Europe's clean technology investment challenge

Bericht

Development and deployment of clean-energy technologies is crucial if climate targets are to be met cost-effectively. The European Union already has a plan that deals with these issues: the Strategic Energy Technology Plan, which has become central to the achievement of the EU's ambitions. In a period of constrained public finances, if governments want to leverage the necessary private innovation for clean-energy technologies, they will have to provide well-designed time-consistent policies, reducing commercial and financial risk through a combination of consistent carbon pricing, regulations and public funding, which will have to give a sizable and consistent push to early-stage clean-energy technologies, with a clear exit strategy. But first and foremost, governments should establish a sufficiently high and long-term predictable carbon price. The design of the EU emissions trading system and the distribution of carbon allowances should take into account more explicitly its power to leverage innovation. A move to a 30 percent EU emissions reduction target, which would involve a tighter emissions cap and fewer allowances being auctioned, would result would result in a higher carbon price and provide greater incentives for innovation.

Object Details

• Language: Englisch

References and Relationships

• Bibliographic citation: Series: Bruegel Policy Contribution ; No. 2011/06

Classification and Topics

• Classification: Wirtschaft
• Subject: Klimaveränderung ; Umweltpolitik ; Ökosteuer ; Investitionspolitik ; Regenerative Energie ; EU-Staaten

Contributors, Places and Time

• Event: Geistige Schöpfung
• (who): Veugelers, Reinhilde
• Event: Veröffentlichung
• (who): Bruegel
• (where): Brussels
• (when): 2011

Further information

• Handle: http://hdl.handle.net/10419/72129
• Last update: 10.03.2025, 11:42 AM CET