An “Atlantic Rendez-Vous” TV satellite debate between Washington DC and Brussels
Co-organised by Friends of Europe, the European Commission Delegation to the US, Gallup Europe and the Center of Security and International Studies (CSIS)
These recommendations represent the outcome of the 4th Atlantic Rendez-Vous (ARV) project in Friends of Europe’s 2006-2007 ARV series. The ARV series is an initiative of Friends of Europe in collaboration with the European Commission Delegation to the US and Gallup Europe. It aims to create a platform for enhanced dialogue and policy debate between the EU and the US on key transatlantic issues.
The pioneering transatlantic satellite format that connects Brussels and Washington in a lively TV-style debate, and the contributions of a wide range of American and European experts, make Friends of Europe’s ARV series unique in its genre and represent an unprecedented attempt to create a transatlantic platform for debate.
Policy recommendations
Act now! Climate change is a reality, and measures must be taken both to limit the rise in emissions and to adapt to changes that are already ‘built in’ to the climate system. It is cheaper to introduce measures to deal with global warming now than to leave it to future generations.
Focus diplomatic efforts on a post-Kyoto framework. Rapid changes are happening around the world, helped by electoral cycles in a number of key countries, such as the US, Australia and Canada. There is real international momentum for action on climate change and the opportunity should be seized. Europe has created a position for itself as a leader on climate change and needs to leverage this to put in place the building blocks for a post-Kyoto low-carbon global economy after 2012.
Make a long-term commitment to emissions trading. One of the best ways to encourage continued emissions cuts after 2012 is to commit to an extension of the EU’s Emissions Trading Scheme (EU ETS). This gives investors, both in Europe and the rest of the world, greater confidence to put cash into carbon trading and gives businesses more incentive to generate surplus allowances.
Auction allowances in cap-and-trade schemes. Giving away allowances for free means that participants receive a valuable asset without having any incentive to cut their emissions. Auctioning focuses participants on their responsibility to change their behaviour, and encourages them to take action, regardless of the price. It also increases the price of allowances, further boosting the incentive to cut emissions.
Diversify energy supplies. This means not just a geographical spread of supplies from different countries and regions to reduce reliance on Russia (for gas) and the Middle East (for oil), but also introducing a wide range of fuels to make oil and gas less crucial. Renewable energy technologies include wind, solar, biofuels, hydro-electric and geothermal (where appropriate) and in the longer term, hydrogen.
Don’t ignore the easy options. The recent announcements by Australia and the EU on phasing out traditional light bulbs exemplify policies that are relatively easy and inexpensive to implement, and likely to be popular. Measures such as this can be introduced while the arguments rage over whether to build new nuclear power stations. Energy efficiency is the quickest, easiest and most effective way to cut emissions.
Look beyond technology. Demand management can be just as effective in cutting emissions, so market mechanisms must be in place to encourage consumers to act in a more environmentally friendly manner. This in turn will lead businesses to seek the profit opportunities from satisfying the demand for low-carbon products and lifestyles.
Put in place the infrastructure for distribution of biofuels. There are many issues surrounding the benefits of first-generation biofuels, including their effect on food production, deforestation, efficiency and whether they can provide value for money compared to fossil fuels. Many of these problems will most likely be overcome by second-generation cellulosic ethanol, a very promising technology that is still some years from commercialisation. Using first-generation biofuels to create a biofuels distribution system would speed the introduction of second-generation biofuels and help cut emissions from transport.
Boost energy storage. Energy storage technologies are often overlooked, but they allow intermittent renewable energy sources to provide constant power, while improving their profitability. Energy generated at off-peak times can be stored and then sold at premium prices during peak demand. Energy storage also improves the efficiency of existing electricity infrastructures and makes decentralised energy generation more viable.
Increase knowledge. “You cannot manage what you cannot measure.” The old business mantra fits well with efforts to control energy use. Businesses and householders often do not know where their energy consumption is highest and what the best way to reduce it is. The range of measures to improve customers’ awareness includes smart meters, better labelling of products and appliances and more information on bills.
Don’t compete, co-operate. The US and Europe must avoid competing for ever-scarcer energy resources and must begin to introduce their own clean technology products into the global market. But energy supply and climate change are everyone’s problems and require global solutions. The US and Europe must join together to counter the increasing nationalisation of fossil fuel and work to ensure that clean technology is as widely distributed as possible.
Contributors to this ARV series include:
Spencer Abraham, Chairman of the Board, AREVA Inc. and former US Secretary of Energy, US;
Paul B. Abramson, Special Associate Chief Administrative Judge, Atomic Safety and Licensing Board Panel, Nuclear Regulatory Commission (NRC), US; Edmond Alphandéry, Chairman of the Supervisory Board, Caisse Nationale de Prévoyance, France, and Trustee, Friends of Europe; James W. Angelo, Director, Performance Surety Division, Los Alamos National Laboratory (LANL), US; Martin Apple, President, Council of Scientific Society Presidents, US; Joachim Bitterlich, Executive Vice President, Veolia Environnement, France and Trustee, Friends of Europe; Guy F. Caruso, Administrator, Energy Information Administration, US; Reid Detchon, Executive Director, Energy Future Coalition, US; Patrick Doherty, Director, Corporate Social Responsibility, City of New York Comptroller’s Office, US; Jonathan Faull, Director General for Justice, Freedom and Security, European Commission; Hans-Aasmund Frisak, Senior Adviser, Statoil; Paal Frisvold, Policy Adviser, Bellona Europa; Lord Timothy Garden, Liberal Democrat, House of Lords, UK; Michael Glos, Minister of Economy and Technology, Germany; Thomas O. Gray, Deputy Executive Director, American Wind Energy Association, US; Heinz Hilbrecht, Director for Conventional Sources of Energy, Directorate General for Energy and Transports, European Commission; David Hone, Group Climate Change Adviser, Shell International; William C. Horak, Chair, Energy Sciences & Technology Department, Brookhaven National Laboratory, US; Mark Johnston, EU Energy Policy Campaigner, Greenpeace EU Office; David Kelly, Chairman, Matthews International Corporation, US; Thomas R. Kuhn, President, Edison Electric Institute, US; Pascal Lamy, Director General, World Trade Organisation and Trustee, Friends of Europe; Cindy Lee, Programme Director for Environmental Sustainability, Chemical, Bioengineering, Environmental and Transport Systems Division, National Science Foundation, US; Leslie Lowe, Programme Director, Energy and Environment, Interfaith Center for Corporate Responsibility, US; Harold F. McFarlane, President, American Nuclear Society, La Grange Park, US; Cesare Merlini, Vice President, Council for the US & Italy; Andrés Ortega, Director, Foreign Policy Spanish Edition; Andris Piebalgs, EU Commissioner for Energy; Arne Richters, Senior Specialist Government Affairs, Toyota Motor Europe; Martin Rocholl, Chair, Friends of the Earth Europe; Matthias Ruete, Director General for Energy and Transport, European Commission; Rusdu Saracoglu, Chairman, Yapi Kredi Bank; Henning Schulte-Noelle, Chairman of the Supervisory Board, Allianz; Jacques de Selliers, General Manager, GreenFacts; Lord John Kerr, Deputy Chairman, Shell; Keith Smith, Senior Associate in the Europe Programme, Center for Strategic and International Studies (CSIS), US; Claude Turmes MEP, Member of the European Parliament Committee on Industry, Research and Energy; Tapani Vaahtoranta, Director, Finnish Institute of International Affairs; James A. Wendt, Director, Department of Energy, US; Hans Verolme, Director, Global Climate Change Programme, World Wildlife Fund (WWF); Piotr Grzegorz Wozniak, Minister of Economy, Poland.
About the project
These recommendations have been drawn from three principal sources:
An Friends of Europe/Gallup Europe opinion poll of leaders on both sides of the Atlantic on a range of energy issues;
The TV-satellite debate entitled “Are America and Europe energy collaborators or competitors”, held simultaneously in Brussels and Washington DC on 9 November 2006;
A series of high-level interviews with political, government, business, NGO and academic figures in Europe and the US.
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