LEADERS’ VIEWS
Ursula von der Leyen President, European Commission Driving the green revolution
in public funding to support emerging countries in reducing emissions and adapt to climate change … But it is clear that public funding will not be enough to achieve our global goals. We need to start aligning all global financial flows with the Paris Agreement goals and this means mobilising private capital too. We can help with that. Because when we, as governments or international organisations, set global targets for renewables, we set the future course for businesses as well. When we develop de-risking instruments, we strengthen the business case for clean investments. And when we give public support to breakthrough innovation, we facilitate their uptake in the market. I am sure that representatives of the private sector are also ready to embark on this journey. So this is my call. Let us gear up towards COP29. It will be the place and time to showcase new projects that support our We live in a fractured world. We see continent-sized powers that are competing for resources, technology and spheres of influence. But in this world of great power competition, there is one voice that is calling on all humanity to unite and face the common challenge of climate change: This is the voice of the small island states … We will establish a new ‘Green Coupon Facility’. With this Green Coupon Facility, Europe will then subsidise part of the coupons for green bond issuers who face very high interest rates. This will allow you to grow your green bond market much faster and raise the money you need for your people and your economy … It is now almost 20 years since the European Union first put a price on carbon … Since then, we have reduced emissions in the relevant sectors by almost 50% – so almost by half. And at the same time, because of the price on carbon, we have generated over EUR 200 billion in revenues that are being reinvested in climate action and innovation. Now just imagine what we could do if we had this carbon pricing principle globally: cut emissions, grow the circular and clean economies, and have revenues for climate action and innovation … The principle is as effective as it is simple. It says: If you pollute – you pay. If you go clean – it pays off … targets. Let us fill the Global Pledges with life. Global Renewables Summit, 24 September 2024 Now we will take Global Gateway to the next level. We will propose an integrated offer to our partners. For us it is important that if we are investing in your industrial capacities, that we also try to advance our trade partnership with you. There is a basic principle that is important for us: We want the processing, the value chains to stay local, with you, so that we support the development of the value chains and the processing in your countries. This is a win-win situation for all of us. It strengthens our supply chains, which we diversify
I t all started with an idea in March 2023. It was the idea, or rather the vision, together with the International Energy Agency, of a global movement that would help us stay within 1.5 degrees Celsius and push the clean energy transition forward … Today, we must keep this spirit alive, the spirit of COP28 [the 28th Conference of the Parties to the United Nations Framework Convention on Climate Change]. For this, we must double down on implementation, collectively, to reach these targets. I see four areas of action. The first is planning. Governments should now integrate our global ambition [into] their national climate policies, showing how they intend to contribute to the global targets in the current decade. This is what we are doing in Europe. We raised our renewable energy target for 2030 to more than 42% of our mix … My second point: Improving the business environment. We must create the right incentives and conditions for clean energy tech to thrive. We all know what is needed, in Europe and globally. First, a solid regulatory framework, so that investments are safe and secure. Second, state of the art infrastructure, and faster permitting procedures. Third lead markets that create demand for sustainable products, services and technologies. And finally, the right skills to match the demand …
My third point is on access and supply of critical raw materials. Working towards our targets will increase the demand for these minerals and we must make sure that sourcing and mining are done in a way that benefits all … My final point is on investments. The clean energy transition requires massive investments, everywhere in the world. This is especially true of countries and regions where there is a lack of affordable capital and where costs are so high that it is an obstacle to electrification. Public finance will play a critical role in pushing the clean energy transition forward. Europe will keep doing its fair share. In 2022, with our Global Gateway investment strategy, Team Europe mobilised EUR 28 billion
with different partners – this is important for us – and it also creates good jobs and local added value in your countries. Alliance of Small Island States Leaders’ Meeting, 23 September 2024
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G20 BRAZIL: THE RIO SUMMIT — 2024
globalgovernanceproject.org
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