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Wednesday May 23 11:48 AM EST 

EU, U.S. Talk on Environment But Stay Deadlocked 
By Eva Sohlman

STOCKHOLM (Reuters) - The European Union and the United States remained 
deadlocked on environmental policies on Wednesday after their first high-level 
meeting since Washington issued a controversial new energy plan last week.

"The situation is unchanged. We disagree on the climate issue," Sweden's
Environment Minister Kjell Larsson told Reuters after meeting U.S. Director of
the Environmental Protection Agency Christine Todd Whitman.

Sweden holds the EU's rotating presidency.

He said the new energy plan -- criticized by the EU for promoting use of fossil 
fuels oil and coal and for doing too little to promote conservation -- made it 
impossible for the United States to return to a global pact to curb global 
warming.

President George W. Bush had already rejected the 1997 Kyoto protocol in March, 
stating it was too costly and unfair that developing countries were not 
included in the pact.

Whitman, in Stockholm where she signed a U.N. treaty to outlaw 12 toxic 
chemicals, said she was disappointed by the outcry at the energy plan and said 
Bush would prove himself a leader in combating pollution.

"I was a little surprised at (criticisms of) the energy plan...It was a little 
disappointing because...I don't think people have really read it," she told 
reporters before meeting Larsson.

"I think that as we move forward they will see that in fact this president is 
very committed to these environmental goals and is someone who will be a leader 
in this area," she added.

She said the energy plan would not push up U.S. emissions of greenhouse gases. 
The separate Kyoto protocol calls on industrialized states to cut their 
emissions of carbon dioxide by an average five percent from 1990's levels by 
2012.

"I'm very disappointed that we can't continue to work globally within the Kyoto 
process," Larsson said earlier. The EU says the plan will aggravate global 
warming and does little to encourage conservation.

Washington has won little credit in Stockholm for signing the U.N. convention 
with almost 130 other nations on Wednesday to outlaw or minimise use of a 
"dirty dozen" persistent organic pollutants (POPs).

Rick Hind, a campaigner for the environmental watch-dog group Greenpeace, gave 
Whitman a T-shirt saying "TOXIC PATROL" immediately after she signed and called 
for the elimination of all POPs in the United States within a generation. Hind 
told Reuters Whitman had pledged to do so.

Whitman told reporters that Bush would soon be ready to outline his alternative 
plans for combating global warming after he ditched the 1997 Kyoto pact.

But she stopped short of confirming whether he would unveil the plan at a 
meeting with European Union leaders in Sweden next month.

Canada, the first nation to sign and ratify the POPs treaty on Wednesday, also 
predicted that U.S. CO2 emissions would increase as a consequence of the new 
energy plan, which could raise demand for energy imports from Canada.

"The largest energy relationship in the world is between Cananda and the United 
States," Canadian Environment Minister David Anderson told Reuters, saying 
Canada exported oil and gas and other energy worth $52 billion a year to its 
neighbor.

"Despite any increase in energy sales to the United States...we will 
nevertheless meet our Kyoto commmitments of minus seven percent of 1990s 
levels," he said.

Among critics of the U.S. energy plan, the head of the U.N. forum on climate 
change, Jan Pronk, described it as "a disastrous development" and said it would 
contribute to push up world temperatures. 


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