The Italian building stock – Strategic sector for Energy Efficiency in the country

Last 19th October, EU-ASE’s President Monica Frassoni took part in Kyoto Club’s event in Rome “The Italian real estate: a strategic infrastructure at the service of the country’s energy system”, where she participated on a panel together with Francesco Ferrante (Kyoto Club’s Vice-President), Lorenzo Pagliano (Professor at Politecnico de Milano), Alberto Mario Ermelli Cupelli (Manager of International Relations at Knauf Insulation Italia), Alessandro Carettoni (DG for Climate and Energy at Italian Environment Ministry), and Paolo Curati (Managing Director at Knauf Insulation Italia).

Frassoni outlined how the new EU energy efficiency framework can promote the energy retrofit of buildings, and called on the Italian Government for increased earmarking and climate mainstreaming in next MFF post-2020 to incentivise private investments in the building sector.

“Like it or not energy efficiency is key to decarbonise the European Union”

 

Monica Frassoni, EU-ASE President

During her intervention, she also addressed EU-ASE’s main points, pointing out that energy efficiency is key to decarbonising the EU, that improvements made in energy efficiency mean more energy security and less dependence on gas imports, ant that the EED targets are not a goal, but a starting point for national transposition.

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Companies call for net-zero emissions by 2050 to help transition to low-carbon economy

Energy Efficiency accelerating the shift to a decarbonised Europe

Climate change is defining our era. If our behavior doesn’t change, we risk missing the moment when we can avoid the disastrous consequences of climate change, for people and for the natural systems that support us all. We are at a defining moment.

The businesses call for a net-zero emissions reductions by 2050 at the latest, with the need for placing energy efficiency and smart use of energy at the center of the EU decarbonisation strategy.

Our key statements:

  1. Energy efficiency benefits European citizens
  2. A 1.5°C temperature goal for the world
  3. Net-Zero emissions by 2050 or sooner
  4. The “Energy Efficiency First” principle indispensable for achieving 1.5°c goal
  5. Energy efficiency and renewables work together to cut emissions
  6. An end to fossil fuel financing
  7. Energy efficiency benefits need to be assessed fairly

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EU-ASE joins the call to EU Ministers to ensure that the next EU budget is in line with the EU climate objectives and consistent with the Paris Agreement

To: Ministers of the General Affairs Council Dear Minister,

The co-signatories of this letter represent a broad group of one hundred and one businesses, civil society organisations, local authorities, think tanks and other organisations who are working together to support the EU’s commitment to achieve the UN Sustainable Development Goals and the Paris Climate Agreement objectives. We are writing to urge you to ensure that the next MFF is aligned with Europe’s climate and energy objectives, and is consistent with and contributes to the Paris Climate Agreement and Sustainable Development Goals across all programmes.

The recently published IPCC 1.5°C report shows that we have the scientific understanding, the technological capacity and the money to avoid the worst impacts of climate change. The only barrier is one of political will, which you and your colleagues can change.

Therefore, we ask you to:

  • Increase the climate action target to at least 40% of the whole EU Budget, with specific ex-ante binding targets per programme[1].
  • Climate proof the entire EU budget, and exclude spending on projects that are not in line with the Paris Climate Agreement, such as unabated fossil fuels infrastructure and environmentally harmful subsidies. Extend the exclusion criteria on fossil fuels in the Cohesion Fund programme proposal to all fossil fuel investment and apply these across all programmes.
  • Include Energy Efficiency First as a mandatory assessment tool in all planning and preparation of programmes and projects, similar to the provisions in the Regulation on the Governance of the Energy Union.
  • Improve the performance and result orientation of climate action. Take into account the recommendations by the European Court of Auditors on the climate tracking methodology, differentiate between mitigation and adaptation measures, and avoid overestimation.
  • Align financial flows and fiscal incentives to a low carbon pathway as committed to under the Paris Climate Agreement. Align the National Energy and Climate Plans with financing strategies under the EU Budget[2], and incentivise climate action through higher budget allocation and better financial conditions.
  • Provide support for a just transition to a low carbon economy, in particular to support communities and workers in high-carbon regions highly depending on fossil fuels. We look forward to engaging with you on this very important matter.

 

We look forward to engaging with you on this very important matter.

 

[1] In the current proposal, binding targets on climate action are only to be found in ERDF, a share of the Rural Development Fund and part of InvestEU.

[2] Such as Partnership Agreements, long term renovation strategies, Connecting Europe Facility plans, InvestEU proposals and the CAP.

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A climate-proof budget to leverage the necessary investments to deliver the Paris Agreement

The EU Multi Annual Financial Framework (MFF) post 2020 will define the Union’s financial means to address societal, economic and environmental challenges for the next 7 years. Therefore, the MFF is a unique opportunity for the EU to demonstrate coherence with its long-term energy and climate objectives and a serious engagement to deliver tangible benefits to European citizens. Our business community considers the MFF as the framework that can outline the much-needed long term political direction for private investors.

Public EU funds are not sufficient to finance the energy transition. According to a recent report commissioned by the European Commission, the EU budget contribution to mitigation finance covers as little as 5-7% of the total resource required. However, the MFF has an important signaling and leveraging role to play to attract private investments necessary to fill the gap. The investments in clean technologies and in particular in cost-efficient energy efficiency projects will be unlocked only if the EU provides long term certainty to the private sector.

The present paper is the contribution of a cross-sectoral alliance of businesses on the current discussion concerning the overall MFF proposal and the related sectorial funding instruments.

Several of MFF sectoral legislative proposals, such as Cohesion Policy (CP), Connecting Europe Facility (CEF), Horizon Europe and InvestEU, have a significant impact in sectors like energy, buildings and transport – which are major sources of GHG emissions. These funding instruments, if correctly designed, can drive growth and jobs across the EU. They can mobilize private investments in areas with high mitigation potential, such as energy efficiency, and be catalysts in the fight against climate change and the transition to a net zero carbon economy.

 

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Energy efficiency at the center of 10th Citizens’ Energy Forum in Dublin

The EU-ASE President Monica Frassoni attended the 10th Citizens’ Energy Forum, which was launched by the European Commission in 2008 as a dedicated platform to implement and enforce consumer rights on the energy market across the European Union.

Organised annually, the Forum has served to structure the debate and channel consumers’, regulators’ and industry’s views on the energy market and its future, directly feeding into the work of the Commission in the energy and consumer policy areas. This year’s forum aimed at placing the discussion on the role of consumers on the energy market in the context of the measures proposed by the Clean Energy for all Europeans package and the recently adopted New Deal for Consumers package.

“Citizens need to be involved to ensure a transparent discussion on the choices that are being made when it comes to decisions between investing in new infrastructure or more retrofitting.”

 

Monica Frassoni, EU-ASE President

The opening session started with the speech of Dominique Ristori (DG ENER) which was followed by Denis Naughten (Minister for Communications, Climate Action and Environment), Miguel Arias Cañete (European  Union’s Commissioner for Climate Action & Energy) and  Sean Kelly (MEP), who agreed that the on-going negotiations and the implementation of the Clean Energy Package should keep focus on placing the empowered consumers at the center of the energy transition.

 

EU-ASE President Monica Frassoni was invited to take part in the High-level discussion on “The Role of consumers in the energy transition”, together with Michael Losch (Ministry of Sustainability and Tourism, Austria), Garrett Blaney (CEER), Monique Goyens (BEUC) and Kristian Ruby (Eurelectric), and moderated by Dominique Ristori (DG ENER).

During her intervention, Ms Frassoni stressed the importance of the inclusion of the energy efficiency first principle in the Regulation of the Governance of the Energy Union as a key novel element that will help ensure that the consumers are able to play an active role in the energy transition. “Energy efficiency first is not a PR concept, but a principle that should guide the implementation and investment decisions” she emphasized.

“Citizens need to be involved to ensure a transparent discussion on the choices that are being made when it comes to decisions between investing in new infrastructure or more retrofitting.”

 

Monica Frassoni, EU-ASE President

Regarding the Clean Energy Package for All Europeans, she stressed that some progress has been made with the adoption of the recast Energy Efficiency Directive, but underlined the need to increase the energy efficiency target by 2023, as a possibility given by the upwards revision clause.

Citizens need to be involved to ensure a transparent discussion on the choices that are being made when it comes to decisions between investing in new infrastructure or more retrofitting” she stressed, and pointed out the difference of these choices in terms of their financial impact but also in terms of their impact on citizens health and the quality of life. Ms Frassoni informed the audience about the European Commission’s Impact Assessment, which stated that every percentage point increase in the 2030 energy efficiency target would mean lifting millions of people out of energy poverty and called on the Commission to show more ambition in the future. In her intervention she also gave an example of very low interest for green mortgages and stressed the need to create the sense of urgency among consumers that more ambitious legislations is needed and that that it is good for the consumers, their quality of life and for the environment.

“Energy efficiency first is not a PR concept, but a principle that should guide the implementation and investment decisions.”

 

Monica Frassoni, EU-ASE President

EU-ASE President concluded by stressing that the European Alliance to Save Energy is calling for energy efficiency to be perceived as an integral part of the future energy system with an ultimate aim to benefit European citizens.

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