GBE response to DG Energy Consultation on Energy Roadmap 2050

Transcription

1 European expert platform on environmental taxation and green fiscal reform GBE response to DG Energy Consultation on Energy Roadmap 2050 March 7th How can the credibility of work on the transition to a low-carbon energy system in 2050 be ensured? (for example regular updating of projections using energy system models, focus on developments in technologies, level of expertise needed in each sector, ) The modelling of the roadmap should present the full emission reduction potential of all sectors, and ensure that reduction pathways are scientifically consistent with keeping below a 2 or even 1.5 C rise. It may be more helpful to focus on the measures and practices we use to reduce carbon emissions, rather than technologies. Increasing carbon and energy prices by means of environmental fiscal reform will incentivise both technological innovation and energy savings and thus reduce emissions. 2. Looking forward, EU energy policy may be increasingly influenced by developments in global energy supply and demand, international cooperation on climate and initiatives taken outside the EU. Which developments should be considered in the Energy Roadmap 2050? On which do you think a stronger EU line is necessary? Steering Committee Dr. Anselm Görres (President) *Kai Schlegelmilch, DE *Prof. Frank Convery, IE Prof. Paul Ekins, UK Miroslav Hájek, CZ Gabi Hildesheimer, CH Valdur Lahtvee, EE *András Lukács, HU *Aldo Ravazzi Douvan, IT *Klemens Riegler, AT Prof. Thomas Sterner, SE Prof. Jon Strand, US Eero Yrjö-Koskinen, FI *= GBE Vice Presidents GBE Manager Jacqueline Cottrell, UK Wise Patrons Prof. Jean-Philippe Barde, FR Dr. Martin Bursík, CZ Ambassador Rae Kwon Chung, KR Dr. Franz Fischler, AT Prof. Gebhard Kirchgässner, CH Prof. Alberto Majocchi, IT Prof. Jacqueline McGlade, EEA Dr. Paul Metz, NL Dr. Peter Liese, MEP, DE Yannis Paleokrassas, GR Dr. Rathin Roy, UNDP Simonetta Sommaruga, CH Prof. Ernst-U. v. Weizsäcker, DE Alexander Wiedow, EU-COM Anders Wijkman, SE further development of an international framework for cooperation on climate take-up by other countries of EU model for action on climate change further development of international standards, trade and investment frameworks global energy efficiency and demand developments gbe_consultation response/ GREEN BUDGET GERMANY (GBG) FORUM ÖKOLOGISCH-SOZIALE MARKTWIRTSCHAFT e.v. Schwedenstraße 15a D Berlin Fon/Fax /-59 foes@foes.de GLS Gemeinschaftsbank eg Konto BLZ IBAN DE Gemeinnützig zur Förderung wissenschaftlicher Zwecke laut Finanzamt München für Körperschaften

2 Green Budget Europe Page 2 global nuclear renaissance global development of renewable energy global development of carbon capture and storage (CCS) price developments in global fossil fuel markets development of energy resources in neighbouring countries and infrastructures linking them with the EU market other (please specify) 3. What societal challenges and opportunities do you think are likely in Europe over the next decades as a result of changes in the EU and global energy system? On which ones do you think a stronger EU line is needed? (Pick three most important ones) economic and employment gains in some parts of the energy sector, in some parts of the EU, losses in others increased importance of access to high-performance energy infrastructures (eg smart meters and grids) increased reliance on electricity creation of sustainable and publicly acceptable energy sources public acceptance of new infrastructures needed for the EU market (e.g. large storage technologies, pan-european grid) increased scope for decentralised power generation and for local, integrated solutions for meeting energy, waste management and other needs of communities public acceptance of need for increased energy efficiency changed patterns of disruptions in energy supplies, both fossil and electricity increases in energy prices and energy poverty

3 Green Budget Europe Page 3 moving of energy-intensive industry to other parts of the world other (please specify) 4. The EU's approach to energy policy is founded on regulation and an internal energy market providing competition, innovation, energy efficiency and development of resources including renewables, environmental sustainability, energy security and solidarity, and effective relations with external partners. Which are the main areas which you think might need further policy development at EU level, in a 2050 perspective? Please specify what you think is needed, references to supporting analyses welcome. (Pick three most important ones) competition RTD, innovation carbonpricing energy efficiency internalization of other external costs transport policy renewables financing energy security solidarity development of infrastructures effective relations with external partners support for management of transition to affected regions, industries other (pleasespecify) 5. Which milestones would you see as most useful to specify at this stage for the transition to a low-carbon energy system in Europe? References to supporting analyses welcome. i) 95% reduction in GHG emissions in relation to 1990 levels Climate justice and sound scientific research support a 95% reduction. Achievement of this must be based on high renewables, high efficiency, low consumption and minimal reliance on offsets and will require full decarbonisation of our economy and power supply. In parallel to setting interim targets, we must also be sure that we are making sufficient reductions now and in the short term to place us on a correct trajectory to achieve this goal in ii) 40% reductions by % reductions by 2020 are the best way to put the EU onto an emission reduction path in line with a long-term target of 95%. This target is realistic and achievable. In 2009, the Stockholm Environment Institute published a report (Heaps et al, 2009) showing that the EU is able to fully meet reductions of 40% solely through domestic options, i.e., with no international offsets, at costs

4 Green Budget Europe Page 4 equivalent of temporarily holding GDP constant for about one year before resuming normal growth. Achievement of this target and subsequent targets can be facilitated by appropriate carbon and energy pricing policies, i.e. environmental fiscal reform (EFR) and withdrawal of carbon allowances in the EU s Emission Trading Scheme (ETS) consistent with the achievement of this target. EFR instruments are among the most efficient, effective and dynamic policy instruments for bringing about GHG emissions reductions because they change price signals and thus create financial incentives for behavioural change and innovation. EFR will increase the cost of carbon-intensive power generation, making renewable energy more competitive. Environmentally harmful subsidies should also be phased out to send out consistent signals within energy markets, based on a Roadmap for their removal, as called for by the Environment Council in December iii) 100% renewable energy The EU should aim to achieve 100% renewable energy by Several analyses have shown that this target is technologically feasible and economically, socially and environmentally sustainable, see e.g. ECF: Roadmap 2050: a practical guide to a prosperous, low-carbon Europe. April This will require reform of environmentally harmful subsidies in the energy industry, e.g. for fossil fuels, and changes to the grid and network infrastructure to allow flexibility for high levels of renewable generation, including decentralised sources. iv) Energy efficiency Energy savings should be promoted and domestic energy savings strategies developed, including measures to support households and businesses to adjust to higher energy and carbon prices. Measures should include a legally-binding primary energy savings target to reduce energy demand and consumption supported by focused action on areas including transport, buildings, agriculture, and energy using appliances. v) Implementation of carbon budgets, for countries and key sectors and climate proofing of all EU budgets and EU funds.

5 Green Budget Europe Page 5 6. What are the most likely key drivers for the future energy mix in the EU? (Pick three most important nes) global fossil fuel prices, compared to costs of domestic energy resources long term security of supply public subsidy expectations about short-term security of supply political decisions by Member States gradual integration of internal energy market international framework for cooperation on climate EU climate policy public acceptance of new energy technologies and the related infrastructures other (please specify) 7. Do you have additional suggestions or more specific thoughts on the Energy Roadmap 2050? The targets listed under question 5 can only be achieved if appropriate policy measures are implemented to ensure their realisation. The single most effective and efficient measure to bring about changes in behaviour is environmental fiscal reform (EFR). However, a very important element of EFR not discussed in depth in point 5 above is the reform of environmentally harmful subsidies. The achievement of a low-carbon energy system requires subsidy reform to ensure that energy markets are not distorted in favour of carbon-intensive and high-polluting energy sources. To facilitate subsidy reform and to ensure that policy measures are not contradictory, a roadmap for the elimination of environmentally harmful subsidies should be published by the Commission as soon as possible, as was laid down in the 2006 Sustainable Development Strategy and called for by the Environment Council in December Maintaining ecosystems and the essential services they provide is the basis for long term development in Europe. Development of low-carbon energy infrastructure should under no circumstances compromise the achievement of ecological objectives set under the Water framework Directive and the Habitats and Birds Directive. Energy saving and increased energy efficiency, as they often have the least impact on ecosystems, should therefore be prioritized. Public funds are scarce (and accompanying private investment) and should be invested wisely. Some technologies have been exaggerated in their contribution to reducing emissions. We should not assume that bioenergy is carbon neutral, and all uses of bioenergy should be subject to strin-

6 Green Budget Europe Page 6 gent sustainability criteria. While carbon capture and storage (CCS) may make a contribution to reduction of GHG emissions, its full impact is as yet uncertain and it is unclear whether it will be able to compete with tried and tested means of reducing GHG emissions, such as energy saving, increased energy efficiency, and renewable energies.