“Regional development conference”

Luc BasAlejandro Obregón

Östersund, Jamtland, Sweden, June 14th, 2011

• About TCG

• Programmes: LED project and SMART 2020

• Market changes: Global Alliance of Corporations

• EU policies: the need for ambition.

• States and Regions Alliance

OVERVIEW

• World’s first international NGO focused solely on the low carbon economy

• Focus on building confidence in the ‘clean revolution’ amongst the world’s most influential leaders

• Partnerships with multinational companies, cities, regions and states to support leadership on climate policy and technology

• Ninety staff, in the EU, USA, China, India, Australia

• Independent with diverse, primarily philanthropic funding base – Foundations, Individuals, Companies, Governments

ABOUT US

BUSINESS MEMBERS

GOVERNMENT MEMBERS

STRATEGIC PARTNERS

GLOBAL ALLIANCE

Present a compelling vision of a prosperous, clean energy future.

Engage the 1,000 most influential government and private sector leaders to accelerate the deployment of low carbon solutions.

Catalyse market transformation in key clean technologies to cut global emissions and accelerate a clean industrial revolution.

The Climate Group | Our Goals

Bring technologies with large mitigation potential to commercial scale

Work with our network on fast-start deployment

Support development of standards and policy

Establish global trials in commercializing new technologies

Develop and disseminate templates to finance scale-up

Raise awareness and prove concepts

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TCG MARKET TRANSFORMATION PROGRAMS

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Light Emitting Diode (LED) lamps,

combined with smart controls, can cut CO2

emissions from lighting 50-70% by 2020

• The LightSavers programme is piloting

LED street lighting products with a group

of world cities

• 10 cities including Toronto, New York,

Calcutta, London, Tianjin, Guiyang

• Unique global product trial, moving to

financing and policy support for scale up

• 1,000 Village Campaign (China) –

bringing LED/solar lighting to rural areas

around major Chinese cities through

donated product from LED companies

– Launched by Tony Blair and Jet Li in

Guiyang, 2009

MARKET TRANSFORMATION: LED LIGHTING

CORPORATIONS

• Alstom

At a power plant in West Virginia, Alstom is burying the carbon emissions from a power plant 8,000 feet underground. According to Alstom, this process can capture as much as 90 percent of the CO2 from a plant’s emission stream.

• Tesco

The company has a target of being zero carbon by 2050 with an interim target of reducing its emissions by 50% by 2020. This includes all the energy used in stores such as refrigeration and other equipment reducing the environmental impact of leaking refrigeration gas, which can contribute up to 25% of the emissions of a typical store.

CORPORATIONS

• PSA-PEUGEOT CITRÖEN 10/26/2009 PSA Peugeot Citroën is actively working to add

more low-emission vehicles to its product lines. The has introduced low-emission technologies, electric vehicles in 1995, HDi diesel engines in 1998, and particulate filters in 2000.

• PHILIPS

Philips is working with St. Helens Council to trial LED street lighting in St Helens, a large town in Merseyside in northwest UK. The project is part of the pan-European project, which aims to help shape an energy-efficient street-lighting strategy for Europe.

SMART 2020

•Smarter technology use could reduce global emissions by 15% and save global industry €500 billion in annual energy costs by 2020.

Cities contribute more than

70% of global emissions

50% of world’s population

living in cities today 80,000 people added to the urban population every day

5 billion mobile phone

subscriptions globally 2 billion in Asia alone

— “SMART 2020 for Cities” report

— “ICT for Sustainable Homes” report

— “SMART 2020: Five Years On” report

—10 Leading demonstration projects

—Workshops in 10 cities with ICT and other corporate partners

Smart Growth programs

Innovation

« Innovation Union »

Education

« Youth on the move »

Digital Society

« A digital agenda for Europe »

FLAGSHIP INITIATIVES

ÑKWDASOKD DIGITAL

SOCIETY

EDUCATION INNOVATION

• To enhance EU-energy security

• To ensure EU-competiveness in the global low carbon economy

• To create millions of jobs in the low carbon economy

Ambitious, stable and additional policy needed

More ambitious EU renewable energy and energy efficiency policies

Energy security

Deutsche Bank forecasts that oil prices could hit US$175 by as early as 2016.

The bulk of European gas imports come from Russia, Norway and Algeria and imports are expected to increase from 61% in 2008 to 73% by 2020.

EU Oil import bill increased by 70 billion US$ in 2010 !!

There is no high-carbon low-cost future for Europe

Ensuring EU competitiveness in the global low carbon economy

China and the US led the world in new clean energy technology and infrastructure investment in 2009.

Latest UNEP report sees China surge in investment.

Out of $119 billion invested worldwide by the financial sector, $33.7 billion took place in China, up 53% from 2008.

Europe was down 10% at $43.7 billion.

EU wants to move to a low carbon prosperous future

Renewables accounted for 60 per cent of newly installed power capacity in Europe in 2009; (50% in the US)

German government is an early mover with 278,000 workers employed in renewable energy, more than in conventional energy.

By 2020, it is estimated this number could increase to between 353,500 and 400,000.

• More ambitious EU GHG emission reduction target by

2020

• Need for an agreed political 2030 target on the road to

2050

• Binding Energy saving targets( call from EP)

• New Financial Framework deliberations= opportunity

• ....

More ambitious EU renewable energy policies

THE CLIMATE GROUP

Taking into account these facts and figures

is fostering change in the political realm:

STATES AND REGIONS ALLIANCE

THE CLIMATE GROUP

•The Climate Group launched the states andregions climate alliance based on thecommitments made by sub nationalgovernments in the Montreal Declaration in2005.

•The alliance focuses on practical solutions toclimate change, in particular sharing bestpractice on effective policy implementation.

•The Climate Group works to strengthen thealliance and drive the process forwardthrough meetings, briefings and publications,such as “Low Carbon Leader: States andRegions”

Examples of regional government action

• Scotland’s Climate Bill includes a legallly binding commitment on all future Scottish governments to deliver at least 80% cuts in emissions by 2050 and a goal of 50% total renewable energy generation by 2020.

• Catalonia is implementing cleaner transportation policies and tax incentives to promote cleaner, less polluting vehicles.

• North Rhine Westphalia is undertaking an initiative aiming to achieve a 20% reduction in overall primary energy consumption across the economy by 2020 compared to 2006

THE CLIMATE GROUP

THE CLIMATE GROUP

• The Basque Country’s Climate Action Plan, with renewables set to provide some 12% towards total energy consumption by the end of 2010. The region is also pushing for a 21% improvement in the efficiency of its transportation sector by 2012.

• Bavaria has set the goal of doubling its primary energy consumption from renewables – from 8% to 16% - by 2020.

REGIONS AND CITIES

• VITORIA

Vitoria has been awarded European Green Capital 2012 due to an ambitious plan with eco-friendly measures such as The Green Belt creating a number of different environments of high ecological and landscape value around the city.

• LONDON

London has set itself the target to reduce emissions by 60% by 2050. Specific targets within this include generating at least enough power from renewables for 100,000 homes by 2010.

REGIONS AND CITIES

• WALES

Wales is pursuing an aggressive low-carbon policy for residential and commercial construction, with strict requirements for energy efficiency, water consumption, and use of sustainable materials.

• AMSTERDAM

The City of Amsterdam is offering individual grants for the purchase of electric vehicles and for fleets buying 20 or more EVs. The city will also cover 50% of the cost difference between an conventional gasoline car and a comparable electric model.

REGIONS AND CITIES

• BRITTANY

Brittany pushes for land and sea-based wind farms, tidal energy and biomass and aims to produce 20% of energy from renewable resources by 2020 (currently at 7%).

• UPPER AUSTRIA

Upper Austria’s has committed to generate 100% renewable electricity by 2030. It has the programme "Save electricity now" where biomass energy is playing a bigger role.

 

European Commission’s assessment to get to 30% 2020-target 

• Costs (investments) for 20% target down from €70 billion per annum in 2008 to an estimated €48 billion today.  • 30% target now would “cost” €33 billion(0,2% GDP) more (projected against cost 2 years ago for the 20% target this is only 11billion

  • Reduced imports of oil and gas (€40 billion saving)

• Health benefits from improved air quality (€3.5-8 billion saving).

More ambitious EU GHG emission reduction target

Business call for 30% GHG emission reduction EU-target

•Endorsement given to the 30% target by Denmark, France, Germany, Spain, Greece, Portugal, Sweden and the UK • A win-win-win for Europe. • Numerous economic and social benefits • Will spur innovation and investment thus creating millions of new jobs in a low carbon economy • Maintain its leadership and competitiveness in the global low carbon economy estimated to be worth over €3,5 trillion and growing rapidly.

• Ensure energy security through greater low carbon energy investments   

Business call for 30% GHG emission reduction EU-target • Avoid high carbon ‘lock-in’ and the financial risk of needing to engineer a

rapid shift away from stranded assets • Recession has made emissions cuts easier and cheaper but market incentives are required to spur action  Over 60 companies support the call and still growing:

  

Acciona, Adolfo Dominguez, Allianz, Alpro, Arjowiggins, graphic, Arkadin, ASDA, Atkins, Barilla, Better Place, BNP Paribas, Boralex, British Telecom, BSkyB, Capgemini, Carrefour, Centrica, Climate Change Capital, The Coca-Cola Company, Coca-Cola Hellenic, Crédit Agricole, Danfoss, Danone, DHV Group, DONG Energy, Elektrolux, Elopak, Eneco, Eurostar, F&C Asset Management, First Solar, Google, H&M, If P&C Insurance Company Ltd., IKEA, InterfaceFLOR, John Lewis Partnership, Johnson Controls Inc, Kingfisher, Lafuma Groupe, MANGO, Marks and Spencer, National Grid, Nestlé, Nike, Nokia Siemens Networks, Novo Nordisk, Philips, PUMA, Rockwool, RSA, Scottish and Southern Energy, SKAI Group of Companies, Sony Europe, Standard Life, Sveaskog, Swiss Re, Thames Water, The Co-operative Group, Tryg, Unilever, United Biscuits, Velux, Vestas, Vodafone and WSP Group

States and Regions AllianceAragon Baden Württemberg Basque CountryBavaria British Columbia Brittany BurgenlandCalifornia Carinthia Catalonia ConnecticutFatik Region FlandersÎle de France Jamtland MaineManitoba New BrunswickNew South Wales Newfoundland and LabradorNew YorkNorth Rhine Westphalia Northwest TerritoriesNova ScotiaNunavut

Ontario Poitou CharentesPrince Edward IslandQuebec Quintana RooQueensland Rhône Alpes São Paulo SaskatchewanScotland South HollandSouth Australia Tuscany Upper AustriaVermontVictoria Wales Wallonia West-AustraliaWestern CapeWielkopolska Yukon

States and Regions responsibilities

Enacted vehicle efficiency or tailpipe emissions standards, low carbon fuel standards and massively increased investments in public transport.

Brought in sustainable urban, rural and forest protection land‐use policies. Established fiscal policies to expand the market for new low carbon technologies.

Invested in partnerships between developed and developing country regions.

Recognition or the role of subnational governments in Cancun agreements

Examples of Regional government action

EU regional governments call for a 30% GHG emission reduction target

 Endorsed by: Baden-Württemberg Bavaria Brittany Cornwall Ile de France Rhone-Alpes Scotland Upper Austria Wales

Thank you all for your attention!

Lbas@theclimategroup.orgaobregon@theclimategroup.org