To help it do so, it is just about to launch an internal carbon-emissions trading scheme.
They showed greenhouse gas emissions rose by 1.9% on 2009 figures, after taking emissions trading into account.
Peers also heard questions on Rwanda, recognising Palestine as a sovereign state, and the EU emissions trading scheme.
The European Union's plans to introduce the Emissions Trading Scheme (ETS) have been met with a lot of opposition.
Mandatory emissions trading is only one way to help countries and companies switch to using less, and cleaner, energy.
Some reports say the prime minister will push for the aviation industry to be brought within the EU's emissions trading scheme.
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Critics of the EU's Emissions Trading System also argue that the European Union issued too many permits in the first place.
The EU Emissions Trading Scheme ( ETS) has been seen as the world's best attempt to cut carbon by means of cap and trade.
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Ferretti argued emissions trading allows companies such as these to make money on "hidden assets, " such as efforts to reduce pollution.
It is the first such deal since the European Union suspended the inclusion of foreign airlines in its controversial Emissions Trading Scheme.
This goal can only be accomplished through the flexibility of emissions trading.
Further improvement is needed in energy efficiency and reducing carbon dioxide emissions per unit of GDP, with carbon taxation preferable to emissions trading.
EU's initial rejection of emissions trading (done at the behest of green lobbyists) made it impossible for America to stay in the treaty.
"A huge slice of the 11.3% reduction was achieved long before the EU's Emissions Trading Scheme (ETS) got underway, " he told BBC News.
These regulations will not only improve air quality for our nation's citizens, but will also create jobs and an active marketplace for emissions trading.
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The European Union, with its emissions trading scheme across 27 sovereign nations, has been at the forefront of efforts to curb carbon dioxide emissions.
It promoted the use of the European Emissions Trading System, where revenues from carbon trading are automatically reinvested into more efficient and cleaner technologies.
How heavily do you want to see America involved in an emissions trading scheme globally, or has this become too politically hard for you?
He added that with UK passengers having to pay the new Emissions Trading Scheme tax from January, they will be "taxed on the double".
The European Commission's recommendation came after last Friday's general meeting of the ICAO, which agreed to move towards a market-based mechanism for emissions trading.
Instead, ministers want to push for the inclusion of aviation in the second round of the European Emissions Trading Scheme, which starts in 2008.
Just last year governments, via the International Civil Aviation Organisation, agreed on principles for emissions trading and committed to develop a global framework by 2013.
The EU brought in the Emissions Trading Scheme on 1 January.
Hence, if competitive distortions can be avoided, we support airlines' inclusion in the EU Emissions Trading System as the first step towards a global cap-and-trade framework.
Can you tell us, is it your wish that American will have an emissions trading scheme across the nation within the next five years or so?
The European Union argues that one credit must equal one tonne of carbon dioxide for its Emissions Trading Scheme, the largest emissions market, to be effective.
That coincided with a sharp fall in the price of carbon allowances under the EU's flagship emissions trading system and rising European prices for natural gas.
Europe's Emissions Trading System, launched in 2008, was intended to protect the environment by raising the cost of polluting and encouraging businesses to invest in cleaner technologies.
On top of the 30% federal tax credit, there are renewable certificates that solar-power owners can sell on a market that's similar to the carbon-emissions trading market.
To their credit, ministers have pledged to try to get flying included in the European Union's Emissions Trading Scheme, a cap-and-trade arrangement for discouraging reliance on carbon.
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