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351. Climate policy is macroeconomic policy, and the implications will be significant

Author:
Jean Pisani-Ferry
Publication Date:
08-2021
Content Type:
Policy Brief
Institution:
Peterson Institute for International Economics
Abstract:
For all the long-term benefits of urgently addressing climate change, economic policymakers must plan for a challenging transition to carbon neutrality. Pretending that the costs will be trivial is dangerous. Estimates by the Intergovernmental Panel on Climate Change of the United Nations indicate that emergency action is indispensable to limit catastrophic climate disruption. Because of the magnitude of the efforts involved and the pace of the transformation implied, the accelerated transition to a carbon-neutral economy is bound to have serious, immediate economic implications, warns Pisani-Ferry. Some equipment will lose economic value. Some plants will have to close. Employees will have to be reallocated to other occupations. Investment will have to increase, to repair or rebuild infrastructure and the capital stock. He argues that so far policymakers have not addressed these implications in a systematic manner. It is high time policymakers realize that climate policy is also macroeconomic policy and design transition strategies now.
Topic:
Climate Change, Macroeconomics, and Carbon Emissions
Political Geography:
Global Focus

352. Can EU carbon border adjustment measures propel WTO climate talks?

Author:
Gary Clyde Hufbauer, Armen Hovakimian, and Jeffrey J. Schott
Publication Date:
11-2021
Content Type:
Policy Brief
Institution:
Peterson Institute for International Economics
Abstract:
Reforms proposed in the European Union’s “Fit for 55” climate policy package are likely to sharply increase the cost paid by European firms for their greenhouse gas (GHG) emissions. Recognizing that increased carbon prices would put European firms at a disadvantage in competing with imports from countries that produce without incurring these costs, the European Commission has proposed a Carbon Border Adjustment Mechanism (CBAM) requiring that the most carbon-intensive EU imports either incur comparable carbon charges as EU firms or pay the equivalent of a carbon-based tariff. The CBAM aims to deter carbon leakage, which could arise if firms shift carbon-intensive production out of Europe to facilities in countries that do not tax GHG emissions (or tax at a low rate) and then export the goods to Europe. European production and output would suffer and global climate efforts to reduce GHG emissions would be undercut. The loftier goal is to encourage other countries to follow the European example and strengthen their own national decarbonization policies, which in turn would exempt their goods from CBAM charges. The CBAM would cover five carbon-intensive industries: iron and steel, aluminum, fertilizer, electricity, and cement. Countries most affected by the CBAM include Russia, China, Turkey, the United Kingdom, Ukraine, South Korea, and India. Some are likely to contest the policy, claiming that the CBAM is a unilateral measure that violates World Trade Organization rules and bolsters protectionism while hampering rather than encouraging efforts in other countries to tackle climate change. A better and more feasible approach would be adoption of a CBAM moratorium while negotiations are conducted to promote carbon abatement policies that comply with the rules-based global trading system.
Topic:
Climate Change, European Union, Economy, Carbon Emissions, and Imports
Political Geography:
Europe

353. A transatlantic agenda for homeland security and resilience beyond COVID-19

Author:
Anna Wieslander
Publication Date:
05-2021
Content Type:
Special Report
Institution:
Atlantic Council
Abstract:
The ongoing COVID-19 pandemic has disclosed the importance of resilient power – a society’s capability to absorb unexpected major shocks, handle and adapt to these, and then, most importantly, bounce back. As the pandemic still rages, endurance has become a major challenge for individuals, institutions, companies, and societies. It emphasizes another dimension of resilience: it is not only about how fast society is able to bounce back and recover at a certain moment, but also how it can withstand repeated shocks over time. The pandemic also brought the notion of solidarity to the forefront and exposed the connection between strong resilience and solidarity in open societies. Solidarity was repeatedly tested within and between nations, as well as between different parts of society. Fragmentation and competition flourished amid weak resilience and discouraged tendencies toward cooperation, despite potential gains. To successfully handle modern challenges to homeland security and resilience, such as climate change and pandemics, there is no way around efficient cooperation. For resilience to be strong, it must be developed not only among states but also in partnership with the private sector, as resilience must be ensured for individuals, communities, private businesses, and public institutions, and at all levels of authority. Furthermore, the pandemic has heightened other threats to modern societies, including disinformation, cyber operations, attacks on election systems, and social media manipulation. Ultimately, these threats are targeted to undermine democracy itself. They differ in character, magnitude, and scope, but are often non-military. This new report, “A Transatlantic Agenda for Homeland Security and Resilience Beyond COVID-19”, highlights some of these modern challenges, which could be possible focus areas for transatlantic cooperation, as well as ideas for building and enhancing capabilities. This report is the result of a half-day online workshop held on January 28, 2021. This report aims to help shape a transatlantic agenda on homeland security and resilience that encompasses everything from policy and capabilities to future science and technology in a time when the transatlantic relationship is ideally positioned to be revitalized and deepened.
Topic:
Security, Defense Policy, Climate Change, Terrorism, Infrastructure, European Union, Crisis Management, Resilience, COVID-19, Disinformation, and Non-Traditional Threats
Political Geography:
Europe, Eurasia, and United States of America

354. Addressing instability in Central America: Restrictions on civil liberties, violence, and climate change

Author:
Maria Fernanda Bozmoski, María Eugenia Brizuela de Ávila, and Domingo Sadurní
Publication Date:
09-2021
Content Type:
Policy Brief
Institution:
Atlantic Council
Abstract:
Citizens across Latin America and the Caribbean are rising up in protest. Political frustration and economic stagnation are fueling social discontent exacerbated by the continued COVID-19 pandemic and the slow health response. In Central America, restrictions on civil liberties, high rates of gender-based violence and extortion, and worsening climate change are compounding the lack of economic opportunities and pervasive corruption seen in El Salvador, Guatemala, and Honduras. In the year of its bicentennial, can northern Central America chart a new path, in partnership with the United States, to tackle the sources of social instability that are forcing migrants to seek a better life? In July 2021, the Joseph Biden administration released the US Strategy for Addressing the Root Causes of Migration in Central America report. Three of its five pillars call for the United States and northern Central American countries to work together to respect human rights and a free press, counter violence at the hands of criminal organizations, and combat sexual and gender-based violence.1 To ensure a sustained and effective implementation of this strategy, especially on these three pillars, the United States will need to find new ways to work closely with northern Central American governments, domestic and international private sectors, and organized civil-society groups. Following consultations with the Adrienne Arsht Latin America Center’s Northern Triangle Advisory Group (NTAG), this brief highlights the importance of implementing a holistic, multisector approach to mitigate gender-based violence, protect civil liberties and human rights, and build climate resilience. This brief is the third in a three-part series by the Atlantic Council’s Adrienne Arsht Latin America Center and DT Institute that provides policy recommendations for the United States and its northern Central American partners to address the root causes of migration.
Topic:
Security, Climate Change, Diplomacy, Politics, and Partnerships
Political Geography:
Latin America

355. Europe’s Carbon Border Adjustment Mechanism: Time to Go Back to the Drawing Board

Author:
Fredrik Erixon
Publication Date:
11-2021
Content Type:
Policy Brief
Institution:
European Centre for International Political Economy (ECIPE)
Abstract:
This Policy Brief takes stock of the global and European trade and carbon-emission effects from CBAM. It argues that the current design of the CBAM is not good enough and, ultimately, that there are risks that it will dent the positive effects on global carbon emissions that come from a lower cap on carbon emissions in Europe. These effects will happen through trade and the reallocation of production – and from retaliatory responses from countries that will be negatively affected by the CBAM. This Policy Brief provides recommendations on what the EU could do to improve the CBAM. First, it should respond better to concerns about WTO compatibility. No one knows if CBAM would stand up in a WTO dispute, or if the issue of WTO compatibility is of relevance at all. What we do know, however, is that the EU is going a bit off-piste with CBAM, and it knows it. It’s better to address these issues directly than to pretend that they don’t exist. It could, for instance, pre-empt problems by offering compensatory concessions for affected countries. Moreover, the revenues raised by CBAM fees could be paid out to the origin country for the exports. There will be a price for the EU to pay and the more front-footed it is, the more choices it will have in deciding what political currency to use for the payment. Second, the EU should address development problems that will arise from CBAM. The genie is already out of the bottle since development concerns have been raised by the European Parliament and EU member states. Something will have to be done to avoid that CBAM makes it harder for poor countries to improve their welfare. Third, the EU should provide workable ideas for how CBAM could be anchored in trade and climate agreements. If more economies go off-piste in their climate policies (e.g. in subsidies and procurement), the EU is going to be harmed. Hence, the EU has a strong interest to establish an example and provide international rules for how other countries should act in the future when they take measures that ‘beggar-thy-neighbour’. Fourth, the EU should provide a realistic assessment of what retaliatory strategies that other countries will use against the EU, and get a much better understanding of the dynamic or second-order actions that CBAM will prompt. These actions can have a very bad impact on both EU growth and its efforts to decarbonise the economy. It is just decadent to avoid dealing with them pre-emptively. Finally, and more ambitiously, the EU should consider how it can avoid that CBAM (not the ETS) provokes carbon leakage through both imports and exports. In its current shape, the CBAM provides an incentive to move imports up the value-chain and reallocate imports to goods with embodied carbon. Moreover, the CBAM will reduce the external competitiveness of EU exports, leading to a reduction in foreign sales. Both effects will move the global production of CBAM goods to countries with lower carbon costs and higher carbon intensity in the production.
Topic:
Climate Change, European Union, Trade, Carbon Emissions, and WTO
Political Geography:
Europe

356. Acceleration of Climate Policy and the Energy Transformation in Slovakia

Author:
Łukasz Ogrodnik
Publication Date:
07-2021
Content Type:
Special Report
Institution:
The Polish Institute of International Affairs
Abstract:
The Eduard Heger government wants to increase the production of energy from renewable sources and nuclear energy. This is evidenced among others by the preparations for the commissioning of two new units of the Mochovce nuclear power plant. Although Visegrad Group states include pronouncements they plan to use nuclear power in their national energy mixes, the difference in those mixes limits the possibilities of formulating regional climate policy and results in a lack of coherence on the EU forum. Hydrogen fuel, the use of which is growing in Slovakia, also remains an untapped potential for regional cooperation.
Topic:
Climate Change, Energy Policy, Government, Nuclear Power, and European Union
Political Geography:
Central Europe and Slovakia

357. The Ukrainian Energy Sector at a Crossroads: Opportunities for Poland

Author:
Maciej Zaniewicz
Publication Date:
08-2021
Content Type:
Special Report
Institution:
The Polish Institute of International Affairs
Abstract:
Ukraine’s orientation towards the synchronisation of its energy system with the Continental Europe Synchronous Area (CESA) and the need to determine the future of nuclear energy has forced it to settle on an energy transformation strategy. One model may involve replacing nuclear and coal with renewable energy sources (RES), as advocated by Germany. However, a solution assuming the simultaneous development of nuclear, gas, and renewable energy would be more beneficial for Ukraine, and for Poland’s energy security. Poland may promote this solution in Ukraine in cooperation with France, the U.S., and the UK.
Topic:
Security, Climate Change, Renewable Energy, Nuclear Energy, and Energy
Political Geography:
Europe, Ukraine, and Poland

358. Ambitious Plans and Economic Pragmatism - China in the Face of Climate Change

Author:
Marcin Przychodniak
Publication Date:
10-2021
Content Type:
Special Report
Institution:
The Polish Institute of International Affairs
Abstract:
China’s policy on climate change mainly serves to improve its international image, increase the competitiveness of its economy, and strengthen the legitimacy of the Communist Party’s (CPC) power. China’s activities include the development of green technologies and the announcement of a plan to reduce greenhouse gas (GHG) emissions by around 2030. However, the plans are unevenly implemented, sometimes even contrary to expectations, as evidenced by the construction of new coal-fired power plants. The problem of satisfying the country’s energy needs while protecting the environment means that the EU and the U.S. should treat China’s pro-climate declarations with caution.
Topic:
Climate Change, Economics, European Union, Green Technology, and Pragmatism
Political Geography:
China and Asia

359. Progress of the Debate on Sustainable Farming in the EU

Author:
Melchior Szczepanik
Publication Date:
11-2021
Content Type:
Special Report
Institution:
The Polish Institute of International Affairs
Abstract:
In October, the European Parliament approved the goals set by the European Commission (EC) in the Farm to Fork Strategy. This boosted the effort to reduce the negative effects of agriculture on the climate and environment. The details of the strategy must, however, still be negotiated, with the majority of Member States less enthusiastic about the planned reforms than MEPs. Certain sectors of the agri-food industry are striving to slow the transformation. In October, the European Parliament approved the goals set by the European Commission (EC) in the Farm to Fork Strategy. This boosted the effort to reduce the negative effects of agriculture on the climate and environment. The details of the strategy must, however, still be negotiated, with the majority of Member States less enthusiastic about the planned reforms than MEPs. Certain sectors of the agri-food industry are striving to slow the transformation.
Topic:
Climate Change, Environment, European Union, Sustainability, and Farming
Political Geography:
Europe

360. The Course of the Energy Transition in Latin America

Author:
Bartlomiej Znojek and Zuzanna Nowak
Publication Date:
12-2021
Content Type:
Special Report
Institution:
The Polish Institute of International Affairs
Abstract:
The energy transition in Latin American countries is increasingly important for their economic development and the fight against climate change. These states want to use their potential of renewable energy sources (RES) and raw materials such as lithium deposits to attract investments and increase their participation in global supply chains building the low-carbon economy. The EU and its Member States—Germany in particular—have been more and more involved in cooperation with the region in these areas. Poland can also benefit, for example, through the exchange of experience and the engagement of Polish companies.
Topic:
Climate Change, European Union, Renewable Energy, Economic Development, Supply Chains, and Energy
Political Geography:
Europe, Poland, and Latin America

361. The Southern Gas Corridor and the New Geopolitics of Climate Change

Author:
Morena Skalamera
Publication Date:
04-2021
Content Type:
Journal Article
Journal:
Baku Dialogues
Institution:
ADA University
Abstract:
It has been argued that the U.S. shale revolution, the Trump Administration’s energy pol­icies, and the global shift towards low‑carbon energy sources and re­newables have contributed to shape a new energy order—one that chal­lenges the market power tradition­ally enjoyed by petro‑states. No­where are these developments more relevant than in Azerbaijan, as the country’s expensive investments in the Southern Gas Corridor come under increasing pressure. Unless Azerbaijani gas can be decarbon­ized at a competitive cost, it may risk becoming redundant within a couple of decades as Europe embraces a greener future. Geopolitics and Geo‑economics The Southern Gas Corridor (SGC) is a $45bn mega‑project ($25bn for the development of the Shah Deniz II field and at least $15bn for the delivery system) to supply natural gas from the Caspian Sea to Europe and, by so doing, reduce re­liance on Russian imports. This is a priority that has taken on urgency in the wake of Russia’s 2014 an­nexation of Crimea and the sharp deterioration in relations between Moscow and Brussels that ensued. Currently, the SGC is made up of two pipelines to deliver gas from Azerbaijan’s Shah Deniz II field to Turkey and Europe—one called TANAP that is already operational and runs the length of Turkey, and another known as TAP stretching from Turkey’s border with Greece across Albania to Italy, which started pumping gas in late 2020. This is how a leading ADA University policy expert described the situation to me in October 2020, in light of technical delays in the pipeline’s inauguration and the big changes in energy markets de­scribed above: “the TAP pipeline is 90 percent completed and will be inaugurated soon. Unlike oil pipe­lines, whose flexible delivery to the end‑consumer can be sorted out once they are built— as oil travels via tanker, rail, etc.— gas pipelines are more rigid invest­ment endeavors. [...] You don’t agree on a gas pipeline unless you have secured a buyer on the other end.” While natural gas supplies from Azerbaijan’s Shah Deniz field are already contracted, the project has seen numerus twists and turns since it was signed with great fan­fare at the end of 2013. The SGC is an expensive endeavor and the in­stitutions that lined up to finance it are a testament to the degree of strategic importance it carries for the EU. The project has, indeed, been designated as one of the EU’s “priority projects.”
Topic:
Climate Change, Energy Policy, Environment, Natural Resources, and Gas
Political Geography:
Europe, Asia, and Azerbaijan

362. The risks from climate change to sovereign debt in Europe

Author:
Stavros Zenios
Publication Date:
07-2021
Content Type:
Policy Brief
Institution:
Bruegel
Abstract:
The exposure of European Union sovereigns to climate risks can be acute, from extreme weather, or chronic, from the productivity effects of gradual temperature increase, increased sea levels and the transition to a low-carbon economy that results in repricing of assets. Climate-related innovations can also spur growth. These risks are priced by investors and can affect sovereign credit ratings. Governments and fiscal stability authorities have an interest in the sovereign-debt implications of climate change being transparent. To this end, we look at the exposure of EU sovereigns to climate risks, study international best practices, and describe the transmission channels from climate change to public finance. European union institutions and national fiscal authorities should mainstream climate risk analysis in public finance. Stress testing of debt dynamic requires a link between regional climate scenarios and country debt dynamics. We argue for the adoption of an architecture of narrative climate scenarios, to guide national policymaking. Narrative Scenarios can be generated using integrated assessment models. As an illustration, we apply two prominent models to generate rough bounds on the extent of the risk for Italian debt from climate change. This raises issues about the models used. Coordination by EU institutions to develop regional scenarios will ensure acceptability, raise ambitions in dealing with climate risks and encourage the fiscal authorities to think of solutions. A network for climate-proofing public finance will bring together EU and member-state institutions. We also recommend budgeting for climate expenditures and contingent liabilities, and using risk-sharing instruments, with disclosure of the risks to public finance from climate change.
Topic:
Climate Change, Government, European Union, Fiscal Policy, and Sovereign Debt
Political Geography:
Europe

363. A green fiscal pact: climate investment in times of budget consolidation

Author:
Zsolt Darvas and Guntram Wolff
Publication Date:
09-2021
Content Type:
Policy Brief
Institution:
Bruegel
Abstract:
The additional public investment need required to meet the European Union’s climate goals is between 0.5 percent and 1 percent of GDP annually during this decade. Increasing green public investment while consolidating deficits will be a major challenge. While our simulations show that budget consolidation can be done at a moderate pace in line with EU rules if those rules are interpreted flexibly, past consolidation episodes resulted in major public investment cuts. This time, there is a need for a major increase in investment. A ‘green golden rule’ (excluding net green investment from the fiscal indicators used to measure fiscal rule compliance) is the most promising option to address this tension. Relaxing the strictness of the EU fiscal framework beyond its existing flexibility and the proposed green golden rule does not appear necessary in the next few years. The uncertain growth impact of green public spending and the risks to growth from climate change create difficult trade offs in fiscally weaker countries. In any case, better regulatory policy and a higher price on emissions should incentivise private green investment and reduce public costs. These ingredients should be combined to form a ‘green fiscal pact’.
Topic:
Climate Change, Budget, European Union, and Public Investment
Political Geography:
Europe

364. Can climate change be tackled without ditching economic growth?

Author:
Guntram Wolff, Simone Tagliapietra, and Klaas Lenaerts
Publication Date:
09-2021
Content Type:
Working Paper
Institution:
Bruegel
Abstract:
Higher levels of economic activity tend to go hand-in-hand with additional energy use and consumption of natural resources. As fossil fuels still account for 80 percent of the global energy mix, energy consumption remains closely related to greenhouse gas emissions and hence to climate forcing. This paper explores whether decarbonisation and economic growth are compatible or whether the world economy needs to grow less to be able to reduce greenhouse gas emissions fast enough to reach net zero in 2050. The literature provides profoundly different answers to this question, with scholars positioning along a spectrum that extends from the most optimist version of ‘green growth’ theories to sceptical ‘degrowth’ theories. While globally, CO2 emissions per unit of GDP are declining, the decoupling rate from 1995 to 2018 was only -1.8 percent annually. To achieve net zero by 2050, the rate would have to accelerate to -8.7 percent, assuming population and GDP growth projections as given, or by a factor of almost five. To keep GDP growth and population at their projections and thus reject the proposition of de-growth, decoupling would have to accelerate massively. Two avenues are crucial: reducing the energy intensity of production and/or the emissions intensity of energy. The huge fall in the price of renewable energy provides hope that decoupling can accelerate. Decoupling rates have accelerated in the last decade and decoupling is substantially faster in the European Union. In the EU, we estimate that decoupling only has to accelerate by a factor of 2.5. We do not think degrowth propositions advanced in the literature will be pursued and therefore focus on the main challenges that must be tackled to achieve decoupling. Unprecedented efforts are required to achieve green growth. But hoping for humanity to sacrifice growth appears unrealistic.
Topic:
Climate Change, Economic Growth, Fossil Fuels, Carbon Emissions, and Decarbonization
Political Geography:
Global Focus

365. Climate-related Security Risks in the 2020 Updated Nationally Determined Contributions

Author:
Elise Remling and Amar Causevic
Publication Date:
01-2021
Content Type:
Working Paper
Institution:
Stockholm International Peace Research Institute
Abstract:
Nationally determined contributions (NDCs) are the central instrument for states to communicate their con­tribution to the 2016 Paris Agreement on climate change and reflect their wider approach to climate mitigation and adaptation. This SIPRI Insights paper analyses how the 2020 updated NDCs (16 submissions as of October 2020) discuss climate-related security risks and compares them with 2015. It finds that climate change is mainly seen as a risk to socio-economic development and human security and almost never as a risk to societal stability or the functioning of the state. The assessment of risks in NDCs largely focuses on direct climate impacts. This suggests that countries are currently not considering the risks from indirect climate impacts, including those that cross national borders, or the unintended adverse con­sequences of adaptation or mitigation responses. Going forward, countries will need to take account of the multi­faceted and transboundary character of climate risks in their NDCs in order to meet global expectations and goals.
Topic:
Security, Climate Change, Development, Risk, and Peace
Political Geography:
Global Focus

366. The post-Covid city: the ongoing spatial and technological reconfiguration in China and the world

Author:
Philip Yang, Carlo Ratti, Kamila Aben Athar, and Yung Ho Chang
Publication Date:
09-2021
Content Type:
Special Report
Institution:
Brazilian Center for International Relations (CEBRI)
Abstract:
Considering the impacts of the Covid-19 pandemic on our everyday life, the XXV China Analysis Group Meeting focused on the organization of large cities and the reordering of urban agglomerations. According to the participants, the maintenance of this model and the rearrangement, focused on urban sprawl, are valid alternatives, each with its own set of advantages and disadvantages. Another issue discussed was the impact of technologies on how cities are shaped in the 21st century, to which participants responded by mentioning the role of artificial intelligence and big data in making the architecture behave like a living organism. However, they also warned about the importance of developing a balance between the natural and the artificial world. Finally, the participants said that for achieving carbon neutrality by 2050, it is necessary for each city to adopt specific policies that suit its own reality, because there is not a universal formula.
Topic:
Foreign Policy, Climate Change, Science and Technology, Cities, Carbon Emissions, and COVID-19
Political Geography:
China, Asia, and Global Focus

367. Nudging for Recovery: Behavioral Economics and the implementation of the National Recovery and Resilience Plan

Author:
Demosthenes Kollias
Publication Date:
10-2021
Content Type:
Working Paper
Institution:
Hellenic Foundation for European and Foreign Policy (ELIAMEP)
Abstract:
With the National Recovery and Resilience Plan, Greece is presented with yet another opportunity to catch up with global trends. At the same time, behavioral economics are being established worldwide as a valuable asset in the policy maker’s toolkit. The paper -mainly focusing on taxation, labor market policy, and climate change- aims to examine the behavioral conundrum that creates frictions and inefficiency in the domains outlined above and to offer concrete and quantifiable policy proposals, in accordance with the goals of Greece 2.0. Regarding tax evasion, for example, one can estimate at least €1 billion in additional tax revenue if the proposals are implemented.
Topic:
Climate Change, Economics, Tax Systems, Labor Market, and Economic Recovery
Political Geography:
Europe and Greece

368. Winds of change in the Eastern Mediterranean: Between hydrocarbons and renewable energy geopolitics

Author:
Ioannis N. Grigoriadis and Constantine Levoyannis
Publication Date:
09-2021
Content Type:
Working Paper
Institution:
Hellenic Foundation for European and Foreign Policy (ELIAMEP)
Abstract:
Once a cradle of empires, civilizations and religions, the Mediterranean region that once dominated world trade today stands among the world regions with the lowest interconnectivity, trade and investment flows. Under these rather unpromising circumstances, the discovery of sizeable natural gas reserves under the seabed of the Eastern Mediterranean in the 2000s and early 2010s appeared as a golden opportunity for the emergence of the Mediterranean in the EU and global energy map, as well as for regional economic cooperation. Yet various missed opportunities and with gas consumption set to decline sharply post 2030 within the European Union, the Eastern Mediterranean natural gas reserves are no longer likely to emerge as gamechanger in EU energy geopolitics. There is another field where the Eastern Mediterranean can play a leading role in the transformation of European energy policy, giving a new dimension to Eastern Mediterranean energy geopolitics. A new, more dynamic and forward-looking energy and climate strategy is needed and with it, a need to evolve from the traditional definition of energy security. The European Green Deal has transformed the discussion on the monetization of natural resources with a negative climate footprint. While the European Union pledges to turn climate neutral by 2050, carbon dioxide emissions must be decisively cut, affecting the use of hydrocarbons including natural gas. This development brings forward a major opportunity for economic cooperation in the Mediterranean, focusing on the development of infrastructure for the production, storage and transport of renewable energy towards Europe. A robust political response is necessary to address climate change to keep our planet viable. The European Green Deal emerges as a new historic cooperation opportunity for a region with lots of regional conflicts as well as with a lot of unrealized potential.
Topic:
Climate Change, European Union, Geopolitics, Renewable Energy, and Hydrocarbons
Political Geography:
Mediterranean

369. The European Green Deal: How to turn ambition into action

Author:
Annika Hedberg
Publication Date:
11-2021
Content Type:
Working Paper
Institution:
European Policy Centre (EPC)
Abstract:
The pressure is on. The climate and ecological crises are accelerating and there is growing recognition that business as usual is not an option. The EU can and should play a major role in addressing the planetary crisis, in enabling and accelerating the transition to a more sustainable world. It can do this by acting as a rule-maker and enforcer; as an economic powerhouse; as a source of significant funding within the EU and beyond, as well as a mobiliser for private financing; as a convening power; as an innovator and developer of new solutions; as a standard-setter; as a major producer and consumer. The European Green Deal is crystal clear in its ambition. However, as this ambition and its goals are turned into policies and initiatives, the greatest challenge lies in the ‘how’. How to turn the ambition of the European Green Deal into real action and real results? This paper argues that to achieve the goals of the European Green Deal and leverage impact beyond EU borders as well, there are five fundamental strands of action for the EU and its member states: Leadership that communicates the urgency for action. Europe needs leaders - be it politicians, policymakers, media, heads of military or other opinion influencers - that communicate clearly the direction of travel and remind the public of the benefits of action as well as the costs of inaction for the economy, society and people. Aligning member state action with the agreed goals requires political will, ownership of the needed measures and recognising that urgent action is in every nation’s interest. This calls for using every tool in the kit, including EU policies, investments and collective action, to get on the right track. It requires addressing existing incoherencies in the policy and investment framework as well as better enforcement of existing rules. Bringing business along: The EU needs to help create the right framework conditions for European businesses – big and small - to succeed in the transition and to become a leader in those solutions that are increasingly demanded in- and outside of the EU. Bringing people along: Reaching the agreed goals requires communicating and showing the benefits that the measures will bring to people; managing the social impact on the most vulnerable in particular; and providing people with the right tools to engage in the transition. Global action: The EU should lead by example but also collaborate with other major players in addressing the climate and the wider sustainability crises. When the EU speaks and acts as one, it can be more powerful and impactful globally than the sum of its parts.
Topic:
Climate Change, European Union, Leadership, Economy, Sustainability, and Green Deal
Political Geography:
Europe

370. The Impact of Climate Change on Global and Local Security Governance

Author:
Flavia Eichmann
Publication Date:
02-2021
Content Type:
Policy Brief
Institution:
Geneva Centre for Security Sector Governance (DCAF)
Abstract:
Climate change presents a major threat not only to sustainable development and global biodiversity but also to peace and security. Security sectors around the world are increasingly faced with the challenges of climate security risks, given their traditional role in disaster risk prevention, management, and response - but also in migration and border management, conflict prevention and peacebuilding.
Topic:
Security, Climate Change, Environment, and Governance
Political Geography:
Global Focus

371. Climate Change and Its Impact on Security Provision - The Role of Good Security Sector Governance and Reform

Author:
Hans Born
Publication Date:
09-2021
Content Type:
Policy Brief
Institution:
Geneva Centre for Security Sector Governance (DCAF)
Abstract:
While it is clear that SSG/R must play a role in responding to climate change, a greater understanding of how to translate this into practice is required. This policy brief seeks to identify concrete entry points for SSG/R in addressing climate-related security risks, and outlines means for influencing policy in this direction.
Topic:
Security, Climate Change, Environment, Governance, and Reform
Political Geography:
Global Focus

372. The Impact of Climate Change on U.S. Foreign Policy and the National Interest

Author:
John Harbeson and Keith P. McCormick
Publication Date:
05-2021
Content Type:
Journal Article
Journal:
American Diplomacy
Institution:
American Diplomacy
Abstract:
Editor’s note: In September 2020 the DACOR Bacon House Foundation invited climate experts from government, science, diplomacy, the academy, and media as well as an audience of foreign affairs professionals to examine the current state of knowledge on climate change and its impacts on U.S. foreign policy and the national interest. A summary of the conference proceedings follows.
Topic:
Foreign Policy, Climate Change, and Diplomacy
Political Geography:
North America, Global Focus, and United States of America

373. Perspectives for a New International Crime Against the Environment: International Criminal Responsibility for Environmental Degradation under the Rome Statute

Author:
Ammar Bustami and Marie-Christine Hecken
Publication Date:
06-2021
Content Type:
Journal Article
Journal:
The Goettingen Journal of International Law
Institution:
The Goettingen Journal of International Law
Abstract:
This article draws attention to the need of a reform of the environmental protection by means of international criminal law as enshrined in the Rome Statute of the International Criminal Court. After giving a short overview of the contemporary environmental protection in war- and peacetime offered by international criminal law, it becomes clear that international criminal law fails to succeed at offering sufficient environmental protection. This paper outlines that there is no convincing reason for a differentiated approach in international criminal law to environmental damage in wartime and in peacetime, and that a shift from an anthropocentric to an ecocentric approach would positively contribute to a more effective protection of the environment. It is therefore argued for the introduction of a new integral and ecocentric international crime against the environment in the Rome Statute. The paper then elaborates on existing proposals on such a new crime against the environment before some proper observations on the exact contours of the crime are made. A focus lies on the new crime’s threshold of seriousness as well as on the necessary mens rea requirements. The insufficiency of the contemporary legal framework and the merits of a new crime against the environment are exemplified by an archetype example of peacetime environmental damage, the Chevron/Texaco oil spill scenario in Ecuador.
Topic:
Climate Change, Environment, International Cooperation, and International Law
Political Geography:
Global Focus

374. Climate Change, Central Banking, and Financial Supervision: Beyond the Risk Exposure Approach

Author:
Yannis Dafermos
Publication Date:
09-2021
Content Type:
Working Paper
Institution:
School of Oriental and African Studies - University of London
Abstract:
It is now increasingly accepted that central banks and financial supervisors can no longer ignore climate change. However, there is no consensus on how they should address climate issues. On the one hand, there is a view that central banks and financial supervisors should mainly contribute to the assessment of the exposure of the financial system to climate-related financial risks, considering at the same time the possibility of incorporating climate risks into monetary policy and financial supervision and regulation. On the other hand, it is argued that central banks and financial supervisors need to take action such that they contribute directly to the decarbonisation of our economies and the prevention of climate systemic risks. In this paper, I analyse the main premises and implications of these two approaches and I explain why a systemic risk approach is necessary in the age of climate emergency. I also discuss the challenges involved in a policy agenda aiming at the reduction of climate systemic risks and I outline how these challenges can be tackled.
Topic:
Climate Change, Finance, Risk, and Banking
Political Geography:
Global Focus

375. Changes in Oil Markets and New Technology: The Effects of COVID-19 and Climate Change

Author:
Paul Rivlin
Publication Date:
03-2021
Content Type:
Working Paper
Institution:
Moshe Dayan Center for Middle Eastern and African Studies
Abstract:
In our latest issue of Iqtisadi: The Middle East Economy, Paul Rivlin discusses the near and long term prospects for oil pricing, with special attention to new technologies being developed in wealthy Gulf States. In the first two months of 2021, the price of oil rose by almost 38 percent to just over $65/barrel. Was this because of rising demand, supply constraints or increased confidence? All these factors were relevant, but a glance at the OPEC basket price of oil over the past decade puts the rise in prices into perspective. At the end of February, the oil price was well below its 2011-2014 and 2018 highs both nominally terms and even more so when inflation is considered.
Topic:
Climate Change, Energy Policy, Markets, Oil, Science and Technology, Economy, and COVID-19
Political Geography:
Saudi Arabia, United Arab Emirates, and Gulf Nations

376. A CO2-Border Adjustment Mechanism as a Building Block of a Climate Club

Author:
Felix Bierbrauer, Gabriel Felbermayr, Axel Ockenfels, Klaus M. Schmidt, and Jens Sudekum
Publication Date:
03-2021
Content Type:
Policy Brief
Institution:
Kiel Institute for the World Economy (IfW)
Abstract:
The EU steps up its efforts to curb its territorial CO2-emissions. It is planning to introduce a carbon border adjustment mechanism (CBAM) to level the playing field and to raise own resources. The authors point out that unilateral European climate policy action, whether shored up with a CBAM or not, can only play a limited role in reducing global CO2-emissions. A EU-CBAM cannot stop indirect leakage, it has ambiguous effects on other countries’ mitigation efforts, and it poses the risk of conflicts with trade partners. They propose that the EU, together with the US and other like-minded countries, should push hard to establish a climate club with a common minimum price of CO2 and a common CBAM applied to third countries. Such a framework would incentivize other countries to join while limiting leakage and reducing the risk of trade policy disputes.
Topic:
Climate Change, Environment, International Trade and Finance, Regional Cooperation, European Union, and Carbon Emissions
Political Geography:
Europe

377. Climate Policies after Paris: Pledge, Trade, and Recycle

Author:
Christopher Bohringer, Sonja Peterson, Thomas F. Rutherford, and Jan Schneider
Publication Date:
05-2021
Content Type:
Working Paper
Institution:
Kiel Institute for the World Economy (IfW)
Abstract:
This article summarizes insights of the 36th Energy Modeling Forum study (EMF36) on the magnitude and distribution of economic adjustment costs to greenhouse gas emission reduction targets. Under the Paris Agreement countries voluntarily committed themselves to emission reductions – so-called Nationally Determined Contributions (NDCs) – in order to combat global warming. The study suggests that tightening of NDCs in line with the commonly agreed 2°C temperature target will induce global economic costs of roughly 1% in 2030 – yet, these costs are unevenly spread across regions with fossil fuel exporting countries being most adversely affected from the transition towards a low-carbon economy. In order to reduce adjustment costs at the global and regional level, comprehensive emissions trading which exploits leastcost abatement options is strongly desirable as it can relax contentious normative debates on equitable burden sharing. Lump-sum recycling of revenues from emissions pricing in equal amounts to every household appeals as an attractive strategy to mitigate regressive effects and thereby make stringent climate policy more acceptable on societal fairness grounds.
Topic:
Climate Change, Energy Policy, Environment, Recycling, and Carbon Emissions
Political Geography:
Global Focus

378. Gains Associated with Linking the EU and Chinese ETS under Different Assumptions on Restrictions, Allowance Endowments, and international Trade

Author:
Malte Winkler, Sonja Peterson, and Sneha Thube
Publication Date:
05-2021
Content Type:
Working Paper
Institution:
Kiel Institute for the World Economy (IfW)
Abstract:
Linking the EU and Chinese Emission Trading Systems (ETS) increases the cost-efficiency of reaching greenhouse gas mitigation targets, but both partners will benefit – if at all – to different degrees. Using the global computable-general equilibrium (CGE) model DART Kiel, we evaluate the effects of linking ETS in combination with 1) restricted allowances trading, 2) adjusted allowance endowments to compensate China, and 3) altered Armington elasticities when Nationally Determined Contribution (NDC) targets are met. We find that generally, both partners benefit from linking their respective trading systems. Yet, while the EU prefers full linking, China favors restricted allowance trading. Transfer payments through adjusted allowance endowments cannot sufficiently compensate China so as to make full linking as attractive as restricted trading. Gains associated with linking increase with higher Armington elasticities for China, but decrease for the EU. Overall, the EU and China favor differing options of linking ETS. Moreover, heterogeneous impacts across EU countries could cause dissent among EU regions, potentially increasing the difficulty of finding a linking solution favorable for all trading partners.
Topic:
Climate Change, Environment, International Trade and Finance, Regional Cooperation, and European Union
Political Geography:
China, Europe, and Asia

379. Renewing International Extension to Equip Farmers for a Changing Climate

Author:
Gloria Dabek
Publication Date:
09-2021
Content Type:
Special Report
Institution:
Chicago Council on Global Affairs
Abstract:
The climate crisis necessitates a new extension agenda that prioritizes farmer needs and preferences and promotes climate resilience and adaptation. US policy should reflect this new extension agenda to ensure farmers have the tools to succeed in providing for themselves, and ultimately, feeding the world. Climate change is causing more extreme weather events such as flooding, droughts, and heatwaves. Farmers are seeking to quickly adapt to a crisis that is worsening with time. Tools that were previously used by farmers, however, may no longer be effective to combat changing conditions. Agricultural extension plays an equally critical role in delivering those findings and innovations to farmers, ensuring they have the best information and tools available for success. The climate crisis requires a global response, and it is now more urgent than ever to equip farmers worldwide to address these challenges. The United States has a long history in international agricultural extension with mixed results, as some initially successful efforts did not endure. With our strong R&D and extension infrastructure, the United States has the opportunity to reevaluate and bolster its international extension efforts and provide global leadership to more effectively deliver on taxpayer dollars and provide smallholder farmers the assistance they need. Farmers require accurate and context-appropriate innovations and knowledge to address climate challenges and provide food-secure futures for themselves, their communities, and the world. A revised extension agenda must account for the abundant possibilities provided by information and communications technology (ICT) as well as ensure new innovations and knowledge are sustainable environmentally, financially, and locally. While this brief is not intended as a comprehensive review, it examines current US international agricultural extension efforts, identifies gaps, examines best practices, and proposes policy recommendations for a new extension agenda.
Topic:
Agriculture, Climate Change, Environment, and Food
Political Geography:
North America and Global Focus

380. Fossil Fuel Subsidy Inventories vs. Net Carbon Prices: a Consistent Approach for Measuring Fossil Fuel Price Incentives

Author:
Jens Bohm and Sonja Peterson
Publication Date:
05-2021
Content Type:
Working Paper
Institution:
Kiel Institute for the World Economy (IfW)
Abstract:
Different reports including the broadly cited OECD fossil fuel subsidy inventory arrive at high monetary values of fossil fuel subsidies and suggest that phasing out these subsidies has a high potential to increase the efficiency of climate policies. We show that the inventory approach gives misleading information about this potential since there is little correlation with net carbon prices that actually reflect the stringency of climate policies. We use data on net fossil fuel taxation from the OECD´s Taxing Energy Use report and augment it with data on subsidies and emission permits, to calculate national and sectoral net carbon prices for the top six emitters (China, US, India, Russia, Japan and Germany) and for Poland and Sweden, two European countries perceived as examples of opposing environmental policies. Our results show that in high-income countries, subsidies mainly relate to reduced fuel tax rates for certain uses, so that e.g. Sweden, for which the OECD inventory reports subsidies per ton of CO2 26 times higher than the US, has a 770% higher national net carbon price than the US. While Germany and Russia have similar subsidy levels in the OECD inventory, the national net carbon price in Germany is 50 €/tCO2, while producer subsidies lead to a negative net carbon price of -6€/tCO2 in Russia. Our results illustrate that raising taxes on fossil fuels will often lead to higher reported inventory subsidies. Inventory measures thus give little information about the efficiency of climate policy. Our analysis also shows the large differences in net carbon prices across countries and across sectors within countries. Net carbon prices should replace fossil fuel subsidies in the policy debates and become the basis for national energy tax reforms and international agreements on minimum carbon prices.
Topic:
Climate Change, Energy Policy, Environment, Natural Resources, and Fossil Fuels
Political Geography:
Global Focus

381. The Role of Global Climate Change in Structural Transformation of Sub-Saharan Africa

Author:
Askar Mukashov and Christian Henning
Publication Date:
06-2021
Content Type:
Working Paper
Institution:
Kiel Institute for the World Economy (IfW)
Abstract:
With increasing evidence that rural households in Sub-Saharan Africa (SSA) opt for deagrarianization as an adaptation strategy to climate change, it is becoming important to understand the role of Global Climate Change (GCC) in ongoing structural transformation processes in these countries. We use Senegal as a case study country and analyze how various GCC scenarios affect the country's economic sectors, households' welfare, and structural transformation patterns. Our simulation results suggest that GCC can increase the country's deagrarianization pace, with industrial and service sectors in the capital Dakar being the most important destinations of the former agricultural labor force. Although unplanned urbanization smoothes the overall negative impact of GCC and decreases spatial income disparities, uncontrolled deagrarianization is also associated with negative externalities. Previous growth-focused studies suggest that services partaking in Senegal’s deagrarianization can hamper its long-term growth prospects, and our results suggest that productivity increase of services can redirect part of the former agricultural labor force towards industrial sectors.
Topic:
Agriculture, Climate Change, Economics, Environment, Labor Issues, Income Inequality, Rural, and Housing
Political Geography:
Africa and Senegal

382. Melting Ice, Frozen Heart: Russia’s posture on climate change and decarbonisation

Author:
Stanislav Secrieru and Federica Prandin
Publication Date:
09-2021
Content Type:
Policy Brief
Institution:
European Union Institute for Security Studies
Abstract:
In the span of two decades, in its relations with Russia the EU has moved from ambitious endeavours to build Common Spaces and foster the Partnership for Modernisation to a more minimalist and defensive approach, epitomised by the dictum ‘to push back, to contain and to engage’ (1). There is no shortage of ideas on how to operationalise the first two aspects of this strategy, but the third one is more problematic. As global warming and the need for comprehensive decarbonisation efforts have risen to the top of the EU’s agenda, fighting climate change has re-emerged as one of the prospective areas for positive selective interaction with Russia. Global warming knows no borders and requires transnational solutions, thus for its own sake if nothing else Russia should be interested in expanding such cooperation too. This Brief proposes to test this assumption by addressing the following questions: what is Russia’s profile as a polluter? How strong is the impact of climate change in Russia? What shapes the Kremlin’s perceptions and responses? Is there room for genuine cooperation today between Russia and the EU on climate issues? If not, what factors could change Russia’s attitudes and actions in the near and distant future?
Topic:
Climate Change, European Union, and Decarbonization
Political Geography:
Russia and Eurasia

383. Russia Meets Climate Change: The Domestic Politicization of Environmental Issues and External Pressure to Decarbonize

Author:
Jussi Lassila and Marco Siddi
Publication Date:
03-2021
Content Type:
Policy Brief
Institution:
Finnish Institute of International Affairs
Abstract:
Russia’s role in international climate policy is central. Russia is the fourth largest emitter of carbon dioxide and has vast potential for developing renewable energy. However, its fossil fuel-based economy and the legitimacy it creates for the Kremlin make climate action inherently difficult. Thanks to the growing politicization of environmental issues, the relevance of climate change may increase in the Russian public debate. The effects of climate change, such as melting permafrost and the Siberian forest fires, could catalyze this process. Climate-sceptical populism may sometimes feature in the rhetoric of the political elite, but its proliferation in society is unlikely. Most Russians are concerned about climate change, even if less so than Western Europeans. However, Russia’s decision-making on climate policy is highly centralized, with little or no input from civil society actors. The energy transition in Europe can eventually deprive Russia of its main market for fossil fuel exports, but it also creates new prospects for cooperation in green energy development.
Topic:
Civil Society, Climate Change, Environment, Carbon Emissions, and Decarbonization
Political Geography:
Russia and Europe

384. Africa Megatrends: Looking over the Horizon into the Future

Author:
Olli Ruohomäki
Publication Date:
03-2021
Content Type:
Policy Brief
Institution:
Finnish Institute of International Affairs
Abstract:
Africa is an enormous continent composed of several regions and 54 states, populated with more than 1.3 bil- lion people. Tere are more than 1,500 languages and diverse cultures. Both low-income and high-income countries and disparate levels of development are found on the continent. There is both concern and hope in the air regard- ing the trajectory that Africa’s development will take. Dwelling solely on negative news about confict, polit- ical turmoil, hunger and refugees is not constructive. Neither is seeing Africa through ‘rose-tinted glasses’ as a continent full of promise for trade and investment prospects. Rather, a balanced and realistic vision that looks over the horizon into the future is required. Talking about the diverse and vast continent as a whole is fraught with potential accusations of sweeping generalizations and even arrogance. Nonetheless, this is exactly what the business of forecasting is all about. To put it another way, predicting the future is essentially about painting the canvas with broad strokes and seeing the big picture. It is then up to area studies, sociology, anthropology, political science and similar disciplines to dwell on the more nuanced and detailed case studies. Hence, despite the complexity that forecasting the future of Africa entails, it is possible to outline the main contours of the trajectory of change that in- forms the course of developments on the continent.1 It is with this in mind that this Briefng Paper exam- ines seven megatrends that are shaping the future of Africa
Topic:
Climate Change, Democratization, Environment, International Trade and Finance, Regional Cooperation, Urbanization, Conflict, Regionalism, and Population Growth
Political Geography:
Africa

385. Engaging Brazil in the era of climate action: Can Europe and the United States devise a new globalisation?

Author:
Lauri Tahtinen
Publication Date:
09-2021
Content Type:
Policy Brief
Institution:
Finnish Institute of International Affairs
Abstract:
Increased deforestation in the Amazon is the outcome of Brazil’s long political crisis. What started in 2013 with a bus fare hike has traversed through contestable impeachment and populist uprising into a constitutional stalemate. European institutional investors have been in the vanguard of checking Brasília’s lax approach to deforestation and other environmental challenges. While investors continue to carry a big stick, European and US political leadership should consider what carrots they can offer Brasília. Brussels and Washington have changed course rapidly from an approach that emphasised closer ties with Brasília to one of dissatisfaction and distancing. This is both a cause and an effect of Brazil’s international standing diminishing both in terms of economy and country brand. In recent years, Brazil has simultaneously tried to raze more rainforest and build North Atlantic trading relations; the two cannot be done at the same time. A politics of rapprochement with Brazil requires much closer coordination between Europe and the United States than the parties are accustomed to; a commitment to a climate-sensitive globalisation is necessary from Brasília.
Topic:
Climate Change, Environment, Globalization, and International Cooperation
Political Geography:
Europe, Brazil, South America, and North America

386. Power play: Europe’s climate diplomacy in the Gulf

Author:
Cinzia Bianco
Publication Date:
10-2021
Content Type:
Policy Brief
Institution:
European Council on Foreign Relations (ECFR)
Abstract:
Gulf monarchies believe hydrocarbons will continue to be a fundamental – albeit shrinking – source of revenues for decades. But, as shown by Saudi Arabia’s net-zero pledge, they now see economic and political opportunities in embracing the green energy transition. If the EU is to achieve its climate and geopolitical goals, it will need to substantially increase its engagement with Gulf states on the European Green Deal. Electricity interconnection and green hydrogen are the two most promising fields of clean energy cooperation between the sides. Europeans should not cave to international pressure to lower their ambitions on carbon taxation, including the carbon border adjustment mechanism, as this remains a powerful incentive for hydrocarbons producers to make the transition to cleaner energy.
Topic:
Climate Change, Energy Policy, European Union, Geopolitics, Engagement, Carbon Tax, and Carbon Emissions
Political Geography:
Europe, Middle East, and Gulf Nations

387. Climate of cooperation: How the EU can help deliver a green grand bargain

Author:
Alex Clark, Susi Dennison, and Mats Engström
Publication Date:
10-2021
Content Type:
Policy Brief
Institution:
European Council on Foreign Relations (ECFR)
Abstract:
The global transition away from carbon will fundamentally alter the EU’s dependencies on energy, raw materials, and new technologies. The bloc needs to manage these dependencies while maintaining the fragile consensus between member states on the European Green Deal and fulfilling its ambitions for global climate leadership. The EU should help deliver a green grand bargain by making use of all its sources of economic, multilateral, and soft power. The bloc should reframe the international debate on energy security to focus on clean energy resources and efficiency, engaging in the market reforms needed to incentivise this shift. The EU should make every effort to reassure countries in the global south that the green transition will not leave them behind. The Global Gateway provides a strong framework for doing this – as would an EU Co-innovation and Green Tech Diffusion Fund. The EU also needs to place European sovereignty at the centre of its internal narrative on the European Green Deal. This could help win support for the agreement from member states that are concerned about the economic and social effects of the green transition.
Topic:
Climate Change, Development, Diplomacy, International Cooperation, Science and Technology, European Union, Partnerships, Multilateralism, and Trade
Political Geography:
Europe and Global Focus

388. New energies: How the European Green Deal can save the EU’s relationship with Turkey

Author:
Asli Aydıntaşbaş and Susi Dennison
Publication Date:
06-2021
Content Type:
Policy Brief
Institution:
European Council on Foreign Relations (ECFR)
Abstract:
Europeans know that the EU needs to create a new paradigm in its relationship with Turkey after a challenging few years. The bloc also needs to develop a form of European climate leadership that complements but is distinct from Washington’s re-engagement with the green agenda. Through close cooperation with Turkey on the European Green Deal, the EU could meet both challenges and build trust in relations with Ankara. The sides have a shared interest in supporting Turkey’s pro-Western business community and in developing the promising Turkish renewables sector. EU member states should help Turkey manage the impact of the new trade regulations the European Green Deal would bring in. This refreshed approach would not resolve broader disputes over issues such as human rights – but it could start rules-based engagement and change the mood music enough to improve other areas of the relationship.
Topic:
International Relations, Climate Change, Energy Policy, European Union, and Green Deal
Political Geography:
Europe and Turkey

389. Europe’s green moment: How to meet the climate challenge

Author:
Susi Dennison, Rafael Loss, and Jenny Söderström
Publication Date:
04-2021
Content Type:
Policy Brief
Institution:
European Council on Foreign Relations (ECFR)
Abstract:
EU member states are publicly committed to the European Green Deal, but are divided over the details of its implementation. They have different views on issues such as the proposed carbon border adjustment mechanism, the role of nuclear energy in Europe’s future energy mix, bridging technologies in the transition to net zero, and the socio-economic consequences of closing down carbon-intensive industries. Member states are not divided into two diametrically opposed camps but rather agree or disagree with one another in varying constellations. This makes the implementation of the European Green Deal an intricate puzzle – yet achievable if coalitions of states push one another to implement its constituent parts. The EU needs a strong foreign policy strategy to manage the geopolitical dimension of the deal and to generate the political resolve to drive climate action. The bloc also needs to mitigate the socio-economic challenges of implementing the European Green Deal if the effort is to succeed.
Topic:
Climate Change, European Union, Geopolitics, and Green Deal
Political Geography:
Europe

390. Power surge: How the European Green Deal can succeed in Morocco and Tunisia

Author:
Amine Bennis
Publication Date:
01-2021
Content Type:
Policy Brief
Institution:
European Council on Foreign Relations (ECFR)
Abstract:
North African countries such as Morocco and Tunisia can help Europe meet its carbon emissions targets and strengthen its position in the face of fierce competition from China for economic and political influence. By encouraging European investment in renewable energy, the European Green Deal can increase local workforce opportunities, promote development, and stabilise migration, enhancing stability in the region. The EU should promote green hydrogen projects in Morocco and Tunisia. These would contribute to its climate neutrality goals and develop both European industrial leadership and local economies. The EU should also promote new electrical interconnections across the Mediterranean, to foster an integrated electricity market. Morocco and Tunisia should become official “Green Partners” of the EU. This would help catalyse joint action and ease those countries’ green transitions – especially that of Tunisia, which is particularly in need of help building additional capacity.
Topic:
Climate Change, Diplomacy, Energy Policy, European Union, Electricity, and Green Deal
Political Geography:
Europe, Morocco, and Tunisia

391. The geopolitics of the European Green Deal

Author:
Mark Leonard, Jean Pisani-Ferry, Jeremy Shapiro, Simone Tagliapietra, and Guntram Wolff
Publication Date:
02-2021
Content Type:
Policy Brief
Institution:
European Council on Foreign Relations (ECFR)
Abstract:
The European Green Deal will have profound geopolitical repercussions, some of which are likely to have an adverse impact on the European Union’s partners. The EU should prepare to manage these repercussions in its relationships with important countries in its neighbourhood such as Russia and Algeria, and with global players such as the United States, China, and Saudi Arabia. The bloc should engage with oil- and gas-exporting countries to foster their economic diversification, including into renewable energy and green hydrogen that could be exported to Europe. The EU should improve the supply security of critical raw materials and limit its dependence on other countries – primarily on China – for these materials. It should work with the US and other partners to establish a ‘climate club’ whose members would apply similar carbon border adjustment measures. The EU should become a global standard-setter for the energy transition, particularly in hydrogen and green bonds. It should internationalise the European Green Deal by mobilising the EU budget, the EU recovery fund, and EU development policy. The EU should promote global coalitions for climate change mitigation, such as one to protect the permafrost. The bloc should promote a global platform on the new economics of climate action, to share lessons learned and best practice.
Topic:
Foreign Policy, Climate Change, European Union, Geopolitics, and Green Deal
Political Geography:
Europe

392. The evolution of US strategic priorities

Author:
Carl Bildt
Publication Date:
03-2021
Content Type:
Policy Brief
Institution:
European Council on Foreign Relations (ECFR)
Abstract:
The Biden administration’s Interim National Security Strategic Guidance reflects an evolution in US strategic thinking and policy priorities. The document shows how the administration intends to shift away from America Alone and towards America and its Allies. But the optimism and confidence the US expressed in 2015 has been replaced by deep concern over a range of strategic trends. The US will now prioritise strategic competition with China, a new approach to trade, the rise of technology, the defence of democracy, the urgent climate and health crises, and efforts to avoid ‘forever wars’ in the Middle East.
Topic:
Climate Change, Health, Science and Technology, Democracy, and Trade
Political Geography:
China, Middle East, North America, and United States of America

393. The perspectives of the Czech automotive industry's decarbonization

Author:
Michal Hrubý
Publication Date:
06-2021
Content Type:
Policy Brief
Institution:
Europeum Institute for European Policy
Abstract:
Our Research Fellow Michal Hrubý examines the current state of the Czech automotive industry and its possible decarbonisation in connection with emissions. He divides his recommendations into five points - bolster green investments, financial incentives are the change-drivers, boost charging infrastructure, support the corporate BEVs fleet market and a ban on ICEVs is not the solution per se.
Topic:
Climate Change, Manufacturing, Carbon Emissions, Decarbonization, and Automotive Industry
Political Geography:
Europe and Czech Republic

394. The Carbon Border Adjustment Mechanism (CBAM) and its effects on trade with third countries

Author:
Tom Baker
Publication Date:
04-2021
Content Type:
Special Report
Institution:
Europeum Institute for European Policy
Abstract:
Trade with third countries is the major component of the EU’s foreign policy, serving as a critical economic, diplomatic and geopolitical tool. As such, the EU is eager to green this area of its activity via a host of policies, one such being the Carbon Border Adjustment Mechanism (CBAM). Serving essentially as a form of carbon tax on goods imported into the EU, the CBAM aims to instigate more climate friendly production of goods in third countries. In simple terms, the CBAM would, as an incentive for global action against climate change, tax goods imported from countries with less ambitious climate policies.
Topic:
Climate Change, Borders, Tax Systems, and Carbon Emissions
Political Geography:
Europe

395. China vs. US: The Green Energy Race

Author:
Katharine Klačanský
Publication Date:
08-2021
Content Type:
Policy Brief
Institution:
Europeum Institute for European Policy
Abstract:
In her policy paper, Katharine Klačanský, Research Fellow at EUROPEUM Institute for European Policy, discusses the role of climate in geopolitics and provides an overview of the Chinese and American green investment plan and its implications for the future of fossil fuels.
Topic:
Climate Change, Energy Policy, Geopolitics, Green Technology, and Fossil Fuels
Political Geography:
China, Asia, North America, and United States of America

396. How will CBAM affect manufacturing industries in the Czech Republic?

Author:
Katharine Klačanský
Publication Date:
09-2021
Content Type:
Special Report
Institution:
Europeum Institute for European Policy
Abstract:
The issues of carbon leakage and competitiveness have recently become major topics of concern for policy makers and stakeholders involved in decarbonisation, as international commitments of the European Union (EU) on climate change are moving higher on the agenda. The much-needed target of reaching climate neutrality by 2050 has led to increased interest, and urgency, in examining options to address the risk of carbon leakage as well as measures to prevent it from happening.
Topic:
Climate Change, European Union, Borders, Manufacturing, Carbon Tax, and Carbon Emissions
Political Geography:
Europe and Czech Republic

397. Implications of the 2020 US Presidential Election on the EU and Czech Climate Policy

Author:
Aneta Navrátilová
Publication Date:
01-2021
Content Type:
Policy Brief
Institution:
Europeum Institute for European Policy
Abstract:
More than anything, 2020 will be remembered for fighting against the world-wide Covid-19 pandemic which has reshaped all of our societies in dramatic ways. Once again, it has highlighted a latent conflict between nation-states and sovereignty, real or perceived, on one hand, and international, if not supranational, cooperation and multilateralism on the other. The crisis exacerbated existing conflicts between nationalists and national conservatives, prominently predisposed towards isolationism, exemplified most acutely in Trump’s America First agenda, and progressives and liberals on the other hand arguing for deepening integration, strengthening multilateralism, and international cooperation to tackle global crises. The US elections became emblematic of this wider, more fundamental struggle, as well as the societal polarization that, to varying degrees, haunts the rest of the developed world. Yet, with a Trump soundly rejected in a landslide election loss, one can wonder whether his loss portends similar rejections of populism and national conservatism across the globe. The 2020 US presidential election was unprecedented, fevered, divisive, and emotional for various reasons. Firstly, the Republican ticket of incumbent President Donald Trump and Vice President Mike Pence was defeated. Secondly, Joe Biden obtained the largest share of the people’s vote against his opponent and the highest turnout in the last one hundred years was reached in this year’s election, despite the ongoing coronavirus pandemic, referring to an increased concern about future direction of the US. And lastly, as Biden won the election with flying colours, the whole world is now contemplating what will change. Not only on the domestic level, but also the international one.
Topic:
Climate Change, Multilateralism, and Presidential Elections
Political Geography:
Europe, North America, Czech Republic, and United States of America

398. A transition for the citizens? Ensuring public participation in the European Green Deal

Author:
Francesca Colli
Publication Date:
04-2021
Content Type:
Policy Brief
Institution:
EGMONT - The Royal Institute for International Relations
Abstract:
The EU acknowledges that citizen participation in the European Green Deal is vital to ensure the legitimacy of policies and public buy-in for climate measures. This policy brief examines specific options for public participation in policymaking – stakeholder consultation, citizens’ assemblies and local projects – and discusses the extent to which each is already included in the European Green Deal. Although the most effective public participation takes place at national, regional or local level, it should nonetheless be encouraged or coordinated by the EU. Currently, the mechanisms established by the EU appear to blend different types of public participation; however, a key issue that remains to be addressed is reaching groups that may otherwise be overlooked or fall through the cracks – particularly those with the most to lose in the transition.
Topic:
Climate Change, Environment, Public Opinion, Green Technology, and Participation
Political Geography:
Europe

399. Will Only a Green Power Remain a Great Power?

Author:
Marie Dejonghe
Publication Date:
05-2021
Content Type:
Policy Brief
Institution:
EGMONT - The Royal Institute for International Relations
Abstract:
When the coronavirus broke out in 2020 the whole world literally came to a pause. The pandemic overshadowed all other major problems and started to shape relations between states. Climate change suddenly disappeared from the international agenda. However, the effects of the global climate crisis are showing faster and more severely than ever before: wildfires in Australia, extreme weather events in Asia, tornado’s in America, a melting Arctic... Secondary effects like climate migration and conflicts have become visible as well. This crisis is more urgent than ever. The COVID-19 crisis has shattered our economies, but lockdown measures taken by almost all governments have had a positive impact on the emission of greenhouse gases. The world took a step forward, even if unintended, towards the goals set in Paris in 2015. COVID-19 has taken away a lot from the world, but it may also have created a momentum to continue this downward trend and make it structural. Even the world’s great powers will have to integrate the green transition in their COVID-19 economy recovery plans in order to not fall off the wagon. But will only a green great power remain a great power?
Topic:
Climate Change, Energy Policy, Environment, Green Technology, Pandemic, and COVID-19
Political Geography:
Global Focus

400. The EU-US Trade and technology Council: Mapping the Challenges and Opportunities for Transatlantic Cooperation on Trade, Climate, and Digital

Author:
Guillaume Van der Loo, Thijs Vandenbussche, and Andreas Aktoudianakis
Publication Date:
09-2021
Content Type:
Working Paper
Institution:
EGMONT - The Royal Institute for International Relations
Abstract:
The EU-US Summit on 15 June 2021 marked the beginning of a renewed transatlantic partner- ship and set an ambitious joint agenda for EU-US cooperation post-COVID-19. The new Biden administration offers the EU the opportunity to re-establish transatlantic relations, which reached their lowest point since World War II under the turbulent Trump administration, and to address the bilateral disputes and tensions that have emerged, partly as a result of Trump’s ‘America First’ policies. One of the key deliverables of the Summit was the establishment of the EU-US Trade and Technology Council (TTC). The TTC aims to deepen EU-US relations on trade and investment and to avoid new technical barriers to trade by cooperating on key poli- cies such as technology, digital policy issues and supply chains. Despite the optimism in Brussels and Washington about renewing and strengthening transat- lantic cooperation, there are several challenges for EU-US cooperation. In the areas of trade, digital and climate in particular several differing views or outstanding disputes (most of them inherited by the Trump administration) will need to be addressed by the new TTC (the first meeting is scheduled on 29-30 September 2021) or other joint bodies. Only then will the EU and the US be able to deliver on the new ambitious transatlantic agenda. This paper will there- fore discuss the key challenges and opportunities for EU-US cooperation in the three inter- related areas of trade, digital and climate. For each of these areas, the outcome of the June 2021 EU-US Summit will be discussed and the challenges and opportunities for delivering on the renewed transatlantic agenda will be analysed. Moreover, this paper will present several policy recommendations, for the TTC or on EU-US cooperation in general, on how to advance the transatlantic partnership.
Topic:
Climate Change, Diplomacy, International Cooperation, International Trade and Finance, Science and Technology, European Union, Digitalization, and Summit
Political Geography:
Europe, North America, and United States of America