Researchers stated the EU ought to put aside funds to assist neighbouring international locations, not solely to help international local weather targets, but additionally assist EU trade enter fast-growing new markets
By Kate Abnett
BRUSSELS, Feb 3 (Reuters) – The European Union’s purpose to have zero internet greenhouse fuel emissions by 2050 can have “profound geopolitical repercussions,” together with sharply decrease income to grease and fuel exporting neighbors reminiscent of Russia, Algeria and Libya, the European College Institute and two influential think-tanks stated on Wednesday.
By its personal estimates, EU oil imports by 2050 would drop to 79% beneath 2015 ranges to satisfy local weather targets. Gasoline imports would fall by 67%. EU states import most of their fossil gasoline power wants, and the consultants stated sharp cutbacks in these purchases would harm close by economies and will destabilise some international locations economically and politically.
“The EU must get up to the implications overseas of its home choices,” the researchers, who included consultants from Bruegel and the European Council on Overseas Relations, stated.
Europe’s dwindling fossil gasoline consumption may in flip depress oil costs, affecting main producers like Saudi Arabia, even when they’ve little commerce with the EU.
The researchers stated the EU ought to put aside funds to assist neighbouring international locations diversify hydrocarbon-dependent economies. This could not solely help international local weather targets, but additionally assist EU trade enter fast-growing new markets, they stated.
Whereas local weather insurance policies will scale back Europe’s dependence on imported fossil fuels, the researchers stated Brussels might want to mitigate different safety dangers, reminiscent of a dependency on imports of uncooked supplies utilized in electrical car batteries.
One other geopolitical flashpoint is Brussels’ plan to impose carbon prices on imports of polluting items – which may set off retaliation from international locations like China or Russia, whose metal exports would possible be among the many first sectors hit.
The researchers stated the EU ought to work with the brand new U.S. administration to collectively introduce carbon border measures, and incentives different international locations to match their efforts. (Reporting by Kate Abnett; Modifying by David Gregorio)