Senior Director at Breakthrough Energy, Board member Mission Possible Partnership, Ambassador France 2030, Cleantech, Venture & FOAK Enthusiast
📣 Europe must wake up to the concerns of its #cleantech industry! 📣 It's imperative for Europe to listen to the cleantech community and corporate sector to understand "what is not working" and why investments are being redirected elsewhere. Thank you for the opportunity to share these insights @recharge and to discuss the pivotal role of policy in shaping the future of #cleantech investment. What do I say? 1️⃣ There is a vibrant ecosystem of companies eager to scale and achieve global success. Europe has a flourishing of innovative firms 💪 , and with the right support and policies, these companies can become major global players. 2️⃣ Yet there are significant economic advantages the United States holds over Europe, particularly due to the Inflation Reduction Act (IRA). 👉This is especially evident in the context of CO2 usage (#CCU). In the US, companies benefit from tax credits when they reuse CO2 generated from operations, whereas in Europe, such actions are penalized with a carbon price (whilst virgin fossil fuels are exempt). Does that mean that most #CCU businesses will go the US to #scale?! 3️⃣ Europe's goal should be to develop a coherent and effective response that addresses these challenges, and to #listen to what the #cleantech community is highlighting in terms of its challenges.
Europe must “wake up” to the concerns of the cleantech industry on the support it needs to flourish, says Breakthrough Energy senior director Julia Reinaud, amid the continuing lure of US “carrots” that are pulling some businesses across the Atlantic. #energytransition #renewables #netzero #cleanenergy https://lnkd.in/ePa3vwFi
Tudy Bernier
5mo
Thanks for this, 100% in line with you Julia. The fact that carbon utilisation in Europe is actually disincentivised in some applications like chemicals is beyond belief. It means as a company if you're using oil to produce chemicals, you don't pay ETS because it's embedded carbon, but if you use captured carbon from an ETS activity, you do pay for it, it just can't be a tenable way forward if we want to move away from fossil resources
Greg Archer
5mo
The European Commission is too often afraid of potential unintended consequences of regulation creating more barriers than opportunities for #CCU. Visionary strategies cannot be delivered whilst buried in the detail of implementing rules are clauses blocking progress such as: 1. DG Clima imposing ETS costs on most captured carbon whilst virgin fossil fuels are exempt 2. DG Ener removing incentives to capture and use fossil CO2 in the RED after 2035/40 3. DG Ener making it impossible to achieve GHG-saving targets by preventing the use of renewable energy in LCAs 4. DG Env excluding chemical recycling from packaging targets 5. DG Ener imposing additionality rules for production of green hydrogen that make the product too expensive to use! The Commission (and environmental NGOs) are well-meaning but fail to appreciate there will be a TRANSITION to clean tech and it is counterproductive to expect the perfect solutions to be delivered today without first allowing good ones to evolve and improve. We need to nurture cleantech in the EU not deploy high hurdles in its path that impedes its progress. If not, fossil fuels and feedstock will continue to dominate & cleantech will develop in China and the US NOT the EU. CO2 Value Europe
Jeroen Maudens
5mo
I could not agree more! We need to move beyond talk and regulation. We need less political interference, less risk-averse profiles in venture capital and better frameworks and incentives that allow for speed and agility. There is a lot of amazing technology being developed here, but it is fleeing or simply getting stuck in the lab because of the conservative investment environment and the influence of politicians and (pseudo) government funds that support their close circles and nearby solutions rather than the winning technologies.
Watching this thank you Julia Reinaud 🌱 🔋
Senior Director at Breakthrough Energy, Board member Mission Possible Partnership, Ambassador France 2030, Cleantech, Venture & FOAK Enthusiast
5moCleantech for Europe Upcycle Labs CO2 Value Europe European Commission Kurt Vandenberghe Ewelina Daniel Cleantech for Iberia Breakthrough Energy Cleantech for France Cleantech for Baltics Sarah Lamaison, PhD Dioxycle Maria Leis Philipp Offenberg Cleantech for Nordics La French Tech EIT InnoEnergy european green hydrogen acceleration center