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1. EU – Pacific Talks: H2 – Hydrogen Hype

Author:
David Plhák
Publication Date:
03-2022
Content Type:
Special Report
Institution:
Europeum Institute for European Policy
Abstract:
Czechia is in many respects similar to Japan in its limited ability to rely fully on renewables. It is therefore in the interest of Czechia to increase hydrogen imports and its use in the energy mix. In order to ensure a steady supply of hydrogen the gas system operators of Czechia, Slovakia, Ukraine, and Germany launched in 2021 joined initiative to create a Central European Hydrogen corridor in an effort to create a supply of hydrogen from Ukraine. Unfortunately, given the Russian aggression on Ukraine, this project must be stopped, until Ukraine will be free of war again.
Topic:
Climate Change, Energy Policy, European Union, Economy, and Hydrogen
Political Geography:
Japan, Ukraine, Germany, Asia-Pacific, Slovakia, European Union, and Czechia

2. Henchman, Rebel, Democrat, Terrorist: The YPG/PYD during the Syrian conflict

Author:
Erwin van Veen
Publication Date:
04-2021
Content Type:
Special Report
Institution:
Clingendael Netherlands Institute of International Relations
Abstract:
This report analyses the role of the Syrian Kurdish People’s Protection Units (YPG) and the associated Democratic Union Party (PYD) during the Syrian civil war. The purpose of our research is to obtain a better understanding of the nature, objectives and methods of the YPG/ PYD as a combined paramilitary and rebel force that is involved in a quasi-statebuilding project during an internationalised civil war. We start by examining the critical factors that enabled the swift rise of the YPG: informal arrangements with the Assad regime, support from the Kurdistan Workers’ Party and a pragmatic partnership with the US against Islamic State. This sets the scene for an inquiry into how core YPG strategies to maintain its dominance once it was established – coercive, deal-making, identity and basic service strategies – both shape the group’s behavior and result from its current organization. Finally, we dissect a number of major challenges to future YPG rule, such as its relation with the PKK, intra-Kurdish reconciliation, the US presence in northeast Syria and its interaction with the Arab populations over which it rules. Based on our analysis, we anticipate a scenario of ‘muddling through’ in which unconditional support from the US will continue at current levels, combined with an abiding US military presence. This will provide the YPG/ PYD with a security umbrella against both regime forces and Turkey, continue the status quo of the YPG/ PYD ruling northeast Syria in authoritarian fashion, make the civil war more ethno-sectarian in nature and prolong the conflict. While such a scenario is arguably more attractive for northeast Syria than a return of the regime, it is also unlikely to improve the area’s current underdevelopment. It will keep other external actors, like the EU, away and allow the PKK to continue to take its share of the area’s revenues. The primary audience of the report are Western opinion-, policy- and decision-makers engaged with the Syrian civil war and we hope it will help them to craft policies and initiate interventions that are feasible and appropriate to the situation in northeast Syria.
Topic:
Conflict, Syrian War, and YPG
Political Geography:
Middle East, Syria, United States of America, and European Union

3. Commercial Space in Europe: A Balancing Act between Physics, Politics and Profession

Author:
KP Ludwig
Publication Date:
06-2021
Content Type:
Special Report
Institution:
Institut français des relations internationales (IFRI)
Abstract:
Satellite constellations have become core elements of the digital transition. Over the next decade, several thousand satellites will have to be launched, to build these constellations. For positioning satellites, preferably in Low Earth Orbit (LEO), reliable and affordable launch services are essential. At the end of 2020, the European Space Agency (ESA) awarded three German space start-ups competing contracts in order to support its small-launch system. One may identify a change in Germany’s space policy, since the ESA Ministerial Council (MC) in Seville in late 2019. Besides supporting programs in its traditional fields of interest, Germany showed a special interest in supporting the Commercial Space Transportation Service acceleration program for the above-mentioned German space start-ups. This report is focused on a technical analysis of the market demands and the special commercial market conditions in LEO. It describes the competitive situation and, especially, the limiting conditions, which may hinder private investors from continuing to support a sound technical solution. These are: the size of the accessible market share, the natural risks of operating complex systems in a hostile environment, and the regulatory hurdles in acquiring formal approval by the authorities. A major factor for the expected business success is and will be the governmental support that the consortia can acquire.
Topic:
Space, Digitization, Satellite, and Airspace
Political Geography:
Germany and European Union

4. The Trade Effects of the Economic Partnership Agreements between the European Union and the African, Caribbean and Pacific Group of States: Early Empirical Insights from Panel Data

Author:
Frederik Stender, Axel Berger, Clara Brandi, and Jakob Schwab
Publication Date:
01-2020
Content Type:
Special Report
Institution:
German Institute of Development and Sustainability (IDOS)
Abstract:
This study provides early ex-post empirical evidence on the effects of provisionally applied Economic Partnership Agreements (EPAs) on two-way trade flows between the European Union (EU) and the African, Caribbean and Pacific Group of States (ACP). Employing the gravity model of trade, we do not find a general EPA effect on total exports from ACP countries to the EU nor on total exports from the EU to ACP countries. We do, however, find heterogeneous effects when focusing on specific agreements and economic sectors. While the agreement between the EU and the Caribbean Forum (CARIFORUM), which concluded several years ahead of the other EPAs in 2008, if anything, reduced imports from the EU overall, the provisional application of the other EPAs seems to have at least partly led to increased imports from the EU to some partner countries. More specifically, the estimation results suggest an increase in the total imports from the EU only in the Southern Africa Development Community (SADC) EPA partner countries. On the sectoral level, by comparison, we find increases in the EU’s agricultural exports to SADC, Eastern and Southern Africa (ESA) and the Pacific. Lastly, in the area of manufactures trade, we find decreases of exports of the ESA and SADC countries to the EU, but increases in imports from the EU into SADC countries. While this early assessment of the EPA effects merits attention given the importance of monitoring future implications of these agreements, it is still too early for a final verdict on the EPAs’ effects and future research is needed to investigate the mid- and long-term consequences of these agreements.
Topic:
International Relations, Development, International Cooperation, Regional Cooperation, Treaties and Agreements, Manufacturing, and Trade
Political Geography:
Africa, Europe, South Africa, Caribbean, Asia-Pacific, and European Union

5. COVID-19: Which Effects on Defence Policies in Europe?

Author:
Alessandro Marrone and Ottavia Credi
Publication Date:
04-2020
Content Type:
Special Report
Institution:
Istituto Affari Internazionali
Abstract:
The crisis caused by the COVID-19 pandemic will have consequences on every aspect of the European societies, including the defence sector. The extent to which it will impact the military budgets is heavily discussed, with optimists trusting in slightly decreased investments and pessimists anticipating severe downturns. The fulfilment of NATO capability goals will be at stake, while allies will bring further diversified security needs to the Alliance’s agenda. The EU will have to cope with both pandemic and economic recession for the sake of its own security and stability, without sacrificing the European Defence Fund which could rather be part of a EU-wide plan for industrial and economic re-launch. This report summarizes the main findings of the IAI webinar hold on 8 April 2020 and participated by 22 experts and practitioners from Italy and other European countries.
Topic:
Defense Policy, NATO, Military Spending, Transatlantic Relations, Coronavirus, and Defense Industry
Political Geography:
Europe and European Union

6. Indo-Pacific as the Main Arena of the U.S.-China Rivalry

Author:
Patryk Kugiel
Publication Date:
01-2020
Content Type:
Special Report
Institution:
The Polish Institute of International Affairs
Abstract:
The Trump administration recognises the “Indo-Pacific” region—which in official terminology has replaced “Asia-Pacific”—as the most important area for maintaining U.S. global dominance by confronting China. The anti-China approach in the American strategy is not shared by other countries that also are developing Indo-Pacific policy because they are concerned about the negative effects of the U.S.-China rivalry. The Americans will put pressure on their NATO and EU allies to more strongly support the achievement of U.S. goals in the region. However, the EU approach is closer to that of the Asian countries in seeking cooperation and strengthening the stability of a cooperative and rules-based regional order.
Topic:
International Cooperation, Geopolitics, Grand Strategy, and Donald Trump
Political Geography:
China, Asia, North America, United States of America, European Union, and Indo-Pacific

7. Same-Sex Marriage and the Liberal Transformation of Ireland

Author:
Theresa Reidy
Publication Date:
01-2020
Content Type:
Special Report
Institution:
Georgetown Journal of International Affairs
Abstract:
In 2015, Ireland became the first country in the world to introduce same-sex marriage through a national referendum vote. The decision to introduce equal marriage received a great deal of attention, and not just because it was the first positive referendum decision on this issue; the vote was also preceded by a citizens’ assembly which recommended the referendum and endorsed a “yes” vote. The resounding victory for the liberal position provided definitive evidence of Ireland’s shift from a conservative, inward-looking European periphery state to a modern, liberal, and inclusive republic.
Topic:
Religion, Culture, Domestic Politics, and LGBT+
Political Geography:
Europe, Ireland, and European Union

8. The Recycling of Lithium-Ion Batteries: A Strategic Pillar for the European Battery Alliance

Author:
Raphaël Danino-Perraud
Publication Date:
03-2020
Content Type:
Special Report
Institution:
Institut français des relations internationales (IFRI)
Abstract:
Although it is still marginal, the market for electric vehicles (EVs) is growing. According to the French Institute of Petroleum and Renewable Energies (IFPEN, Institut Français du Pétrole et des Énergies Renouvelables), EVs accounted for a little more than 2% of the light vehicle market in 2019. This was up by 54% compared to 2018, but EVs still only represent 0.8% of the global car fleet. That said, the International Energy Agency (IEA) estimates EVs could make up between 15% and 30% of vehicle sales in 2030. However, while European manufacturers have so far developed EVs such as the Renault Zoé or the BMW i3, they are highly dependent on Asian companies for the supply and manufacture of materials for cells and electric batteries, such as nickel, cobalt, lithium used to build precursors, or cathodes and their components. Asia provides more than 90% of world car battery output, half of which comes from China alone. European dependence is not only related to the manufacture of batteries, but occurs throughout much of their value chain, from extraction and processing of raw materials to the preparation of necessary treatment processes for recycling. The recycling market for batteries from small electronic objects (smartphones, computers, tablets, etc.) has also been led by Asian countries.
Topic:
Energy Policy, Environment, Regional Cooperation, Science and Technology, Business, and Recycling
Political Geography:
Europe and European Union

9. EASTERN MONITOR: Western Balkans in the fight against the COVID-19: Another cause for democratic backsliding?

Author:
Jana Juzová
Publication Date:
04-2020
Content Type:
Special Report
Institution:
Europeum Institute for European Policy
Abstract:
In her latest Eastern Monitor, Jana Juzová examines the fight of western Balkans countries against the COVID-19. The COVID-19 global pandemic represents an unprecedented challenge for humanity. Across the globe, countries are facing a historical dilemma of stricter security measures aimed to ensure safety of the populations at the cost of fundamental human rights and freedoms. The affected countries across the globe has adopted a wide scale of measures, and as there is no central mechanism for coordination in the health policies even inside the EU, each country approaches the crisis in a different way. Consequently, the policies range from opting for relatively loose ones relying on building up of natural immunity in the population, i.e. in Sweden, to extreme restrictive measures adopted in Hungary, diminishing human rights as well as democracy in the country. The Western Balkan countries’ approach, although differing significantly in each country, belongs among the most restrictive ones. The countries with the highest number of infected persons (relative to the population size) are Serbia, North Macedonia and Montenegro.1 In Montenegro, the situation has worsened in the past few weeks, as the country reported only a very small number at the beginning of the pandemic, and the government started introducing stricter measures, similarly to its neighbours.
Topic:
International Cooperation, COVID-19, and Health Crisis
Political Geography:
Balkans and European Union

10. Migration: Solid Nations and Liquid Transnationalism? The EU’s Struggle to Find a Shared Course on African Migration 1999-2019

Author:
Irene Schöfberger
Publication Date:
01-2019
Content Type:
Special Report
Institution:
German Institute of Development and Sustainability (IDOS)
Abstract:
The European Union (EU) has been struggling to find a shared course on African migration since the entry into force of the Schengen Agreement (1995). It has done so through two interrelated processes of negotiation. Firstly, parties have negotiated narrative frames about migration and, in particular, whether migration should be interpreted in terms of security or in terms of development. Secondly, they have negotiated internal and external migration policies, that is, how migration should be managed respectively inside the EU (based on cooperation between EU member states) and outside it (based on cooperation with third states). In times in which narrative frames increasingly shape policy negotiations, it becomes very important to analyse how policymakers negotiate narrative frames on migration and how these shape policy responses. However, such an analysis is still missing. This discussion paper investigates how European states and institutions have negotiated the relation between EU borders and African mobility between 1999 and the beginning of 2019. It focusses in particular on how the process of negotiation of migration policies has been interrelated with a process of negotiation of narrative frames on migration. It does so based on an analysis of EU policy documents from 1999 to 2019 and on interviews with representatives of European and African states and regional organisations. Two major trends have characterised related EU negotiation processes: migration-security narrative frames have strengthened national-oriented and solid borders-oriented approaches (and vice versa), and migration-development narrative frames have strengthened transnational-oriented and liquid borders-oriented approaches (and vice versa). Since 1999, the European Council has mostly represented security- and national-oriented approaches, and the European Commission has mostly represented development- and transnational-oriented approaches. The two competing approaches have always been interlinked and influenced each other. However, in the last years, security-oriented national and solid border approaches have gained prominence over development-oriented transnational and liquid border approaches. In particular, the Commission has progressively mainstreamed national objectives in its transnational actions and security concerns in its development measures. Prioritising security over transnational development has augmented inequalities, in particular at the expenses of actors with scarce political representation in Africa and the EU. Such inequalities include increasing migrant selectivity and wage dumping.
Topic:
International Relations, Development, International Cooperation, Migration, History, and Negotiation
Political Geography:
Africa and European Union

11. The Influence of EU Migration Policy on Regional Free Movement in the IGAD and ECOWAS Regions

Author:
Clare Castillejo
Publication Date:
01-2019
Content Type:
Special Report
Institution:
German Institute of Development and Sustainability (IDOS)
Abstract:
Establishing free movement regimes is an ambition for most African regional economic communities, and such regimes are widely understood as important for regional integration, growth and development. However, in recent years the EU’s migration policies and priorities in Africa - which are narrowly focused on stemming irregular migration to Europe – appear to be in tension with African ambitions for free movement. This paper examines how the EU’s current political engagement and programming on migration in Africa is impacting on African ambitions to establish free movement regimes. It focuses first on the continental level, and then looks in-depth at two regional economic communities: The Intergovernmental Authority on Development (IGAD) in the Horn of Africa, and the Economic Community of West African States (ECOWAS). The paper begins by examining how free movement has featured within both EU and African migration agendas in recent years, describing how this issue has been increasingly sidelined within the EU’s migration policy framework, while receiving growing attention by the African Union. The paper then discusses the impact of EU migration policies and programmes on progress towards regional free movement in the IGAD region. It finds that the EU is broadly supportive of efforts to establish an IGAD free movement regime, although in practice gives this little priority in comparison with other migration issues. The paper goes on to examine the EU’s engagement in the ECOWAS region, which is strongly focused on preventing irregular migration and returning irregular migrants. It asks whether there is an innate tension between this EU agenda and the ambitions of ECOWAS to fully realise its existing free movement regime, and argues that the EU’s current engagement in West Africa is actively undermining free movement. Finally, the paper discusses the differences between the EU’s approach to migration and free movement in these two regions. It offers recommendations regarding how the EU can strengthen its support for free movement in both these regions, as well as more broadly in Africa.
Topic:
Development, Migration, Regional Cooperation, and Economic Growth
Political Geography:
Africa, Europe, and European Union

12. EU Funding of Illegal Palestinian Settlement in Area C

Author:
Edwin Black
Publication Date:
09-2019
Content Type:
Special Report
Institution:
The Begin-Sadat Centre for Strategic Studies (BESA)
Abstract:
“Area C,” which makes up about 60% of the biblical lands of Judea and Samaria (known as the West Bank since their 1950 annexation by Jordan), is making news these days. This time, the hot button issue is the illegal Palestinian settlements that are sprouting up across the region. These settlements shred the last scraps that remain of the Oslo Accords, which propelled the idea of the “two-state solution” for a generation. The funding for these illegal Palestinian settlements, which amounts to hundreds of millions of euros annually, comes from the EU. According to the Oslo Accords, only Israel can issue construction permits in Area C. In joining forces to promote the rapid expansion of illegal Palestinian settlement in Area C, the EU and the PA have dispensed entirely with any coordination with Israel, in direct contravention of the Accords.
Topic:
International Law, Treaties and Agreements, and Settlements
Political Geography:
Palestine, European Union, and West Bank

13. How to make the European Green Deal work

Author:
Gregory Claeys, Simone Tagliapietra, and Georg Zachmann
Publication Date:
11-2019
Content Type:
Special Report
Institution:
Bruegel
Abstract:
European Commission president-designate Ursula von der Leyen has made climate change a top priority, promising to propose a European Green Deal that would make Europe climate neutral by 2050. Th e European Green Deal should be conceived as a reallocation mechanism, fostering investment shifts and labour substitution in key economic sectors, while supporting the most vulnerable segments of society throughout the decarbonisation process. Th e deal’s four pillars would be carbon pricing, sustainable investment, industrial policy and a just transition.
Topic:
Climate Change, International Security, Sustainable Development Goals, Global Warming, and Green Technology
Political Geography:
Europe, Global Focus, and European Union

14. Women’s Participation in High-Level Decision Making

Author:
Itır Akdoğan
Publication Date:
04-2019
Content Type:
Special Report
Institution:
Turkish Economic and Social Studies Foundation (TESEV)
Abstract:
In this report, we enquire into the issue of gender equality by investigating different sectors at once to offer recommendations for improvement. In this project, which is supported by the Swedish Consulate General in İstanbul, we first examine, in light of data gathered and disseminated by European Institute for Gender Equality (EIGE), the percentage of women high-level decision makers in Turkey’s politics, public administration, local government, civil society organizations, social partners, business, media, judiciary and education/science/research. We compare these rates in their historical transformation and with the rates of European Union countries, thus inspecting them in their wider quantitative context. Next, we conduct in-depth interviews with women (if not present, men) high-level decision makers in these areas to carry out a qualitative assessment of women’s participation in Turkey.
Topic:
Civil Society, Gender Issues, Politics, Women, and Inequality
Political Geography:
Turkey, Middle East, and European Union

15. Study and Reports on the VAT Gap in the EU-28 Member States: 2019 Final Report

Author:
Adam Śmietanka, Alejandro Esteller Moré, Grzegorz Poniatowski, José María Durán-Cabré, and Mikhail Bonch-Osmolovsky
Publication Date:
10-2019
Content Type:
Special Report
Institution:
Center for Social and Economic Research - CASE
Abstract:
This Report has been prepared for the European Commission, DG TAXUD under contract TAXUD/2017/DE/329, “Study and Reports on the VAT Gap in the EU-28 Member States” and serves as a follow-up to the six reports published between 2013 and 2018. This Study contains new estimates of the Value Added Tax (VAT) Gap for 2017, as well as updated estimates for 2013-2016. As a novelty in this series of reports, so called “fast VAT Gap estimates” are also presented the year immediately preceding the analysis, namely for 2018. In addition, the study reports the results of the econometric analysis of VAT Gap determinants initiated and initially reported in the 2018 Report (Poniatowski et al., 2018). It also scrutinises the Policy Gap in 2017 as well as the contribution that reduced rates and exemptions made to the theoretical VAT revenue losses. In 2017, growth in the European Union (EU) continued to accelerate with a combined real GDP growth of 2.5 percent, providing a sound environment for an increase in VAT collections. As a result, VAT revenue increased in all Member States (MS). An increase in the base was the main, but not the only, source for growth. Increase in compliance contributed to an approximate 1.1% increase in VAT revenue. In nominal terms, in 2017, the VAT Gap in EU-28 MS fell to EUR 137.5 billion, down from EUR 145.4 billion. In relative terms, the VAT Gap share of the VAT total tax liability (VTTL) dropped to 11.2 percent in 2017 and is the lowest value in the analysed period of 2013-2017. Fast estimates for 2018 indicate that the downward trend will continue and that VAT Gap will likely fall below EUR 130 billion in 2018. Of the EU-28, the VAT Gap as percentage of the VTTL decreased in 25 countries and increased in three. The biggest declines in the VAT Gap occurred in Malta, Poland, and Cyprus. The smallest Gaps were observed in Cyprus (0.6 percent), Luxembourg (0.7 percent), and Sweden (1.5 percent). The largest Gaps were registered in Romania (35.5 percent), Greece (33.6 percent), and Lithuania (25.3 percent). Overall, half of EU-28 MS recorded a Gap above 10.1 percent (see Figure 2.2 and Table 2.1). The Policy Gaps and its components remained stable. The average Policy Gap level was 44.5 percent, out of which 9.6 percentage points are due to the application of various reduced and super-reduced rates instead of standard rates (the Rate Gap). The countries with the most flat levels of rates in the EU, according to the Rate Gap, are Denmark (0.8 percent) and Estonia (3 percent). On the other side of spectrum are Cyprus (29.6 percent), Malta (16.5 percent), and Poland (14.6 percent). The Exemption Gap, or the average share of Ideal Revenue lost due to various exemptions, is, on average, 35 percent in the EU, whereas the Actionable Policy Gap – a combination of the Rate Gap and the Actionable Exemption Gap – is, on average, 13 percent of the Notional Ideal Revenue. The econometric analysis repeated after the 2017 Study confirmed the earlier results. We observe that the dispersion of tax rates and unemployment rate have a positive impact on the VAT Gap. Regarding the variables in hands of the administration, on the extended times series compared to the previous year, our results suggest that the nature of the expenditure of the administration, in particular IT expenditure, is more important that the amount of the overall resources.
Topic:
Economy, Economic Growth, Tax Systems, and Fiscal Policy
Political Geography:
Europe, Poland, and European Union

16. EuroPACE Market Analysis

Author:
Grzegorz Poniatowski, Izabela Styczynska, Karolina Beaumont, and Karolina Zubel
Publication Date:
10-2019
Content Type:
Special Report
Institution:
Center for Social and Economic Research - CASE
Abstract:
EuroPACE is an innovative tool designed to make home renovation simple, affordable and reliable for all Europeans by combining affordable financing with people-centric technical assistance. EuroPACE offers 100% up-front financing that can be repaid over a long term of up to 25 years. The innovation lies in the collection and repayment mechanism – financing is attached to the property and is repaid regularly with charges linked to a property. Homeowners are offered logistical and technical support throughout the process and access to trained and qualified con-tractors. Thus, EuroPACE overcomes the main barriers to home renovation – lack of financing, technical knowledge and complexity of the works. The concept of EuroPACE is inspired by the success of a financing model called Property Assessed Clean Energy (PACE), launched in California in 2008. In the United States (US), the PACE market reached over USD 6 billion in funded projects, including the retrofit of over 220,000 homes, which resulted in more than 50,000 new local jobs and the creation of hundreds new companies.EuroPACE combines the best practices from the US PACE market with project partners’ substantial experience in improving energy efficiency in European buildings. EuroPACE is a three-year project that intends to assess market readiness, deploy a pilot programme in Spain and scale across Europe to four leader cities. A two-phase research (firstly – legal & fiscal readiness, and secondly – market demand) has been carried to assess the overall readiness for adaptation of this model across the European Union (EU). This document is the second phase of the EuroPACE readiness assessment developed to identify European countries most suited for EuroPACE implementation. It complements the legal and fiscal assessment by focusing on the “demand dimension” by analysing local needs for energy efficiency (EE) and renewable energy sources (RES) in residential building renovation of seven selected countries. Based on the results of legal and fiscal analysis of the EU28 MS, in October 2018 the Steering Committee Group of the EuroPACE Horizon2020 (H2020) project chose seven countries: Austria, Belgium, the Netherlands, Italy, Poland, Portugal, and Romania, for the second phase of evaluation. These countries were selected based on the scoring outlined in D2.1 and two additional considerations developed by the Steering Committee Group. First, a diverse geo-graphical distribution of the countries was an important element for the selection of these seven countries. Secondly, the knowledge and expertise of the Steering Committee Group about the national potential market opportunity was taken into consideration during the selection process. While in Austria a similar mechanism has already been tested but was unsuccessful, the country still has been chosen for further analysis. In Belgium, despite being a federal state, there is a strong local and regional interest in new financial mechanisms designed to upscale residential retrofits across the country. In the Netherlands, asset-based financial instruments are currently being discussed at the national level, which opens a window of opportunity for EuroPACE to be tested in the country. As for Italy, although the property-taxation system is far from stable, potential synergies with successful programmes like Ecobonus or Sismabonus should be explored. In Poland, nearly 70% of the 6-million residential buildings need significant energy efficiency overhaul; these buildings contribute to some of the worst air quality across the EU leading to approximately 47 thousand premature deaths annually. Portugal, given its Mediterranean climate, proves a great potential not only for EE, but also prosumer RES development, given that current incentives are far from sufficient. Romania has been chosen mainly because of its highest home-ownership rate across the EU and the most institutionalised property-related taxation, possibly setting a stable base for EuroPACE being collected alongside existing charges.
Topic:
Climate Change, Energy Policy, Environment, Fiscal Policy, and Innovation
Political Geography:
Europe, Poland, Belgium, Romania, Italy, Netherlands, Portugal, Austria, and European Union

17. EU28 legal and fiscal readiness for the adoption of an on-tax financing mechanism - EuroPACE

Author:
Izabela Styczynska and Karolina Zubel
Publication Date:
08-2019
Content Type:
Special Report
Institution:
Center for Social and Economic Research - CASE
Abstract:
EuroPACE is an innovative financial mechanism inspired by an American building improvement initiative called Property Assessed Clean Energy (PACE). The innovative character of the EuroPACE mechanism is that financing through EuroPACE is linked to the taxes paid on a property. In other words, the financing lent by a private investor is repaid through property taxes and other charges related to the buildings. EuroPACE is therefore in line with the EC’s objectives of (1) putting EE first, (2) contributing to the EU’s global leadership, and (3) empowering consumers to enable MS to reach their energy and climate targets for 2030. Last but not least, EuroPACE could contribute to the democratisation of the energy supply by offering cash-flow positive, decentralised EE solutions. The EuroPACE mechanism engages several stakeholders in the process: local government, investors, equipment installers, and homeowners. To establish the EuroPACE programme, several conditions must be satisfied, each of which are relevant for different stakeholder at different stages of the implementation. For the purpose of this report, we divided these criteria into two categories: key criteria, which make the implementation possible, and complementary criteria, which make the implementation easier. For the time being, it is a pure hypothesis to be tested with potential EuroPACE implementation. One ought to remember that residential on-tax financing is a concept in its infancy in the EU. Therefore, the methodology to evaluate the readiness of a country to implement on-tax financing is complex and consists of six stages:Identification of fiscal and regulatory conditions; Data collection; Weighting; Grading; Country SWOT analysis; Qualitative assessment.
Topic:
Climate Change, Energy Policy, Economy, Tax Systems, and Innovation
Political Geography:
Europe, Poland, and European Union

18. The Economic and Monetary Union: Past, Present and Future

Author:
Marek Dabrowski
Publication Date:
03-2019
Content Type:
Special Report
Institution:
Center for Social and Economic Research - CASE
Abstract:
Twenty years of euro history confirms the euro’s stability and position as the second global currency. It also enjoys the support of majority of the euro area population and is seen as a good thing for the European Union. The European Central Bank has been successful in keeping inflation at a low level. However, the European debt and financial crisis in the 2010s created a need for deep institutional reform and this task remains unfinished.
Topic:
Monetary Policy, European Union, Economy, Economic Growth, Fiscal Policy, and Currency
Political Geography:
Europe, Poland, and European Union

19. The Sanctions Policy of the European Union: Multilateral Ambitions Versus Power Politics

Author:
Éric-André Martin
Publication Date:
10-2019
Content Type:
Special Report
Institution:
Institut français des relations internationales (IFRI)
Abstract:
Restrictive measures are a major instrument of the European Union (EU)’s external action, which has emerged as one of the world’s leading sanctions emitters. The EU has thus leveraged the size of its market and its economic and financial clout (trade relations, aid policy and bilateral agreements). Through its significant activity in the field of sanctions, the EU has been able to reinforce its image as a normative power and a global player, contributing actively to international peace and stability. The EU’s restrictive measures were adopted in a favorable international context, marked by the legitimacy that was conferred, most of the time, by United Nations resolutions, and by close coordination with the United States (US). This privileged period culminated with the management of the Iranian crisis and the conclusion of the 2015 Vienna Agreement. More recently, however, sanctions have tended to lose their function as an instrument contributing to shape a shared vision of the world order, and to become what they are in essence, namely an instrument of statecraft dedicated to the protection of States’ national interests. This trend is illustrated on the one hand by the affirmation of a unilateral United States policy on sanctions, which tends to extend the scope of coercion to third parties, including European entities, and on the other hand, by the increasing use of sanctions by powers like China and Russia as a geo-economic tool.
Topic:
Sovereignty, Power Politics, Sanctions, and Multilateralism
Political Geography:
China, Europe, Asia, and European Union

20. Offshore Wind Power Floating in its Industrial and Technological Dimension

Author:
Michel Cruciani
Publication Date:
07-2019
Content Type:
Special Report
Institution:
Institut français des relations internationales (IFRI)
Abstract:
Europe has become a frontrunner in fixed offshore wind. Can this success story be replicated with floating offshore wind, a technology that would lift the sea depth constraint and thus open up wider market opportunities? This research study looks at the main success factors for this emerging industry.
Topic:
Climate Change, Energy Policy, Electricity, Renewable Energy, and Wind Power
Political Geography:
France and European Union