The Unions Energy Policy: A European security challenge

1
The Unions Energy PolicyA European security
challenge

• NATO Advanced Research Workshop
• Budapest 22 November 2007
• By Edit Herczog, member of the European Parliament

2
Summary

• The germs of Europes Energy Policy
• Pacific goals
• Conflictual means
• The nuclear challenge
• The EURATOM treaty
• Renewed approach
• New initiatives
• Conclusion

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The germs of EuropesEnergy Policy
4
The germs of Europes Energy PolicyPacific goals
also conceal risks for security
VS
Security of supply
Competitiveness
European Energy Policy
VS
VS
Environmental sustainability
Social responsibility
VS
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The germs of Europes Energy PolicyConflictual
tools bear patent risks for security
Infrastructure investments How to make
European priorities among diverging national
interests? (ex LNG) Solidarity mechanisms How
to mutualise risk manage- ment if risk
perceptions diverge? (ex MOL-OMV) POLITICAL
RISK Clashes betw. regions MS.
Increasing capacities How to stimulate
invesments with the ownership unbundling of
fundamental assets? Achieving growth How to
make profits with man- datory cost-oriented
pricing? ECONOMIC RISK Drive investors away and
gene- rate under-investment
Security of supply
Competi- tiveness
European Energy Policy
Keeping energy affordable Policy options add
further costs to energy prices rising
anyway. SOCIAL RISK However vital, energy
might become a luxury for many. POLITICAL
RISK Social unrest can lead to political
instability crises
Higher efficiency, lower emissions Goals are
common but respective means are very
different. POLITICAL RISK Emergence of the
energys two-speed Europe, clashes betw. member
states.
Environmental sustainability
Social responsibility
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Mayor elements of Energy Package

• BOTH GAS and ELECTRICITY
• Direction to SINGLE ENERGY MARKET
• Crossborder Interconnection investment
• Qwnership unbunling/LEgal unbundling/ ISO
• Supervision of Energy market
• Europpean Energy Agency
• Consumer rights
• Solidarity among MS

In THE PiPELINE CLIMAT ENERGY EFFICIENCY ,SET
7
The germs of EuropesEnergy Policy,challenge
the Status quo of Critical Infrastruture
arranged Member states level today
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The nuclear challenge
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The nuclear challengeThe EURATOM case
1957 EEC Treaty and EURATOM Treaty concluded
simultaneously.
2007 The EEC Treaty has become the EC Treaty,
with countless amendments, several novelties,
many consolidations, an attempted Constitution
and now a Reform Treaty. This monopolised the
political focus and cooperation. Meanwhile, the
EURATOM Treaty has remained unchanged and the
political consensus around it vanished.
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The nuclear challengeWhats next?

• Terminate EURATOM for lack of will or ability to
  renegotiate?
• Pro-nuclears lose their best asset
• Anti-nuclears lose their only chance to
  influence the nuclear debate in Europe.
• Terminating is not a realistic option.

• Pursue or maybe renovate EURATOM?
• Key focus will have to be security
  (non-proliferation, radiation protection)
• Nuclear energy will have to remain a national
  competence in any case.
• Pursuing is the vital minimum.
• Renovating is not an easy option either.

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The nuclear challengeRenewed approach
1950s-1970s Nuclear was a credible option.
1986-2004 Nuclear became a taboo.
2004-2007 The political wind has turned, the
status quo lifted.
Politically, nuclear is acknowledged to be a
necessary option (broad agreement confirmed by
January 2007 Commission Communication, March 2007
Council conclusions and October 2007 Reul Report
in Parliament) Scientifically, Europe is still in
competition for global leadership, in so far as
nuclear is actively maintained on the
continent. Economically however, global
competitive pressure is unprecendentedly high and
growing fast. Internal competition is on the rise
as well.
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The nuclear challengeKEY SECURITY CHALLENGES OF
THE FUTURE

• Educate and train future generations
• Remain competitive in RD, innovation and
  technology.
• Impose our benchmarks as global security
  standards.
• Combat terrorism
• Combat energy poverty ENERGY FOR ALL
• Increase public acceptance

How could any of this be done without EURATOM
and NATO?
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The nuclear challengeNew initiatives

• European Council
• Working Party on Nuclear Safety (2005)
• European Parliament
• Forum for the Future of Nuclear Energy (October
  2003)
• European Commission
• High Level Group on Nuclear Safety and Waste
  Management (July 2007)
• Scientific and industrial communities
• Sustainable Nuclear Energy Technology Platform
  (September 2007)
• European Nuclear Energy Forum (November 2007)

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The nuclear challengeNew initiatives needed in
The future

• European Member States
• Start and pursue objective debates
• European industry
• Live up to new investment challenges
• Find reassuring solutions for waste disposal
• Step up communication efforts
• European society
• Increase information and understanding
• European science and education
• Raise up next generations
• NATO
• Follow and support changes and adopt security
  solutions

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Conclusion
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LikewiseEnergy is too serious a business to
trust politicians with it.

• Clemenceau saidWar is too serious a business to
  trust military with it.

Society, economy, Science and Security
everyones interests are at stake, everyone needs
to be involved.
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Thank you very much.

• Edit Herczog
• edit.herczog_at_europarl.europa.eu
• 32 228 47596