After Canada last month, the European Commission has announced its master plan to reduce CO2 emissions, and develop renewable energy by 2020. The Communication sets the objective to reduce greenhouse gas emissions by at least 20%, and increase to 20% the share of renewable energies in the energy consumption. Commission President Mr Barroso, set series of measures that will discussed by the end of 2008:
_Rebuild the EU Emission trading system by including more than 40% of the total emissions. It means 10,000 industrial plants across the EU.
_Reduce step by step the polluting licences amount.
_This system could raise €50 billion annually by 2020. This amount will be re-injected to develop green innovations, carbon capture and storage, and R&D.
_A minimum target of 10% for use of biofuels in transport in order to save 35% of CO2 emissions in this sector.
The Commission considers this period as an opportunity, that should create thousands of new businesses and millions of jobs in Europe. The plan would cost 0.5% of the EU GDP, or €3 per week and per citizen by 2020. The Canadian action plan could cost between 1% to 2% of economic growth, during the same period.
These plans are relatively expensive but necessary. If the recession period is confirmed, the investment volume will decrease. However, we hope they will be concentrated in the green sector in order to reach the objectives set by the Kyoto Protocol, and to strengthen the security of supply.
