A European industrial development policy for prosperity and zero emissions
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A European industrial development policy for prosperity and zero emissions. / Nilsson, Lars J.; Åhman, Max; Bauer, Fredric; Ericsson, Karin; Johansson, Bengt; van Sluisveld, Mariësse; Vogl, Valentin; Andersson, Fredrik N.G.; Hansen, Teis; Bataille, Chris; Lechtenböhmer, Stefan; de la Rue du Can, Stephane; Schiro, Danielle.
eceee Industrial Summer Study: Decarbonise Industry! 2020 - Proceedings. European Council for an Energy Efficient Economy, 2020. p. 457-466 (Eceee Industrial Summer Study Proceedings, Vol. 2020-September).Research output: Chapter in Book/Report/Conference proceeding › Article in proceedings › Research › peer-review
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TY - GEN
T1 - A European industrial development policy for prosperity and zero emissions
AU - Nilsson, Lars J.
AU - Åhman, Max
AU - Bauer, Fredric
AU - Ericsson, Karin
AU - Johansson, Bengt
AU - van Sluisveld, Mariësse
AU - Vogl, Valentin
AU - Andersson, Fredrik N.G.
AU - Hansen, Teis
AU - Bataille, Chris
AU - Lechtenböhmer, Stefan
AU - de la Rue du Can, Stephane
AU - Schiro, Danielle
N1 - Funding Information: We thank the European Commission for support under contract No. 730053 for the H2020 REINVENT project and the Swedish Energy Agency for project Nr. 38271-1, Green transition and co-evolution of industry and the energy system (GIST). Publisher Copyright: © 2020 European Council for an Energy Efficient Economy. All rights reserved.
PY - 2020
Y1 - 2020
N2 - The objective of this paper is to outline and discuss the key elements of an EU industrial development policy consistent with the Paris Agreement. We also assess the current EU Industrial Strategy proposal against these elements. The “well below 2 °C” target sets a clear limit for future global greenhouse gas emissions and thus strict boundaries for the development of future material demand, industrial processes and the sourcing of feedstock; industry must evolve to zero emissions or pay for expensive negative emissions elsewhere. An industrial policy for transformation to net-zero emissions must include attention to directed technological and economic structural change, the demand for emissions intensive products and services, energy and material efficiency, circular economy, electrification and other net-zero fuel switching, and carbon capture and use or storage (CCUS). It may also entail geographical relocation of key basic materials industries to regions endowed with renewable energy. In this paper we review recent trends in green industrial policy. We find that it has generally focused on promoting new green technologies (e.g., PVs, batteries, fuel cells and biorefineries) rather than on decarbonizing the emissions intensive basic materials industries, or strategies for handling the phase-out or repurposing of sunset industries (e.g., replacing fossil fuel feedstocks for chemicals). Based on knowledge about industry and potential mitigation options, and insights from economics, governance and innovation studies, we propose a framework for the purpose of developing and evaluating industrial policy for net-zero emissions. This framework recognizes the need for: directionality; innovation; creating lead markets for green materials and reshaping existing markets; building capacity for governance and change; coherence with the international climate policy regime; and finally the need for a just transition. We find the announced EU Industrial Strategy to be strong on most elements, but weak on transition governance approaches, the need for capacity building, and creating lead markets.
AB - The objective of this paper is to outline and discuss the key elements of an EU industrial development policy consistent with the Paris Agreement. We also assess the current EU Industrial Strategy proposal against these elements. The “well below 2 °C” target sets a clear limit for future global greenhouse gas emissions and thus strict boundaries for the development of future material demand, industrial processes and the sourcing of feedstock; industry must evolve to zero emissions or pay for expensive negative emissions elsewhere. An industrial policy for transformation to net-zero emissions must include attention to directed technological and economic structural change, the demand for emissions intensive products and services, energy and material efficiency, circular economy, electrification and other net-zero fuel switching, and carbon capture and use or storage (CCUS). It may also entail geographical relocation of key basic materials industries to regions endowed with renewable energy. In this paper we review recent trends in green industrial policy. We find that it has generally focused on promoting new green technologies (e.g., PVs, batteries, fuel cells and biorefineries) rather than on decarbonizing the emissions intensive basic materials industries, or strategies for handling the phase-out or repurposing of sunset industries (e.g., replacing fossil fuel feedstocks for chemicals). Based on knowledge about industry and potential mitigation options, and insights from economics, governance and innovation studies, we propose a framework for the purpose of developing and evaluating industrial policy for net-zero emissions. This framework recognizes the need for: directionality; innovation; creating lead markets for green materials and reshaping existing markets; building capacity for governance and change; coherence with the international climate policy regime; and finally the need for a just transition. We find the announced EU Industrial Strategy to be strong on most elements, but weak on transition governance approaches, the need for capacity building, and creating lead markets.
KW - decarbonisation
KW - energy intensive industry
KW - governance
KW - industrial policy
UR - http://www.scopus.com/inward/record.url?scp=85102856520&partnerID=8YFLogxK
M3 - Article in proceedings
AN - SCOPUS:85102856520
T3 - Eceee Industrial Summer Study Proceedings
SP - 457
EP - 466
BT - eceee Industrial Summer Study
PB - European Council for an Energy Efficient Economy
T2 - 2020 eceee Industrial Summer Study on Industrial Efficiency: Decarbonise Industry!
Y2 - 14 September 2020 through 17 September 2020
ER -
ID: 325371876