Environmental Law Service

Climate Law Database

Budgetary responsibility

Presently the members of the parliament and ministers are not personally responsible for national budget's deficit so it makes no difference to them whether the approved national budget would be achieved or not. „Budgetary responsibility“ is a new legal tool which may enforce the main CCA's target. The basic idea is that the members of the government and also the members of the parliament should be personally responsible for non-fulfilment the GHG emission reduction through carbon budgets. Whenever the carbon budget is exceeded due to the lack of government's or lawmaker's effort to meet the reduction target, the members of these public bodies should be made to pay penalties (in form of reduction in their salaries for example). The amount of reduction will depend on the difference between the approved and the real carbon budget of the budgetary period. On the other hand, the exemption clause to refrain from the budgetary responsibility should be made to enable the members of the parliament to take into account circumstances (such as the significant changes or developments in climate science or in international law) that were unforeseeable at the time of carbon budget's approval.

As an example of alternate penalty the compulsory financial transfer from the national budget to the public fund for fulfillment of the CCA's targets may be adopted. The basic idea is that an adequate and effective remedy should be provided in cases of CCA's infringements because of the future consequences (slower reduction of GHG emissions may harm the environment) for the whole society. The purpose of the public fund is to block the finances which will be spent otherwise and to use that finances to remedy the damages caused by the CCA's infringe­ments.