EUROPE was able to consult, on Tuesday 28 April, two documents presenting the priorities of the Netherlands and Denmark for a ‘green recovery’ after the Covid-19 health crisis.
Like the document from the French authorities already detailed in our columns (see EUROPE 12475/6), these two texts defend a central role for the Green Deal in the European Union’s economic recovery plans in order to achieve a climate-neutral economy while increasing employment opportunities in sustainable sectors.
Dutch proposal. To this end, the Netherlands calls, inter alia, for no expenditure to undermine the EU’s climate and environmental objectives, using the Commission’s taxonomy and sustainability assessment guidelines, for example.
On the budgetary aspect, the document proposes in particular: (1) to increase the share of the 2021-2027 Multiannual Financial Framework (MFF) earmarked for climate to at least 25%, while ensuring that the MFF as a whole is in line with the objectives of the Paris agreement; (2) to increase significantly climate-related expenditure under the Neighbourhood, Development and International Cooperation Instrument (NDICI), ideally from at least 25% to 50%.
Furthermore, the Netherlands believes that the State Aid rules should allow support – if necessary and in a proportional manner – for “companies that are willing to adopt low-carbon and circular and sustainable investments”. According to the Dutch authorities, State Aid approval procedures for sustainable industrial projects and clean technologies should also be sped up, e.g., for green hydrogen or carbon capture, use and storage (CCUS) projects.
Finally, the paper recommends adapting current climate and environmental standards and instruments, such as the European Emissions Trading Scheme (ETS), to achieve higher emission reduction targets in 2030. Like France, the Netherlands in particular advocates the introduction of a minimum carbon price under the ETS.
Danish proposals. The Danish authorities agree with the Netherlands on a number of points, such as improving energy efficiency, promoting renewable energies, strengthening sectoral integration through electrification, transforming the transport sector for more sustainable mobility and the transition to a circular economy.
However, the Danish paper places more emphasis on the importance of Europe’s digital transformation and the need for the EU to be more self-sufficient “as regards certain technologies of critical importance for future economic development and security in Europe”, in particular 5G.
According to the Danish authorities, the recovery plan currently being prepared by the European Commission should thus “pave the way for an ambitious Europe-wide 5G campaign to create a global state-of-the art economic ecosystem for the European economy as a whole”.
To consult the document from the Danish authorities: https://bit.ly/3cOteM2 (Original version in French by Damien Genicot)