Economic, Social and Environmental Council

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1 Economic, Social and Environmental Council European Economic and Social Committee Conference Energy transitions and public dialogues: A national and European perspective Paris May 14th, 2013 Energy transition: A future to build, a road to map Opinion presented by: Mrs Catherine Tissot-Colle and Mr Jean Jouzel On behalf of the Environmental section

2 The work begun in early 2012, fully in line with the environmental transition roadmap : Speech by President of France to environmental conference on September 14 th & 15 th 2012 Two additional opinions voted by ESEC: Energy transition: A future to build, a road to map Energy efficiency: a pool of cost savings; a priority goal Multiple issues: economic, environmental, geopolitical, social Context of climate change, increasing scarcity of easily accessible natural resources, changing energy demands and likely rise in energy prices

3 Increasingly scarce fossil resources Internationally New safety demands in the nuclear industry Global warming linked to human activities Strong climate-energy connection Substantial warming with disastrous consequences if nothing is done to reduce emissions Keeping warming below 2 C is a real challenge: Decrease in global GHG emissions by 2020 then Threefold cut by 2050; greater effort from developed countries Shifting to a carbon- and energy-sober society is an imperative, not an option

4 Nationally France is committed to a determined European Union European directive on energy efficiency 2005 energy law: factor 4 Grenelle environmental consultation National debate on energy transition Economic and social aspects Trade balance Competitiveness on international markets Job creation opportunities Energy uncertainty

5 1. Energy transition serving economic and social performance (1) Our challenge: a decarbonised, competitive and environmentallyfriendly economy Starting from the debate: Energy sobriety and efficiency: define, promote, specify Integrate all factors Draw on rich, pluralistic, transparent scenarios Conduct environmental and socioeconomic impact studies

6 1. Energy transition serving economic and social performance (2) By 2020: Protect an electricity service with low production costs Favour EnR with high development potential, high research standards, operational technological know-how, generating non-relocatable, skilled jobs Plan for changes in professions, limit destruction, foster skill transfers Structure recycling channels on national and European levels, making eco-innovaition widespread practice

7 2. A necessary change in the energy mix As regards the national debate, we recommend: Not focusing on the role of nuclear power but taking all energies into account Questioning and assessing needs and their match with energy supply in terms of energy optimisation and use Calmly and comprehensively raising the question of nuclear power s evolution Making transport issues a priority aspect of the national debate

8 By 2020: Encourage the definition of balance scenarios that meet 2050 global warming commitments Concentrate aid on the EnR already in the commercial rollout phase, those with technological potential for our businesses and those with satisfactory results in terms of negative externalities Support the extension and modernisation of energy transmission grids In transport, foster the use of electric, hybrid or natural gas engines, then renewables, and encourage new forms of mobility Define a multiannual capital expenditure programme for energy By 2030: Speed up electrification of individual and mass transport, keep supporting the channel s emergence

9 3. Mobilisation of participants and resources on the scale of the climate challenge (1) During and after the debate: Make the respective roles of public participants clear Ensure the state remains responsible for national consistency (climate-energy policy, tax framework) Entrust regional authorities with consistency of energy transition on their territories Strengthen local operating programmes designed for demand side management Align France s foreign policy on a fair international agreement

10 3. Mobilisation of participants and resources on the scale of the climate challenge (2) During and after the debate (continued): Decide on a common European policy that shows ambition and solidarity and is consistent with climate policy Meet the financing challenge by: Publicly and openly assessing the results of the European ETS market Reviewing French tax mechanisms for energy in terms of economic efficiency, social justice and compliance with the fight against GHG

11 3. Mobilisation of participants and resources on the scale of the climate challenge (3) During and after the debate (continued): Share the issues: Develop training on energy transition, efficiency and sobriety questions throughout life Draw on sustainable development training networks Involve the relevant ministries on every level: national education, higher education Foster an interdisciplinary approach Train teaching staff Raise awareness of citizens and regional and national players and raise their awareness through ongoing training, communication and association networks.

12 3. Mobilisation of participants and resources on the scale of the climate challenge (4) By 2020: Strengthen and enlarge the ETS market, subject to effective regulation that ensures its transparency and integrity Make the CSPE tax clearer and more transparent, carry out impact studies to broaden its base Make BPI the preferred funding tool for energy transition as part of a real public financing cluster Encourage the banking sector, particularly cooperative banks, to factor energy transition into its strategy

13 4. Foster and develop research and innovation Starting now: Involve fundamental research, applied research, innovation and development, foster partnerships between government bodies and businesses to ease the transition from R&D stages to the development of new channels Take an inventory of private and public research sites to foster innovation and energy Made in France Develop a multidisciplinary network combining social science research with engineering and economic sciences Appraise the R&D funding chain in order to support companies in the pre-industrialisation phase

14 By 2020: Determine R&D capital expenditure amounts according to the status of the research and not by pre-determining funding volumes Rebalance and refinance research in general, and energy research in particular, by allocating part of the revenue from ETS market quotas Develop and structure social science research in the energy sector in line with social transformations Involve all French players in European research policy as stakeholders By 2030: Keep exploring and rolling out all avenues for CO 2 beneficiation and conversion, including capture & storage

15 Without this research effort, technological disruptions will not happen. GHG emission reduction targets will then be very hard to reach. But energy transition will not be solely technological. Social sciences, including demand side management, have a full role to play.

16 CONCLUSION Necessity: rethink our fundamentals to get out of the current crisis Imperative: a relevant, thought-out and shared transition Our ambition: be both determined and progressive Give carbon a price Enable all participants to adjust Improve governance Overhaul tax framework Build a real Europe of energy Invest in R&D Develop long-lasting economic streams A common project based on a broad-based political agreement and anticipation of social trends

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