Welcome to the EURACTIV Green Brief. Below is the latest roundup of energy and environment news from across Europe. You can subscribe to the weekly newsletter here.
The Nord Stream 2 gas pipeline connecting Germany with Russia is a gift that keeps on going. The latest development in the saga of the controversial Kremlin-backed project brought a new twist for Berlin, suggesting it is poised to use the pipeline in the EU’s ongoing rule of law battle with Poland.
“The geopolitical assessment will always have an impact on the approval of Nord Stream 2,” said German Robert Habeck, speaking along with Deputy Prime Minister Jacek Sasin during a visit to Warsaw on Friday (February 11).
To the Polish government – a longtime opponent of the pipeline – that must have sounded like heavenly news. It is certainly an olive branch that Habeck extended to Warsaw during his first trip as German Vice-Chancellor.
But Habeck’s next words likely brought Sasin back to earth – the German vice-chancellor then linked the pipeline’s approval to Warsaw’s ongoing standoff with Brussels over the independence of its judiciary.
“The rule of law” will be central to Germany’s decision on Nord Stream 2, whether positive or negative, said Habeck.
The rule of law “must apply accordingly to all other standards between states, so that the certainty of being able to rely on partners is never called into question,” he added in a series of statements that were obviously intended to be combined.
Germany has postponed the certification of Nord Stream 2 until at least the second half of 2022, but has not canceled the project. The process, Habeck said, will take into account the broader geopolitical implications in full compliance with European law.
Habeck’s words signal a departure from the previous German rule of law policy. Angela Merkel, the former German chancellor, tried to downplay disagreements between the EU and Poland on the matter.
At her last EU summit in Brussels, she kicked the ball into the long grass by deferring the discussion to the conference on the future of Europe.
But by linking Nord Stream 2 to the rule of law, Habeck not only waved a stick in Warsaw – he also wanted to offer a carrot. Respect for the rule of law is a necessary condition to increase mutual investment, he said.
“This [legal] Ultimately, security is also economic security,” emphasized the Vice Chancellor.
And it wouldn’t be the German way if a pot of gold didn’t sweeten the deal. On the subject of investing, Habeck said: “You do that when you know that the rules will always be observed”.
Respecting the rule of law is also a prerequisite for freeing up billions of EU funds for Warsaw, which are currently being held up because of the standoff.
“Overall, I believe that we can quickly address specific issues in order to tackle them together,” concluded Habeck.
– Nikolaus J. Kurmayer
More stories:
BRATISLAVA. Despite the new taxonomy, Slovakia does not expect a boom in gas projects. Key Slovak investors have ruled out reviving several large projects using natural gas and nuclear power for the time being, although the government welcomes the European Commission’s decision to include these energy sources in the new green taxonomy. Continue reading.
ROME. Italian gas and electricity prices are rising despite government intervention. Electricity and gas prices skyrocketed by 94% and 131%, respectively, in the first quarter of 2022 compared to the same quarter last year, Italy’s Energy, Networks and Environment Regulator (ARERA) told the Senate on Tuesday. Continue reading.
WARSAW. The Polish government is accused of manipulating the energy lobby in an anti-Brussels advertising campaign. The Ministry of State Treasury manipulated energy companies to take part in a TV and billboard campaign worth over €2,600,000 and blamed the EU for the rise in energy prices, news service Wirtualna Polska (WP) reported. Continue reading.
PARIS. France wants to build up to 14 new nuclear reactors by 2050. French President Emmanuel Macron expressed his desire to develop nuclear and renewable energy to produce “more decarbonized electricity” and announced the construction of six new nuclear reactors. Continue reading.
BRATISLAVA. Slovakian government wants to tax nuclear power plants, owners threaten bankruptcy. The “excessive profits” of nuclear power plants should be taxed because it would free up millions to offset rising energy prices, the economy ministry said. However, Slovenské elektrárne as, the owner of Slovakia’s two nuclear power plants, claims the bill would result in the private company filing for bankruptcy. Continue reading.
The German MEP drops the RED III bomb in Parliament. Markus Pieper, a German conservative MEP from the centre-right European People’s Party (EPP), presented his amendments to the EU’s draft renewable energy directive on Tuesday (15 February). The revised directive, now in its third iteration, was presented by the European Commission in July last year and aims to increase the share of renewable energy consumed in Europe from the current 23% to 40% by 2030. The current target is 32%.
While Pieper does not dispute the 40 percent target, his draft report contains a number of far-reaching amendments, which he divides into eight categories: 1) strengthening the internal market by doubling the share of cross-border energy connections; 2) speeding up the permitting process for renewable energy projects, including new wind farms; 3) Increase imports of green hydrogen to Europe; 4) supporting the production of biogas with a revised system of Guarantees of Origin (GOs); 5) Reduction of the 50% target for green hydrogen used in industry; 6) Further promotion of biofuels in transport; 7) reducing biomass restrictions; 8) Reducing bureaucracy by removing requirements for green industrial products and the cascade principle for biomass.
In summary, Pieper said the EU’s 40 percent target is “realistic” and underpins Europe’s claim to global leadership on climate change. “But the instruments are too timid,” he added, saying “we need to focus more on the internal market, cross-border energy projects and shortening permitting procedures.” The draft Pieper report can be downloaded here. (Frédéric Simon | EURACTIV.de)
Nord Stream 2 loses a key German ally. The biggest supporter of Nord Stream 2 in Germany, Manuela Schwesig, Prime Minister of Mecklenburg-Western Pomerania, will be out of active politics indefinitely because of an urgent operation. A flare-up in the aftermath of her won battle with cancer is likely to leave the social democrat unable to continue defending the controversial pipeline as she has done so far. (Nikolaus J. Kurmayer | EURACTIV.de)
Alleys at the table with Putin and Scholz. It came as no surprise that Chancellor Olaf Scholz raised the issue of gas in his talks with Russian leader Vladimir Putin, as Germany relies heavily on Russian gas imports, which are pumped to Europe via pipelines.
But despite Germany’s “hydrogen diplomacy” being widely derided in Ukraine just a month earlier, Putin brought up the issue as the situation on the Ukrainian border is at its worst. “We talked about hydrogen today,” Putin said after the meeting with Scholz, referring to efforts to expand the production of “green” hydrogen. For the country, which depends on energy exports, participation in a future hydrogen economy seems crucial. (Nikolaus J. Kurmayer | EURACTIV.de)
Energy exchange associations concerned about EU intervention. In a letter to Frans Timmermans, co-lead of the EU Green Deal, energy trading venues involved in emissions trading (via the EU ETS) are urging the executive to refrain from intervening. Associations such as the Association of European Energy Exchanges (Europex) praise the transparency of emissions trading and the market-based functioning of the system and warn against “introducing position limits or restricting the participation of financial and non-financial actors”. (Nikolaus J. Kurmayer | EURACTIV.de)
22 FEBRUARY. (Re)building Europe: What are the challenges facing the Member States?
Join Fulvia Raffaelli, Head of Unitary Construction at DG Grow, Maria Spyraki from the European Parliament’s Energy and Environment Committees and others to discuss the new economic and environmental challenges facing the construction sector, particularly for South East Europe. program and registration here. (Supported by Glavbolgarstroy)
3 MARCH. Efficient district heating systems: How to achieve cost-effective decarbonization? Join this EURACTIV virtual conference to discuss the EED proposal’s new definition of efficient district heating systems and how stakeholders can best work together to achieve cost-effective decarbonisation. speaker tbc. program and registration here. (Powered by PGE)
23 FEBRUARY. European Commission proposal on sustainable corporate governance
2ND MARCH. Communication on energy.
17. MARCH. environmental council.
MARCH 23. Conservation Package: Revision of rules on sustainable use of pesticides and nature restoration goals.
MARCH 30. Circular Economy Package 1:
- Sustainable products initiative, including a review of the Ecodesign Directive
- Review of the Construction Products Regulation
- Proposal for a regulation to substantiate environmental claims with the environmental footprint of products/organisations (Green Claims) method
- Strategy for sustainable textiles
- Empower consumers for the green transition
5 APRIL. Emission and pollutant package:
- Revision of the Industrial Emissions Directive and update of the European Pollutant Release and Transfer Register (E-PRTR)
- Review of EU rules on fluorinated greenhouse gases
- Regulation on Substances that Deplete the Ozone Layer
- Development of post-Euro 6/VI emission standards for cars, vans, trucks and buses
3 MAY. International partnerships and energy package:
- New strategy for international energy commitment
- Joint communication on a partnership with the Gulf
25-27 MAY. G7 meeting of climate and energy ministers.
7 JUNE. Joint Communication on International Maritime Policy
27 JUNE. energy advice
JUNE 28TH. environmental council.
20TH OF JULY. Circular Economy Package 2:
- Policy framework for bio-based, biodegradable and compostable plastics
- Review of the Packaging and Packaging Waste Directive to strengthen the essential requirements for packaging and set out packaging waste prevention measures and targets at EU level
- Review of the Urban Wastewater Treatment Directive
