EU policies could benefit renewables

BILTHOVEN, The Netherlands, June 14, 2006 (Refocus Weekly)

Europe needs sustainable energy policies with tough policies to combat climate change, in order to simultaneously improve air pollution, energy security and competitiveness in the EU.

Stringent climate policies could reduce the continent’s oil imports by 30% and its natural gas imports by 10%, says the Netherlands Environmental Assessment Agency in ‘Sustainable energy: trade-offs & synergies between energy security, competitiveness & environment.’ Those changes in energy supply would then reduce emissions of particulate matter by 35%, which is sufficient to meet the 2030 targets set out in the EU thematic strategy on air pollution.

“Energy is key to economic growth; prolonged use of energy cannot be taken for granted,” the report explains. “Concerns about energy security in the EU are growing and energy is a main driver behind climate change and local air pollution.

“A more sustainable energy policy can improve on energy security and reduce environmental impacts, like air pollution and GHG emissions,” it adds. “Such policies incur costs to society, and may deteriorate economic growth and competitiveness. This requires a policy-mix that serves to achieve multiple goals and thus increases the efficiency of EU-policy.”

There is a large scope for synergy between policies related to climate, air pollution and energy security, and the mix of options and policies that maximizes this synergy can significantly improve the efficiency of EU policy, the report explains. Among the most attractive options are more renewables and energy efficiency.

The ancillary benefits of GHG abatement policies are significant and, in the case of air pollution, these may approximate the costs of GHG abatement, it predicts. “There are costs involved in reducing GHG emissions, increasing energy security and avoiding damage from air pollution. Abatement costs for stringent climate policies are likely to be in the order of 1% to 2% of GDP by 2030, assuming broad international participation.”

In addition to the monetary benefits of avoided damages, climate and air pollution policies could boost technological developments and lead to EU leadership in some areas. “Efficient EU policies could include strict emission standards as to promote clean innovative options and create a market for cleaner products that meet the long term environmental targets,” it suggests.

“No clear EU targets for energy security exist,” and the Green Paper issued earlier this year sets out a number of possible components for an overall energy policy framework, including diversification of Europe’s energy mix with greater use of competitive indigenous and renewable energies. Options to diversify power supply involve “the enhanced use of coal, nuclear and renewables,” and there is a wide range of technological options for limiting (and eventually reducing) global GHG emissions, with long-term reduction options including “large-scale use of biofuels, carbon capture and sequestration, nuclear and renewables.”

“Leaving out options will significantly raise costs; however, many long-term options are still not yet commercially available and require significant cost reductions,” it notes. “The central issue is therefore how to make a transition to low-carbon energy systems.”

“There are many technologies that have both a positive impact on energy security and abating GHG emissions and air pollutions,” including energy saving options, public transport, nuclear and renewables, it continues. “There are however some important drawbacks.”

“Some technologies are still expensive, like Photovoltaic cells, coal and biomass gasification,” while others have “considerable other environmental impacts such as radioactive waste in the case of nuclear, and land-use claims and implications for biodiversity and landscape in the case of wind and biofuels.”

“There are also technologies that have an antagonistic impact on meeting different goals” such as the replacement of gas by coal and the use of conventional biomass and co-firing while, for technologies such as hydrogen, “the impacts can vary as they depend on the energy source used (e.g.: hydrogen production can be based on coal, nuclear or renewables).”

Some technologies “seem to provide particular good opportunities for innovation by European industries,” such as CHP, solar and nuclear technology in the power sector, and CO2 capture and storage.


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