Electricity Policies

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1 Mainstreaming Climate Change into EU Electricity Policies 1, Eleftheria Vasileiadou 2, Ajay Gandhi Institute for Environmental Studies, Vrije Universiteit Amsterdam Research Domain Sustainable Solutions

2 Agenda The ADAM Project Integrated evaluation of the policy formulation process Sustainability in EU energy/electricity policies Identifying targets, actors and options Mainstreaming sustainability Policy integration in stakeholder consultations EPOS Conference, Brussels 2

3 ADAM Project Adaptation and Mitigation Strategies: Supporting European Climate Policy Presented results collaboration of WP P1: Policy Appraisal Framework (Social science) WP P3c: Electricity Case Study (Economics/Engineering) P1 focuses on appraisal defined as a structured process that integrates knowledge from different sources to inform and enhance decision-making i on climate change. P3c focuses on policy options to facilitate the transition of the electricity sector towards a well-adapted, carbon-lean system. EPOS Conference, Brussels 3

4 Integrated evaluation of policy formulation observation/analysis information Economist/ Engineer (EE) Social Scientist (SOC) Policy Maker (PM) Electricity Sector Energy Policies Policy formulation EE informs SOC about current trends, challenges and inner logic of electricity sector SOC integrates sector information and policies to background information upon which policy formulation is analyzed SOC provides integrated feedback to PM on procedural level (eg. social learning) and factual level e (eg. agenda setting) EPOS Conference, Brussels 4

5 Why is integration crucial? Strategic triangle of energy policy spanned by three (conflicting) political targets Sustainability strongly interacts with competitiveness and security of supply Sustainability Competitiveness (Liberalization, Internal Market) Security of supply (eg. Natural gas dependency) EPOS Conference, Brussels 5

6 Sustainability in energy policy Sustainability in An Energy Policy for Europe (COM (2007) 1): [C]urrent energy and transport policies would mean EU CO2 emissions would increase by around 5% by 2030 [ ]. The present energy policies within the EU are not sustainable. Implicit definition breaks down to mitigating climate change by reducing greenhouse gas emissions Kyoto Protocol prescribes market based instruments for regulation Economic dimension Instruments strongly focus on new technologies for transition of the energy system Engineering dimension Long-term problem that requires strategies to guide policy making and instrument design Political dimension EPOS Conference, Brussels 6

7 Identifying relevant actors at DG level Main instruments and technological options addressing climate change: Emission Trading Scheme (DG ENV) Promotion of Renewable Energies (DG TREN) Carbon Capture & Sequestration (DG ENV/DG TREN) However: main energy strategies, energy security, infrastructure, and others traditional domain of DG TREN Additional responsibilities, e.g. state aids, located at DG COMP DG COMP DG ENV DG TREN Relative Importance EPOS Conference, Brussels 7

8 Analysis of DG TREN stakeholder consultations Analysis and evaluation of DG TREN stakeholder consultations Role of stakeholder consultations: to provide a diversity of ideas, knowledge, routines, practices, upon which the selection (policy making) would operate Diversity of socio-economic arenas, diversity of perspectives represented more possibilities for creative combinations and higher performance and fitness of solutions Democratic legitimacy and political feasibility Central element of appraisal EPOS Conference, Brussels 8

9 Policy Integration Aspects of the anaylsis Integration of different policy areas to take account of complexity of climate change Role of science Degree of openness towards incorporating scientific perspectives Process feedback Assessment of plenary meetings or working groups Evolution of topics discussed over time Diversityit Inclusion of participants from different societal sectors to include multiple viewpoints EPOS Conference, Brussels 9

10 DG TREN Fora Florence Forum (electricity), 1998 Madrid Forum (gas), 1999 Amsterdam Forum (renewables and energy efficiency), 2004 Berlin Forum (fossil fuels), 2005 Nuclear Energy Forum, 2007 Citizens Energy Forum (consumer issues), 2008 Only structured participatory processes within the policy formulation process EPOS Conference, Brussels 10

11 Overview of results FORUM Start Role of science Policy Integration Proc. Feedback Electricity 1998 No scientists; no relevance No No Gas 1999 No scientists; no relevance No No Fossil Fuels 2005 Presence of scientists Yes Yes, informal Renewables 2005 Presence of scientists Yes Yes, formal Nuclear 2007 Presence of Scientists on Yes Yes, informal limited issues Citizens 2008 No scientists; no relevance Limited Yes, informal EPOS Conference, Brussels 11

12 Results relevant to mainstreaming of climate change Scientific knowledge played a minimal role in design and actual discussions Especially scientific knowledge on technical alternatives, economic feasibility, impacts on climate were absent Separated topics inhibit the integration of interlinked issues in the consultation forums ignoring inherent complexity of climate change mitigation Climate change as such has never become the topic of discussions; is considered an issue for DG ENV EPOS Conference, Brussels 12

13 Conclusions Consultation Forums play an increasingly important role in Commission Important institutions for policy formulation They can facilitate an integrated approach on sustainability, if they focus on: Incorporating sustainability into topics Encourage participation of civil society and science Operate in transparent way EPOS Conference, Brussels 13

14 References Vasileiadou, E., Gandhi, A., Pahle, M. (2009): Insights and guidelines for climate change appraisals in the European electricity sector. ADAM WP Report. Vasileiadou, E., Gandhi, A., Pahle, M. (2009): Diversity for climate - How can stakeholder consultations help mainstreaming climate change? Presentation held at the Copenhagen Conference on Climate Change EPOS Conference, Brussels 14