RESOLUTION OF THE ECSC CONSULTATIVE COMMITTEE

on the White Paper 'An energy policy for the European Union`

(96/C 232/03)

(Text with EEA relevance)

(adopted unanimously, with one abstention, at the 330th Session of 27 June 1996)

THE ECSC CONSULTATIVE COMMITTEE FOR COAL AND STEEL,

with reference to:

- document COM(94) 659 final of 11 January 1995 entitled 'Green Paper for a European Union Energy Policy`,

- the adoption by the European Parliament of the report by Mr van Velzen on the Green Paper (document A4-0212/95),

- the opinion of the Economic and Social Committee on the Green Paper (1),

- the resolution of the ECSC Consultative Committee on the Green Paper (2),

Having then taken note of:

- document COM(95) 682 (White Paper) entitled 'An Energy Policy for the European Union`,

- the resolution of the Energy Council of Ministers of 7 May 1996 (Press release No 6803/96),

- the presentation by a representative of the Commission on this subject at the 328th session of the ECSC Consultative Committee on 14 March 1996,

is concerned to make known its position with regard to the White Paper and to contribute to the orientation of the Indicative Work Programme, as proposed by the Commission, in the text of the resolution set out below:

THE CONSULTATIVE COMMITTEE:

A. having noted that:

- in order to contribute to the central objectives of the European Treaties, the White Paper rightly assigns three objectives to energy policy:

- global competitiveness,

- security of energy supply,

- protection of the environment,

and recognises that the practical and coherent application of these three objectives requires the selection of priorities that must themselves as much as possible form part of a long-term approach,

- the White Paper recognises that economic and social cohesion is another factor that must be taken into account, but does not sufficiently stress this requirement for the regions or sub-regions of the European Union,

- the White Paper rightly considers that a cost-benefit analysis is an essential element in any strategy designed to take account of environmental objectives, with global competitiveness and security of supply,

- the rise in energy consumption outside the OECD area will bring about significant changes in markets throughout the world, more particularly those in Europe and thus substantially modify traditional energy flow patterns. These changes could lead to tensions for all energy vectors, including an impact on coal, when account is taken of developments in the solid fuel markets in the rest of the world (e.g. South-East Asia),

- the Commission foresees in its White Paper that the consumption of natural gas will at least double by the year 2020,

- the disparity between recoverable reserves of solid fuels on the one hand, and those of hydrocarbons on the other hand, at both world and European levels, has been recognised in all energy studies, and that the energy dependence of the European Union will rise from 50 % at the present time to ± 75 % by 2020,

- the Commission is relying primarily on market forces as an instrument able to guarantee security of supply. The threat remains, however, that these could prove insufficient for the energy sector, whose necessarily long-term investments require a reliable energy policy framework, taking into account the rules of the internal market.

B. considering that:

- the White Paper allocates an insufficient role to solid fuels (both indigenous and imported):

(a) since, given the volume of their reserves compared with those for oil and gas, they can hold out for the long term a real prospect of security of supply, and

(b) since the favourable locations of coal producing areas world-wide provide an assurance of stability,

- the enormous increase in the share of natural gas, as foreseen in the White Paper, bears a risk of inducing problems of supply and of price,

- the diversification of supply of primary energy sources (energy mix) constitutes the best means, as is recognised in the White Paper, both of ensuring security of supply and of minimising any environmental risk and guaranteeing overall competitiveness,

- the world market requires that particular attention be paid to the global competitiveness of the European economy. Energy policy must contribute towards this goal through the integration of the internal market, the coordination of Community and national policies in relation to solidarity and subsidiarity, and by taking increased account of energy matters in the European Union's international economic relations.

FOR ALL THESE REASONS, THE CONSULTATIVE COMMITTEE

1. AGREES with the general approach of the White Paper and, in particular, with the Commission's desire to act by immediately taking a number of initiatives,

2. REQUESTS the Commission to give priority to its efforts to create a truly integrated market for electricity - where good progress is being made - and afterwards that for gas, while taking account of particular national obligations concerning electricity supply,

3. REQUESTS that the Commission examine the means of ensuring over time an effective diversification of energy supply which takes account of all forms of energy, including renewable and indigenous resources, and disadvantages none. These instruments for diversification must take account of all social consequences arising from their application,

4. REQUESTS that the Commission intensify its efforts for research into clean coal combustion and utilisation in order that - as stated in the White Paper - solid fuels should conserve a large part of the thermal electricity market and continue to contribute substantially to the requirements of the steel industry,

5. ENCOURAGES the Commission to put in place a regular monitoring of energy trends and to establish an energy consultative committe, as proposed in the White Paper. This committee should comprise not only the principal economic and social representatives of the different energy sectors, but also, and on an equal footing, representatives of major industrial energy consumers and distributors in order that all interests be taken into account and that there should be a maximum degree of transparency.

6. EMPHASIZES the importance of indigenous resources of coal and lignite, which, between them represent more than 50 % of the European Union's requirements of solid fuels, and contribute to the reduction of our energy dependence,

7. REQUESTS that, with regard to the environment, the Commission should give preference to non-fiscal instruments (standards, voluntary agreements, RUE, etc.), that all measures (e.g. CO2/energy tax) should be preceded by a 'cost-benefit analysis`; and that no discriminatory measure should be applied either in relation to a particular form of energy, or in the absence of a concerted approach together with the other large world economic entities, since this constitutes the only way of optimising environmental results and avoiding obstacles to the global competitiveness of the European economy,

8. INVITES the Commission to incorporate into its Energy Policy those provisions of the ECSC Treaty which have proved their value, notably the support for coal and steel research - even beyond the expiry of the ECSC Treaty - since this research contributes to the objectives assigned to energy policy in the White Paper (see Memorandum of the Consultative Committee on matters linked to the expiry of the ECSC Treaty in 2002 (1)).

(1) OJ No C 256, 2. 10. 1995.

(2) OJ No C 206, 11. 8. 1995.

(1) OJ No C 206, 11. 8. 1995.