There is no need to worry. We will not sell fewer wind turbines, solar panels or energy-saving components because the EU’s taxonomy for sustainable investments – under certain conditions – includes natural gas and nuclear energy.
On the contrary. Because with the prospect of investing in what is less black than coal and oil, optimism and the support for the ambitious EU climate goals, with full neutrality in 2050 and already at least 55 percent reduction of CO2 in 2030, can be well achieved. The war in Ukraine only underlines the need for investors to engage in the energy transition.
It will make us want more energy efficiency than ever before. This will affect the interest in building renewables such as solar panels and wind farms on a scale that, together with hydrogen and nuclear energy, can make the EU self-sufficient in green and clean energy.
However, I would like to call for governments and business organizations throughout Europe to focus on the legislation in the denounced taxonomy for sustainable investments.
The current two first acts are made so that they can be used on well-known and traditional energy technologies. Not the “enabling technologies”. And not at all the energy technologies that are stilling waiting for investors to find them for a rapid, needed scale-up or are still being developed in research labs and among inventive entrepreneurs. Those that are still unknown, but can catalyse CO2 reduction to an unprecedented degree.
This for example means that investments that support the integration of renewable energy into the electricity network and the spread of digital technologies for energy efficiency will be prevented. The European Commission will soon issue a supplementary act on manufacturing companies. Here, we need to be ready to support our export interests. Especially for the next major act for the taxonomy (Taxo4), which is about water, biodiversity, air, and circular economy.
It is crucial that European governments, and interest organizations, increase their export diplomacy efforts together, so that the many potentials in the biotechnology sector can achieve better and broader paths into the green transition’s many business opportunities. The current challenges on the EU foodstock that risk to push climate – and environmental ambitions aside call for e.g. more investments in for instance vertical farming.
The green transition need more innovative tools than arguing politicians and narrow-minded stakeholders – and the next generation deserve that. Lets enable our political focus to do so.