Inputs for economic recovery, resilience and long-term sustainability

This short paper outlines the inputs of the European Alliance to Save Energy to achieve a green economic recovery, resilience and long-term sustainability in the aftermath of the Covid-19 pandemic. 

These include spending criteria and quota that should be applied in both the Recovery and Resilience Facility Regulation (RRF), currently being negotiated by the European Parliament and Council, as in the National Recovery and Resilience Plans (NRRPs).

The paper calls for prioritising investments in areas such as energy efficiency rather than lock-in resources in fossil fuel infrastructures that undermine the achievement of the Union’s climate and environmental objectives.

A key area of intervention to boost energy efficiency and cut CO2 emissions is represented by buildings. In the NRRPs, Member States should priorities cost-effective renovation programmes that foster the quality, rate, and depth of comprehensive renovations.

Technical assistance is also essential to remove the hurdles for local authorities, SMEs and corporate investments to implement energy efficiency projects and renovate the building stock.

 

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Open letter to ECON and BUDG Committees Members: A green recovery for Europe

In view of the ongoing discussion in the European Parliament on the Recovery and Resilience Facility Regulation, the European Alliance to Save Energy (EU-ASE) sent a letter to the Members of the Economic and Monetary Affairs (ECON) and Budgets (BUDG) Committees calling for a green recovery for current and future generations.

The letter states:

The Covid-19 pandemic is hitting the economy of the European Union hard. This urges a rapid, coordinated, and forward-looking response to cope with unprecedented health, economic and social consequences for all.

From a business perspective we are convinced that such response requires the EU recovery plans to support sustainable investments in projects and reforms fully aligned with the Paris agreement objectives and the goal to achieve climate neutrality by 2050. Indeed, a large number of authoritative studies and economic research1,2 show that a green recovery holds the opportunity to provide short term boost to local economies and job creation while supporting, in the long term, the modernisation of our economic system and the ecological transition.

For these reasons and in view of the current discussion on the Recovery and Resilience Facility Regulation (RRF), we call on you to follow the indications received by your colleagues of the ENVI Committee in its Opinion of 14 October 2020 and in particular to ensure that:

At least 40% of the RRF’s total budget is earmarked to finance climate actions and addresses, over the next ten years, the economic, health, environmental and social consequences of climate changes, especially on the young and future generations.

The EU Taxonomy is used to assess both the eligibility and tracking of the investments included in the national recovery and resilience plans.

The RRF supports the achievement of the energy and climate targets for 2030 and 2050. In this perspective, national recovery and resilience plans should prioritise investments in areas such as energy efficient building renovations rather than lock-in resources in fossil fuel infrastructures that undermine the achievement of the Union’s climate and environmental objectives.

 

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European Parliament push for 60% climate target is good news also for businesses

The European Parliament voted to increase the EU emissions reduction target by 2030 to at least 60% as part of the EU Climate Law.

By doing so, the Parliament adopted a position that is more ambitious than the Commission’s 55% reduction proposal.

This is good news for the EU’s climate ambition and international leadership in a decade which will be crucial in the fight against climate change.

It is also good news for businesses. Indeed, a higher EU climate ambition provides investors and businesses with a clear direction and more certainty to plan their investments and strategic choices, that have to be directed towards the goal of climate neutrality by 2050.

Monica Frassoni, president of the European Alliance to Save Energy commented:

This is a major step in the right direction to achieve the EU carbon neutrality goal and a green economic recovery. MEPs showed to EU leaders the level of ambition that is needed. The path to meet this target is clear: focusing on energy efficiency and renewables is the best way to go for the Union and its Member States. This should be reflected in all upcoming investments and funds, starting from the MFF and national Recovery and Resilience Plans.

EU leaders will start discussing the EU 2030 climate target next week at a European Council. An EU-wide agreement on the new target is expected at the December European Council.

 

Contact

Matteo Guidi, Communication Officer
matteo.guidi@euase.eu
+32493372142

The European Alliance to Save Energy (EU-ASE) was established in December 2010 by some of Europe’s leading multinational companies. The Alliance creates a platform from which companies can ensure that the voice of energy efficiency is heard from across the business and political community. EU-ASE members have operations across the 27 Member States of the European Union, employ over 340.000 people in Europe and have an aggregated annual turnover of €115 billion.

 

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Response to the Roadmap on the revision of the Energy Efficiency Directive

The European Alliance to Save Energy (EU-ASE) welcomes the opportunity to provide feedback to the European Commission’s publication of an inception impact assessment on the revision of the Energy Efficiency Directive (EED). The Alliance brings together businesses, think thanks and Members of the European Parliament to ensure that the voice of energy efficiency is heard across the business and political community.

he EU-ASE welcomes the strong narrative on energy efficiency in the roadmap as well as its proposal to revise the current EED. The Directive has played a significant role in bringing energy efficiency up in the political agenda, stimulated increased national efforts, and resulted in some energy efficiency improvements. However, it did not lead to the creation of the much needed binding and long term legal framework to mobilize the investments required to tap the savings potentials across sectors and deliver the multiple benefits of energy efficiency to citizens, businesses and the environment. This shortcoming also stems from the imperfect implementation of the Directive. As a consequence, in many countries, the energy savings delivered fell short of the minimum required and are insufficient to achieve the national targets. We note that the Commission is rightly stepping up enforcement and we fully support strengthening the legal requirements for more effective implementation.

The current review should ramp up the ambition in light of the EU’s new climate objectives. The EED targets must be aligned with the European Green Deal and its goal to achieve climate neutrality by 2050 at the latest, as well as intermediary targets. According to the International Energy Agency (IEA), 76% of the European greenhouse gas emission reductions required to keep temperature increases below 1.5°C must come from energy efficiency. Therefore, the overall energy consumption reduction is the foundation for achieving climate targets while ensuring a deep economic transformation that is supporting a circular, resilient and equitable post-COVID recovery.

For policy-makers, investing in energy efficiency means investing in a fast, smart and sustainable recovery which is ‘made in Europe’. The International Patent Classification green patents inventory of the World Intellectual Property Organization shows that among the countries with a higher concentration of filings for patents in energy conservation technologies, there are the EU Member States such as Germany, France, and the Netherlands. Investing in energy efficiency means supporting the growth, competitiveness and long term sustainability of European manufacturers, solution providers and local value chains. The EED review is paramount in that respect and should be carried out in such a way to support job creation, sustainable growth and climate change mitigation and adaptation in one of the most innovative and strategic sectors of the European Union.

Based on this, EU-ASE would like to highlight the following recommendations to support the Commission in its ongoing work on the EED revision.

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Letter: Energy efficient, renewable and flexible buildings – an integrated approach to the “Renovation wave” will secure climate-neutrality and deliver green growth for Europe

Energy efficiency, renewables and flexibility organisations join forces to call for an integrated approach to the Renovation wave to secure climate-neutrality and deliver green growth in the post Covid-19 reality.

 

To the kind attention of Mr Ciarán Cuffe MEP
Cc: Shadow Rapporteurs and ITRE Members of the European Parliament

Brussels, 2 April 2020

RE: Energy efficient, renewable and flexible buildings – an integrated approach to the “Renovation wave” will secure climate-neutrality and deliver green growth for Europe

Dear Mr Cuffe,
Dear Members of the European Parliament,

The undersigned European business associations and NGO welcome the launch of a Parliamentary debate on the “Renovation Wave” to inspire the proposal by the Commission in autumn 2020.
The achievement of climate neutrality by 2050 requires a cross-sectorial effort. The building stock in the EU must provide a significant contribution as it accounts for over 36% of EU CO2 emissions and approximately half of its total primary energy demand. In a fast- changing energy system, the path towards a highly energy efficient and decarbonised building stock is key. We trust that your report “Maximising the energy efficiency potential in the EU building stock” will recognise and promote fully integrated renovations for energy efficient, renewables-based and flexible buildings.

 

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