exceeded a commitment made in 2011 to lend 24 billion to U. S. small businesses over three years. With 9.1 billion lent in 2013 - more than double the 2009 level - that brings the total to 26.6 billion to enable small businesses to start and expand operations, add jobs and turn their passions into progress. We also made good progress on several legacy issues. We resolved some significant mortgage litigation, utilized 2.5 billion of our deferred tax assets, reduced Citi Holdings assets by a further 25 and cut Holdings annual loss in half. These numbers helped show the capability of this franchise to generate capital. During 2013, we generated more than 20 billion in regulatory capital, ending the year with our Tier I Common ratio at an estimated 10.6 on a Basel III basis - 60 basis points above the goal we set for ourselves at the beginning of the year. At the end of the year, our Supplementary Leverage Ratio stood at 5.4. And, crucially, we achieved no objection from the Federal Reserve to our 2013 capital plan. I told you last year that execution of our strategy would be my primary focus. In 2013, we put in place key tools to help us achieve the most from our franchise. We created detailed, tough but realistic scorecards to judge the performance of more than 500 of the top leaders of our firm. We sorted our 101 countries into four categories - or buckets - to help us prioritize the commitment of our resources to those sectors and regions most important to our clients. And we announced three targets for 2015 to which we are holding ourselves accountable - return on assets, return on tangible common equity and operating efficiency - and improved our performance across all of them in 2013. Weve shown that we can generate quality earnings. But our 2013 results also surprised us with a damaging example of how ethical failures can jeopardize everything we work for. We discovered that invoices that were paid through an accounts receivable financing program in Mexico were falsified, resulting in a 235 million reduction to our 2013 net income. While we have completed a rapid review of similar lending programs, we continue to investigate what took place in Mexico and are working to identify any areas where we need to strengthen our controls through stronger oversight or improved processes. We are pursuing every possible avenue to recover these funds and to punish the guilty - inside and outside the firm. The financial impact of fraud can be calculated. The harm to our credibility is harder to gauge. Credibility is the currency that allows us to meet our goals. Thats true of clients, the core constituency we aim to serve every day its true of regulators, who grant us our license to do business its true of employees, whom we need to attract by making Citi the best possible place to work and its true of our shareholders, whose trust we require to succeed and which we will continue to strive to earn. I want you to know that Ive made crystal clear to all our employees that I expect the very highest standards from each and every one of them. We are launching a comprehensive program - including improved training and a continued focus on responsible finance - to support and enhance the institutional values that have served this company so well for more than 200 years. I know that Citis culture is robust and that the overwhelming majority of our people know right from wrong and strive to do the right thing every day, in all aspects of our work. But I also know that it takes only one person to jeopardize our credibility. 1 Citi Holdings comprised approximately 19 of estimated Basel III risk-weighted assets as of 4Q13. 2 Citigroups estimated Basel III Tier 1 Common ratio and estimated Supplementary Leverage Ratio are non-GAAP financial measures. For additional information, see the Capital Resources section of Citis 2013 Annual Report on Form 10-K. 3 Tangible Book Value Per Share is a non-GAAP financial measure. For a reconciliation of this metric to the most direct comparable GAAP measure, see the Capital Resources section of Citis 2013 Annual Report on Form 10-K. Citigroup Key Capital Metrics Looking ahead, weve set clear goals for 2014. We must continue on a path to meet our 2015 financial targets. We also hope to resolve more legacy issues this year, with the aim of putting the bulk of our financial crisis-era legal overhang behind us. With Citi Holdings now comprising only 6 of our balance sheet, our focus has shifted from selling assets to reducing the drag that the remaining portfolio causes on our earnings. We expect to reduce the loss incurred in Holdings further this year, putting us closer to breakeven. Every dollar saved, of course, falls directly to the bottom line. And we expect to continue to utilize our deferred tax assets by generating U. S. earnings. In our core businesses, work proceeds to integrate and streamline our products and services to ensure that we provide a seamless experience across our offerings and regions. A monumental effort is under way to transform our Consumer business from what is, today, too much of an amalgamation of 36 local banks into one truly global bank. Were consolidating platforms, processes and products, all with the goal of giving our customers a consistently remarkable experience wherever they live, work or travel and across all our product lines. In the Institutional Clients Group, aligning and integrating our legacy Markets businesses and our Investor Services and Direct Custody and Clearing activities will allow us to deliver a more comprehensive set of capabilities, as well as enable us to prioritize our resources more efficiently, particularly around operations and technology. Citi is uniquely positioned to become the industry-leading integrated services platform as the business moves to adjust to more demanding capital, leverage and counterparty risk requirements. We will continue to invest in our Treasury and Trade Solutions business, the backbone of our global network, while we capitalize on our focus on the payments side. This business is capital friendly and not easily replicable. It took us decades to build and remains the clear global industry leader. To accomplish all this, we must build on what we put in place last year to take our execution to the next level. Well focus on building the right client base: those institutions and consumers who best fit our business model and for whom we can create the most value. Well streamline and rationalize our systems and processes, striking the right balance between efficiency-boosting standardization and the flexibility and empowerment necessary for our people to best serve our clients. And well look to save time and money by consolidating our operations in every city and country where we come to work, minimizing costly fragmentation. Much of the resources we save will be reinvested in our businesses where the greatest returns can be generated and, in particular, will be dedicated toward improving our technology and digital presence. Last year, we launched tablet and smartphone versions of two of our most successful platforms - Citi Velocity SM and CitiDirect BE SM - so that, today, traders and treasurers can do business from anywhere with a wireless connection. Combined with Smart Banking branches and other innovations in our Consumer Bank, we have established the core around which we can fulfill our aspiration to become the worlds digital bank. Together, we have accomplished a great deal over the last several years. Weve refocused the franchise, built the tools for execution and worked hard to rebuild our credibility. We still have more to do, but the foundation for future success has been built. Weve accomplished a great deal - and more than enough to begin to show what this franchise can do at its best. Sincerely, Michael L. Corbat Chief Executive Officer, Citigroup Inc. Citi Bike reg Unlock, Ride, Enjoy and Return When New York City set out to establish a public bike share program without expending public resources, Citi recognized a unique opportunity to support a groundbreaking initiative that would create a new, sustainable transportation network and enhance the lives of New Yorkers, and so the Citi Bike reg program was born. Since it launched in May 2013, the Citi Bike program has become the largest and fastest-growing bike share program in the U. S. and a familiar sight on city streets. Thousands of blue bicycles at several hundred stations around the city are available 247, 365 days a year through annual, weekly or daily passes. Citi Bike reg is the largest bike share program in the U. S. The system opened to the public in May 2013 with 330 stations and 6,000 bikes. The Citi Bike program is operated by NYC Bike Share. Citi Bike reg is the largest bike share program in the U. S. The system opened to the public in May 2013 with 330 stations and 6,000 bikes. The Citi Bike program is operated by NYC Bike Share. . Each station has a touchscreen kiosk, a map of the service area and surrounding neighborhood, and a docking system that releases bikes for rental with a card or key. In 2013, Citi Bike reg riders took 6.3 million trips and traveled more than 11.5 million miles, far outpacing other major bike share cities. Parks Trails New York honored Citi with the George W. Perkins Award for outstanding environmental leadership in helping to create the Citi Bike program. In enabling the creation of Citi Bike reg. Citi has shown that it is a leading supporter of innovative urban initiatives and a major contributor to New York Citys growth and progress. - Former New York City Mayor Michael R. Bloomberg Global Consumer Banking Citis Global Consumer Bank (GCB) serves 62 million clients in 36 countries with a strategic focus on markets and segments in which the banks unique global network, brand, and customer-centric products and services provide a competitive advantage. GCB aims to deliver a remarkable experience to clients through industry-leading products and services, next-generation retail formats and world-class digital channels. In Poland . the Citi Handlowy branch with Smart Banking technology in Katowices upscale Galeria Katowicka mall is the first in the city and is almost entirely paperless. With more than 52 million accounts in circulation . Citi Branded Cards provides payment and credit solutions to consumers and small businesses in 34 countries. In Poland . the Citi Handlowy branch with Smart Banking technology in Katowices upscale Galeria Katowicka mall is the first in the city and is almost entirely paperless. In Poland . the Citi Handlowy branch with Smart Banking technology in Katowices upscale Galeria Katowicka mall is the first in the city and is almost entirely paperless. Operating across Citis four regions - Asia Pacific Europe, the Middle East and Africa Latin America and North America - the GCBs growth plan is aligned with Citis long-term strategy to harness for customers the dominant secular trends of globalization, urbanization and digitization. Well-positioned and well-diversified, we serve high credit quality, globally minded consumers in the worlds top cities. GCBs primary business lines are Credit Cards, Retail Banking, Mortgages and Commercial Banking, which together generate nearly half their revenues outside North America. As of December 31, 2013, these businesses held 332 billion in deposits, had 302 billion in loans and managed 168 billion in assets. GCB operates approximately 3,730 branches in more than 700 cities worldwide, with a strong presence in 121 of the 150 cities that contribute a third of global gross domestic product growth. With more than 52 million accounts in circulation . Citi Branded Cards provides payment and credit solutions to consumers and small businesses in 34 countries. With more than 52 million accounts in circulation . Citi Branded Cards provides payment and credit solutions to consumers and small businesses in 34 countries. In 2013, GCB generated 10.8 billion in pretax earnings, nearly half of Citicorps total. Revenue growth in the emerging markets - especially in Latin America and Asia - partly offset a decline in U. S. revenues resulting from the challenging economic environment. Globally, key business drivers reflect continued momentum: Consumer loans grew 2, cards purchase sales increased 3, assets under management rose 8 and average deposits were up 2, with growth concentrated in checking and savings accounts. Citi is the worlds largest credit card issuer, with 142 million accounts, 365 billion in annual purchase sales and 150 billion in receivables across Citi Branded Cards and Citi Retail Services. Citi Branded Cards provides payment and credit solutions to consumers and small businesses in 34 countries. With more than 52 million accounts in circulation, the business had annual purchase sales of 290 billion and a loan portfolio of 104 billion. In 2013, Citi continued to deliver value, convenience and the power of our global network to cardmembers. Citi Prestige reg card, a global credit card built upon the banks unique relationships and capabilities worldwide, launched in Colombia, Hong Kong, Malaysia, Mexico, Singapore and the U. S. The card offers exceptional rewards, including global benefits, special offers and an annual relationship bonus. Citi announced enhanced travel benefits and exclusive access for cardmembers. Further enhancing global value for clients, Citi launched Hotel Privileges for Citi debit and credit card clients in Bahrain, the Czech Republic, Egypt, Greece, Hungary, Poland, Russia, Spain, the United Arab Emirates and the United Kingdom. Hotel Privileges provides special access to 1,000 luxury hotels around the world and offers benefits such as best available rates, complimentary breakfasts, free Internet access and late checkout. In the U. S. we continued to provide clients with improved features and benefits. Citi enhanced the Citi ThankYou reg Preferred and Citi ThankYou Premier credit cards by offering cardmembers more reward points for dining out and entertainment purchases, chip technology to make purchases with ease around the world and access to exclusive events. Citi also expanded the ways ThankYou reg Rewards members can use their ThankYou Points, including the option to shop with a Rewards Account Number, a virtual credit card account number linked to their Citi reg credit card and ThankYou Rewards account, where MasterCard reg and Visa reg are accepted. Through the Private Pass reg program, U. S. cardmembers had access to more than 10,000 events in 2013 across a range of interests, including sports, dining and music. In 2013, more than 6,000 music events were offered through the program. Citi has partnered with American Airlines for more than 25 years to offer Citi reg AAdvantage reg credit cards to U. S. customers. Citi announced that beginning in March 2014, the Citi Executive reg AAdvantage reg World Elite MasterCard reg will be the only U. S. credit card that offers full membership benefits at the American Airlines Admirals Club reg airport lounges. Citi Executive reg AAdvantage reg cardmembers will enjoy access to nearly 40 Admirals Club reg locations worldwide as well as access to select partner airport lounges. Advancing efforts to become the worlds leading digital bank, in 2013, Citi introduced a number of innovative digital and mobile products. In Mexico, Citi subsidiary Banamex introduced iAcepta Mobile, a card reader that can be attached to an iPhone, iPad or iPod touch device, making Banamex the first bank in the country to enable clients to use their debit and credit cards with chips through merchants mobile devices. iAcepta won the retail payments category at The Banker magazines Innovation in Technology and Transaction Banking Awards 2013. In India, Citi launched a fully integrated mobile payment solution that allows 320 million credit card clients to make payments through their debit and credit cards. In Latin America, the Citi Beneficios app - a digital tool that gives Citi clients fast and easy access via their mobile devices to information about discounts and promotions from different retailers as well as from Citi branches and ATM locations - launched in 11 countries. Both International Data Group and PC World en Espa ntilde ol recognized Citi Beneficios as Best Consumer Mobile App in Latin America. Digital Innovations The Citibank reg for iPad global app launched in nine markets in 2013. The app uses the innovative design of Citis U. S. Citibank for iPad app, which since its release in 2011 has won international awards and acclaim, ranging from a Forrester Research case study to an XCelent award from Celent as the best U. S. tablet banking app for breadth of functionality and user experience. In the U. S. Citi launched Money 2 SM for Health, a new multi-plan, multi-provider, consumer-centric patient payment solution designed to simplify and enhance the healthcare payment process for patients and providers alike. American Banker named Money 2 for Health a Top Innovation of 2013. Citi introduced a number of innovative digital and mobile products in 2013 . advancing efforts to become the worlds leading digital bank. Citi introduced a number of innovative digital and mobile products in 2013 . advancing efforts to become the worlds leading digital bank. Citi Mobile reg app was launched in an additional six markets in 2013, for a total number of 31 markets with a consumer banking mobile app. Citi introduced the Philippines first Visa payWave credit card, the breakthrough contactless credit card payment technology that can be up to three times faster than cash payments. Global Finance magazine named Citi Best Consumer Internet Bank in 13 countries, Best Consumer Internet Bank in Asia Pacific and Best in Mobile Banking in Asia. In Mexico, Banamex started a testing program to launch an innovative technology that guides clients through the digital self-service environment. In the United Arab Emirates, Citis E-Brokerage - a dynamic trading platform - gives sophisticated investors the ability to trade directly online without needing to contact a broker. Citi Retail Services provides consumer and commercial credit card products - both private label and co-branded - to national and regional retailers and their clients across North America. In addition, Retail Services delivers retail industry expertise and insights, including transaction data analytics and fully integrated marketing and loyalty programs, to help retailers expand and deepen customer relationships. The business services 90 million accounts for iconic brands, including ExxonMobil, The Home Depot, Macys, Sears and Shell. In September 2013, Retail Services announced a new relationship with Best Buy, one of the worlds largest multichannel consumer electronics retailers. The acquisition and swift conversion of Best Buys U. S. credit card portfolio, which then totaled more than 7 billion in receivables, solidified Citi Retail Services position as a top provider of private label and co-branded card products to U. S. retailers and their clients. In 2013, Citi Retail Services also extended its relationship with RadioShack, Staples and Sunoco celebrated the 10-year anniversary of a partnership with The Home Depot and Sears and announced a new relationship with Ross-SimonsSidney Thomas Jewelers. Purchase sales were 75 billion during the year, with a loan portfolio totaling 46 billion. With branch locations concentrated in urban centers, and nearly three-quarters of 3,730 branches in emerging markets, Citibanks footprint is unique among financial institutions. Citibank serves a full range of consumer banking needs, including checking and savings accounts, loans, wealth management advice and small business services. In 2011, Citi joined with the Small Business Administration to announce a three-year commitment to lend 24 billion to Americas small businesses, and by the end of 2013, Citi had surpassed that commitment by 2.6 billion. By the end of 2013 . Citi surpassed its three-year commitment with the Small Business Administration to lend 24 billion to Americas small businesses. By the end of 2013 . Citi surpassed its three-year commitment with the Small Business Administration to lend 24 billion to Americas small businesses. Citis Banamex franchise serves 21 million clients in Mexico, where the bank has a leading position in retail banking, consumer credit, corporate and investment banking, securities brokerage, transaction services, wealth management, bank insurance, and mutual and pension funds. In 2013, Global Finance magazine recognized Banamex as Best Bank, Best Consumer Internet Bank Best CorporateInstitutional Internet Bank in Mexico. For the Latin America region, Banamex was honored as Best Online Treasury Services. By the end of 2013 . Citi surpassed its three-year commitment with the Small Business Administration to lend 24 billion to Americas small businesses. Citis Global Client advertising as seen in Miami, Florida: A Citi client anywhere is a Citi client everywhere. In 2013, Citibank optimized its branch footprint, further concentrating its presence in urban centers. Citi opened branches in key U. S. cities, including Chicago, Miami, New York and Washington, D. C. and its first flagship on the West Coast in Los Angeles. Citi Smart Banking branches, designed around technology that offers the finest customer experience in the industry, were opened in many cities around the world, including Rio de Janeiro and Warsaw. Citi also was one of the first two global banks approved to establish a presence in the Shanghai Free Trade Zone in China. Citis Global Client advertising as seen in Miami, Florida: A Citi client anywhere is a Citi client everywhere. Citis Global Client advertising as seen in Miami, Florida: A Citi client anywhere is a Citi client everywhere. With the vast majority of client transactions occurring outside of branches, Citi pioneered a new distribution model in which a branch is just one touchpoint in a network that includes flagships, traditional branches, kiosks, multi-functional ATMs and digital channels. In Malaysia, the Philippines and Singapore, Citi marked the global launch of Citibank Express next-generation ATM that allows clients to access nearly all the services available at a traditional branch. In Asia Pacific, Citi and AIA Group Limited announced the largest bancassurance agreement ever signed. The agreement provides the opportunity to offer life insurance products in one of the worlds fastest-growing wealth management regions where affluent clients increasingly seek financial protection for their family and assets. In the U. S. . Citi Mortgage hosted a Road to Recovery mortgage assistance event in Arlington, Virginia, to support military service members and veterans as part of the Citi Salutes SM program. Citigold reg wealth management provides access to investment and financial advisory services, including mutual funds, managed portfolios, stocks, bonds, insurance products and retirement solutions. Citigold service provides a personalized level of assistance, unique benefits and global capabilities to clients worldwide. In 2013, The Asset magazine named Citi Best Wealth Manager in Asia, and Private Banker International named Citigold Private Client as Outstanding Wealth Management Service for the Affluent. Bank Investment Consultant named 10 Citigold Financial Advisors among the top advisors of 2013. The Citi Mortgage business, which provides loans for home purchase and refinance transactions, originated 58 billion in new loans in 2013 in the U. S. The business continued to focus on deepening customer relationships by aligning with Citibanks U. S. retail bank branches in major metropolitan areas. Citi Mortgage remained highly committed to foreclosure prevention, conducting its third consecutive Road to Recovery Tour, a series of events offering private counseling for clients whose financial difficulties affect the ability to make mortgage payments. The 2013 Road to Recovery Tour hosted 30 homeowner assistance events in cities across the U. S. from Las Vegas and Miami to Boston and Minneapolis. Inaugurated in 2013 . Brazils flagship Ipanema branch in Rio de Janeiro is the first with Citis Smart Banking technology and design in Latin America. Citi Commercial Bank provides small and middle-market companies with global access to award-winning products from its institutional and consumer platforms. In 2013, Citi Commercial Bank enhanced its service to clients in more than 100 cities worldwide. By taking advantage of its unpa ralleled global footprint, the Commercial Bank expanded its client base for companies operating in multiple countries and improved the client experience by reducing lending turnaround times by 38 while significantly increasing domestic and offshore assets. Citi Commercial Bank has been an important partner for companies as they continue to broaden their reach across key urban centers around the world. Institutional Clients Group Citis Institutional Clients Group builds enduring relationships with clients by providing a full suite of strategic advisory and financing products to multinational and local corporations, financial and public sector institutions, governments, privately held businesses, and many of the worlds most successful and influential individuals and families in more than 160 countries and jurisdictions. For the sixth consecutive year . Citi - which provided funding for the revitalization of the Hunters View housing project in San Francisco - was ranked first in Affordable Housing Finances ranking of affordable housing lenders in the U. S. Citi acted as financial advisor for the financing for Etisalats build-out of its 3G mobile network in Nigeria to help improve connectivity among an increasingly affluent and urbanizing population. For the sixth consecutive year . Citi - which provided funding for the revitalization of the Hunters View housing project in San Francisco - was ranked first in Affordable Housing Finances ranking of affordable housing lenders in the U. S. For the sixth consecutive year . Citi - which provided funding for the revitalization of the Hunters View housing project in San Francisco - was ranked first in Affordable Housing Finances ranking of affordable housing lenders in the U. S. Capital Markets Origination Citis Capital Markets Origination business is focused on the capital-raising needs of our institutional clients, from inaugural issuances and exchanges to cross-border transactions and first-of-their-kind landmark structures. Citi is the first choice among issuers for clients underwriting needs owing to our unmatched global footprint and diverse range of financial products. Our track record of successfully executing in both buoyant and challenging market conditions is a testament to our unwavering commitment to provide the highest quality service for clients. Our structuring and execution expertise has established us as a leader in the equity capital markets, both in terms of innovation and proceeds raised, and has distinguished Citi as the clear choice for debt underwriting, with excellence across a broad range of currencies and markets. Citi acted as financial advisor for the financing for Etisalats build-out of its 3G mobile network in Nigeria to help improve connectivity among an increasingly affluent and urbanizing population. Citi acted as financial advisor for the financing for Etisalats build-out of its 3G mobile network in Nigeria to help improve connectivity among an increasingly affluent and urbanizing population. In an environment where new banking activity has been driven by global trends, our unique platform allowed us the best global and local market views of trends, risks, and issuer and investor requirements. In 2013, Citi led some of the most significant capital markets transactions. We served as structuring agent and lead bookrunner on a 927 million enhanced equipment trust certificate with Japanese Operating Lease with Call Options (JOLCO) equity - the first transaction of this type for British Airways - that provided the debt financing on 14 new Airbus and Boeing aircraft to be leased to British Airways. Utilizing our unique global capabilities, Citi was a lead underwriter on the highly successful, cross-border 1.46 billion initial public offering (IPO) and 974 million secondary equity offering for ING U. S. Inc. We were a joint bookrunner for Petrobras 11 billion, six-tranche offering - the largest-ever bond offering by an emerging markets issuer and the second-largest bond offering of 2013 the largest Brazilian international bond offering and the largest-ever oil and gas sector bond offering. Citi also was joint bookrunner for Barclays 5.95 billion rights issue and served as joint global coordinator and joint bookrunner for VTBs strategic equity and hybrid transactions. Citi Velocity SM e for Education initiative donated a percentage of two months of institutional client FX transaction volumes executed through the Citi Velocity platform to six education-related nonprofits around the world. Learn More Corporate and Investment Banking Citis Corporate and Investment Banking franchises provide comprehensive relationship coverage service to ensure the best possible service and responsiveness to our clients. With our strong presence in many nations, we use our country, sector and product expertise to deliver Citis global capabilities to clients wherever they choose to compete. Citis Corporate and Investment Banking client teams are organized by industry and by country. Each team is composed of two parts: Strategic Coverage Officers focus on mergers and acquisitions and equity and related financing solutions. Corporate Bankers, in partnership with our Capital Markets specialists and with support from our Global Subsidiaries Group, deliver corporate banking and finance services to global, regional and local clients. In 2013, Citi served as the trusted advisor for several transformational transactions in the financial markets. We were co-lead financial advisor to Sprint Nextel Corporation on its 36 billion merger with SoftBank Corporation, the largest outbound investment in Japans history. Citi also acted as financial advisor to Silver Lake Partners on the complex, joint (with Michael Dell) 21 billion acquisition of Dell Inc. We were financial advisor to CNOOC Limited on its acquisition of Nexen for 18 billion, the largest-ever cross-border acquisition by a Chinese company. After successfully defending Elan Corporation plc against another pharmaceutical companys 6 billion hostile offer, Citi acted as financial advisor to Elan on its 9 billion sale to Perrigo Company plc. Financial News awarded Citi the Most Improved Investment Bank of 2013. 2013 Highlights International Financing Review named Citi Best Derivatives House, Best Emerging Market Bond House, Best Credit Derivatives House and Best Latin America Bond House. Euromoneys Awards for Excellence named Citi Best Global Emerging Market Bank Best Global Emerging Market Equity House Best Bank in Asia and Africa Best Investment Bank in Asia, India, the Philippines, Central and Eastern Europe, the Caribbean and Central America Best Cash Management House in Africa and Latin America Best MA House in UAE and Spain Best Debt House in Russia, Turkey and Chile Best Flow House in Latin America and Best Equity House in North America and India. Private Banker International named Citi Outstanding Private Bank for Ultra-HighNet-Worth Clients and Outstanding Global Private Bank Asia Pacific, and Citi received Euromoneys Best Private Banking Services in Latin America award. Private Banker International named Citi Outstanding Private Bank for Ultra-HighNet-Worth Clients and Outstanding Global Private Bank Asia Pacific, and Citi received Euromoneys Best Private Banking Services in Latin America award. Citi Private Bank was honored by The Financial Times. The Banker and Professional Wealth Management as Best Private Bank for Customer Service for the second year in a row. The Society of Trust and Estate Practitioners named Citi its Private Banking Team of the Year. Private Banker International named Citi Outstanding Private Bank for Ultra-High-Net-Worth Clients and Outstanding Global Private Bank Asia Pacific and recognized Citi as a Highly Commended Outstanding Private Bank for North America and Outstanding Private Bank for Europe. Citi also received Euromoneys Best Private Banking Services in Latin America award. And The Asset named Citi Best Private Bank and Best Wealth Manager in Asia and Australia. FX Week magazine recognized Citi as Best Bank overall as well as Best Bank for FX for Corporates, Forward FX, FX Prime Brokerage, FX in North America, Latin American Currencies, EuroDollar, DollarYen and e-Trading. Global Finance named Citi Best FX Bank in North America and Latin America and Best Derivatives Provider in Latin America. Markets and Securities Services Citis Markets and Securities Services business provides world-class financial products and services as diverse as the needs of the thousands of corporations, institutions, governments and investors we serve. Citi led an 825 million bond issuance by Ruwais Power Company for a newly constructed desalination and electricity generation project in Abu Dhabi, United Arab Emirates. Citi led an 825 million bond issuance by Ruwais Power Company for a newly constructed desalination and electricity generation project in Abu Dhabi, United Arab Emirates. Citi led an 825 million bond issuance by Ruwais Power Company for a newly constructed desalination and electricity generation project in Abu Dhabi, United Arab Emirates. Citi arranged a 400 million and US300 million financing for Brookfield Utilities UK and two subsidiaries to link new housing developments to existing gas and electricity networks across the United Kingdom. With trading floors in more than 80 countries, we work to enrich the relationships, products and technology that define our market-making presence. The breadth, depth and strength of our sales and trading, distribution and research capabilities span a broad range of asset classes, currencies, sectors and products including equities, commodities, credit, futures, foreign exchange (FX), emerging markets, G10 rates, municipals, prime finance and securitized markets. Our stateof-the-art Citi Velocity SM platform delivers electronic access to Citis global footprint and real-time information, giving clients unprecedented access to our capital markets intelligence and services across all product lines. Through our web, mobile and trading applications, clients can find Citi research and commentary and proprietary data and analytics execute fast, seamless and stable foreign exchange and rates trades and utilize our suite of sophisticated, post-trade analysis tools. In 2013, Derivatives Week named Citi Global Derivatives House of the Year, and The Banker named Citi the Most Innovative Bank for Prime Brokerage, Equities, IPOs, Equity-Linked Products and Risk Management. Risk magazine recognized Citi as Client Clearing Service of the Year, and Energy Risk magazine named Citi Energy Risk Manager of the Year. Citi arranged a 400 million and US300 million financing for Brookfield Utilities UK and two subsidiaries to link new housing developments to existing gas and electricity networks across the United Kingdom. Citi arranged a 400 million and US300 million financing for Brookfield Utilities UK and two subsidiaries to link new housing developments to existing gas and electricity networks across the United Kingdom. Our Investor Services and Direct Custody and Clearing businesses provide customized solutions that support the diverse investment and transaction strategies of investors and intermediaries worldwide. Offering a suite of investment administration, portfolio and fund services, trust and custody, and investment and financing solutions, this business helps clients meet the challenges of issuing, managing and distributing financial products and services in todays complex and competitive marketplace. In 2013, Citi acquired INGs Custody and Securities Services business in Central and Eastern Europe - with 110 billion in assets under custody - further strengthening our franchise in six important markets and adding Bulgaria to our proprietary network. Our Hedge and Private Equity Servicing business also surpassed 500 billion in alternative assets under administration, affirming its leadership as one of the largest fund administrators in the alternative asset management industry. Our Issuer business expanded both our network and our product sets through our Hong Kong Common Depository by standardizing and enhancing securities settlements in emerging markets in response to changes in investor demands. Global Investor recognized Citi as Hedge Fund Administrator of the Year, while Global Finance named Citi Best Sub-Custodian Bank. The Asset magazine gave Citi the Triple A Asset Servicing award. Citi operates one of the worlds global private banks, whose teamwork, commitment to service, and ability to see and seize opportunities for our clients set us apart. Our 800 Private Bankers act as trusted advisors to many of the worlds most successful and influential individuals and families. The Citi Private Bank network of bankers and product specialists work in 51 offices in 16 countries. Citi created Innovation Labs in regions to facilitate co-solutioning with clients and establish centers of excellence for product development and global rollout. Citi made history by becoming the first bank to be awarded both the Best Bank and Best Investment Bank in Asia from Euromoney Magazine. Global Education Opportunities are an FX Trade Away October 28, 2013 2:53 PM By Jeff Feig, Global Head of G-10 Foreign Exchange, Citi On October 1, 2013 CitiFX launched e for Education. an initiative in which we donate 1 for every 1 Million traded on our platform. This Electronic Trading to support Education Initiative is one of the most exciting projects Ive been involved with in the 25 years Ive worked at Citi. It stemmed from our conviction that access to education is the global game changer in improving the lives of those less fortunate. We wanted to identify a motivator for Citi to further support educational opportunities for those who dont necessarily have access. We quickly realized there was a way to align our desire to make a difference in the world with our business goals. In January 2012, we released Velocity 2.0, an cutting edge electronic platform for trading Foreign Exchange. Velocity has a sleek user interface operates intuitively, has exceptional functionality, as well as extraordinarily competitive pricing. While our client interest and trading volumes on the platform are growing, we have only just started to hit our potential. We want to find a way to further spread the word about Velocity and give prospective users the chance to really give it a try. Technology can be sticky. We know that once a user gets accustomed to a piece of software, it can be a challenge to convince a user to switch, even if the platform is better so we decided to align incentives and offer clients an added reason to shift to Velocity. We believe that, like us, our clients want to help create a better world by extending educational opportunities to those less fortunate. With more clients using Velocity, Citi will donate more money toward our common goal. With more client volumes on Velocity, more kids will have access to education. With more clients referring their colleagues to Velocity, more finance professionals will be helping us create a better world. Throughout the campaign we plan to amplify our impact by providing boosters, one of which will double contributions for trades done on our brand new Velocity iPad App. The app in itself is just awesome. In addition to executing trades, it allows you to track markets, follow news, and manage orders. Once we identified these incentives, the next decision was selecting the beneficiaries of the proceeds. We found six amazing nonprofits engaged in building or running schools or awarding scholarships. Uncommon Schools is one of the best-run charter school organizations in the US Civic Builders helps charter schools find, develop and fund the school buildings No Greater Sacrifice (NGS) offers full college scholarships to the children of fallen US soldiers Room to Read is all about improving childrens literacy in some of the poorest Emerging countries with a focus on Africa and Asia Teach First focuses on enhancing the educational prospects for the poorest children in the UK and EMpower improves lives by providing children in EM countries, particularly Latam, access to education. The results of this initiative so far have exceeded our wildest dreams, suggesting that we will be donating significantly more than initially budgeted. This is a high quality problem. With Citis belief that education is a right and that we will have a better world if more children have access to real educational opportunities, donating more money than we expected is the type of problem we love to have. Trade on Velocity, support a childs future.