Page 59 - European Energy Innovation - Autumn 2014
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Autumn 2014 European Energy Innovation 59


the target in more detail you
find that the 27% renewables
target is barely more than the
24.4% European Commission’s
predicted business-as-usual
scenario share. Moreover,
an EU-wide target without
binding national targets would
not provide the stability and
predictability any investor would
need. Therefore, to ensure that
private capital can be driven
towards renewable energies
stronger political support is
needed. European politicians
and policymakers need to firmly
support more ambitious targets
for renewables.

There is, however, room for © Enel
optimism. In a speech to the
European Parliament in July, the sector and truly create the low the most polluting power plants,
Commission President elect, Mr. carbon future the majority of alone it will not be enough to
Juncker, came forward in support Europeans want. fully negate investment risks in
of a 30% energy efficiency target renewables now.
for 2030, which is now backed by As European Heads of State
a Commission Communication. will gather again in October to Europe has a leading position in
Such an energy efficiency target discuss the Commission proposals developing renewable energies,
had seemed the least likely of for a 2030 Climate and Energy but to maintain this position it
all the targets to gain political framework, President Juncker needs an ambitious, stable and
support earlier this year. However, should seize the opportunity predictable regulatory framework.
with a new Commission President to upgrade the European That will enable renewables and
comes new room for manoeuvre Commission’s position on solar photovoltaics to thrive in
and new ideas. Further optimism renewable energy. The necessary Europe, generating growth, jobs
can be harnessed by looking to renewal of the European power and a much-needed economic
the European Parliament who fleet will require large capital- boost for the continent. The right
earlier in 2014 called for a 30% intensive investments. While a signals for investors can go a long
binding renewables target in strong CO2 price can help close way to achieving this vision. l
2030. Nevertheless to effectively
give investors the right signal on 1. According to the Special Eurobarometer 364 from May 2011, people are “more favourable to renewable energy
renewable energy Mr. Juncker than other energy sources, particularly solar (94%), wind (89%) and hydroelectric (85%)” energy.
needs to bring forward an
ambitious plan to incentivise 2. The Economist, “Green bonds: Green grow the markets, O”, 5 July 2014.
investments in renewable energy.
This investment signal should
consist of binding national
targets for renewable energies
and an overall framework at the
European level. This will speed
up the process of driving private
funds into the renewable energy
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