EU Leaders Recognize the Need for Predictable 2030 Framework Mobilising Private Investments

Posted: Wednesday, May 22, 2013

At the European Council meeting being held today, May 22, 2013,Heads of States and governments underlined the importance of having a predictable climate and energy policy framework post-2020 and of phasing-out fossil fuel subsidies.

"The Heads of States recognise the much needed benefits of a 2030 energy framework. It would attract private investments, bring down capital costs as well as future energy prices and step-up the deployment of renewables", said Rainer Hinrichs-Rahlwes, President of the European Renewable Energy Council (EREC).

The European Council discussed both energy and taxation issues, with a specific focus on competitiveness.

"Boosting renewable energy is key to addressing the EU’ s competitiveness and large trade deficit", said Hinrichs-Rahlwes, "Predictability and stability are of the utmost importance for our sector. Renewable energy investors are looking ahead to the coming decades and are expecting an ambitious and robust signal from policy makers. We need a binding target for the sector by 2030 and Heads of State must join the European Parliament in its call for a new mandatory target".

"The EU is falling behind in global competition, lacking ambitious renewables policies for 2030, while at the same time importing fossil fuels worth € 406 billion annually. In this regard, EREC welcomes that Heads of States make it a priority to phase-out fossil fuel subsidies", added Hinrichs-Rahlwes.

"Europe needs to reap the benefits of its first-mover advantage in renewables by providing the sector with predictability, allowing for investments which are vital for jobs and growth and enhanced competitiveness of Europe’ s industry", Hinrichs-Rahlwes concluded.