Sweden s National Energy Policies and the Sustainability Challenge

Transcription

1 Sweden s National Energy Policies and the Sustainability Challenge March 2007 Delta Meadowvale Resort & Convention Centre, Mississauga Magnus Schönning, First Secretary Embassy of Sweden

2 Outline of the presentation 1. Sweden general facts 2. Sweden s energy policy 3. Means of control 3.1 Administrative 3.2 Economic 3.3 Information 3.4 Research 4. Energy efficiency 5. Transport sector 6. Results

3 1. Sweden general facts Inhabitants: 9,0 million Area: km² Average life expectancy: men 77.5 years, women 82.1 years Capital: Stockholm Major cities: Göteborg, Malmö Language: Swedish Form of government: Constitutional monarchy

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5 Energy use in Sweden Relatively high energy consumption (due to cold climate and heavy industries) Energy policy contributed to reduction during the 70s and the 80s Hydro and nuclear dominate electricity production. Almost no CO2-emissions in electricity production High use of bioenergy in heating Only OECD country with less than 50% from fossil fuels (37.1%) Source: Swedish Energy Agency

6 Nuclear energy in Sweden Ten nuclear reactors in operation in Sweden , no political decision on phasing out nuclear reactors will be taken No renewed operating license will be issued for the two nuclear reactors that have already been closed No decision on new reactors will be taken Oskarshamn is a temporary storage facility for nuclear waste Final storage of nuclear waste will be in Sweden, no location confirmed yet

7 Comparing Sweden & Canada Climate issues Population (million) GDP/capita (USD) Energy efficiency (terrajoule/million GDP) CO2/capita (tons) Planned CO2/capita emissions in 2050 (tons)* CO2/GDP (kg/usd) CO2-emissions in million tons, today and in (1971) CO2-emissions since 1990 ( national Kyoto-target) Total energy supply (Mtoe) - fossil fuels - nuclear energy - renewable energy * Canada achieves its target by reducing its emissions by 60%, with a population of 45 million people. Sweden reaches its Climate Change target. Sweden ,0 4,5 0,2 56 (83) -3% (+4%) 51,5 18,5 Mtoe 35,9% 17,6 Mtoe % 14,9 Mtoe - 28,9% Canada ,7 8,3 0,9 758 (340) +27% (-6%) 250,0 190,6 Mtoe 76,2% 19,7 Mtoe - 7.8% 39,8 Mtoe - 15,9% Sources: OECD, Environment Canada and IEA, data are from

8 Per-capita and GDP-proportionate emissions of CO2 from combustion in OECD-countries in 2002

9 2. Sweden s energy policy 1. Long-term rules for energy market actors 2. Ensuring good competitive conditions in energy markets is an important political task 3. Companies and consumers must be able to rely on the availability of energy at internationally competitive prices in the future 4. Environment and energy taxes must be designed so that it pays to take responsibility for the environment 5. The transport sector must be more environmentally friendly Excerpt from the new Swedish Government s statement to Riksdagen (Swedish Parliament), 6 October 2006

10 Sweden s energy policy - focus on sustainability Environment and energy taxes must be designed so that it pays to take responsibility for the environment. The transport sector must be more environmentally friendly.

11 Some environmental effects of energy production and use Atmospheric pollution Nuclear waste Climate change Threat to biological diversity Ecosystem degradation

12 Sweden s 16 Environmental Quality Objectives - related to energy production and use 1. Reduced Climate Impact 2. Clean Air 3. Natural Acidification Only 4. A Non-Toxic Environment 5. A Protective Ozone Layer 6. A Safe Radiation Environment 7. Zero Eutrophication 8. Flourishing Lakes and Streams 9. Good-Quality Groundwater 10. A Balanced Marine Environment, Flourishing Coastal Areas and Archipelagos 11. Thriving Wetlands 12. Sustainable Forests 13. A Varied Agricultural Landscape 14. A Magnificent Mountain Landscape 15. A Good Built Environment 16. A Rich Diversity of Plant and Animal Life

13 Kyoto commitment Global: Reduce emissions by 5% (average of years compared to 1990) EU: Reduce emissions by 8% Sweden: Reduce domestic emissions by 4% (unilateral goal), but is allowed - within the EU-framework to increase by 4%

14 Kyoto commitment The EU The European Council: An integrated European climate and energy policy Limiting the global average temperature increase to no more than 2 C above pre-industrial levels A global post-2012 agreement, which should build upon and broaden the Kyoto Protocol. Negotiations might begin at the end of 2007 and hopefully be completed by 2009 EU commitment to achieve at least a 20% reduction of greenhouse gas emissions by 2020 compared to 1990

15 Sweden s development of climate strategy 1988, the first climate policy objective: carbon dioxide emissions 1991, addition: all greenhouse gases 1993, a national climate strategy in line with the objectives of the Climate Convention 2002, the current Swedish climate policy was adopted

16 Kyoto commitment Sweden s view Climate change is one of the major challenges of this century Emissions of greenhouse gases must be reduced to slow down climate change A policy target by previous Government: The creation of the conditions necessary to break Sweden s dependence on fossil fuels by 2020 A broad-based expert council, the Commission on Oil Independence, presented a report in 2006: Making Sweden an OIL-FREE Society. The new Swedish Government has not yet a position on the report, but it is presently being referred for consideration

17 Making Sweden an OIL-FREE Society Objectives Consumption of oil in road transport shall be reduced by per cent No oil shall be used for heating residential and commercial buildings Industry shall reduce its consumption of oil by per cent

18 Making Sweden an OIL-FREE Society Reasons Reduce Sweden s climate impact Secure Sweden s supply of energy in the long term Become a leading nation in the development of new technology for sustainable use of energy and more efficient use of energy Further strengthen our international economic competitiveness Use and develop the energy resources from forests and fields, Sweden s green gold

19 The Government Commission on Sustainable Development Established in March 2007 Focus on Climate Change Promote efforts across sectors, adopting an international perspective Ecological, social and economic aspects Cooperation for climate initiatives between business, politics and research

20 Members Government: - Prime Minister, Fredrik Reinfeldt - Minister for the Environment, Andreas Carlgren - Minister of Finance, Anders Borg Business (among others): - Leif Johansson, CEO and President of Volvo - Lars G Josefsson, CEO and President of Vattenfall - Annika Helker Lundström, CEO of the Swedish Recycling Industries' Association Research: - Professor Lisa Sennerby Forsse, Rector of the Swedish University of Agricultural Sciences and Chair of the Scientific Council on Climate Issues European Union: - Commissioner Margot Wallström has been invited to take part

21 3. Means of control 3.1 Administrative 3.2 Economic 3.3 Information 3.4 Research

22 Regulations 3.1 Administrative Threshold values for discharges Demand on fuel choices and energy effectiveness Long-term agreements Energy classification

23 Taxes 3.2 Economic instruments Support, contributions, subventions Pledge Trade with pollution rights Trade with certificates

24 Energy Taxes Sweden introduced a carbon dioxide tax and sulphur tax The green tax reform was introduced - focus on higher taxes on carbon dioxide and electricity - revenue neutral, carbon dioxide tax shifted against tax on labor Revenues from energy taxes raised over million Euros - about 10 % of Swedish state revenue or 2.5 % of GDP The green tax reform is focusing on the transport sector - with higher taxes on petrol and diesel as well as higher vehicle taxes

25 CO2 tax Current levels: 155 CAD/ton CO2 for households, commercial and district heating plants (100 Euro) 39 CAD/ton CO2 for industry (25 Euro) Further reductions for energy intensive industries No tax for electricity production

26 Estimated emissions - with and without CO2 tax Mtonnes Emissions without CO2 tax Emissions with CO2 tax

27 The electricity certificate system 2003, A market-based support system for electricity from renewable energy sources Increase the production of renewable electricity with 17 TWh by year 2016 compared to year 2002 All sellers of electricity need to have a certain proportion of their electricity coming from renewable sources Replaces earlier public grants and subsidy systems The principle of the system is that there are sellers and purchasers of certificates and a market to bring them together

28 3.3 Information Information Advice Education Influencing of public opinion

29 Information campaign to raise awareness Collaboration with public authorities, trade and industry, local councils and voluntary organizations Target group: The Swedish public Based on facts from IPCC, Intergovernmental Panel on Climate Change Based on a national platform for communication

30 3.4 Research Research Development Demonstration Commercialization Purchasing

31 4. Energy Efficiency A more efficient use of energy through various measures, including economic support, information campaigns and taxes of energy Continue to break the link between economic growth and increased use of energy and raw materials, through energy efficiency initiatives National program for energy efficiency and energy smart buildings includes measures for industry, the public sector and the building, sector Starting point: Energy use in Sweden in 1995 The target is to decrease the specific energy use per area unit in buildings by 20% by 2020 and 50% by 2050

32 5. Transport sector In addition to the carbon dioxide tax, following measures are used: 2006, A carbon dioxide-based vehicle tax - aimed at motivating car buyers to choose fuel-efficient vehicles 2006, A tax incentive for diesel vehicles with low particle emissions - to promote the introduction of new diesel vehicles equipped with particulate filters 2006, Access to environment-friendly fuels throughout the country - all major fuel stations in Sweden are obliged by law to offer at least one renewable motor fuel

33 Biogas and green cars Part of the natural ecocycle, therefore makes a zero net contribution to climate change 1998, the Swedish Government started subsidize the production and distribution of biogas For more environment-friendly cars and fuels Tax relief for environment-friendly fuels and green cars Public procurement Climate investment

34 The total amount of green cars growing rapidly in Sweden

35 6. Results Since the 1970s Sweden s emission of greenhouse gases have decreased by well over 40% while GDP has increased by over 105% GHG emissions and economic growth (GDP) have been decoupled

36 Decoupling GDP-GHG emissions Steady increase in GDP of about 25% ( ) Industrial production increased by more than 50% Average purchasing power grew by about 13% GHG emissions decreased by 3% ( )

37 Results continued Climate issue brought down to a practical and understandable level Large increase in use of biomass for district heating Use of oil heaters in residential and commercial sector declining rapidly primarily in favour of district heating, heat pumps Focus on solutions

38 For further information Embassy of Sweden, Ottawa: Government of Sweden: Swedish Environmental Protection Agency: Swedish Environmental Objectives Portal: Source OECD Swedish Energy Agency