Market news
, 13 May 2020
135
Eurovent calls for an ambitious EU green recovery package that focuses on renovating the EU ‘s building stock, modernising the energy system, and investing in digitalisation and the circular economy. The next EU budget presents a unique opportunity to reboot the European economy and set it on the track to carbon-neutrality.
The COVID-19 crisis will severely impact global economic activity. The International Monetary Fund projects a 6,1% contraction in advanced economies in 2020, the worst economic decline in the last century. Ambitious and creative stimulus measures are needed to support households and businesses to recover from the crisis. The European Union is preparing a COVID-19 recovery package with the aim to relaunch the economy and build resilience to future crises.
The European Commission has set the global benchmark for green ambition with the European Green Deal. The current recession must not push back the decarbonisation objectives of the EU down the list of priorities. On the contrary, the transition to a carbon-neutral economy is the key to recovery. The time is now to invest in the clean energy transition, driving growth, creating jobs, and making European business more competitive in global markets.
Eurovent therefore calls on the EU leadership to match the scale and objectives of COVID-19 recovery package with the ambitions of the European Green Deal. Renovating our building stock, modernising our energy system, and investing in digitalisation and the circular economy is a win-win strategy that boosts the economy today and lies the groundwork for a competitive, responsible and resilient Single Market tomorrow.
Naci Sahin, Eurovent President, stated: "Heating, ventilation, air conditioning and refrigeration businesses were not spared by the COVID-19 recession. An ambitious stimulus programme that rhymes with the notes of the European Green Deal will feed two birds with one scone: it helps the economy recover from the immediate crisis and unlocks our sector’s potential to enable the future-proofing of the economy in the long run."
On 15 May, the European Parliament called for a recovery fund of 2tn EUR that would be directed to projects supporting the EU’s climate neutrality objectives, including new own resources for the EU budget. The European Commission is expected to present its Recovery Plan on 27 May, which would then have to be approved by the Council. The Commission and Council should heed the call of the European Parliament and the green recovery alliance which supports it and seize the historic opportunity for a green reboot.
