E3G

Rising to the challenge of interdependency

By Jennifer Morgan

If China and the EU can find a way to forge bilateral technology cooperation it would provide a basis for the technology element of a climate regime after the Kyoto Protocol expires in 2012. For example, there is everything to be gained from Europe and China working together to create a new, carbon neutral global standard for coal-fuelled electricity. We know that the technologies to do this are within reach; what matters is that Europe and China work together to push forward their implementation – and the first steps have already been taken. China and Europe agreed in 2005 to cooperate on the development and practical demonstration of carbon capture and storage, a technology that is essential to make coal climate-friendly. A consortium has since been built to deliver phase one of this project, though the building of the plant itself is uncertain. Europe has stated that it plans to build 10 to 12 pilot projects. At least three of those should be in China, with an agreement on how to share the costs of building and the running of the plant.

The interdependencies and potential for cooperation go beyond the energy sector. There is much at stake for both Europe and China when it comes to climate security. Recent assessments by the Chinese government and by the European Commission indicate that unless emissions trends change greatly, both will experience destabilising impacts in the agricultural, water, extreme events and ecosystem services sectors. As Europe revises its Common Agricultural Policy and its overall EU budget, it should do so with China’s need for a stable food supply in mind. As China builds massive new housing, it should ensure that those buildings are resilient to more intense extreme weather events and have low or zero carbon emissions.

Tackling energy and climate security requires a new institutional framework that can deliver in a comprehensive and rational form. Developing inter-ministerial decision-making bodies that assess both the risks and opportunities will be key. However, ensuring implementation on the local and regional level will be a challenge for both China and the EU. Various governance structures will need to be strengthened, and in some cases newly developed, to deliver intelligent infrastructure, efficient transport systems, low-energy requirement buildings, clean coal, renewable energy, energy efficiency, demand-side management, and changes in consumer behaviour. By working together, Europe and China could increase the confidence of companies and investors in long-term market opportunities in these areas. For instance, Germany could set an example by using Chinese observers and advisors to help fulfill its efficiency and renewable energy goals. 

The age of genuine global interdependence has arrived; it must be embraced and made to work. China is known for its pragmatism and ambition, Europe for its innovation and quality of life. Focused around the common goals of energy and climate security, such an alliance would be a powerful actor in ensuring a safer future for all.

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