Activity Report 2015

ACTIVITY REPORT 2015 FIRST SEMESTER Build a solid case Energy Efficiency Directive to illustrate that existing policy EU Energy and Climate Package for 2030 could be more effective and push for an ambitious Energy Union 1 meeting with the Latvian Minister 10 articles of Economy at the on Brussels based, beginning of the EU national and Presidency international online and printed media

Increasing political commitment to 5 letters to 6 meetings with top the European EU policy-makers #EfficiencyFirst Council, Commission and Parliament

OVERVIEW of the ETS DEBATE

EU-‐ASE AND THE COALITION Some of EU-‐ASE members are not affected by ETS, so they do not perceive this issue as a relevant topic. The Coalition EU has -‐ASE always Board avoided Meeting – 8 introducing May 2012 this issue in the debate around the EED in order not to create further confusion.

Agenda Point 5 DESCRIPTION OF ETS Attachment 5.1 Launched – THE ENERGY in 2005, EFFICIENCY the EU ETS DIRECTIVE works – (EED) UPDATE on the "cap AND and NEXT STEPS trade" principle. This means there is a "cap", or limit, on the total amount of certain greenhouse gases that can be emitted by the factories, power plants and other Background Update on COHESION installations in POLICY the system. 2014-‐2020 Within this cap, companies receive emission allowances which they can sell to or buy from one another as needed. The limit on the total number of allowances available ensures that they have The Energy Efficiency Directive (EED) was proposed by the European Commission in June 2011. The a value. INTRODUCTION Directive was intended to help the EU to meet its flagging 2007 20% energy savings target by 2020 At the end of each year each company must surrender enough allowances to cover all its emissions, otherwise In its legislative proposing package a package of October of an 2011 ‘ambitious’ for the energy -‐ future Cohesion Policy 2014 2020, saving the “measures”. Whilst EU-‐ASE European members believed that heavy fines are imposed. If a company reduces its emissions, it can keep the spare allowances to cover its Commission proposed a budget of €336 billion for the future Cohesion Policy 2014-‐2020. the original proposal future from needs or the else Commission sell them could to have another been stronger in terms company that is short of of ambition allowances. and The scope, we flexibility that trading brings The European Regional Development Fund (ERDF) is the biggest fund of Cohesion Policy; the Commission do believe that, ensures in that the emissions absence are of cut binding where it targets costs least to do so. for energy efficiency, the EED has potential to proposed a budget boost the of €183 EU’s The billion energy number efficiency and of allowances set market two in is -‐ a number of cross minimum cutting reduced and thresholds over key time areas. to be allocated the thematic so that total emissions fall. objective of “supporting the shift to a low-‐carbon economy in all sectors”: 20% of the ERDF should be Over the past 11 months EU-‐ASE has fore there dedicated a significant amount of time to making the allocated to developed and transition regions and 6% to less developed regions1. These percentages are case for the need BACKGROUND: for a strong THE IMPACTS Directive OF both ECONOMIC in Brussels CRISIS ON ETS and in the Member States. the so-‐called “earmarking” in the The next economi Cohesion Policy. c crisis has reduced growth and, at the same time, GHG emissions. The carbon price has been The thematic objective includes eroded several and investments its ce pri currently priorities that mainly amount relate at €8/tCO2. to energy savings (notably in public Developments buildings since and It housing) is the estimated last EU-‐ASE and Board renewable energies. that meeting.. there is a surplus of allowances to 2020 ranging from 500 million to 1.4 billion including Since the last EU-‐ASE international Board meeting offsets. the Deutsche EED has co started the Bank -‐decision predicts process. that the carbon price is likely to fall to €6/tCO2 and not reach The ex-‐ante conditionality is a very higher technical than issue €13 by not 2020. part This of the undermines ERDF regulation, but of the Common the effectiveness of ETS and could wipe out billions of urgently Provisions Regulation. Step 1, the European needed finance Parliament for and its Industry low-‐carbon finance. Committee where EU-‐ASE Honorary member, Claude Turmes MEP, was nominated as the Committee’s Rapporteur: ETS and EED: a) STATE OF PLAY • During IN January THE EUROPEAN PARLIAMENT and February Claude painstakingly gathered the comments of fellow MEPs and other 1. NEGATIVE OPINION OF DG CLIMA interested parties (including EU-‐ASE) to produce a report on the EED which was adopted by the • ERDF REGULATION The first time ETS was introduced in the EED ive discussion was the negat opinion by DG CLIMA to the inter-‐ Committee on service 28 consultation February 2012 of the and European presented Commission. to the Their European argumentation Council. The report proposed a was that the EED “fails to be consistent Rapporteur: Jan Olbrycht number (PL, EPP) of changes to the Commission text, changes that if adopted by the European Council, would Shadow rapporteurs: Riikka Manner with (ALDE, the FI), Commission’s Kerstin 2050 Westphal Low (S&D, Carbon Roadmap [...]. DE), The Oldrich Vlasak (ECR, CZ), Roadmap clearly highlights the positive effects of greatly strengthen EE measures the Directive. on the It reduction was a of GHG win emissions. for the Claude and his shadow-‐Rapporteurs In order (who to ensure the consistency between the EU’s EE and Cornelia Ernst (GUE-‐NGL, DE) and Karima Delli (Greens/EFA, FR) included EU-‐ASE climate Honorary policies, Members and to Dr Peter avoid double Liese regulation, MEP and in Ms some Fiona areas Hall MEP) and a win for the a distinction between installations covered by Jan Olbrycht MEP (EPP, PL) presented his report on 9 May. The rapporteur, backed by the EPP, added energy efficiency the industry. EU ETS and those not o covered needs t be added. DG CLIMA estimates that at least half of the energy other sectors to benefit of Cohesion funds. Indeed, he proposed both the inclusion of transports (AM 26) Step 2, the European savings Council: of the measures proposed will materialize in installations covered by the ETS”. and transmission, distribution and Moreover, storage “EE infrastructures measures could for natural AM gas and oil ( reduce 27). the However, ETS he allowance price significantly, which would in general discourage increased the earmarking • On for 1 January less investments developed 2012 in the regions the reduction Danish from 6 to 10% (AM 18). government of GHG emissions took over and in the EE in Presidency of the European Council installations covered by the ETS”. promising to DG deliver CLIMA an asked ambitious for EED adaptations by the in the end ETS of their (e.g. mandate to set in June. This was always going to aside a number of allowances corresponding to the REGI Committee voted be a the difficult report expected task on 11 reductions as July: many Member State some governments of GHG of emissions the have compromise opposed pursuant to the EED AMs which passed are in line with the and prescriptive any nature of the other EE measures adopted in the the first partial agreement EED since reached its adoption. by the porteur Council. The rap and shadow rapporteurs received also the mandate to begin negotiations with the Council. What has not been accepted in this vote has little On 3 April the Danish EU Presidency received a info mandate @euase.eu from • www.euase.eu the Coreper (the Deputy Permanent chance to be • accepted in Plenary. Plenary vote was initially foreseen in September, but the rapporteur Representatives of each 27 EU Member State) to enter into trialogues with the European Parliament asked to postpone it in October in order to encourage a first reading agreement. and the European Commission to find an agreement on the -‐EED. This procedure essentially by The position of the Council is quite different on several issues to the one of the European Parliament, passes a wider agreement from the European Parliament (good) and allows Rapporteurs to enter Vice-President Sefcovic thus a first reading agreement is unlikely. into direct negotiations with the Danish y. Presidenc This is where we are today.

1 For the EU27, this would amount to €9,8 info@ euase.eu billion • for www.euase.eu developed and transition regions and €7,3 billion for less developed regions. This totals €17 billion – or 5,1% of the future Cohesion Policy (a 88% increase compared to the current funds).

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Increased visibility of the EU-ASE “brand” EU Investment & Growth Package & Growth EU Investment

Commissioner Cretu 1 speaking opportunity at EUSEW High-Level opening ceremony

Commissioner Moedas

INDUSTRY MEMBERS:

HONORARY MEMBERS: Bendt Bendtsen, MEP (DK, EPP) | Bas Eickhout, MEP (NL, Greens) | Peter Liese, MEP (DE, EPP) | Kathleen Van Brempt, MEP (BE, S&D) I Morten Helveg Petersen, MEP (DK, ALDE) 8 high-level EU Energy and Climate Package for 2030 conferences attended

1 joint workshop with Commission “How the EU supports energy efficiency investments in cities - Coordination among all EU instruments and funds” 2500 visitors www.euase.eu

275 tweets 6 speaking opportunities at High Level events @EUASE

400 followers @EUASE

Energy Union Conference in Riga Public Hearing EESC

1 position paper on Energy Union 1 joint event with Association of the European Heating Industry 1 infographic (EHI) #EfficiencyFirst OUR MISSION

To make European policy makers imagine a future where energy efficiency is fundamental to secure a safe, reliable and low 1 mission to the European carbon energy system Parliament plenary session in Strasbourg

NGO MEMBERS:

Members Members

Honorary Members Honorary Members Bendt Bendtsen Bas Eickhout Peter Liese Member of the European ParliamentBendt BendtsenMember of the European ParliamentBas EickhoutMember of the European Parliament (Denmark, EPP)Member of the European Parliament(The Netherlands, Memb Greens)er of the European Parliament(Germany, EPP) (Denmark, EPP) (Netherland, Greens) Morten Helveg Petersen Kathleen Van Brempt Member of the European Parliament MemberKathleen of the European Van Bremp Parliamentt Member(Denmark, of the European ALDE) Parliament Member of (Belgium,the European S&D) Parliament (Germany, EPP) (Belgium, S&D) © Business Solutions Europa [email protected] • www.euase.eu • follow us @EUASE