2011-12-16
EU energy roadmap 2050 - Fortum highlights the role of CO2-free electricity in moving towards de-carbonisation and solar economy
Fortum welcomes the Energy Roadmap 2050, published yesterday, which
presents various scenarios outlining the consequences of a carbon free
energy system and the policy framework needed to reach the established
long-term target of reducing CO
2 emissions by 80% - 95 %
below 1990 levels by 2050.
"It is important that the EU develops a coherent forward looking vision
and strategy on how to reach the 2050 de-carbonisation target. The CO
2
reduction target should be the key driver of future policies", says Dr.
Anne Brunila, Executive Vice President, Corporate Relations and
Sustainability at Fortum Corporation.
Fortum has long been developing CO
2-free energy solutions.
In the EU,
86% of Fortum's power generation is already CO
2-free. Now
the company
is moving from the research-only phase of solar economy to priming for
actual commercial operations also in direct solar energy.
Due to long investment cycles of the European energy sector it is
important to start discussing longer term targets and policies already
now. It is equally important to agree on a European approach to energy
policy measures.
All decarbonisation scenarios presented in the Roadmap show that the
demand of renewable energy will grow, energy savings will play a
crucial role, the role of electricity will increase and the capital
investments will increase.
"In order to proceed to the targeted direction, the long investment
cycles of energy sector and the fact that policy uncertainty is a key
risk for investors needs to be taken into account. Well functioning
internal energy market should be seen as an important precondition for
a successful and cost-efficient transition towards low-carbon economy."
"At the moment we see a very rapid development of policies in the field
of climate, renewable energy, energy efficiency and internal market. It
can be questioned whether all current targets and measures are mutually
supportive", she says. "Now that all four 2050 Roadmaps have been
published, EU leaders should have a stock-taking discussion on the
future direction of energy and climate policies, including target
setting. We hope that the incoming Danish EU Presidency will take this
issue on its agenda."
"With the financial crisis shaking Europe, the integration of
electricity markets is more topical than ever. The de-carbonisation
targets require hundreds of billions in investments both in
low-emissions energy production and transmission infrastructure. Europe
cannot afford this if the countries are making decisions based on
national energy policies. Instead, countries should work together to
remove the obstacles to competition and to allow the markets to steer
energy investments to where they are most economical", Dr. Brunila
reminds.
For additional information, please contact:
Merja Paavola, Public Affairs Manager, Fortum Corporation, tel. +358 50
396 1161
Fortum's views on Energy 2050 Roadmap and post-2020 target setting:
• The greenhouse gas reduction target should be the key driver of
future policies.
• Emission trading should get a visible role in the Energy Roadmap.
• Renewable energy and energy efficiency should be seen as tools to
achieve the climate target, not as separate policies. Renewable energy
should be competitive in the market after 2020 on its own.
• Overlapping steering mechanisms have negative impact on internal
energy market.
• A discussion about moving towards more coordinated and harmonised
renewable energy support scheme is needed before 2020.
• Cooperation between European countries e.g. in using renewable energy
sources should get more attention.
• Sustainability aspects should be taken into account in increasing use
of biomass and sustainability criteria should be applied to imported
biomass, too.
• The roadmap should be based on realistic assumptions rather that
political aspirations.
• Strong emphasis should be put on increasing transmission lines across
Europe to accommodate increasing amount of renewable electricity and to
speed up market integration.
Fortum
Fortum's purpose is to create energy that improves life for present and
future generations. We provide sustainable solutions that fulfil the
needs for low emissions, resource efficiency and energy security, and
deliver excellent value to our shareholders. Our activities cover the
generation, distribution and sales of electricity and heat as well as
related expert services.
Fortum's operations focus on the Nordic countries, Russia, Poland and
Baltic Rim area. In the future, the integrating European and
fast-growing Asian energy markets provide additional growth
opportunities. In 2010, Fortum’s sales totalled EUR 6.3 billion and
comparable operating profit was EUR 1.8 billion. We employ
approximately 10,500 people. Fortum’s shares are quoted on NASDAQ OMX
Helsinki.
Further information:
www.fortum.com