What chance a 2030 deal?

The chances of a climate and energy agreement are high – but don’t bet your house just yet. The Czech Republic would like to see an agreement – but only if it achieves a compromise that strikes the right balance between protection of environment and economic growth, employment and competitiveness. The 2030 agreement will also have direct implications for another major issue – energy security. This is why the Czech Republic is actively striving for resolving the outstanding issues that may prevent the compromise from being reached next week.

As with any complex dossier, some aspects of the 2030 framework are more exposed politically, while others remain subject to a debate that is rather technical. But as always, the devil may hide in the technical detail. The most visible part of the story concerns targets: there are three on the table. First, the EU should continue and step up its effort to reduce greenhouse-gas emissions. This translates into a specific target to reduce GHG emissions by 2030 by 40% as compared to 1990. In addition, two targets are proposed to support efforts to achieve the greenhouse-gas emissions-reduction goal. One objective is to increase the share of renewable-energy sources to at least 27% of the EU’s energy consumption by 2030. The other objective is to increase energy efficiency by 30% by the same year.

The Czechs began in January on the path to reach a compromise. We started to ask the European Commission repeatedly to provide us with information on target breakdowns and the impacts and implications for the Czech economy and society. Our own studies indicated grounds for concern and we needed to reconcile them with figures from the European Commission. What we have received so far has not yet fully answered our worries. We are therefore seeking to get fresher, more precise information. Without it, we are not on the safe side.

At the same time, the Czech Republic has engaged in a frank and constructive dialogue on targets. We share the view that it is essential to reduce greenhouse-gas emissions. We have fully embraced the 40% reduction target. We are also ready to accept the goals for renewable energy and energy efficiency – provided these targets be indicative and should apply to the EU as a whole.

If we want to reach an agreement next week, the 2030 framework needs to reflect specific conditions in each member state and to ensure that renewable-energy and energy-efficiency targets are not translated into national targets, directly or indirectly. This is one of the points where the Czech Republic needs more certainty. We need a clear and explicit reassurance that the renewable-energy and energy-efficiency targets will be non-binding. We stick to the Treaties and insist that the right of the member states to determine their energy mixes may not be questioned.

This is also the bottom line for the more technical debate on the modalities of the governance system. Its intricate design should prevent a situation in which the sovereignty of member states to decide on their energy mix is compromised under cover of a seeming technicality. The key issue for the Czech Republic is the importance of fairness and solidarity when it comes to burden-sharing. Despite our collective efforts, we are still not at equal starting-points. Therefore, the Czech Republic insists that gross domestic product per capita should be the criterion in both the emissions-trading system and beyond.

The new element in the 2030 package is energy security. The Czech Republic is glad that this issue is gaining in importance. Even though it is a theme in its own right and should be treated accordingly (in other words, separately in the conclusions of the summit), we can see some of its connections to the 2030 framework. We are therefore ready to support the newly proposed interconnectivity target as long as the market coupling issue is covered. We believe that physical market coupling is an integral part of the interconnectivity target.

Our key priority for the upcoming European Council is to ensure clarity, fairness, cost-effectiveness and ownership of the 2030 framework. It is always tough to reach a compromise, but the ability to respect others’ needs makes the EU strong. And we are determined to engage with this positive approach in the final phase of the negotiations so that the remaining outstanding issues are solved and the deal can be made.

 

The article of the State Secretary for European Affairs Tomáš Prouza was published in on-line European Voice on 17. 10. 2014