Energy Commissioner Guenther Oettinger seems to have gotten quite a shock over energy subsidies. The German commissioner, who also proposed a list of Common Interest infrastructure projects this week, has long maintained that Green energy receives more in subsidies than other non-nuclear power sources and asked for a report from his Directorate-General. But the Sueddeutsche Zeitung has reported that the results weren't quite what the Commissioner expected, and claims that he has had the more embarrassing figures removed.
The SZ uncovered that the figures for the energy industry for the 27 Member State bloc (i.e. before Croatia joined) were: €30 billion on renewable energy, €35 billion for nuclear, and for fossil fuels €26 billion in direct subsidies, with a further €40 billion in subsidies delivered indirectly. The embarrassing numbers didn't make it into the final report (the SZ provides the draft and the final report in the article).
As the paper notes, it is strangely reminiscent of the behaviour of the CDU-FDP German government in editing the report on inequality in Germany. This report initially reported that the inequality gap in Germany has grown in recent years but the final report had key sections altered to suppress this finding, allegedly at the behest of the market liberal FDP.
In any case, the numbers indicate that subsidies and state intervention are a pretty key part of the energy sector in Europe. The politics of slamming renewables for being "expensive" to support need to give way to a broader debate about the energy industry. What does it say about this market that it requires such a high level of state support - and what do we get in return? And are our priorities right in what energy sources we are supporting (coal being part of this mix)? Are these subsidies cost effective?
Cost effectiveness will be a key point, particularly for renewables that are supposed to be the growing market sector. Are we getting the growth in this sector that we should be?
Showing posts with label Oettinger. Show all posts
Showing posts with label Oettinger. Show all posts
Friday, 18 October 2013
Sunday, 17 January 2010
Ashton: foreign policy will be conducted "as appropriate".
Baroness Ashton's hearing was probably the most watched one, even though it was widely predicted that she would pass through easily, due to the cross-party and cross-member state deal on her candidature. But the lure of hearing what the views of someone entering the foreign policy arena for the first time, and of hoping to see some indications of how she would attempt to shape EU foreign policy drew an audience.
So how did she do?
To some people, she was a disappointment - there was no strong commitments or statements on policy in any single area. At most, the western Balkans - and Bosnia and Herzgovina in particular - where indicated as a priority, while every other foreign policy issue was, the MEPs were assured, of great importance and would be considered carefully. On one hand, it was a frustrating hearing - these are easy and natural things to say, and they hardly tell us anything that we couldn't already tell from a glance at the EU's interests in its own region. But then again, it's hard to know what we should expect from a foreign policy hearing. An incoming foreign minister (or high representative) doesn't want to annoy possible partners and allies, and you don't want to go around talking about strategies openly. The HR position also has the problem that a unanimous coalition has to be built up at home (or at least a position that nobody wants to veto) before the HR can set about implementing a policy.
Still, the liberal use of the phrase "as appropriate" in her answers means that already vague replies were rendered almost meaningless. The most interesting single statement was a strong-sounding statement against Iran building nuclear weapons, and in favour of non-proliferation regimes.
MEPs didn't exactly preform well: they may have been going easy on her to protect the deal over her candidature, but more searching and specific questions could have been asked to get a better feel of her personal attitudes, which would no doubt shape her tenure. MEPs had a strange obsession with getting the right to hold hearing and vet the appointment of senior EU ambassadors - which Ashton repeatedly, and sensibly, refused.
Towards the end the Green MEP Ulrike Lunacek made a good point - we want to know what Ashton is like, we don’t want an ambassador for 27 foreign ministers. While it's impossible to leave the 27 foreign ministers out of any equation, I don't think we got any deeper into what kind of HR Ashton will be, than the image of the "quiet diplomat" that she has been promoting over the last few weeks.
Indeed, the most important foreign policy statement we may have heard from the hearings could have come from the hearing of the Energy Commissioner-designate, Oettinger. Apparently, he wants the EU to deal with energy deals - ending bilateral treaties between member states and third parties. If the EU were to sign energy treaties collectively, then the EU's market size would come to bear, and it would upset Russia's "divide and rule" strategy when it comes to gas.
So how did she do?
To some people, she was a disappointment - there was no strong commitments or statements on policy in any single area. At most, the western Balkans - and Bosnia and Herzgovina in particular - where indicated as a priority, while every other foreign policy issue was, the MEPs were assured, of great importance and would be considered carefully. On one hand, it was a frustrating hearing - these are easy and natural things to say, and they hardly tell us anything that we couldn't already tell from a glance at the EU's interests in its own region. But then again, it's hard to know what we should expect from a foreign policy hearing. An incoming foreign minister (or high representative) doesn't want to annoy possible partners and allies, and you don't want to go around talking about strategies openly. The HR position also has the problem that a unanimous coalition has to be built up at home (or at least a position that nobody wants to veto) before the HR can set about implementing a policy.
Still, the liberal use of the phrase "as appropriate" in her answers means that already vague replies were rendered almost meaningless. The most interesting single statement was a strong-sounding statement against Iran building nuclear weapons, and in favour of non-proliferation regimes.
MEPs didn't exactly preform well: they may have been going easy on her to protect the deal over her candidature, but more searching and specific questions could have been asked to get a better feel of her personal attitudes, which would no doubt shape her tenure. MEPs had a strange obsession with getting the right to hold hearing and vet the appointment of senior EU ambassadors - which Ashton repeatedly, and sensibly, refused.
Towards the end the Green MEP Ulrike Lunacek made a good point - we want to know what Ashton is like, we don’t want an ambassador for 27 foreign ministers. While it's impossible to leave the 27 foreign ministers out of any equation, I don't think we got any deeper into what kind of HR Ashton will be, than the image of the "quiet diplomat" that she has been promoting over the last few weeks.
Indeed, the most important foreign policy statement we may have heard from the hearings could have come from the hearing of the Energy Commissioner-designate, Oettinger. Apparently, he wants the EU to deal with energy deals - ending bilateral treaties between member states and third parties. If the EU were to sign energy treaties collectively, then the EU's market size would come to bear, and it would upset Russia's "divide and rule" strategy when it comes to gas.
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