Crunch time for EU energy policy

After the takeover squabbles and fierce debates surrounding national sovereignty issues, the EU is now facing a number of key decisions that will reveal its true resolve in shaping a common energy policy.

EU heads of state and government agreed on the basic principles of a future ‘Energy Policy for Europe’ at the spring summit in March (EurActiv 24 March 2006). Discussions were based on suggestions presented earlier by the Commission in an Energy Green Paper (EurActiv 9 March 2006). They include completing the opening of European gas and electricity markets and stepping up relations with major suppliers such as Russia and OPEC. Others relate to further boosting renewable energies, energy efficiency, and research on low-carbon technologies.
The EU has set itself a target of increasing the share of biofuels in transport to 5.75% by 2010. At the spring summit, EU leaders suggested that this target could be increased to 8% by 2015, pending further impact analysis.

Biofuels also offer the prospect of further reducing CO2 emissions from cars. CO2 emissions are directly linked to fuel consumption with engine efficiency and other technological improvements regularly leading to further emissions cuts.

Before year end, the Commission will revise its current strategy with the aim to reduce average emissions of new cars to 120g CO2/km by 2010 at the latest. European and Japanese carmakers have committed to cut emissions to 140g CO2/km by 2008/9 respectively.

But progress so far has been slow, the latest Commission report in 2005 saying “major additional efforts” are needed to reach the target. “Should it become clear that the commitments made are no longer honoured, the Commission will consider measures, including legislative ones, to ensure that the necessary reductions of CO2 are delivered,” said Stavros Dimas, the EU environment Commissioner.

EurActiv