The Czech Republic signed the Paris Agreement on 22 April 2016 and became a party to the Paris Agreement on 4 November 2017. The INDC on behalf of the Czech Republic was submitted based on submission by Latvia and the European Commission on behalf of the European Union and its Member States on 6 March 2015 where the EU and its member states committed to a binding target of at least 40% domestic reduction in greenhouse gas emissions by 2030 compared to 1990. An update of the NDC has been submitted on 17 December 2020 by Germany and the European Commission on behalf of at least a 40% reduction in domestic greenhouse gas emissions by 2030 compared with 1990. On 17 December 2020 Germany and the European Commission submitted an updated and enhanced NDC on behalf of the European Union and its Member States. The updated NDC commits the EU and its Member States are committed to a binding target of a net domestic reduction of at least 55% in greenhouse gas emissions by 2030 compared with 1990.

The key document related to climate change is the National Energy and Climate Plan of the Czech Republic (in Czech: Vnitrostátní plán v oblasti energetiky a klimatu ÄŒeské republiky). It is based on Regulation (EU) 2018/1999 of the European Parliament and of the Council on the Governance of the Energy Union and Climate Action. Earlier documents adopted by the Czech Republic that helped form the plan include the State Energy Policy of the Czech Republic and the Climate Protection Policy of the Czech Republic.

GHG emissions reduction is addressed by the National Energy and Climate Plan of the Czech Republic (in Czech Vnitrostátní plán ÄŒeské republiky v oblasti energetiky a klimatu), the State Environmental Policy of the Czech Republic 2030, with an outlook to 2050 (in Czech: Státní politika životního prostÅ™edí ÄŒeské republiky 2030 s výhledem do 2050), and Act No 406/2000 Coll., on Energy Management, as amended. An important tool that contributes to the reduction of greenhouse gas emissions is the EU ETS under which manufacturers must surrender emission allowances corresponding to the equivalent of emissions produced.

At the national level, the attainment of the objectives in GHG reduction and tackling climate change is addressed by the following specific documents:

• National Emission Reduction Programme of the Czech Republic
• Transport Policy of the Czech Republic (for 2021-2027, with an outlook to 2050) and Action Plan for Clean Mobility in order to reduce emissions in the transportation sector;
• National Action Plan for Smart Grids 2019-2030;
• Waste Management Plan of the Czech Republic for the period 2015-2024 (WMP CR).

The Climate Protection Policy defines GHG reduction targets for 2020 and 2030 – primary emission reduction targets are to reduce national emissions by 2020 at least 32 Mt CO2-eq. in comparison with 2005 and to reduce national emissions by 2030 by at least 44 Mt CO2-eq in comparison with 2005. Further, the indicative goals for 2040 and 2050 were set to 70 Mt CO2-eq released in 2040 and 39 Mt CO2eq released in 2050 (which is a reduction by 80% in comparison with 1990 levels).

Through the EU, the Czech Republic committed to reduce GHG emissions by 20% by the year 2020 in comparison with 1990 levels based on the 2020 Climate and Energy Package (2008) and to reduce the GHG emissions by at least 40 % by the year 2030 in comparison with 1990 levels in the 2030 Climate and Energy Framework (2014). Recently, the EU and the Member States took further steps and committed to reducing GHG emissions by at least 55% by 2030 compared with 1990 levels. Moreover, the EC’s and EP’s negotiators reached a provisional agreement on European Climate Law in which the objective of a climate-neutral EU by 2050, and the GHG emissions reduction target would be incorporated.

In the Czech Republic, the policies and legislation do not specifically prohibit the use of fossil fuels. The legislation endeavors to reduce GHG emissions in general by measures that gradually and globally change the approach to the fuels used based on environmental principles and new climate-friendly technology, which is also supported by various benefits and subsidies. In 2017, the adoption of a so-called Anti-fossil Act was under discussion; however, in the end, the act was not adopted.

In December 2020, the Czech coal commission recommended that the government phase out coal use by 2038. However, that deadline has yet to be discussed, as there are two other deadline options (2033 and 2043). 

Regarding the nuclear field, the impact of direct nuclear energy production on GHG emission is cleaner while generating electricity. Nuclear fission provides energy without releasing a significant amount of GHG such as carbon dioxide. Marginal GHG emissions can be mostly considered in view of the entire process of nuclear energy production, i.e. including uranium mining processes. Moreover, the European Commission’s Joint Research Centre recently concluded that nuclear fuel might be considered sustainable under green investments.

Regarding the category of fossil fuels alone, it must be noted that the inclusion of nuclear fuel into the category of fossil fuels is rather unfortunate, especially with respect to its marginal contribution to GHG emissions. Nuclear power is an expensive but stable source of power, and for the Czech Republic, it represents a vital alternative to fossil fuels.  As a result, there is no policy or legislation aiming to reduce nuclear energy production.

Climate change regulation in the Czech Republic is being continuously updated. Below, we provide an overview of the most important acts regarding climate change:

• Act No. 406/2000 Coll., on Energy Management, as amended - aims to improve regional energy planning and in accordance with EU law also sets minimum standards of buildings energy performance;
• Act No. 383/2012 Coll., on Conditions of Greenhouse Gas Emission Allowance Trading, as amended;
• Act No. 458/2000 Coll., on Business Conditions and Public Administration in the Energy Sectors and on Amendment of Other Laws, as amended (the Energy Act) – it sets a ten-year plan for the restructuring of  electric power transmission;
• Act No. 165/2012 Coll., on Promoted Energy Sources, as amended – promoting the use of renewable energy resources;
• Act No. 17/1992 Coll., on Environment, as amended;
• Act No. 201/2012 Coll., on Air Protection, as amended – aims to reduce air pollution as wells set lower limits for biofuel use;
• Act No. 100/2001 Coll., on Environmental Impact Assessment, as amended;
• Act No. 16/1993 Coll., on Road Tax, as amended – aims to reduce the use of fossil fuels in transportation through tax reduction;
• Act No. 353/2003 Coll., Excise Tax, as amended – sets tax deduction for use of biofuel and increases tax for use of fossil fuels;
• Act No. 242/2000 Coll., on Ecological Agriculture, as amended in connection to Government Regulation No. 48/2017 Coll., on setting requirements according to acts and standards of good agriculture and environmental conditions in the area and consequences of their breach for granting certain agricultural aid;
• Act No.  477/2001 Coll., on Packaging, as amended – sets out rules for reducing waste from products packaging;
• Act no. 76/2002 Coll., on Integrated Pollution Prevention and Control and on the Integrated Pollution Register, as amended;
• Act no. 73/2012 Coll., on Substances That Deplete the Ozone Layer and on Fluorinated Greenhouse Gases – sets limits on substances that damage the ozone layer and on fluorinated greenhouse gases;

Please note that the list is not exhaustive.

Yes, the Czech Republic is a part of the EU emissions trading scheme (EU ETS).

On the national level, there is Act No. 383/2012 Coll., on Terms of Greenhouse Gas Emission Allowance Trading, as amended. The Act transposes into the Czech legal system the Directive 2003/87/EC as amended by 2009/29/EC and at the same time introduces a number of changes inserted into the European Union Trading Scheme for the third trading period 2013-2020. The Act contains, in particular, the rights and obligations of entities participating in the trading system. The Act has been updated in accordance with the amendment of the Directive, which sets rules for the fourth trading period (2021-2028), especially securing price rise of the permits in order to diminish the emissions and establishing funds to finance low-carbon projects.

As of 15 December 2020, there were about 250 stationary facilities in the Czech Republic that participate in the European Union Emissions Trading Scheme, i.e. those that possess valid GHG emissions permits.

The Czech Republic has so far not introduced a CO2 tax. An equivalent to the tax is represented by traded emission permits; more about them below. Czech lawmakers considered the CO2 tax to encourage the transition to low carbon or emission-free technologies in transport, heating units, agriculture or construction, i.e. sectors out of the European Union Emissions Trading Scheme (EU ETS). However, such legislation has not been adopted so far.

A similar instrument to CO2 tax in the Czech legislation is the air pollution fee under which an operator of air pollution stationary source is obliged to cover the yearly fee based on the amount of the emissions produced, in accordance with Act No. 201/2012 Coll., the Air Protection Act, as amended.

Another instrument that can be also perceived as a sanction for contribution to CO2 pollution is a road tax, based on Act No. 16/1993 Coll., on Road Tax, as amended. Subject to the road tax are vehicles and the vehicles attached to them that are registered and operated in the Czech Republic, provided that they are used for business purposes or other self-employment activities. Subject to the road tax are also vehicles with the maximum authorized weight of over 3.5 tons registered in the Czech Republic intended exclusively for the transport of goods.

Moreover, the excise tax on mineral oil can be considered as another instrument to reduce the CO2 emissions by an increase of fuel prices that are regulated by Act No. 353/2003 Coll., on Excise Taxes, as amended. In the Czech Republic, fuels come under the excise taxation system in the category of mineral oils.

The Czech Republic has adopted the Act. No. 85/2012 Coll., on storage of carbon dioxide into natural rock structure, as amended. The Act incorporates the relevant European Union regulation, i.e. Directive 2009/31/EC of the European Parliament and of the Council of 23 April 2009 on the geological storage of carbon dioxide.

This Act applies only to the storage of carbon dioxide in natural rock structures that exceeds 100 kilotons used for the purposes of research, development or testing of new products or processes in exchange for a storage fee. The carbon dioxide storage site may only be operated on the basis of a permit. The operation of the storage is permitted by the District Mining Authority. The Czech Republic does not provide any subsidy for the CCS.

As of yet no permit has been issued to operate a carbon dioxide storage site in the Czech Republic. However, in late 2020 a project called CO2-SPICER (CO2 Storage Pilot in a Carbonate Reservoir) has started. The main objective of the CO2-SPICER project is to prepare a pilot CO2-storage site in a depleting oil and gas reservoir in the region of southeast Moravia.

The Czech Republic subsidizes renewable energy source based on Act No. 165/2012 Coll. on Promoted Energy Sources, as amended (i.e. wind power, solar, geothermal, hydropower, air, biomass, landfill gas, and biogas energy) that incorporates EU regulations specifically Directive 2009/28/ES and 2012/27/EU, thus promoting electricity and heat produced from the renewable energy sources, secondary sources, high-efficiency cogeneration of heat and electricity and operational heat.

In the Czech Republic, renewable energy is supported by either a guaranteed feed-in tariff or a fixed premium tariff (green bonus) paid on top of the market price. Plant operators are free to choose from these options. Moreover, subsidies are available through the Operational Programme Technology and Applications for Competitiveness 2021-2027 (In Czech: OperaÄní program Technologie a aplikace pro konkurenceschopnost (OP TAK) 2021-2027). Among others, OP TAK’s aim is to increase the share of energy production from renewable sources. Other objectives of this program include supporting clean urban mobility, a greener carbon-free Europe, a circular economy, energy efficiency, etc.

Currently, a draft amendment to Act No. 165/2012 Coll., on Supported Energy Sources is being discussed in the Czech Parliament, which should introduce an auction support mechanism. This competitive tendering procedure aims to support the production of energy from renewable energy sources. The winner is usually the one who offers the lowest price of supplied energy. However, the draft amendment provides for auction support only for hydro and wind power plants. Solar power plants should be excluded, which is why the draft amendment faces criticism in its current form.

The main Czech measures to reduce GHG emissions include increasing building energy efficiency using modern solutions, decreasing fossil fuel usage in households (by replacing them with alternative fuel resources) and supporting alternative power solutions.

Regarding GHG reduction/energy efficiency in the built environment, the Directive 2010/31/EU on the Energy Performance of Buildings, transposed to the Czech law by Act No. 406/2000 Coll., on Energy Management, as amended, which enforces certain standards for the energy efficiency of new buildings (subsequently specified in several government regulations). The issue is also addressed in the National Energy and Climate Plan of the Czech Republic

In order to improve the energy efficiency in buildings the Czech Republic devices and supports many nation-wide or regional projects. One of the prominent projects is called the New Green Investment Scheme (In Czech: “Nová zelená úsporám”). This program combines option to increase the energy efficiency of buildings and concurrently use ecological heating resources by providing subsidies for acquiring new biomass boilers, heat pumps and condensing boilers as well as subsidies for the construction of new buildings with very high energy performance and nearly zero or very low amount of energy requirements. 

Some other prominent programs in built environment field are:

• Operational Program Environment 2021-2027 (In Czech: OperaÄní program životní prostÅ™edí 2021-2027) – supporting decrease of energy consumption by public buildings and increase of air quality, biodiversity, transfer to a circular economy, revitalization of cities;
• Integrated Regional Operation Program 2021-2027 (In Czech: Integrovaný regionální operaÄní program 2021-2027) – which aims at decreasing energy consumption in dwellings with more than 4 housing units;
• Panel 2013+ - a long-term program that aims at the reconstructions of larger dwellings.

The main national measures to reduce GHG emissions in the transport sector in the Czech Republic include efforts to increase the efficiency of current (fossil fuel) engines, decrease the emissions of fossil-fueled cars, support alternative power solutions of transportation (vehicles powered by electricity, hybrid vehicles, LPG/CNG, ethanol-powered vehicles), recycling and take-back obligations for manufacturers, tax exemptions for vehicles with alternative powering and environmental tax for a resale of older vehicles.

Czech authorities are currently discussing establishing low emission zones in city centers to reduce GHG in the most populated areas. This regulation would entail limitations for diesel-powered vehicles (and vehicles marked by EURO III norm and lower) to enter city centers. Such measure should among others motivate businesses to look for an alternative solution for goods transportation. As of yet, no such regulation has been passed by the competent authorities.

Moreover, the excise tax on mineral oil can be considered as another instrument to reduce the CO2 emissions by an increase of fuel prices that is regulated by Act No. 353/2003 Coll., on Excise Taxes, as amended. In the Czech Republic, fuels come under the excise taxation system in the category of mineral oils.

Overall, relevant policy to develop appropriate measures in the transport sector is the Transport Policy of the Czech Republic for the period 2021-2027 with an outlook to 2050 (In Czech: “Dopravní politika ÄŒR pro období 2014 - 2020  s výhledem do roku 2050”). The transport policy mainly aims to ensure the development of an effective and reliable transport system based on the sustainable use of natural resources. Moreover, the Ministry of Transport plans to increase financial support for newly built charging stations and alternative fuels infrastructure.

Furthermore, in the transport sector, the Czech Republic supports active use of alternatively powered vehicles by a road tax exemption. In accordance with Act No. 16/1993 Col. on Road Tax, as amended, alternatively powered vehicles with a maximum weight of 12t are exempt from paying the road tax.

Some other prominent programs in the transport sector are:

• National Action Plan for Clean Mobility (In Czech: “Národní akÄní plán Äisté mobility”) – supports the sale of alternatively powered vehicles and device infrastructure for the operation of such vehicles, aims to limit the GHG emissions and improve energy efficiency;
• National Emission Reduction Programme of the Czech Republic (in Czech: “Národní program snižování emisí ÄŒR”);
• Plan for Improving the Air Quality 2020+ (in Czech: “Program zlepšování kvality ovzduší 2020+”), which divides the country into specific areas (large cities, regions, etc.) and focuses on problems, including transportation emissions and their limitation.

The main national measures to reduce GHG emissions/improve efficiency in the industry include decreasing dependency on fossil fuels, increasing support for alternative power solutions, increasing power efficiency of the industry, changing the “fuel mix”, removal and replacing substances with high ozone-depleting potential and global warming potential, introducing the best available technologies, setting obligation for (some) businesses to choose one of the following measures (i) obligation to conduct an energy audit or (ii) adopt a system of management of energy in accordance with ISO 50001 norm. 

The measures introduced in the industrial sector stem from the framework set by the State Environmental Policy of the Czech Republic 2030, with an Outlook to 2050 (In Czech: Státní politika životního prostÅ™edí ÄŒeské republiky 2030 s výhledem do 2050) which emphasizes integrating environmental protection elements into each individual subsector of the industry. This comprises a thorough regulation of income resources and outgoing products, evaluation of manufacturing procedures with regards to BAT, support of low emissions, low waste-producing areas of industry, investments into “green innovations” (concerned with air pollution removal, cleaning of wastewater, reduction in the use of dangerous substances). 

GHG emission reduction is further addressed by the National Energy and Climate Plan of the Czech Republic and Act No 406/2000 Coll., on Energy Management, as amended. The EU ETS represents an important tool contributing to the reduction of greenhouse gas emissions. Under it, manufacturers must surrender emission allowances corresponding to the equivalent of emissions produced. In addition Act No 73/2012 Coll., on Substances Damaging the Ozone Layer and on Fluorinated Greenhouse Gases, and Act No 76/2002 Coll., on Integrated Prevention, as amended, are important with regard to industry regulation.

The main national measures in the field of agriculture and land use include limitation of use of the substances contributing towards global warming, compliance with Principles for Proper Agricultural Practice (in Czech “Zásady správné zemÄ›dÄ›lské praxe”), compliance with Common Agricultural Policy (In Czech: “SpoleÄná zemÄ›dÄ›lská politika”), compliance with Rural Development Project (In Czech: “Program rozvoje venkova”) and potential rapid transition to the natural forest composition. Additionally, the Strategy of Ministry of Agriculture of the Czech Republic with long-term vision until the year 2030 (in Czech “Strategie resortu Ministerstva zemÄ›dÄ›lství ÄŒeské republiky s výhledem do roku 2030”) tackles the development of the agriculture sector and future vision of the agriculture sector in the Czech Republic.

Some other prominent programs in agriculture and land use are:

• Project for capturing carbon in the soil – helps to oversee obligatory standards stated in Principles for Proper Agricultural Practice;
• Environmental Education and Awareness (In Czech: “Environmentální vzdÄ›lávání, výchova a osvÄ›ta”) – ongoing effort on the development of fields of study concerned with environmentally friendly agriculture.

Regarding the national measures in the electricity production sector, there are the same instruments being used as in the industry in general, i.e. decreasing dependency on fossil fuels, increasing support for alternative power solutions, increasing power efficiency of the industry, changing the “fuel mix”, removal and replacing substances with high ozone-depleting potential and global warming potential and introducing the best available technologies. The National Energy and Climate Plan of the Czech Republic (in Czech: “Vnitrostátní plán ÄŒeské republiky v oblasti energetiky a klimatu”) sets out goals for limiting the GHG emission and differentiation of primary producers of electricity and energy efficiency. Another important document regarding the energy industry is the State Energy Policy of the Czech Republic.

Moreover, electricity producers are subject to CO2 limits and fees for pollution as well as support and subsidies for use of renewable energy sources under the Act on the Air Pollution (for more details see questions "Has a national CO2 tax or similar instrument been adopted?", "Are the production and/or use of renewable energy sources subject to a national subsidy or similar support scheme?", and "What are the main national measures being taken to reduce GHG emissions / improve efficiency in industry?"

The ruling of the Municipal Court In Prague

Dispute: Article 35 of the Charter of Fundamental Rights and Freedoms of the Czech Republic

Plaintiff: Chartered Town of Ostrava (hereinafter as “Ostrava”)

Participant: Ministry of Environment of the Czech Republic

Ostrava requested the issuance of cease and desist order against the Czech Republic for the long-term breach of the right to a favorable environment.

The main argument of Ostrava was insufficient protection, long-term breach of pollution limits (especially limits for airborne dust) and lack of efforts of the Czech Republic. Such breaches have long-term adverse consequences for citizens of Ostrava (causing cancer and respiratory disorders including asthma).

The Municipal Court in Prague dismissed the action on the basis of the following arguments

1. Ministry of Environment claimed that everything in the scope of reasonable expectations for protection of the environment had been done; and
2. the argument that the action had been submitted to the court after the lapse of the one-year statutory period for submission of such action.

This caused considerable outrage in the Ostrava region as the Ministry of Environment of the Czech Republic stated that such action was more of a political statement rather than a sincere act aiming to protect environment in the area.

Judgement of the Constitutional Court of the Czech Republic No. PI. ÚS 44/18

Dispute: Validity of the Section 23a of the Act No. 101/2001 Coll., on Environmental Impact Assessment, as amended (hereinafter as “EIA Act”)

Appellant: Regional Court in Ostrava

Participant: Parliament of the Czech Republic

Enjoined party: Government of the Czech Republic

The Regional Court of Ostrava proposed abolition of Section 23a of EIA Act due to (i) lack of generality of such provision, as it is only concerned with nine (9) specific project from the area of traffic infrastructure (e.g. trans-European-traffic network regarding vital projects such as airports or high-ways), (ii) unconstitutional due to the approach chosen by Ministry of Environment (exclusion of the public in the matter of above-mentioned projects as a result also exclusion of the environmental groups).

Either of the arguments used by the appellant was not justified. The argument concerning the lack of generality of the provision was not accepted by the Constitutional Court as the aforementioned projects are greatly specified in relevant supplementary legislation. The exclusion of the public was found compliant with the Constitution, as it was decided in the public interest with the sole focus on acceleration of the development project in question.

The proposal of the Regional Court of Ostrava was finally dismissed on the aforementioned grounds.

Ruling of the Municipal Court In Prague 

Dispute: Article 35 of the Charter of Fundamental Rights and Freedoms of the Czech Republic 
Plaintiff: Chartered Town of Ostrava (hereinafter as “Ostrava”)
Participant: Ministry of Environment of the Czech Republic

Ostrava requested issuance of cease and desist order against the Czech Republic for the long term breach of the right to favorable environment. 

The main argument of Ostrava was insufficient protection, long term breach of pollution limits (especially limits for airborne dust) and lack of efforts of the Czech Republic. Such breaches have long term adverse consequences for citizens of Ostrava (causing cancer and respiratory disorders including asthma).

The Municipal Court in Prague dismissed the action on the basis of the following arguments 

1. Ministry of Environment claimed that everything in the scope of reasonable expectations for protection of environment had been done; and
2. the argument that the action had been submitted to the court after the lapse of the one-year statutory period for submission of such action.

This caused a considerable outrage in the Ostrava region as the Ministry of Environment of the Czech Republic stated that such action was more of a political statement rather than a sincere act aiming to protect environment in the area.

Judgement of the Constitutional Court of the Czech Republic No. PI. ÚS 44/18

Dispute: Validity of the Section 23a of the Act No. 101/2001 Coll., on Environmental Impact Assessment, as amended (hereinafter as “EIA Act”)
Appellant: Regional Court in Ostrava
Participant: Parliament of the Czech Republic
Enjoined party: Government of the Czech Republic

The Regional Court of Ostrava proposed abolition of Section 23a of EIA Act due to (i) lack of generality of such provision, as it is only concerned with nine (9) specific project from the area of traffic infrastructure (e.g. trans-European-traffic network regarding vital projects such as airports or high-ways), (ii) unconstitutional due to approach chosen by Ministry of Environment (exclusion of public in the matter of above mentioned projects as a result also exclusion of the environmental groups).

Either of the arguments used by the appellant was not justified. The argument concerning the lack of generality of the provision was not accepted by the Constitutional Court as the aforementioned projects are greatly specified in relevant supplementary legislation. The exclusion of public was found compliant with the Constitution, as it was decided in the public interest with sole focus on acceleration of the development project in question.

The proposal of Regional Court of Ostrava was finally dismissed on the aforementioned grounds.
 

Regarding the climate change policies, measures and legislation, the Czech Republic in the light of its international obligations applies principles established in the Environmental Impact Assessment; those were implemented in the EIA Act. In the Czech Republic it is an important instrument for the protection of the environment by promoting one of the most important principles of environmental protection, namely the principle of prevention. The aim of the legal regulation is to create an effective preventive system of environmental and public health impact assessment of future projects and concepts.