European Commission s 2030 framework for climate and energy: A key step in EU "domestic preparations"

Transcription

1 European Commission s 2030 framework for climate and energy: A key step in EU "domestic preparations"

2 EU's 2020 Framework for Climate and Energy (1): Where do we stand? Reduce energy consumption by 20%

3 EU's 2030 Framework for Climate and Energy (2): Europe's challenges & opportunities Renewable energy saw rapid cost decreases Technologies are gradually becoming competitive

4 EU's 2030 Framework for Climate and Energy (3): Why a new framework now? Reducing Greenhouse Gas Emissions costeffectively EU contribution 2015 agreement Competitive energy prices and new growth and jobs Security of energy supplies

5 Proposed 2030 Framework for Climate and Energy (4): The main components % Greenhouse Gas Emissions 20% Renewable Energy 20 % Energy Efficiency - 40 % Min 27 % 2030 New Key Greenhouse Gas Renewable Indicators Emissions Energy Review 2014 New Governance system

6 : EU successes in decoupling emissions from growth (5) : EU-28 GDP growth >44%, GHG emissions decreased by 21.4% EU-28 Emissions intensity (tonnes GHG/m produced) reduced by 43.9% (from 691 to 388) : EU energy intensity of industry and energy sector decreased by 1.5% each year 2030 climate and energy framework is to accelerate these trends, while realising further opportunities from lowemission development

7 Accelerating decoupling (6) Reductions vs 2005: ETS -43% Non ETS -30% Current EU oil and gas imports: 400 bn per year Shift from fuel expenditure to investments Fuel savings: may reap 18 bn fuel per year in next 2 decades; but requires additional investments of 38 billion per year next 2 decades Energy security: additional 11% cut in energy imports in 2030 Innovation: jobs & growth; EU eco-industry 4.2 million jobs now Health and air pollution benefits: bn in 2030

8 EU long-term planning (7) 100% 80% 60% Power Sector Residential & Tertiary Current policy 100% 80% 60% Cost-efficient pathway to 80% domestic reductions in % domestic reductions by 2030 Industry 40% 40% Transport 20% 20% Non CO 2 Agriculture 0% Non CO 2 Other Sectors 0% Cut emissions below 2t/per cap by 2050, down from current 7.5 t/per cap Improving the GHG intensity of EU economy by another 50% in the next two decades with 40% by 2030 target Population (million) Assumed GDP growth rates p.a. 1,5% 1,6% 1,4% 1,4% Total GHG emissions (MtCO2e) Emission intensity (t of CO2/M 10) 487,2 394,0 299,0 202,7 102,3 52,2 Energy related CO2 em./cap 8,2 7,5 6,2 5,0 2,8 1,5 GHG em. Wrt % -15% -25% -41% -66% -80% Low carbon electricity 46% 49% 60% 73% 85% 94%

9 EU's 2030 Framework for Climate and Energy (8): Strengthening the EU carbon market Large and persistent market imbalance (surplus >2 billion tonnes) Back-loading of auction volume only a first, temporary step Proposal to create a market stability reserve from 2021 onwards to make EU Emissions Trading System more resilient to demand shocks After decision on 40% Greenhouse Gas Emissions reduction target: Increase linear reduction factor as of 2021 from 1.74 % to 2.2% to align the Emissions Trading System cap to agreed 2030 target Carbon leakage: Stable framework for this decade, continued but more focused free allocation after 2020

10 International Dimensions of the Commission's Proposal (9) Designed and timed to set a high standard for transparency, accountability and ambition 40% headline GHG emissions reduction target domestic and unconditional Nonetheless reflects sensitivities of EU's energy intensive industries to international competitiveness concerns "Should the outcome of the [2015 Agreement] negotiations warrant a more ambitious target for the Union, this additional effort could be balanced by allowing access to international credits"

11 Proposal for a 2030 Framework for Climate and Energy: An Ambitious and Achievable Contribution (10) Legally binding, economy-wide reduction target Long-term plan designed to reduce emissions by 80-95% from 1990 levels by 2050, consistent with a fair and effective EU contribution to the 2 degree objective Continue decoupling of EU economy from fossil fuel dependence: keep growing economically while reducing GHG emissions per capita to 6 tonnes by 2030 and below 2 tonnes by 2050, further reducing EU level of CO 2 per unit of GDP, already a global standard of CO2 efficiency Need substantial transformation of key economic sectors Low carbon power generation: 49% in 2010 > 60% in 2020 > 73% in 2030 Transport White Paper: Indicative goal: 60% transport emissions cut by 2050 > require gradual transformation of the entire transport system Continue and further strengthen legislation/policies already cutting emission innovation, investment in new technologies, jobs and growth

12 EU's 2030 Framework for Climate and Energy: Next steps within the EU (11) 4/5 March: EU environment and energy ministers meetings 20/21 March: European Council (EU heads of state and government) European Parliament Energy Efficiency Directive: 2014 Review and proposals Emissions Trading System proposal: legal proposal, discussions with legislator started (Council and Parliament) Development/implementation of new governance structure Competitiveness and energy security indicators

13 THANK YOU! ec.europa.eu/energy/2030 ec.europa.eu/clima/2030