After years of political debate, the Kyoto Protocol came into force on 16 February 2005. Against this background, the fourth Climate Talk posed questions regarding what climate politics and economic effects the Kyoto Protocol in its present form will have and which (further) steps for the path to a "Carbon Constrained Economy" (Tony Blair) are necessary. Presentations were given by Dr. Hermann Ott (Head of the Wuppertal Institute Berlin Office) and by Dr. Hans-Joachim Ziesing (Senior Executive of the German Institute for Economic Research).

The Technical University Berlin hosted the conference "Water – Economic Good, Weapon, Human Right" on 9 February 2005. Ecologic Associate Britta Pielen spoke on the recent trends towards liberalisation in European water policy and the implications for the German water sector. Over the last years, the water and sanitation sector has increasingly been put under reform pressure. In particular at the European level, a political trend towards liberalising the provision of water services can be observed. These attempts are generally justified by the supposedly positive experiences with the liberalisation of other network industries, as well as with stricter environmental and quality requirements.

The study "Control of land use – nature conversation strategies, policies and instruments" is now available for download. The study analyses the legal basis and the conceptual design of nature conversation strategies, policies and instruments for reducing or managing land use in Germany. In addition, implementation deficits of these instruments are identified.

The federal bill addressing non-discriminatory network access in the energy sector will significantly reform the existing legal framework for grid operators in Germany. A crucial aspect of the reform is the strengthening of rules for vertically integrated energy companies active in production and distribution, as well as grid operation. In her publication, Dr. Camilla Bausch critically analyses and evaluates unbundling rules for the electricity sector against the background of lawmakers' objectives – including promoting competition, reducing conflict of interest cases and quelling market distorting activities.

For several years now, the European energy laws have been in a phase of transformation. Behind the much quoted catchwords liberalisation, privatisation, deregulation and re-regulation lie many more profound, often times even contradictory political, legislative and economic concepts. This is the context in which a functional Single European Market for electricity is to be established.

The National Allocation Plan (NAP) stipulates the rules for the allocation of allowances to the installations participating in emissions trading. The allowances are allocated on the basis of the actual CO2 emissions of the individual installations. To determine the quantity of emissions, data was gathered on a voluntary basis through a comprehensive data enquiry by the German Federal Ministry for the Environment. This article reports on the results of the data enquiry.

At the third Climate Talk a first review of the allocation of CO 2 -emission-rights in Germany was conducted. Experts from business, science, and government discussed the practical and legal difficulties of allocation, both for industry and administration. Presentations were given by Dr. Simon Marr (Deutsche Emissionshandelsstelle - DEHSt), Dr. Jürgen Altenburg (RWE Power AG) and Peter Ebsen (Baker& McKenzie LLP).

International climate policy, the significance of Russia's ratification of the Kyoto Protocol and the US elections were the subject at the Dinner Dialog on 6 December 2004. It was held in honour of Oran Young, university professor in the U.S. and in Norway. The institutional structure and goals of the international climate regime, the opportunities, both for the further development of existing structures and agendas and for the creation of possible new regimes as well as the need for concrete action, were vividly and controversially discussed.

Görlach, Benjamin and Eduard Interwies 2004: Assessing Environmental and Resource Costs in the Water Framework Directive. The Case of Germany. Ecologic, Berlin.

International Climate Protection Policy was the subject at the Dinner Dialogue in honor of Lee Lane, Executive Director of the Climate Policy Center in Washington DC. The roots and the role of growing US conservatism as the driving force of American climate policy were controversially discussed, as well as the most efficient and promising approaches to tackle climate change issues. The Dinner Dialogue took place on 6 October 2004 in Berlin.

The transition to a sustainable development is a strategic aim of the EU. To this end, the European Council adopted during the meeting in Gothenburg 2001 a European Sustainable Development Strategy. The midterm review of the strategy is scheduled for next year (2005). How has the European Sustainable Development Strategy performed so far? In this article, Ecologic analyses both the relation between the Sustainable Development Strategy and the Lisbon process as well as the weaknesses of the strategy, and suggests a way forward.

In July 2004, the German Federal Cabinet adopted the draft amendment of the law governing non discriminatory network access (EnWG – Energiewirtschaftsgesetz). It transposes the EU Acceleration Directive for electricity and gas into German national law. Nicole Wilke and Camilla Bausch explain the essential elements of the draft amendment in an article.

The study on "Public participation in water management in the co-ordination area Havel (Berlin-Brandenburg)" authored by Nicole Kranz, Antje Vorwerk and Wenke Hansen was published as the first volume of the new publication series of the KompetenzZentrum Wasser Berlin (KWB - Berlin Centre of Competence for Water).

The Yearbook Ecology 2005 will be published at the end of September 2004. Ecologic is one of the institutes supporting this yearbook. This year's focus is on Renewable Energy, Resource Conflicts, and Sustainable Economy.