A resource-efficient Europe

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1 EUROPEAN UNION Committee of the Regions A resource-efficient Europe The contribution of regions and cities National Art Gallery Vilnius, Lithuania 2-3 September 2013 Hosted by Proceedings of the conference of the Committee of the Regions

2 Introduction A resource-efficient Europe The contribution of regions and cities Resource efficiency is a guiding principle for EU policies in the fields of energy, transport, climate change, industry, raw materials, agriculture, fisheries, biodiversity, water and waste management, land use and regional development. The flagship initiative "A resource-efficient Europe" aims to establish a close link between economic development, social well-being and the responsible use of natural resources. Regions and cities have an important role to play in stimulating resource efficiency. They invest in green buildings, sustainable water and waste management, reduce greenhouse gas emissions by promoting cleaner modes of transport, and protect ecosystems. As signatories to the Covenant of Mayors, over local and regional authorities in the EU have committed themselves to improving energy efficiency and the use of renewable energy in their respective regions. On 2 and 3 September 2013, the Committee of the Regions held a conference on local approaches to resource efficiency in Vilnius, Lithuania, with the support of the Lithuanian Presidency of the EU. The event took place alongside a meeting of the CoR's Commission on the Environment, Climate Change and Energy (ENVE) and a meeting of the CoR Bureau in Vilnius. It focused on two aspects: A resource-efficient Europe: policy challenges for regional and local authorities; Local perspectives for a sustainable energy sector Europe 2020 and beyond. The event formed part of a series of seven conferences the Committee of the Regions is organising on the seven flagship initiatives of the Europe 2020 strategy in 2012/13. In spring 2014, the series will culminate in the 6th European Summit of Regions and Cities, including a mid-term assessment by the Committee of the Europe 2020 strategy. The conference's targeted participants were representatives of regional and local authorities, EU institutions, the social partners and civil society. Participation was free of charge. Regions and cities showcased their good practices with regard to resource efficiency in an exhibition held at the venue. Speeches, presentations and videos can be found at at: 1 CONTENTS Opening Session Session 1: Resource-efficient Europe: policy challenges for regional and local authorities Session 2: Local perspectives for a sustainable energy sector Europe 2020 and beyond Closing Session

3 Opening session 2 In his opening speech, CoR President, Ramón Luis Valcárcel Siso referred to the CoR opinion on resource efficiency, which welcomed the widening of the focus from energy efficiency and a low-carbon economy to resource efficiency in a broader sense, covering all natural resources. The EU economy can become more innovative, productive and competitive while using fewer resources and reducing environmental damage. The responsible use of resources is essential and can create new economic and innovation opportunities for Europe's regions and cities. It drives down the cost of materials and energy consumption and boosts employment in the "green technology" sector. Resource-efficient companies therefore need to be encouraged and rewarded. Eco-industries are booming and EU-wide employment in this sector has grown by around 3% annually for the last five years. Green jobs in eco-industries are often more secure, with high potential for exports and economic value creation. The EU economy has still untapped potential to be more innovative, productive and competitive, while using fewer resources and reducing environmental damage. A responsible use of our resources is not only a necessity in view of the world's finite reserves, but also creates major economic and innovation opportunities for Europe's regions and cities." Ramón Luis Valcárcel Siso Moreover, work on eco-innovation and the greening of public expenditure and public procurement are much needed. Cooperation among different tiers of governance supports the green economy; multilevel governance is a key tool for an integrated approach, including publicprivate partnerships. Furthermore, both EU and non-eu regions are sending strong signals that they are ready to follow up on Rio+20 and to launch green economy roadmaps. Mr Valcárcel Siso presented some key actions that the Committee of the Regions is undertaking to promote resource efficiency at the local and regional levels: The CoR is a member of the European Resource Efficiency Platform, inaugurated by Commissioner Potočnik last year. The Committee will ensure in particular that the final recommendations to be issued in 2013 give adequate weight to actions such as: establishing resource efficiency targets that can also be applied by local and regional authorities, promoting green public procurement, phasing out environmentally harmful subsidies and taxes and securing efficient water pricing and the review of ambitious waste targets. The Committee is also pleased to note the 7th Environment Action Programme's inclusion of a specific priority for sustainable and resource-efficient cities, which must be acted on once the 7th Environment Action Programme is adopted. Mr Valcárcel Siso then moved on to the second topic of the conference: renewable energies. Priority should be given to integrating renewable energy into the distribution network, produced at local level from a variety of decentralised resources (wind and hydro power, geothermal energy, solar power and biomass) thus making energy transport and distribution infrastructure more intelligent through the use of smart grids. This is a

4 A resource-efficient Europe The contribution of regions and cities prerequisite for effective competition that can deliver real benefits to final consumers. The Committee advocates investment in integrating locally produced renewable energy into the grid. In addition to the ERDF funding, public private partnerships for sustainable local and regional investment should be encouraged through funding mechanisms such as low/zero interest loans, bank guarantees, local revolving funds and other innovative financial engineering tools. need to be seen in the context of integrated regional development. This approach requires effective policies in areas such as policies on cohesion and the environment, research and innovation and new skills in green jobs. Local and regional authorities have a significant role to play in resource efficiency and the supply of sustainable energy. The regions are ready to take on responsibility, together in a Union that is united in diversity by its visions, common beliefs and policies, for the benefit of all European citizens. To conclude, the CoR President stressed that if sustainable energy and resource-efficiency are to be successful, they 3

5 Session 1: Resource-efficient Europe: policy challenges for regional and local authorities 4 The panel focused on the role of local and regional authorities, the EU and UNEP (United Nations Environment Programme) in moving towards a resourceefficient Europe, and the ways in which local and regional authorities can further enhance their contribution. The panel discussion was chaired and moderated by Michel Lebrun, Member of the Parliament of the Frenchspeaking Community, Belgium and CoR rapporteur on A resource-efficient Europe. In his opening statement, the Chair gave an overview of the panel's theme and introduced the speakers: Valentinas Mazuronis, Minister for the Environment of the Republic of Lithuania; Michel Delebarre, Mayor of Dunkirk, France, and political coordinator of the CoR's Europe 2020 Monitoring Platform; Chris Vanden Bilcke, Head of UNEP's Brussels Liaison office; and Rozalina Petrova, Strategy Analyst at the European Commission's DG Environment. Michel Lebrun, echoing the CoR President's opening statement, introduced the untapped potential and the economic opportunities that resource efficiency and a circular economy can bring to local and regional authorities. The EU's engagement with local and regional authorities will be crucial to the success of a resource-efficient Europe. Local and regional authorities had numerous drivers available to them to boost resource efficiency. He outlined some key actions that the CoR is currently undertaking to promote resource efficiency, such as the CoR's participation in EREP, the European Resource Efficiency Platform, the CoR's call for the Covenant of Mayors' remit to be extended to cover resource efficiency, and the new CoR/EC joint Technical Platform for Cooperation on the Environment. The ambitious CoR Outlook Opinion on the review of EU waste targets (adopted) and the opinion on plastic waste (in the pipeline) supported the move to a "zero waste society" as a key element of the EU's "Resource Efficiency" roadmap. The CoR Opinion currently being drawn up on green infrastructure also addressed the problem of land-take and soil sealing caused by urban sprawl. Valentinas Mazuronis described achieving a resourceefficient Europe as a major challenge: Local and regional authorities need to be able to achieve benefits when making substantial investments and using additional administrative resources to make progress on resource efficiency. For the success of the Europe 2020 flagship initiative, cooperation at all levels among Member States, regions and cities is crucial." Valentinas Mazuronis Minister Mazuronis highlighted key actions carried out in Lithuania to promote resource efficiency, such as promotion of the energy-saving, environmentally friendly construction of new housing blocks and the renovation of old ones, taxes on mineral pollution, compensation requirements for environmental damage, licence fees and waste disposal fees. In order to make further progress on resource efficiency, Lithuania needed to improve its environmental taxation, to shift taxation from labour to the environment, and to phase out environmentally harmful subsidies. These actions would need to be carried out carefully, as they would inevitably have a social impact. As a framework, realistic EU resource-efficiency targets and indicators were needed. Lastly, Mr Mazuronis reminded those present of the priorities of the Lithuanian Presidency for EU environment and climate change policy. Michel Lebrun Valentinas Mazuronis Michel Delebarre Michel Delebarre presented the main outcomes of the survey conducted by the CoR's Europe 2020 Monitoring Platform on the flagship initiative. It revealed that, by and large, local and regional authorities

6 A resource-efficient Europe The contribution of regions and cities (LRA) seemed to be on their way to meeting the goals of the A resource-efficient Europe flagship initiative. However, LRAs perceived energy efficiency and the use of renewable energy sources in particular to be challenges that had to be overcome in order to achieve certain objectives. The transition from common energy systems to renewable ones would pose problems regarding its implementation, due to both financial and technological constraints. Mr Delebarre stressed the mismatch between EU objectives and EU's and Member States' funding and the means for local and regional authorities to achieve their goals. He gave the examples of EU funding not covering smart metering and infrastructure development and of some Member States cutting down their funding for renewables. He also highlighted the fact that 65% of respondents would like the remit of the Covenant of Mayors to be expanded to cover the key area of waste management, and about 50% to cover water management, biodiversity and land use and air pollution. 64% of LRAs reported that promoting better management of water resources is the most relevant policy to the situation in their region/city, 55% pointed to promoting sustainable consumption and production, and 53% mentioned turning waste into resources. LRAs also appreciated the intention stated in the flagship initiative to set goals, and also to attach greater priority to environmental policy in Europe. 20% of participants, however, felt that their National Reform Programme (NRP) did not adequately meet their local/ regional needs concerning the respective resource efficiency policy areas. Chris Vanden Bilcke explained that with 60% of the word population being expected to be living in cities by 2030, UNEP had good reason to work on resourceefficient cities. The fact that Rio+20 brought cities back to the fore was reflected by the new priority objective 8 of the 7th Environment Action Programme: to enhance the sustainability of EU cities by Following this approach, he outlined key UNEP initiatives that will support the move to sustainable cities, including the work of UNEP s Unit on the Built Environment, the GEO Cities Assessments, the Global Initiative for Resource Efficient Cities, the Sustainable Buildings & Climate and the Sustainable Social Housing Initiatives. He stressed that since Rio+20, there was now awareness of the Green Economy concept at all levels of governance. The revision of the EU 2020 Strategy in autumn 2014 was a huge opportunity to give sustainable development and resource efficiency a more prominent position within the strategy. To conclude, he underlined the UN's growing recognition of the importance of working with subnational authorities. UNEP would therefore be keen to start implementing its MOU signed with the CoR at Rio+20, on promoting a green economy, based on resource efficiency. Rozalina Petrova elaborated on the European Commission's role in advancing implementation of the Europe 2020 flagship initiative. She focused in particular on the Resource Efficiency Roadmap for 2020, which aims to decouple economic growth from resource use and its environmental impacts. She highlighted the role of the green sectors in facilitating the transition and in greening the economy for future competitiveness, in addition to the initiatives taken by the EU taken to support this. For example, by recycling 70% of key materials, the EU could create over new jobs by 2025, and reducing the total materials requirement of 17% could lead to boosting GDP in the EU by up to 3.3% and creating million jobs. The European Commission in particular had, in its annual growth surveys and European Semester recommendations to Member States, recommended shifting taxation from labour to the environment, and phasing out Environmentally Harmful Subsidies (EHS). Within the Multiannual Financial Framework, the European Commission, Member States and regional authorities should include resource efficiency as a crosscutting objective for investment in the Partnership Agreement and Operational Programmes for Michel Lebrun concluded by stressing the potential for the EU's regions to become pioneers in the circular economy. 5 Chris Vanden Bilcke Rozalina Petrova

7 Session 2: Local perspectives for a sustainable energy sector Europe 2020 and beyond 6 The second part of the conference started with introductory remarks by the Chair, Ugo Cappellacci, Chair of the CoR's Commission for the Environment, Climate Change and Energy and President of the Autonomous Region of Sardinia. Mr Cappellacci stressed that the CoR had paid considerable attention to the development of a sustainable energy sector at the local and regional level, notably in its most recent opinion on "Making the Internal Energy Market Work", which addresses energy efficiency as a key concern of EU policy. Mr Cappellacci reiterated the CoR's call for the other EU institutions and EU Member States to fully recognise the role of local and regional authorities and to back their efforts with adequate resources and capacities to implement EU energy efficiency policy in general and the energy performance of buildings in particular. Mr Cappellacci also gave a number of examples of successful local and regional energy efficiency initiatives that have been undertaken in spite of regulatory obstacles and less funding as a result of the financial crisis, and singled out the Covenant of Mayors initiative in this respect. Summarising the CoR's position as expressed in its recent opinions, Mr Cappellacci argued that the EU framework for energy efficiency needed to take into account two major constraints: outdated energy infrastructure and distortions of competition. These problems often undermine the effectiveness of economic and legal incentives for energy efficiency at the local and regional level. Consequently, as a means of reducing some of these pressures, smart grids should be designed to facilitate sustainable energy use and to empower consumers to use energy more responsibly. This would encourage the public to see energy savings as being about more than simply insulating buildings. Piet de Vey Mestdagh, CoR Member, presented best practice in the field of energy investment from the region of Groningen. Within the North Netherlands Energy Cluster, knowledge institutions, business companies and authorities cooperate to ensure the sustainable use of bio-waste from agriculture and have developed a constantly expanding project entitled the 'Green Gas Hub' in the field of biogas production, which has grown by 18% since 2000 and offers new employment opportunities for the population. This illustrates the feasibility of the CoR's call for progress to be made towards a resource-efficient and ecologically responsible economy. As biogas production expands and the upgraded product is supplied to the natural gas grid, EU-wide standards might be needed in the future in the context of the EU's trans-national energy market. Isabel Bonig, Valencian Regional Minister for Infrastructure and the Environment, discussed the requirements of land-use planning in order to promote energy efficiency in the context of a comprehensive resource efficiency strategy, noting that more than 40% of energy consumption and CO2 emissions in the Region of Valencia were directly related to land use. Against this backdrop, the Valencia region's best practice has been based on a regional act which enshrines the concept of green infrastructure. Energy-efficient buildings play a key role in resource-efficient land-use planning policy, and entail three major actions: the promotion of urban regeneration, the greening of buildings and the involvement of the private sector. Green infrastructure requirements in town and country planning also present considerable advantages in terms of climate change adaptation. Ugo Cappellacci Piet de Vey Mestdagh Isabel Bonig Gérard Magnin, Director of the Energy Cities association, considered the trends and challenges in energy transition faced by towns and cities across the EU. He stressed the need to shift the policy focus from supply to the demand side of the market, as renewable energy is opening up more and more opportunities

8 A resource-efficient Europe The contribution of regions and cities for decentralised energy management at the local and regional level. Local and regional authorities are now playing a much more active role than before in the area of sustainable energy use and production. Energy transition specifically means: empowering local actors, knowing our regions resources and flows (the "circular movement of resources"), rethinking finance in general and inventing a new form of local governance and urban planning as a way of reducing energy use. The economic circle of energy production and consumption could be decentralised in order to offer opportunities at the local and regional level, thereby avoiding the problems linked to importing energy. Mr Magnin highlighted the Covenant of Mayors as a particularly interesting example of best practice: it now has signatories from 48 countries, including 31 capitals, 170 million citizens, 233 regions, provinces, networks & associated partners and more than Sustainable Energy Action Plans have been submitted. On the European Commission's Green paper for the Climate and Energy Policies of the EU up to 2030, Mr Magnin regretted the absence of a specific reference to the role of local and regional authorities. Local authorities deliver concrete results for meeting and exceeding the EU 2020 targets in the framework of the Covenant of Mayors, but their efforts have been bypassed in the final text of the Green Paper on the 2030 climate and energy framework. Regional and local authorities are stepping up their work to tap the energy savings potential of the buildings and transport sectors and have thus emerged as key players in the EU low-carbon and low-energy transition. Their ambition must not be overlooked! Indeed, the "role of local organisations and cities will be much greater in the energy systems of the future, as is stated in the Energy Roadmap Mr Magnin concluded that the Covenant of Mayors had proved to be a successful political instrument for mobilising local stakeholders through the voluntary commitment of local authorities. Benefiting from first-hand knowledge of their areas, local and regional authorities directly influence energy efficiency and renewable energy measures in the sectors of cooling and heating, transport and buildings, and also directly influence behavioural patterns. This initiative must be adapted accordingly to further develop its role within the 2030 framework. Brian Meaney, CoR Member, presented a practical example of best practice from North Tipperary and County Clare. Even though turf is considered to be a fossil resource by the International Panel for Climate Change, it could most usefully be viewed as a "slow" renewable. Currently, traditional turf-cutting is banned in a number of bogs across Ireland, notably in view of the EU Habitats directive. In addition to reflecting on change from traditional energy resources to new ones, such as forest biomass, Mr Meaney analysed financial incentives such as the Irish "Better Energy Homes" grant scheme, which made funding available to homeowners to improve energy performance. The scheme was piloted in Mr Meaney's constituency, where from 2008 to 2012, homes had been upgraded with a total of EUR 7 million in the form of public grants and with a further EUR 10 million euro raised by the market. Unfortunately, the amount of grants available has fallen recently due to the continuing adverse impact of the financial crisis. These measures have yielded an energy saving of 74 million Kwh, but still more than houses built prior to 2000 would be eligible for the scheme. The "Energy Performance of Clare Homes" initiative has been launched to assess the needs and possibilities for further incentives promoting thermal efficiency and a reduction in heating costs. Homeowners had been asked to fill in a form stating their energy consumption, the reasons for not having signed up to a grant scheme and the difficulties they face. For example, some people feared that the cost of work to be done had increased by the amount of grant available. Others were caught in a trap of paying up to euro per year for poor-quality fossil fuels, leaving them without resources to sign up for thermal efficiency improvements. Mr Meaney concluded by stating the lesson drawn from Irish best practice: the 2020 targets require specific action now; this week, this month. The Lithuanian Deputy Minister for the Environment and CoR Member, Daiva Matoniené (LT/ECR) presented the Lithuanian National scheme for the insulation of housing, much of which consists of poor-quality apartment blocks, constructed prior to the country's independence in The problems arising from such housing had been addressed by the new Lithuanian Housing Strategy, which provided for policy measures to 7 Brian Meaney Daiva Matoniené

9 upgrade the housing stock and to improve energy efficiency. By implementing what was termed the largescale modernisation of multi-apartment houses - a combined approach comprising window replacement wall insulation and improvements to district heating efficiency, - energy consumption could be reduced by 50%, and the potential of increasing this to 70% has been explored. These upgrades have not incurred additional costs for owners or tenants; on the contrary, their heating bills have decreased by 10% per cent on average. The scheme had been implemented in such a way that the energy savings made cover the outlay for upgrading the buildings. Ms Matoniené stressed that this has been made possible by the European Investment Bank's Joint European Support for Sustainable Investment in City Areas. This example of Lithuanian investment in the energy performance of buildings has not only reduced CO2 emissions, but crucially for Lithuania's security of energy supply, has also reduced its import dependency on Russian oil and gas. Adam Struzik, CoR member, presented initiatives related to resource efficiency in Mazovia, Poland's biggest region. The protection of vulnerable ecosystems and scarce resources is ensured through measures aimed at the greening of transport, energy and production, both industrial and agricultural. A key role in increasing the share of renewable energy sources in the energy system is played by the Mazovian Regional Energy Agency, established in It also promotes energy efficiency solutions for rural areas. Moreover, the regional authorities support projects aimed at waste reduction, ecological education and other initiatives that help enhance resource efficiency. In conclusion, Mr Cappellacci stressed that local and regional authorities need to be further empowered to implement the European 2020 energy efficiency and climate change objectives. It is no less necessary today to create appropriate financial incentives and to strengthen the capacity of local and regional authorities with a view to promoting sustainable energy investment. 8 The conference was accompanied by an exhibition of good practice in delivery of the Resouce-efficient Europe Flagship Initiative at regional and local level. Examples of projects presented in the exhibition include: Robots and humans work to achieve better water management (Lithuania) The construction of a workshop and laboratory by Traidenis, a leading expert in wastewater treatment equipment, combined with the use of new robotic equipment, is helping lead the way in wastewater treatment on the Nemunas River and its basin in Lithuania. By providing clean, efficient and effective wastewater systems, it ensures that the local environment and economy continue to thrive in the future. Solutions include using biological treatment plants for domestic wastewater for private houses, oil catchers, grease catchers, pumping stations and tanks. BiogasIn: Sustainable biogas market development in Central and Eastern Europe (a European project) The BiogasIn project analysed the potential for biogas production in agricultural feedstock and its related environmental and socio-economic benefits for 28 regions in seven Central and Eastern European countries (Bulgaria, Croatia, Czech Republic, Greece, Latvia, Romania and Slovenia). There is significant potential for the use and production of biogas. Despite the favourable legislative framework and the state support mechanisms that are in place, the biogas market is developing slowly, leaving a considerable part of the existing potential untapped. BiogasIn provides tools to target the strongest framework barriers and to encourage support from the public sector national, regional and local governments and administrations responsible for approving the proposals for agricultural and biogas plants in order to create a sustainable biogas market. BiogasIn also contributes to awareness-raising and building confidence in biogas production technology. SHARE - Sustainable hydropower in Alpine rivers ecosystems (European project) SHARE, co-funded by the ERDF, is an on-going European project involving Alpine regions in Italy, Austria, Slovenia, Germany and France. Hydropower is the most important renewable resource for electricity production in Alpine areas: it has advantages in terms of the global CO2 balance, but on the other hand has a serious environmental impact. Directives require a greater share for renewable electricity but, at the same time, the Water Framework Directive obliges Member States to achieve or maintain a good ecological status for their water bodies, which intrinsically limits the use of hydropower. Moreover the authorities in mountain areas face increasing demand for water abstraction but lack reliable tools to rigorously evaluate its effects on the environment and on society. SHARE develops, tests and promotes a decision-making support system to reconcile river ecosystems and hydropower requirements, in an unbiased way using existing scientific tools that can be adjusted to transnational, national and local legislation and monitored by a permanent panel of administrators and stakeholders.

10 A resource-efficient Europe The contribution of regions and cities Closing Session: A resource-efficient Europe by 2020: which way forward? Following the introduction by Ms Mercedes Bresso, First Vice-President of the Committee of the Regions, Member of the European Resource Efficiency Platform and Councillor of the Piedmont Region, Italy, Ms Žydrūnė Juodkienė, Vice-Minister of Energy of the Republic of Lithuania and Mr Ugo Cappellacci, President of Autonomous Region Sardinia, Italy, and Chair of the Committee of the Regions' Commission on Environment, Climate Change and Energy, delivered their keynote speeches. In her keynote speech, Ms Juodkienė highlighted the Lithuanian Presidency's energy priorities and the main strategic objectives for the Lithuanian energy sector, stressing the importance of resource efficiency in EU energy policy. Resource efficiency helps achieve the EU's energy policy, as it strengthens energy security, stimulates competition and promotes smart, sustainable and inclusive growth. The Lithuanian Presidency aims to ensure the completion of the EU internal energy market and to strengthen the external dimension of EU energy policy. The Resource-efficient Europe flagship reflects the energy priorities of the Lithuanian Presidency, as well as the main strategic objectives of the Lithuanian energy sector, which include integration into the EU internal energy market; increasing the share of renewable energy sources in the energy mix; and increasing energy efficiency and diversification of fuels for energy production, especially in the district heating sector. In order to achieve the energy savings objectives set by the energy efficiency directive, the greatest potential for energy savings in Lithuania lies in the renovation of old public and multi-apartment buildings. Secondly, the renovation of district heating networks almost 70% of the population is served by district heating should bring losses down to the EU average of 12% by Moreover, energy efficiency obligation schemes are being set up and heat, electricity and natural gas distributors will be obliged to achieve cumulative enduse energy savings. In Lithuania, the challenges to achieving the 20/20/20 targets on renewable energy sources remain, and the greatest potential for the use of renewables lies in district heating, followed by electricity and transport. In 2012, the fuel structure for heat production in district heating relies on natural gas (70%), while renewables (wood/ wood waste, straw, biogas and geothermal energy) represent only 27%. The goal is to bring the share of renewables up to 60-75% by However, renewable resources such as biomass, are not infinite, and therefore efficiency is of key importance. The development of biomass and municipal waste use in Lithuania should 9

11 10 increase the country's energy security by reducing dependence on imported fossil fuels, creating new jobs, reducing CO2 emissions, improving the import/export balance and stabilising heating costs. Energy efficiency should be improved at all stages of the energy chain, from generation to transformation to distribution and final consumption. It is important to incorporate the idea of energy efficiency into our daily lives to consume less and to do more with less energy. The safest and most environmentally friendly energy is saved energy, and as natural resources are not infinite, efficiency is essential." Žydrūnė Juodkienė Ms Juodkienė concluded by drawing attention to the fact that energy efficiency needs to be part of a process. Mr Ugo Cappellacci presented an example from Sardinia of good practice in actions taken at local and regional level. Today, Sardinia is 92% dependent on carbon-based resources, and the main challenge is to reverse the trend and to support the shift to a resourceefficient, low-carbon economy, and to pursue the Europe 2020 Flagship Initiative's targets for a resource-efficient Europe. The Sardinia CO2.0 initiative was launched in 2010, with the aim of providing a comprehensive approach to developing a greener economy. The project is implemented in collaboration with EU policies and institutions, and includes measures to make the chemical industry greener, a carbon capture and storage project in a coalmining area, awareness-raising campaigns and the "Smart City A Labeled Municipalities" project. Other actions adopted at the regional level include efforts to increase the use of biomass and the agricultural sector to feed power plants, and to involve the research sector and universities in converting existing power plants to low-carbon ones. In 2011 the Sardinia Region joined the Covenant of Mayors and became a Territorial coordinator. The implementation of Local Sustainable Energy Action Plans receives financial support from EU funds and facilities, including investments from the JESSICA initiative for energy efficiency and renewable energy urban development fund. To date, over 250 expressions of interest have been submitted, and the first implementing phase included 21 pioneer communities and 66 municipalities, involving over people. Today, Sardinia depends on carbon-based resources, and the challenge is to reverse the trend and support the shift to a resource-efficient, low-carbon economy, and pursue the Europe 2020 Flagship Initiative's targets for a resource-efficient Europe. The Sardinia CO2.0 initiative, launched in 2010, is a comprehensive approach to developing a greener economy in the region." Ugo Cappellacci Mr Cappellacci expressed his support for the European Council's stance on investment for low-carbon energy production. However, many important challenges remain: Better legislative and financial conditions to implement investments in sustainable energy are needed. Greater local authority involvement in implementing EU energy policies, through both governance schemes and financial tools, is necessary. More extensive public awareness-raising about energy saving and resource efficiency is important. To conclude, Mr Cappellacci reminded those present that energy efficiency is a cornerstone of resource efficiency. In her closing speech, Ms Mercedes Bresso emphasised that in environmental and resource-efficiency policies European solutions offer clear added value, and that in the context of such policies, regional, national or even continental borders are irrelevant. Resource efficiency should be integrated into all policies energy, transport, agriculture, construction, to name but a few. Regional and local authorities can stimulate resource efficiency, given their powers in the fields of land-use planning, public transport, environmental infrastructure, education, health, training, energy production, waste management and social services and through investments in green buildings, sustainable water and waste management, and by reducing greenhouse gas emissions, promoting cleaner modes of transport and ensuring the protection of ecosystems. Greater investment in low-consumption housing, renewable energies, clean transport and green infrastructure is still needed. Žydrūnė Juodkienė Ugo Cappellacci Mercedes Bresso

12 A resource-efficient Europe The contribution of regions and cities Moreover, awareness-raising campaigns on the efficient use of resources, the improvement of environmental standards, the introduction of clean technologies and social dialogue successfully are necessary. We have been reminded that structural and environmental changes are happening more rapidly than ever and that they affect Member States, regions and cities. This means we have to adapt the way we think and the way we act to provide swift and coordinated responses." Mercedes Bresso Ms Bresso presented two examples of ongoing initiatives, in which the regions and cities already contribute to achieving the climate change and energy targets set out in Europe 2020 through voluntary commitments: The Covenant of Mayors and the European Resource Efficiency Platform, launched in These mechanisms could be extended to cover other key areas of resource efficiency, in line with the CoR's ABC strategy on the Covenant of Mayors: Activate, Broaden, Cooperate. The Covenant of Mayors intends to broaden the Covenant's activities to include other resources such as land-use, water and food. Regional strategies to save energy resources are of key importance. The European Resource Efficiency Platform provides guidance on the transition process towards a more resource-efficient economy, to ensure that policy-makers, businesses, research institutes and the general public are all pulling in the same direction. It has identified actions needed to achieve a circular, resourceefficient and resilient economy, and has committed itself to developing short-term policy recommendations in 2013 and long-term recommendations by mid Ms Bresso concluded by reminding those present that the Europe 2020 Strategy needs a strong territorial dimension, not only to support regions that are lagging behind, but also to improve the policy's overall effectiveness. Underutilised resources in better-off regions can be mobilised through integrated development approaches. Europe's diversity can be used as a powerful factor for enhancing its competitiveness through integrated, territorial development. Furthermore, changes in attitudes and lifestyle are needed. Europeans must learn to adapt their ways of acting and thinking and work towards increased resource efficiency, whilst strong leadership at the local and regional level is needed to redirect the trends towards efficient resource use. 11

13 12

14 On 2/3 September 2013, the Committee of the Regions organised a conference titled 'A resource-efficient Europe: the contribution of regions and cities' in Vilnius Lithuania with the support of the Lithuanian Presidency of the EU. It was the sixth in a series of seven, which highlight the role of regions and cities in Europe's growth strategy. Addressing 170 representatives of national, regional and local public administrations, as well as experts from the European Commission, United Nations, networks and associations, the event took stock of the implementation of the flagship initiative at regional level. The event s conclusions will feed into the CoR's contribution to the European Commission's mid-term evaluation of the Europe 2020 strategy to be adopted at the CoR s European Summit of Regions and Cities in March More information: September 2013 Edited by the Directorate for Communication, Press and Events of the Committee of the Regions Rue Belliard/Belliardstraat 101, 1040 Bruxelles/Brussel BELGIQUE/BELGIË Tel , Fax

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