In order to simplify the integration of renewable and low-carbon gases into the EU gas market, the energy ministers of the EU came to an agreement on Tuesday to develop the market for “low-carbon” hydrogen, such as that produced by nuclear energy.
The goal of this law, which has not yet been approved by the European Parliament, is to plan the transition away from natural gas and towards renewable and low-carbon energy sources in order to meet the EU’s goal of reaching climate neutrality by 2050.
Ebba Busch, Sweden’s minister of energy, trade, and industry, emphasized that a consensus had been reached on a “balanced” language that would serve as a “useful framework” for talks with the European Parliament. Sweden is now holding the rotating chair of the Council.
In order for Europe to transition from using natural gas to renewable, low-carbon gases, she stated, “the proper market conditions must be established.”
Busch emphasized that while waiting for the Swedish compromise proposal to “pave the way” for the negotiations that will take place this Wednesday on the renewable directive, “wide support” has been gained that allows obtaining a qualified majority in reference to the petrol package directive.
In this regard, both the Swedish Minister and the European Commissioner for Energy, Kadri Simson, have made reference to the negotiations between the Parliament and Council on Wednesday, which will seek to find a resolution to the French position, which seeks to count “low-carbon” hydrogen as “green” given the penetration of nuclear energy in its energy “mix,” something that nations like Spain are outspokenly opposed to.
A clause that pits a group of 13 nations led by France against a bloc of countries made up of Spain, Germany, Austria, Denmark, Ireland, Luxembourg, and Portugal, which argue that protecting “low carbon” fuels under this rule will reduce climate ambition, must be resolved in this debate. France wants nuclear energy to be recognized as a “strategic” technology, just like renewables, to meet climate goals.
“I truly hope that after numerous series of meetings, this can be the final attempt,” Simson said. Simson has argued for “dedicating all the time necessary to conclude a strong support for renewables,” but he also sees a “willingness to end the debates.”
Low-carbon or nuclear
European energy ministers showed their sharp disagreements over whether nuclear power should be recognized as a method of producing carbon-free hydrogen. Paris stepped up its campaign in support of the civilian atom, while Vienna drew together its opponents.
In order to support nuclear energy and promote industrial collaboration in the field, French Minister Agnès Pannier-Runacher gathered together representatives of twelve other Member States even before the Twenty-Seven Ministers of the World meeting in Brussels got underway.
This “civil nuclear alliance,” which was launched at the end of February in Stockholm, brought together eleven nations on Tuesday (France, Bulgaria, Croatia, Finland, Hungary, Poland, Czech Republic, Romania, Slovakia, Slovenia), plus Belgium, Italy, and Belgium as “observers.”
According to a joint press release, “the participants (…) clearly understood that nuclear,” a source of carbon-free energy, “is a critical technology for reaching climate neutrality.”
The difficulty, according to Ms Pannier-Runacher, “is to analyze all the levers that can make it feasible to cut our emissions, rather than simply oppose nuclear power to renewables.” “Nuclear power has an essential role to play as a decarbonization solution (…) and to have competitive electricity that supports our industrial fabric.”
In parallel, Austrian Energy Minister Leonore Gewessler met with her counterparts on Tuesday morning from 10 states (Belgium, Estonia, Spain, Germany, Denmark, Ireland, Netherlands, Portugal, Luxembourg, and Latvia) to discuss the “deployment of renewables”. The majority of these nations deny that “green” technology may be handled in the same manner as civil atoms.
Neutrality
France argues for the adoption of “technological neutrality,” which would allow the States to decide for themselves how best to achieve the climatic goals. Czech Minister Jozef Sikela added on Tuesday, “This is incredibly crucial to enable us to explore all opportunities in our decarbonization efforts.”
Paris was disturbed by the European Commission’s plan to promote green sectors, which include nuclear power without giving it the same financial and regulatory benefits as renewable energy sources.
In order to begin negotiations with MEPs to finish this document, the ministers announced their stance on legislation on Tuesday evening. This law would make it easier for gas networks to adapt to the development of hydrogen and biomethane.
The goal is to encourage the replacement of natural gas with low-carbon alternatives. Sweden is now holding the rotating EU chair, and Minister Ebba Busch said, “We have to create the correct market conditions.”
But, there was still no sign of a deal on the ambitious renewable energy law that the Council (member states) and European Parliament were scheduled to approve on Wednesday.
The following text outlines “renewable” hydrogen goals to be attained in transportation and industry: Equal treatment for “low-carbon” hydrogen generated using nuclear electricity is what France and its allies desire.
Ms Pannier- Runach emphasised that in order to avoid creating a competitiveness gap between Europe and the United States, which has a green subsidy scheme (IRA) that “deals with renewables and nuclear on the same level,” great caution must be taken.
The balance
A warning for at least seven nations (Germany, Austria, Denmark, Ireland, Luxembourg, Portugal, and Spain), which called in mid-March to “not encourage” hydrogen generation from nuclear power because they feared it would “slow down investments in new renewable capacities.”
During the meeting she was hosting, Ms Gewessler tweeted, “Renewable means renewable.” Sorry, Teresa Ribera, his Spanish counterpart, said, “Nuclear is not green.”
“These enormous sums must be invested now in solar and wind power so that we have a chance in the fight against climate change,” continued the Luxembourger Claude Turmes. “It takes between 12 and 18 years to develop a new nuclear power plant.
A diplomat remarks that “two minorities block each other” in this text. Before the reopening of negotiations between the Council and Parliament on Wednesday morning, the Twenty-Seven ambassadors will attempt to come to an agreement on a potential solution.
It’s a delicate balance, but if we don’t accept the reality that various member states select different energy portfolios, we’ll probably continue to rely on fossil fuels, said Ms Busch.