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Begin New Search Topic Climate Change Political Geography Europe Content Type Policy Brief Publication Year within 10 Years Publication Year within 5 Years Publication Year within 3 Years

1. The potential of sovereign sustainability-linked bonds in the drive for net-zero

Author:
Alexander Lehmann and Catarina Martins
Publication Date:
03-2023
Content Type:
Policy Brief
Institution:
Bruegel
Abstract:
European Union governments have for some years issued green bonds that raise funds for climate-related spending. These bonds have been received well in capital markets but because they promise a certain use of proceeds, they complicate budget management and may not match investors’ claims of having an impact on national climate policies. Public commitments made by major investors and asset owners suggest that limiting climate transition risks and the assessment of the alignment of sovereigns with net-zero targets will now become key determinants of portfolio allocation. Yield differentials in bond markets are already beginning to reflect transition risks that arise from the inadequate pursuit by issuers of climate targets. Unlike standard green bonds, sustainability-linked bonds (SLBs) create a link between performance (outcome) indicators and the financial terms of the bonds. SLBs have grown rapidly in importance in private markets and are now being assessed by sovereign issuers. We show that sovereign SLBs could help incentivise climate policies in EU countries, and accelerate emission reductions. They would be an effective tool for signalling commitment. A common EU framework for issuance by EU countries would enhance capital market integration and the transparency of national policies, and would limit climate transition risks in EU capital markets more broadly.
Topic:
Climate Change, European Union, Finance, Carbon Emissions, and Sovereign Bonds
Political Geography:
Europe

2. Climate resilience and Cook Islands' relationship of Free Association with Aotearoa / New Zealand

Author:
David J. Kilcullen
Publication Date:
05-2023
Content Type:
Policy Brief
Institution:
Danish Institute for International Studies (DIIS)
Abstract:
On 1 January 2020, the Cook Islands was removed from the OECD Development Assistance Committee’s List of Official Development Assistance (ODA) Recipients. Having been assessed as a “high-income status country”, this re-classification rendered the Cook Islands ineligible for OECD development assistance. It was unfortunate timing. The Covid-19 pandemic hit a few months later and caused a significant contraction in the tourism sector on which the Cook Islands is economically dependent. The result was, by the government’s own description, a “severe recession” with a total contraction of -21.6% of GDP in 2020/ 2021. Thus, only months after being recognized as having a sufficiently high income as to no longer warrant OECD development-assistance, the Cook Islands lost nearly a quarter of its GDP. This was especially significant for a country that is particularly susceptible to climate change and weather-related hazards. The Cook Islands is made up of 15 coral atolls and volcanic islands. Over 90% of the residents of the 12 inhabited islands live within one kilometer of a coastline. In addition, its already modest population of just under 15,000 people is rapidly decreasing (down from approximately 17,500 in 2016), undermining social and economic resilience to shocks. Despite notable economic growth in the years preceding Covid-19, greater infrastructure and other investment remains essential to brace the country for future climate-related changes. A question thus arises as to the benefits of Free Association in circumstances where the former colony faces crises.
Topic:
Foreign Policy, Climate Change, History, and Resilience
Political Geography:
Europe, Denmark, New Zealand, and Cook Islands

3. Into the Blue Pacific: Why the EU Should Help Island Nations Address Climate Change and Maritime Insecurity

Author:
Elisabeth Suh and Hanna Gers
Publication Date:
02-2023
Content Type:
Policy Brief
Institution:
German Council on Foreign Relations (DGAP)
Abstract:
The ‘Blue Pacific’ is a vast region in the South Pacific, encompassing 30 million square kilometers, three million inhabitants and 14 nations. Its consists of thousands of islands threatened by climate change – a concern aggravated by geopolitical competition. The EU can help mitigate these challenges through capacity-building for climate adaptation and maritime security and regional consolidation. This overlaps with European strategic interests, including establishing itself as a trusted outside power.
Topic:
Security, Foreign Policy, Climate Change, European Union, and Strategic Interests
Political Geography:
Europe and Pacific Islands

4. A New Horizon in U.S. Trade Policy: Key Developments and Questions for the Biden Administration

Author:
Trevor Sutton and Mike Williams
Publication Date:
03-2023
Content Type:
Policy Brief
Institution:
Center for American Progress - CAP
Abstract:
This issue brief examines some of the key trade initiatives pursued by the Biden administration to date. It then sets out key questions facing U.S. trade policy in a global environment defined by volatility and renewed ambition to tackle the great challenges of the 21st century, such as climate change, inequality, and great power competition.
Topic:
Foreign Policy, Climate Change, Treaties and Agreements, European Union, Inequality, Economy, Trade Policy, and Strategic Competition
Political Geography:
Europe, North America, Asia-Pacific, United States of America, and Americas

5. US-EU climate change industrial policy: Pulling in different directions for cooperation, competition, and compromise

Author:
Cordelia Buchanan Ponczek
Publication Date:
08-2023
Content Type:
Policy Brief
Institution:
Finnish Institute of International Affairs
Abstract:
The United States and the European Union agree on prioritizing policies to address climate change, which includes securing supply chains for components essential to low-carbon technology. Despite this agreement, their policies to address climate change and low-carbon technology could foster competition. The US Inflation Reduction Act (IRA) reflects the competitive advantage of the US to draw in the best talents, capabilities, and resources from outside sources. This leads to a disconnect between the industrial policy benefits of the IRA within the US and the potential competitive impact the IRA has on US relationships with allies. The EU’s policies are shaped by the bloc’s desire to respond to external actors—including China and Russia—while protecting the common market and building up its internal capability to ensure security of supply. This is complicated by individual member-state objectives. The 2024 US presidential election could bring change: A Republican administration might not share the EU’s outlook on climate change, the need for government intervention, or even the close transatlantic relationship seen during the Biden administration.
Topic:
Climate Change, Governance, European Union, Economic Policy, and Geoeconomics
Political Geography:
Europe, Finland, and United States of America

6. The geoeconomics of the hydrogen era: Towards a new global energy architecture

Author:
Timo Behr
Publication Date:
07-2023
Content Type:
Policy Brief
Institution:
Finnish Institute of International Affairs
Abstract:
Clean hydrogen is crucial for ensuring the transition to a carbon-neutral economy, and large quantities of it will be needed in the future. The transition from a hydrocarbon to a hydrogen economy will have significant geopolitical and geoeconomic consequences. Due to its unique properties, hydrogen will not become the “new oil”. While oil and gas have encouraged a concentration of power – in the hands of producer countries, major oil companies, and around strategic choke points – hydrogen will favour a dispersion of power. The transition to a hydrogen economy will see strong competition over technologies, raw materials, and regulatory standards. Hydrogen has the potential to make the world energy trading system more balanced, more democratic, and less prone to price fluctuations, but it could equally lead to fragmentation, inadvertently contributing to current geopolitical divisions. For the EU and Finland, the transition towards a hydrogen economy presents both challenges and opportunities. Concerted action and active diplomacy will be needed to prevent Europe from being overtaken by others and slipping into new dependencies.
Topic:
Climate Change, Governance, Hydrogen, Energy, and Geoeconomics
Political Geography:
Europe and Finland

7. Climate, Peace and Security in a Changing Geopolitical Context: Next Steps for the European Union

Author:
Simone Bunse
Publication Date:
02-2023
Content Type:
Policy Brief
Institution:
Stockholm International Peace Research Institute
Abstract:
This policy brief analyses current initiatives and ways forward to address the nexus between climate change, peace and security within the European Union’s (EU) foreign, security and defence policies. Considering Sweden’s reputation and credibility in advancing international cooperation on climate security and in light of the 2023 Swedish presidency of the Council of the EU, there is an opportunity to address the current lack of alignment between the climate and conflict-sensitizing work of the European External Action Service (EEAS) and the climate adaptation and mitigation work of the European Commission. Closer collaboration between the EEAS, the European Commission and EU member states to align resources and tools would allow for a qualitative leap forward by fostering actions that are preventative rather than reactive to climate-related security risks in the short to medium term.
Topic:
Security, Climate Change, European Union, Geopolitics, and Peace
Political Geography:
Europe

8. The Arctic is Hot: Addressing the Social and Environmental Implications

Author:
Emilie Broek
Publication Date:
09-2023
Content Type:
Policy Brief
Institution:
Stockholm International Peace Research Institute
Abstract:
The Arctic is becoming more hotly contested and attracting new developments. The European Union (EU) is one actor that is turning to the Arctic to achieve its climate, energy, space-related and security goals. However, this increased interest can result in negative social and environmental local implications if not properly planned for and considered. This SIPRI Policy Brief provides an overview of the EU’s focus on the Arctic, with a particular focus on Kiruna, and the importance of human-centred and precautionary approaches.
Topic:
Security, Foreign Policy, Climate Change, Environment, European Union, Space, and Energy
Political Geography:
Europe and Arctic

9. Keeping the lights on: The EU’s energy relationships since Russia’s invasion of Ukraine

Author:
Szymon Kardas
Publication Date:
05-2023
Content Type:
Policy Brief
Institution:
European Council on Foreign Relations (ECFR)
Abstract:
Since the start of Russia’s all-out invasion of Ukraine, the EU has sought to rapidly reduce its dependence on Russian gas and oil. Many alternative major suppliers to Europe stepped up as ‘friends in need’ in the first year of the war, helping the EU plug the gap. The EU’s climate goals direct it to encourage the development of renewable energy sources – meaning it must also cultivate ‘friends indeed,’ which can supply clean energy as well as gas and oil. The countries best able to fulfil both short-term needs and long-term ambitions are Norway and the US, which have stable supplies of gas and are making progress in clean energy. The EU and member states have the instruments and investment resources to advance the potential of other supplier countries as well – to help them too transform from ‘friends in need’ to ‘friends indeed.’
Topic:
Climate Change, Oil, European Union, Gas, Energy, and Russia-Ukraine War
Political Geography:
Russia, Europe, Eurasia, and Ukraine

10. Sunny side up: Maximising the European Green Deal’s potential for North Africa and Europe

Author:
Laura El-Katiri
Publication Date:
01-2023
Content Type:
Policy Brief
Institution:
European Council on Foreign Relations (ECFR)
Abstract:
North African states hold great potential to become important partners in Europe’s energy transition in the medium and long term. The EU and its member states can make stronger use of the European Green Deal to direct investment in North Africa in support of clean energy. Governments in the region are worried about the impact of some EU decarbonisation tools, such as the carbon border adjustment mechanism. Europeans can allay some of these fears by providing political commitment, financial investment, and advice on the energy transition. New partnerships between the EU and North African states also offer the opportunity to make progress on wider environmental considerations, including biodiversity, and to embed a human rights-based approach.
Topic:
Climate Change, Foreign Direct Investment, Partnerships, Solar Power, Green Deal, Energy, and Energy Transition
Political Geography:
Europe and North Africa