Unlocking Climate Solutions: Exploring the Framework of Devolution and Climate Change – Part One

Climate change presents a unique challenge for the Scottish Parliament. It highlights the complexities of powers shared between the Scottish and UK governments. Understanding who makes decisions about climate policies is essential for addressing our Net Zero goals, especially the commitment to reduce greenhouse gas emissions by 81% by 2035. This intricate system involves not just the governments but also international agreements and local authorities.

One of the main complexities arises from international obligations. The UK is bound by the United Nations Framework Convention on Climate Change and the Paris Agreement, which set ambitious targets for emissions reduction. Yet, only the UK government can negotiate these agreements, putting a limit on how much the Scottish Government can influence international commitments.

Additionally, trade agreements have implications for Scotland’s climate strategies. The EU-UK Trade and Cooperation Agreement mandates that standards for the environment cannot be lowered in ways that affect trade, which often restricts local innovation in climate policies. For instance, Scotland cannot require locally produced materials in energy projects due to these trade regulations.

Local authorities also play a crucial role. They have significant decision-making power regarding transportation, housing, and planning—areas that greatly impact daily life and emissions. Their policies must align with both Scottish and UK agendas, creating a complex web of governance that influences actions on climate change.

The division of responsibilities further complicates matters. Under the Scotland Act 1998, some areas are reserved for the UK, while others are devolved to Scotland. However, the lines aren’t always clear. For example, while energy generally falls under UK control, Scottish Ministers can give consent for various energy projects. This overlapping authority can lead to confusion and delays in implementing climate-friendly policies.

In terms of taxation, Scotland has limited power to influence behaviors that affect climate change. The UK government controls VAT and other major taxes, limiting Scotland’s ability to shape economic incentives for sustainability. Recent reports, such as the Scottish Fiscal Commission’s 2024 report, highlight how financial constraints affect Scotland’s ability to meet its climate targets. As financial decisions made by the UK government can trickle down and impact Scotland’s budget, achieving ambitious climate goals becomes even tougher.

There’s also the challenge posed by the United Kingdom Internal Market Act 2020. This law prevents Scotland from banning products sold in other UK regions, complicating efforts to address single-use plastics, for instance. Despite the ambition for greener practices, such legislation can slow progress.

Looking forward, it’s clear that achieving climate goals in Scotland will require cooperation between different levels of government and various sectors. Responses need to be comprehensive, addressing how to link local actions with national policies. As we navigate this climate crisis, understanding these dynamics is key to building a sustainable future.

For a deeper dive into the impact of these governance structures on specific sectors, check out the accompanying blog, “The Climate Jigsaw Part Two: Sectoral Issues,” where we explore how various industries can play their part in meeting Scotland’s climate ambitions.

Colin Reid, Emeritus Professor, University of Dundee

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