New Targets for the EU, Electrifying Europe & Scaling Up Renewables
EPICO KlimaInnovation is a non-profit and independent energy and climate think tank providing a platform and network for policy development. In our monthly policy update, we dive into the latest and most relevant developments in energy and climate policy, and share the outcomes of our events and publications.
New Targets for the European Union
On 6 February, the European Commission issued a communication announcing a new target cutting 90% greenhouse gas (GHG) emissions by 2040. The goal follows the commitment that Member States made in 2021 with the Climate Law, with the overarching binding aim of reaching climate neutrality by 2050. But how to translate words into action?
EPICO published a blog post detailing key policy issues that need to be addressed. Our recommendations advocate for planning and permitting procedures to be mainstreamed, simpler, and faster, while ensuring environmental protection. Europe should also maximize and increase efficiency gains from cross-border electricity trade and make PPA contracts the go-to option. Direct electrification should take priority over indirect forms of electrification and RFNBOs, while boosting Europe's hydrogen economy for sectors that cannot be electrified.
Save the date! On Friday 23 February we will host a webinar titled “ The Road to 2040 ”. We will hear from Prof. Ottmar Edenhofer, Chairperson of the European Scientific Advisory Board on Climate Change, on the Board's recent report and what it means for the 2040 EU climate goal, before diving into a panel discussion with insightful guest speakers. Stay tuned for further information!
Read “ T he 2040 Target : Outlining a Green Energy and Innovation Agenda ” here.
An Industrial Agenda to increase Germany's Energy Resilience
Between 8 and 12 January, EPICO hosted two two-day workshops at Siemens Energy in Berlin, respectively on the topics of direct electrification and indirect electrification for the industry, with the support of Breakthrough Energy.
The workshops focused on framing energy resilience in the new geopolitical and global economic context. Germany and Europe face multi-dimensional challenges while still being leaders with the most ambitious transformation goals towards climate neutrality. Europe must rethink its industrial and energy security strategies.
A wide range of participants representing cleantech, start-ups, investors, associations of hard-to-abate sectors sought to address these issues developing recommendations relating to the electricity market, scaling up innovative technologies, and financial instruments that can help to boost fossil- fuel phase out and uptake of cleaner sources of energy.
Watch this space! Building on the ideas developed during the workshops, EPICO will publish a policy paper suggesting concrete measure to scale up Europe's energy resilience.
Scaling up renewables in Germany
On January 15, EPICO and the Stiftung KlimaWirtschaft (SKW) hosted an event in Berlin to discuss the results of our study “Location-based advantages of renewable energy". Andreas Jung (Deputy Chairman, CDU), Karen Pittel, (Professor of Economics, Ludwig Maximilian University of Munich), Ingrid Nestle (Substitute member of the Environment Committee), Joerg Steinbach (Minister for Economic Affairs, Labour and Energy of the State of Brandenburg), Matthias Taft (CEO, BayWa), and Christian Hartel (CEO, WACKER Chemie AG) focused on how to successfully transition to renewable energy, and their effects on future investment decisions.
The study emphasizes that access to renewable energy is a key location factor for companies. There are clear advantages in the north of Germany in particular, while in the south there is an urgent need for action due to the limited availability of wind turbines.
Panellists also stressed the importance of power purchase agreements (PPAs), and the need to strengthen framework conditions. In particular, the possible implementation of the EU's supplier risk initiative in Germany was highlighted as a pioneering step. The conversation also highlighted the need for a nationwide expansion of renewable energy sources, and related infrastructure. Battery storage systems will play an increasingly important role.
Bernd's key takeaway?
Renewable energy sources are key for investment in Germany and Europe. We must seize the opportunity for the climate transition to secure sustainable competitiveness
EPICO is growing!
Apply to become our Communications Specialist in the EPICO Berlin office!