Franco-German Energy Efficiency Business Summit highlights opportunities deriving from the new European energy efficiency framework as well as risks and costs for business and citizens if prompt implementation is not ensured

4 December 2018 | Uncategorized

Franco-German Energy Efficiency Business Summit highlights opportunities deriving from the new European energy efficiency framework as well as risks and costs for business and citizens if prompt implementation is not ensured

Today DENEFF, European Alliance to Save Energy (EU-ASE) and French-German Renewable Energy Office (OFATE) organised a high-level event to promote an adequate and prompt implementation of the new EU Energy Efficiency framework in France and Germany. The event brought together government officials, politicians and businesses.

While France and Germany are due to transpose the new Energy Efficiency and Energy Performance of Building Directives and are in the process of drafting National Energy and Climate Plans (NECPs), new EEA report highlights that the EU and notably both countries are no longer on track to meet their 2020 and 2030 climate and energy targets.[1]

The adoption of the new EU legislation on energy efficiency and its implementation must be the occasion to redress this situation: Energy efficiency is the fastest and most cost-effective way to meet the overall EU energy-transition challenge of decoupling economic growth from greenhouse gas emissions. Energy efficiency is central to Europe’s decarbonization and indispensable to reach the ambitious and urgent 1.5° goal that would limit the devastating impact of climate change on communities, economies and ecosystems around the world.

Ambitious energy efficiency measures can cost-effectively improve our buildings and the quality of the air we breathe, can pave the way for clean and efficient mobility, can help our industry to be more competitive and climate proof. But we need to step up our efforts.

“We are just a few days away from the COP24 in Poland and there is a growing concern about rising energy consumption and the EU progress towards meeting 2020 and 2030 targets for energy efficiency.– said Ms Monica Frassoni, President of the European Alliance to Save Energy – We are behind the schedule to meet Paris Agreement, even if it is encouraging to see that energy efficiency is high on the political agenda. Governments like France and Germany must go ahead with a strong implementation of the directives (cfr. EED and EPBD); mainstreaming Efficiency First in the National Energy and Climate Plans; and support Paris-compliant EU-budget 2020 -2027. “

Christian Noll, Managing Director of DENEFF: “The revised Directive and the new 2030 target of 32.5% increase in energy efficiency until 2030 represent a great chance for Germany, France and the whole EU to grasp the multiple benefits of energy efficiency to strengthen its economy and meet its climate targets. The federal government must reclaim its position as world champion of energy efficiency by implementing the new framework as fast and robust as possible. This should be a no-brainer for a high technology country like Germany!”.

In his remarks, Mr Sven Rösner, Director of the Franco-German Office for the Energy Transition said that energy efficiency is most importantly a substantial factor in the of limitation greenhouse gas emissions, but also – in economic terms – a great opportunity to lower expenditures on energy for private households and the industry as well as to create sustainable jobs for all types of qualifications in industries where both countries already developed strong competencies. The extension of the close cooperation between France and Germany to this context would accelerate its progress in both countries, and beyond. 

A Franco-German cooperation at national, European and international level is a driving force behind the European energy transition. As major EU economies and political players, France and Germany must lead by example and demonstrate that decarbonization is a successful model and a great opportunity to deliver modernization, innovation, digitalization and job opportunities for the future prosperity of Europe.

[1] EEA Report: Assessment on the EU’s progress on renewable energy and energy efficiency targets, November 2018,  https://www.eea.europa.eu/publications/trends-and-projections-in-europe-2018-climate-and-energy

Contacts and Media Enquiries

Luigi Petito (+32 2 588 5671 / info@euase.eu) / Laura J. Bolé (+32 492 08 69 54 / lauraj.bole@euase.eu)

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The Franco-German axis, important player on leveraging energy efficiency in the European Union

3 December 2018 | Events

The event, jointly organised by EU-ASE, DENEFF and OFATE, brought together a cross-sectoral panel of energy efficiency actors to show clear support to an ambitious national and European energy efficiency agenda

Last Friday 30th November, EU-ASE, DENEFF and OFATE held its First Franco-German Energy Efficiency Business Summit. The event took place at the Jakob Kaiser Haus in the Bundestag, in Berlin, and was attended by around 60 participants. The session aimed at delivering the message that the Franco-German alliance stands strong for energy efficiency and policy implementation at national and EU level, with representatives from both countries’ public administration and business sectors.

The discussion was opened by Andreas Jung, MP, who called for energy efficiency as essential to combat climate change, and praised the FR-DE collaboration, expressing his wish that it continues with its important work. After him, Carsten Müller, MP, supported this idea saying that both France and Germany are leaders in the energy business and, as such, they should also take leadership on climate and energy policies.

EU-ASE President Monica Frassoni, who moderated the first of three panels, pointed out that targets set out by the EU, as well as the recently released EU Commission’s Long Term Strategy, were insufficient and that we should aim at more ambition in order to achieve the 1.5ºC goal. She underlined that “there is good language and disposition towards energy efficiency but, in terms of actual agenda and actions, we are still far from what is needed.” Barbara Frei, Schneider Electric Country President, said that Europe is no longer on track to meet its 2030 objectives and energy efficiency is the only and primary leader to be able to reach environmental and climate goals. “The next ten years will be critical to mitigate climate change: the revised Energy Performance in Buildings Directive provides us with a unique opportunity to accelerate the energy transition, with the support of innovative and enabling technologies such as Building Automation and Controls,” she added. Her intervention was followed by Thorsten Herdan, German MP, who opened his speech claiming that France and Germany need to be at the forefront of the fight against climate change and the ambition in regards to energy efficiency. He pinpointed some raw facts to the audience, such as the energy demand reduction potential of energy efficiency and, hence, how important it is to invest on it. He also underlined that strategies are usually too focused on the demand side and that the supply side should be taken into account. “The current bad side of policies”, he said, “is that right now neither France nor Germany are allowed to raise the level of ambition as set out in their coalition treaty”. As other speakers, he also signaled at the need to change the narrative to improve understanding of the benefits of energy efficiency amongst legislators and citizens, making clear that energy efficiency is not a cost driver but, in fact, the complete opposite.

Marjolaine Meynier-Millefert, French MP also participating in the session, recognized that “there is no point pretending that there is not a long road ahead of France in the path towards an energy efficient economy”, but also highlighted that French potential is very high and that energy efficiency improvements in building are to become a top priority in the country’s energy roadmap. She also presented a new communication plan to be implemented in France to make citizens aware of the different climate challenges and getting them on board of the change of paradigm needed. “France cannot afford not to be exemplary when it comes to climate”, she said. Emmanuel Normant, Vice President for Sustainable Development at Saint-Gobain, presented the EU building stock as the big opportunity for reducing GHG emissions, but pointed out that the deep renovation had yet to happen, as only 2% of it is classified as A in the EU building rating system. “The technology is there“, he underlined, “but there is a need for faster deployment of solutions.” He highlighted the need to embark energy efficiency in every other decision and solution, and to compare the cost of the investment to the benefits reaped on the long-term. “If we are not serious with building renovation we are not serious with our commitment with Paris”, he added.

On the European Commission’s behalf, Hans Van Steen, from DG Energy, communicated that the European institution is very happy about its 2050 Long-term strategy and the targets and goals proposed. He said that it sets a clear pathway with specific goals towards carbon neutrality, and that it is not only about the climate, but also about delivering benefits to EU citizens by increasing welfare, competitiveness, and the chance to show leadership.

The second panel, moderated by Christian Noll, the Director of Deneff, focused on the private business perspective and brought together several high-level speakers with a cross-sectoral point of view. Katarzyna Wardal from Knauf Insulation called upon governments to put net zero buildings the heart of their national legislation and Andreas Rindt on behalf of Signify supported the idea, stressing that developments on the national level still need to take place. Kamila Waciega, Director of Energy at the Public Affairs Department, Veolia, agreed and stressed that the real energy efficiency gains can only be achieved when primary and final energy savings are taken into account. All panelists agreed on the urgent need to attract private investment to accelerate and improve implementation, as well as an everyday more pressing evidence that a clear and stable framework that can drive business decisions and actions is key. The importance of the Governance Regulation, which sets roads and rules for implementation of the rest of the directives, was especially emphasized. Karl-Peter Thelen, Executive Director Regulatory and Public Affairs at Engie, stressed that energy efficiency is a key element for a sustainable future and that the most important part when it comes to implementation is that Member States set clear targets and a framework “to increase the attractiveness of investments in energy efficiency while at the same time allowing for optimal technical solutions”. 

The session ended with a third panel, moderated by Sven Rösner, Director of FR-DE Office for Energy Transition (OFATE) brought forward a fruitful debate between advocacy organisations and German Federal Government representatives, aimed at evaluating the impact of the new European framework on the national context. The panel featured speakers like Stefan Besser, Head of Unit of the German Federal Ministry for Economic Affairs and Energy; Adrian Joyce from EuroACE; or Stefan Scheuer from the Coalition for Energy Savings. All the speakers highlighted the importance of bringing together all sectors of society – Public Administration, citizens, NGOs, and of trying to forge new alliances. Another common point was that, first and foremost, energy efficiency should be the priority for buildings, as it is the most cost-effective option for decarbonization. Furthermore, Joyce said, it also brings social benefits, as it tackles energy poverty. “When you touch a building, you touch people’s lives, so you must touch them correctly”, he pointed out. Stefan Besser stated that currently no massive changes were foreseen for the German regulatory approach, a statement in stark contrast with the demands of his co-panelists. The discussion engaged both the panel and the audience on an interesting debate about the link between the current protests in France which sparked off as a reaction to carbon taxation and the fact that energy efficiency can help private households to spend less money on energy and create tens of thousands of jobs for all qualifications when properly implemented. On this note, Marjolaine Millefert-Meynier stated from the audience her opinion that the turmoil as we see it currently in France should also be seen as an opportunity, as people started to think about the way they use energy and the cost of it. She believes this to be a starting point for a dialogue on energy policies.

The event was followed by a guided visit of the EUREF Campus, a smart urban district and pilot project for the transition to sustainable energy and mobility.

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Energy efficiency to drive EU plan to go carbon-neutral by 2050

29 November 2018 | Uncategorized

The proposal, which sets out how the EU will meet its commitments under the Paris climate agreement, lays out eight emission reduction scenarios for 2050 and came out in favour of reaching net zero emissions, which would be closest to achieving the goals of the Paris agreement.

A clean planet for all — this is the title of the EU Commission’s strategy for a climate-neutral economy by 2050. The proposal, which sets out how the EU will meet its commitments under the Paris climate agreement, lays out eight emission reduction scenarios for 2050 and came out in favour of reaching net zero emissions, which would be closest to achieving the goals of the Paris agreement.

The most important element of the strategy is that it sets the goal of a carbon neutral Europe by mid-century. In its strategy, the EU Commission does not yet lay down any concrete steps. It sees its paper as a long-term vision for Europe to open a debate rather than to indicate a clear way forward.

“More than 90% of European are concerned about climate change. We must take bold actions to limit global warming. There are good elements in the proposed long-term strategy but more decisive consideration of the game changing potential of energy efficiency is needed in order for the EU to arrive to a carbon neutral world by 2050”, said Monica Frassoni, EU-ASE President, commenting on the long-term strategy. “Moving forward, actions are needed to make the energy efficiency first principle Europe’s no.1 priority. For example actions to accelerate building renovations will deliver real benefits to citizens, businesses and the environment”, she added.

Harry Verhaar, Signify: “A net zero carbon goal is a triple win for Europe. The creation of a carbon neutral society by mid-century will result in social benefits for Europe’s citizens, will improve the quality of our living environment and will provide economic benefits, the latter either to the national or local economy, or for our household and businesses. Removing current carbon constraints is the smartest and best thing that can be done to set course to a more inclusive and fair society for all Europe’s citizens. With the carbon neutral goal now set, it is imperative that we turn to action, with priority for energy efficiency that will also deliver the jobs and prosperity this better Europe aspires and deserves.”

“There are good elements in the proposed long-term strategy, but more decisive consideration of the game changing potential of energy efficiency is needed in order for the EU to arrive to a carbon neutral world by 2050. Moving forward, actions are needed to make the energy efficiency first principle Europe’s no.1 priority.”

 

Monica Frassoni, President of the European Alliance to Save Energy

Next steps

The Commission will present its draft strategy at the global climate conference (COP 24) in Katowice, Poland, on 12 December. The European Parliament’s environment committee is expected to comment on the Commission’s strategy by 1 March 2019. A final agreement between EU governments is expected in 2019. According to the Paris climate agreement, all parties – including the EU – must submit updated 2030 emissions targets by 2020.

“A net zero carbon goal is a triple win for Europe. The creation of a carbon neutral society by mid-century will result in social benefits for Europe’s citizens, will improve the quality of our living environment and will provide economic benefits, the latter either to the national or local economy, or for our household and businesses.”

 

Harry Verhaar, Chair of the European Alliance to Save Energy

Contacts and Media Enquiries

Luigi Petito (+32 2 588 5671 / info@euase.eu) / Laura J. Bolé (+32 492 08 69 54 / lauraj.bole@euase.eu)

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Ahead of BUDG/ECON vote on December 3, businesses support Building Renovation Window in the InvestEU programme

29 November 2018 | Letters

To the kind attention of the Members of the BUDG and ECON Committees

Harry Verhaar

Chairman of the Board of Directors of the European Alliance to Save Energy (EU‐ASE)

Head of Global Public and Government Affairs, Signify

Brussels, 28 November 2018

Dear Member of the European Parliament,

RE: Ahead of BUDG/ECON vote on December 3, businesses support Building Renovation Window in the InvestEU programme

I am writing to you on behalf of the European Alliance to Save Energy (EU-ASE). EU-ASE is a multi-sectoral business organisation whose members operate across the 28 Member States of the European Union, with an aggregated annual turnover of €115 bn, directly employing 340.000 people in Europe.

The Multi Annual Financial Framework (MFF) post 2020 is a unique opportunity for the EU to demonstrate coherence with its long-term energy and climate objectives and show commitment to deliver tangible benefits to European citizens. Our business community sees the MFF as a necessary trigger for outlining the much-needed long term political direction for mobilizing private investments towards a decarbonized European economy. Public EU funds alone are not sufficient to finance this energy transition. According to a recent report of the European Commission, the EU budget contribution to mitigation finance covers as little as 5-7% of the total resource required1. But the EU budget has an important leveraging role to play in attracting private investments necessary to fill the gap. The investments in clean technologies, and in particular in cost-efficient energy efficiency projects, will only get unlocked if the EU provides long term certainty to the private sector.

Our position paper A climate-proof budget to leverage the necessary investments to deliver the Paris Agreement outlines in greater detail the views of a cross sectoral alliance of businesses on the current discussion concerning the overall MFF proposal and the related sectoral funding instruments. It calls for a full application of the Energy Efficiency First principle, increased climate mainstreaming and improved climate proofing.

With specific regard to the InvestEU programme, which is due to be voted on December 3 in the BUDG and ECON Committees, we believe the programme should prioritize investments in energy efficiency and promote the integral energy saving technological uptake (both on the energy demand and supply sides) in sectors with high potential, such as the EU building sector. Indeed, the European building stock uses about 40% of the EU final energy consumption and 75% of buildings remain largely inefficient. Considering the staggering amount of energy that is wasted because of inefficiency in power and heat production, delivery and consumption in this sector, we should put all our effort to minimise this waste, which can be avoided.

Our homes are responsible for about 36% of CO2 emissions in the EU. Such emissions must be cut by at least 90% to reach net zero by 2050 and limit the devastating impact of climate change on people, communities, economies and ecosystems around the world.

In addition, we should not underestimate that, beyond energy and cost savings, the renovation of buildings, being building management systems or staged deep renovation, also brings along non-energy related benefits such as the creation of local jobs, thermal comfort, better living conditions, healthier populations and it is likely to eventually pave the way for the electric vehicle revolution2.

Hence, the question of feasibility: one of the key barriers in the much needed renovation of European residential buildings is leveraging finance from the private sector. The ITRE Committee voted in favour of the creation of a building renovation window which could address this barrier and could help tackle the EU renovation challenge by stimulating private investments. Dedicated funds for building renovations will provide EU guarantees for the development of innovative financing schemes such as energy performance contracting, pre-financing with on-bill or on-tax repayment, green bonds and green mortgages that will help to finance large amounts of small projects stemming from the EPBD long-term renovation strategies and will help to increase the renovation rate across the continent.

Dear Member, ahead of the vote on December 3, we urge you to support the ITRE proposal to create a building renovation window because investing in the renovation of our homes simply makes economic sense and speaks to the hearts and minds of people.

We remain at your disposition for further discussion on this strategic topic.

 

Yours sincerely,

Harry Verhaar

Chairman of the Board of Director of the European Alliance to Save Energy (EU-ASE)

Head of Global Public and Government Affairs, Signify

[1] Climate Mainstreaming in the EU Budget: preparing for the next European Commission, Directorate General for Climate Action, https://publications.europa.eu/en/publication-detail/-/publication/1df19257-aef9-11e7-837e01aa75ed71a1/language-en

[2] Rocky Mountains Institute Report on EVs deployment, which predict a 3,000 Twh increase in electricity demand by 2040 if the world switches to electric vehicles as fast as their fastest scenario. To ensure that the power grid has sufficient capacity to deal with it, the researchers advocate accelerated action from political leaders and to step up the renovation of buildings to improve their energy According to the researchers, increasing the current global building retrofit rate from approximately 1% per year to just over 5% per year, could accommodate baseline adoption of 550 million electric vehicles on the road through 2040 without increasing generation capacity dramatically.

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Businesses, society and Public Administration agree on the opportunities derived from an ambitious energy transition

20 November 2018 | Events, oldnews?

The joint debate organised by the Grupo Español para el Crecimiento Verde (GECV) and the European Alliance to Save Energy (EU-ASE) ratifies the business, NGOs, academia and Public Administration’s support to an ambitious and stable climate and energy legislative framework

The debate, moderated by Mónica López, Head of the Meteorological Service of Spanish public TV TVE, started with a welcome address by Antoni Ballabriga, Global Director of Responsible Business at BBVA, and was later on introduced by EU-ASE President Monica Frassoni and José López-Tafall, GECV Secretary General. López-Tafall stated that “it is possible to decarbonise and grow at the same time, it is economically viable”, while Frassoni underlined that we should bet on decarbonising the economy and reminded the audience of the urgency of a clear, ambitious and just roadmap.

José Manuel González-Páramo, Head of Global Economics, Regulation and Public Affairs at BBVA, who also took part in the debate, reminded the attendants that, according to the European Commission, we still lack €180,000 in additional annual investment if we want to reach the energy and climate objectives set for 2030. He also highlighted BBVA’s commitment with climate change and the key role businesses play.

Hugo Morán, Spanish Secretary for Environment, highlighted the great work EU-ASE and GECV are doing by organising this type of initiatives and pointed out that “mitigation is not synonym to deindustrialistion and adaptation doesn’t mean resignation”. He also underlined the importance of the future Climate and Energy legislation, that will guarantee that Spain complies with the goals set by the European Union and the Paris Agreement. Morán argued that “the setting of a stable regulatory framework, with adequate incentives and that fosters the necessary investments taking into account the market reality, is key to achieve a successful transition“.

Director General for Energy at the European Commission, Dominique Ristori, started his intervention stating that the new regulatory framework for energy and climate proposed by the Spanish Government is an opportunity for all, both businesses and investors. Ristori said that it is necessary to show clear leadership at the national level to address the energy transition, that has become a priority. Such leadership, he told the audience, should be based on three pillars – a clear and predictable regulatory framework, business opportunity, and access to sustainable financing. He also underlined that organising this type of initiatives is both important and timely, as they seek to create positive synergies between national and European authorities and what he defined as new business.

The session concluded with a round-table debate between representatives from different business sectors, NGOs and Public Administration, with speakers from EU-ASE members Danfoss and Knauf Insulation, as well as from Iberdrola, WWF Spain, the Institute for the Diversification and Saving of Energy (IDAE), and the Spanish Office for Cliamte Change (OECC). Ernesto Ubieto, President of Southern Europe Region at Danfoss, underlined the important role governments have to play for placing energy efficiency at the centre of the implementation and transposition of the European clean energy legislation and, especially, with regards to the EED and EPBD. Óscar del Río, General Manager at Knauf Insulation Iberia, stated that “without the Public Administration we cannot advance in tackling the challenges we face. “Businesses are ready to play their part; public administration needs to lean on us more”, he said. Joan Herrera, Director of IDAE, claimed that “we cannot allow ourselves [Spain] to be rich in resources and poor in political drive and ambition. We need regulation”, while Valvanera Ulargui, Director of the OECC, stated that “once we are all aware of climate change and the energy transition, the moment has come to take action and generate actual facts and data”. Ulargui pointed out that this is the message they would take to the upcoming COP24, “with a message of ambition and, especially, urgency”, she said.

Both the Grupo Español para el Crecimiento Verde and the European Alliance to Save Energy (EU-ASE) consider the debate, celebrated in the prelude of the presentation of the Climate Change Law draft, was crucial to convey the message to the Spanish Government that a big part of the Spanish business sector clearly supports the energy transition and the implementation of a national and European regulatory framework that is strong and leverages the necessary investments for achieving the change of economic model and of paradigm.

 

More information:

lauraj.bole@euase.eu

+34 693616088

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