Energy & Climate: A European Green Deal of Strategic Foresight: Reinvigorating Europe and driving an industrial renaissance for a clean planet for all

Published: 3 December 2019

Policies & Issues: Energy & Climate

Orgalim envisions a European Green Deal that reinvigorates Europe and drives an industrial renaissance for a clean planet for all. Orgalim supports enshrining the objective of climate neutrality by 2050 in a new Climate Law under the Green Deal to be presented by the incoming von der Leyen Commission. A Green Deal with strategic foresight combines the target, a roadmap and measures for delivering on climate neutrality by 2050 in the EU and globally, and thereby ensures the necessary confidence in the market that the target will be met. It should be an enabling framework combining legislative and non-legislative measures, incentivising and rewarding in a coherent and coordinated manner the development and deployment of clean tech to the benefit of EU citizens, the planet and EU industry and global tech leadership. 

Core implementation measures in the next decade, which is critical to deliver on the Paris Agreement and for turning decarbonisation challenges into opportunities for a renewed, sustainable and competitive EU industry 2030, should include the following: 

  • A timely and ambitious implementation of the clean energy package is the backbone: National energy and climate plans set the foundations for a successful clean energy transition – the existing 6% energy efficiency and 2% renewables gaps need to be closed. Citizens and cooperatives should be empowered for the take up of renewables, energy efficiency, energy management and other clean tech solutions. The following no-regret measures should be implemented: Putting energy efficiency first; substituting the most polluting energy carriers; ensuring more electrification and alternative fuels deployment in the transport, buildings and industry sectors; supporting more sector coupling including power-to-x solutions; unlocking investment in high-tech infrastructures; and massively promoting research and development. 
  • Giving carbon a meaningful and impactful price that creates the right market signal for carbon reduction in a revenue neutral manner targeting high impact areas. 
  • A thorough evaluation of the best way forward on a carbon border adjustment mechanism that is in line with WTO requirements and ensures fair and free trade at all levels of the supply chains. The implementation of article 6 of the Paris Agreement should lay policy foundation for an emissions trading system leading to a global price on carbon. 
  • Aligning technology, financing and objective - the EU’s climate ambitions need to be mainstreamed throughout the EU budget, the newly announced green financing strategy, and existing and new innovation, just transition, development and investment funds. 
  • Energy taxation should reflect carbon content - the Energy Taxation Directive should be revised and aligned with EU energy and climate directives. 
  • Building strong acceptance with all stakeholders, including industry 
  • Embracing and tapping into the opportunities of digitalisation for the climate, clean energy and circular economy transition 
  • Pursuing a Circular Economy that supports Europe’s climate ambition by driving systemic change and the sustainable use of resources throughout the economy (”doing more with less”) 
  • Creating conditions for sustainable and connected mobility and buildings that are equitable, efficient, safe and climate responsive 
  • A European (Green) Hydrogen Strategy that strengthens the EU’s commitment for power-to-X in areas where it is evidenced to be the most efficient way to reduce greenhouse gas emissions 

Since global challenges require global responses, the EU should lead international negotiations to increase the level of climate neutrality ambition of other emitters by 2021. Securing competitive and fair conditions for EU industry in a global context is essential. 

The EU long-term industrial strategy should boost innovative framework conditions for a renewed, sustainable and competitive European industry 2030 in the digital age. 

Strategic value chain initiatives and Important Projects of Common European Interest (IPCEIs) as an exemption to EU state aid rules must, where qualifying, drive investment into evidence based, future-proof, innovative areas and be guided by strategic considerations.

To read our recommendations in full, please download the position above.  

Authors

Linher
Sigrid Linher
Director - Energy, Climate & Environment

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