Last Year in Copenhagen
by Jean Pisani-Ferry on 11 January 2010
Category: OPINION PIECES AND COLUMNS
Topics: Climate change and energy, European and global governance
Director Jean Pisani-Ferry takes a look at the results of the Copenhagen climate change summit and its implication for global governance. He points out the economic challenges in the way of a future climate accord, examines the diverging reactions of the different state actors to the climate summit and discusses the failures of the United Nations in the process. This Op-ed was published in French daily Le Monde and Chinese business magazine Century Weekly (both 11 Jan).
Memo to the new Commissioner for Energy
by Georg Zachmann on 30 December 2009
Download: English
Category: POLICY CONTRIBUTIONS
Topics: Climate change and energy
In this paper Resident Scholar Georg Zachmann analyses the recent developments in European energy policy and looks at the upcoming challenges in this area making a number of recommendations to the newly appointed Energy Commissioner. Zachmann notes that while liberalising energy markets and combating climate change will remain top priorities in the next term of office, securing energy supplies and energy price issues might temporarily lose some appeal due to the crisis-induced energy demand dip. He claims that mitigating climate change, directing investments in network infrastructure and creating a single energy market should be the three interlinked priorities for the Energy Commissioner.
This policy contribution is a supplement to ‘Bruegel memos to the new Commission: Europe’s economic priorities 2010-2015' published 27 August 2009 and available at www.bruegel.org/nc/publications.html
Kick-Starting the Green Innovation Machine
by Philippe Aghion, David Hemous, Reinhilde Veugelers on 09 December 2009
Category: OPINION PIECES AND COLUMNS
Topics: Climate change and energy, Research, innovation and growth
Senior Fellows Philippe Aghion and Reinhilde Veugelers, with Harvard researcher David Hemous, write about the need for government subsidies in encouraging 'green innovation' in an op-ed for Vox, the widely-read web portal for European economic policy research. Another, less data-focused version was also published in German business newspaper Handelsblatt (10 Dec). Both pieces was based off the authors' Policy Brief, "No Green Growth Without Innovation".
No Green Growth Without Innovation
by Philippe Aghion, David Hemous, Reinhilde Veugelers on 23 November 2009
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Category: POLICY BRIEFS
Topics: Climate change and energy
This Policy Brief, co-written by Senior Non-Resident Fellow Philippe Aghion, Senior Resident Fellow Reinhilde Veugelers and David Hemous of Harvard University, attempts to change the terms of the debate surrounding climate change policy. The authors argue that policymakers should do more to encourage innovation and investment in ‘green’ research and development rather than focusing solely on the setting of a carbon price. Using a model developed by Aghion in a previous paper, they argue that a carbon price would have to be about 15 times higher in the first five years and 12 times higher in the next five years if innovation is not properly subsidized by governments. The authors also provide several policy recommendations for incentivising this type of ‘green growth’ in the private sector.
Cold Start for the Green Innovation Machine
by , Philippe Aghion, Reinhilde Veugelers on 23 November 2009
Download: English
Category: POLICY CONTRIBUTIONS
Topics: Climate change and energy
This Policy Contribution accompanies the Policy Brief, “No Green Growth Without Innovation”. Written by Senior Non-Resident Fellow Philippe Aghion, Senior Resident Fellow Reinhilde Veugelers and Researcher Clément Serre, this paper discusses the state of green innovation and goes into more depth in discussing the current problems in the area. Examining research and development, patent, and venture capital data, the authors point out that there is momentum for private investment in green technologies. However, they argue that, thus far, the implicit tax rate on energy in the EU27 is too low and fragmented, the carbon price in the EU Emissions Trading System is too volatile, and the public R&D expenditures dedicated to energy and environment are too low. They conclude that immediate state intervention is necessary, at least at the onset, to ensure that the ‘green innovation machine’ gets properly started.