An important lesson from 2021 is that the global perception towards climate change and the urgency for undertaking actions has increased substantially. Next to the second year of COVID-19 and its impacts on energy and climate, the entire society has realized the aggressive impacts of climate change and new dilemmas appear in terms of how to use public funding. In the new financing period for the EU with the Recovery and Resilience fund, the Multiannual Finance Framework and the various funding streams, it is of utmost importance to ensure the balance between a sustainable economic recovery, climate protection and green growth, where energy and climate will be at the core of all decisions.
Solutions of the past for investing and subsidizing fossil fuels for energy production and energy needs in buildings do not have a place in the new era.
In the period of sustained higher energy prices due to exogenous market factors of fossil fuels, each euro of subsidy towards the problem (fossil fuels), broadens the gap towards the solution, as it deepens the lock-in investments and conditions that jeopardize the energy transition. Although most Member States opted for short-term measures through direct or indirect on-bill financing, the vision of sustainable longer-term measures, such as massive energy refurbishment, must remain alive.
The Fit-for-55 package has provided a real hope for the future and the targets envisaged in both energy efficiency, climate change and renewable energy must not be watered down in the negotiations.
We, at IEECP, will keep on striving, through generating and sharing scientific and policy knowledge from our series of European funded projects, to contribute to this ongoing policy process.
Welcome to the last IEECP newsletter of 2021!