The Committee believes that climate change is and will continue to be one of the most important challenges facing the EU and the world. Thjs report examines what the the EU is doing about climate change, what policies are in place and how they are working. Chapters cover the international context for EU policy, the EU emissions trading scheme, transport, other policy areas (including energy efficiency, renewable energy policy, nuclear energy, waste and agriculture), and the EU and the international community. The EU adopted a European Climate Change Programme, a comprehensive and relevant set of measures, but progress has been mixed. The report also finds that most member countries have not made significant progress towards their Kyoto targets for greenhouse gas reduction. It recommends that the EU emissions trading scheme be endorsed by the G8 as a model to be followed throughout the world. The lack of action to deal with the effects of aviation on climate change is seen as a major problem that needs to be addressed internationally.