The Covid-19 pandemic
is highly impacting our
societies and is a major
shock for the European
and global economy.
In this difficult
context, the European Union has the
opportunity to relaunch its economy
guided by its long-term climate
commitments, namely becoming
climate neutral by 2050, while at the
same time providing support to its
many citizens who suddenly lost their
work and income.
The recovery packages being
prepared should not only aim at
countering the economic damage
caused by the COVID-19 pandemic.
They should prepare the ground for
a more prosperous, resilient, and
sustainable future for our continent
and the world.
Energy efficiency can help
policymakers address the multiple
challenges we are all faced with.
Energy efficiency is paramount for
climate mitigation. Through existing
technologies, it is possible to reduce
energy consumption, increase the
efficiency of the entire energy system
and accelerate the integration
of renewables. According to the
International Energy Agency (IEA),
76% of the European greenhouse gas
emission reductions required to keep
temperature increases below 1.5°C
must come from energy efficiency.
In the European Union, energy
efficiency is one of the pillars of the
European Green Deal. In the recent
proposal of a European Climate
Law, energy efficiency is part of
the defining elements of the EU's
trajectory towards climate neutrality by 2050. Along the same lines, the
current political focus on buildings
renovations indicates that the EU
institutions recognize the economic,
social and environmental impact of
a transition towards a highly efficient
building stock. Last but not least,
the European Commission recently
highlighted in its EU Industrial
Strategy that reducing emissions
across industry, namely the most
energy-intensive ones, will greatly
depend on the wide implementation
of effi ciency measures and on the
Energy Efficiency First principle.
When it comes to industrial strategy,
economic growth and job creation,
indeed, the full application of the
Energy Efficiency First principle to all
energy policymaking, planning and
investments, can be a real change
maker for the energy efficiency value
chain and, as a consequence of this,
for the European economy.
Our continent hosts some of the
most innovative and successful
energy efficiency companies in the
world. The members of the European
Alliance to Save Energy are global
"champions" that export technologies
and drive innovation. Hundreds
of other players, especially SMEs,
operate in this fi eld across Europe.
Therefore, it is not surprising that the
International Patent Classification
green patents inventory of the World
Intellectual Property Organization
shows that among the countries
with higher concentration of filing
of patents in energy conservation
technologies there are EU Member
States such as Germany, France, and
the Netherlands. In addition, the filing
of energy conservation technologies
patents (together with green
transportation technologies) continue
to grow despite the slowdown of
other green patents technologies.
This demonstrates that the energy
efficiency value chain is very much
European. Therefore, investing in it
will produce deep benefits in and
contribute to stimulating the whole
European economy.
Moreover, energy efficiency has a
clear impact on local value chains,
and it has the advantage of being
"ready to use". A key example is
given by the building renovation
value chain. This is made of several
sectors and professionals which are
all needed to implement projects that
can be started right away. This kind of
investments are extremely useful to
boost local economies after a shock
like the current crisis. In addition, they
are much safer than building highcost
alternative energy infrastructures
which may lock-in investments for
years and waste taxpayer's money in
stranded assets. Finally, this kind of
investments will foster the creation of
high-quality jobs, in an innovative and
digitalised environment.
For these reasons, in an increasingly
competitive global market where
the European industry struggles to
remain a leader, energy efficiency is
a strategic way forward. This should
be reflected in how strategic value
chains and priority infrastructures
are defi ned and selected at EU level.
For example, through changes to the
energy infrastructure governance in
the revision of the TEN-E regulation,
and by including a predominantly
European energy efficiency value
chain in the Important Project of
Common European interest (IPCEI).
For Europe, investing in energy
efficiency means investing in a
sustainable recovery which is ‘made
in Europe’. We can capitalize on
this added value to achieve a fast,
smart, and environment-friendly
recovery while boosting long term
competitiveness of a broad range
of European sectors and industrial
players.