The EU Energy & Climate program

EU energy program

Issue description
The European commission wants to improve energy supply security in Europe while combating climate change and making the industry more competitive. To this end, it has tabled proposals to pave the way for a common European energy policy.

The targets include a cut in CO2 emissions by at least 20% by 2020. The commission will propose increasing the use of renewable energy sources, to limit global temperature changes to no more than 2°C above pre-industrial levels. It also wants to improve energy efficiency by 20%. This would make Europe the most energy efficient region in the world.

The fight against climate change goes hand-in-hand with greater security of energy supply for Europe. Greater use of sustainable energy sources is one way dependence on external sources could be reduced. The commission therefore proposes to develop a coordinated approach to energy issues and to introduce effective energy sharing mechanisms to deal rapidly with any future supply crises.

With the liberalisation of electricity and gas markets by 2009, the EU's energy sector should also become more competitive. The commission proposes a clearer separation of energy production from distribution.

EU Targets
Objective of reducing greenhouse gas emissions by 20% in developed countries by 2020 compared to 1990. Provided that other major emitters agree to take a fair share of the global reduction effort, EU will increase this cut to 30%.

Commitment of at least 20% reduction of greenhouse gas emissions by 2020 compared to 1990.

Goal Energy Efficiency Action Plan adopted 2006 of reducing primary energy use by 20% by 2020.

A binding target of 20 % renewable energy in the EU's overall mix by 2020.

The Volvo Group's position

  • Volvo supports the proposed EU energy framework with the ultimate goal of a common European energy policy with the completion of the internal market for gas and electricity and the solidarity between Member States in energy supply. However the competitiveness of the European industry must be carefully studied.
  • Volvo supports the greenhouse gas reduction target of 20% by 2020 for developed countries. 
  • Volvo supports the greenhouse gas reduction commitment of 30% by 2020. The competitiveness of in particular the energy intensive industry must be followed to avoid the possible moving out from the EU to third countries.
  • Volvo supports the reducing of primary energy use by 20% by 2020.
  • Volvo supports the binding target of 20 % renewable energy in the EU's overall mix by 2020.
  • Volvo supports a binding target for biofuels of 10 % of vehicle fuels by 2020. Reaching the goal will need the development of the second generation biofuels.
  • Volvo supports carbon capture and storage (CCS) to be included in all new fossil fuel power plants by 2020 with 12 large-scale demonstrators in 2015.
  • Volvo supports that research should be targeted towards low carbon energies.

Environmental and Public Affairs