Photo : REUTERS/Kacper Pempel
29 December 2021, Wednesday | NIAS Europe Daily Brief #84
IN FOCUS
By Padmashree Anandhan
The EU's "taxonomy for sustainable activities”
On 09 December, the EU member states passed the EU Taxonomy delegated act. As per the act: “(the act) establishes the general framework for determining whether an economic activity qualifies as environmentally sustainable for the purposes of establishing the degree to which an investment is environmentally sustainable.” It aims to include an environment standard to the investments in the area of renewable energy, shipping, car manufacturing and buildings. According to the EU Financial Services Chief Mairead McGuinness: “This will help channel sustainable finance towards projects and businesses to help reach our climate targets.” So far, France, Poland, Finland, and Hungary along with many other countries have objected to the regulation; however, this was not enough to rule it out.
What is the EU taxonomy?
The EU taxonomy is a classification system to list down the activities that are environmentally sustainable and economic in nature. It is significant for the EU as it will boost its sustainable investments and help achieve the European Green deal. Through the taxonomy regulation, the company investors and policymakers can identify the activities that are considered as environmentally sustainable. Apart from identifying, this also implies redirection of investor companies towards more climate-friendly methods. The core objectives of this regulation include climate change mitigation, climate change adaptation, the sustainable use and protection of water and marine resources, the transition to a circular economy, pollution prevention and control, protection and restoration of biodiversity and ecosystems.
The purpose of the act
The passing of the taxonomy regulation is to meet various climate goals of Europe such as the European Green deal and its energy targets. Pandemic and post-pandemic recovery periods seem to be redirecting the investments into sustainability and this Act is timely to define what goes under sustainability. Through clear definition and a common language of sustainability, the redirected investments can be increased towards economies, businesses and societies, specifically in health, against climate and environmental distress. To make it happen, an action plan on financing sustainable growth is needed, which the Act serves. The regulation not only restricts the economic activities to be climate-friendly, but it also prevents companies from earning unproven environmental claims.
The way forward
A potential problem ahead for the EU’s sustainable agenda is whether to include gas and nuclear energy as part of the EU taxonomy. When it comes to nuclear, the vision of the member states differs. This divide has been the reason behind the one-year delay between the drafting and passing of the regulation. While France is just stepping into building nuclear reactors, countries like Germany and Belgium are shutting down their age-old reactors fearing the accumulation of nuclear waste.
The European Sustainable Investment Forum (Eurosif), which is a leading European membership association with a mission to develop sustainability through European financial markets, says natural gas and nuclear energy should not be included in the EU taxonomy. The reason is, it will change the nature of the EU taxonomy from sustainable activities to transitional activities. There are few sectors in the EU which are in need of a secure energy supply on a short-term basis and these sectors will slow down in achieving the energy targets of the EU.
References:
“Commission Delegated Regulation (Eu) 2021/2139,” Official Journal of the European Union, 09 December 2021.
Kate Abnett, “EU passes first chunk of green investment rules, contentious sectors still to come,” Reuters, 09 December 2021.
“Eurosif welcomes the implementation of the EU Taxonomy rules as of 1st January 2022,” Eurosif, 09 December 2021.
“EU taxonomy for sustainable activities,” European Commission, 2020.
IN BRIEF
By Joeana Cera Matthews and Ashwin Dhanabalan
POLAND
President Duda vetoes controversial media law
On 27 December, President Andrzej Duda vetoed a law that was speculated to silence a channel in Poland called TVN24. Duda said: "I am vetoing it." His remarks followed the critical response by the EU and the US to the law. TVN24 was a US-owned news channel, and its board members reacted to the statement saying they accepted the veto "with appreciation and joy". As reported by The Guardian: "Law would have prevented companies outside the EEA from holding a controlling stake in Polish media companies." Duda mentioned that the law was vetoed as it could have violated an economic treaty with the US. Poland has been having issues with press freedom since the country's ruling party Law and Justice (PiS), was elected. According to Reporters Without Borders, since 2015, Poland has reached the 64th rank on the World Press Freedom Index, indicating a decrease in the country's press freedom. ("Polish president vetoes media law criticised by US and EU," The Guardian, 27 December 2021; "Polish president vetoes controversial media law criticised by US and EU," France24, 28 December 2021)
RUSSIA
Memorial International ordered to close
On 28 December, Russia's Supreme Court ordered the closure of the country's most prominent human rights group called Memorial International. The prosecutors accused Memorial saying it: "creates a false image of the USSR as a terrorist state and denigrates the memory of World War II." The judge ruled for closure for the group as it failed to label its foreign-funded publications as "foreign agent". The foreign agent tag is a law in Russia that activists and human rights organizations have criticized since it was introduced. The Memorial International was founded in the 1980's and has reported on the human rights issue since then. As written by France24, the Center also worked on "the rights of political prisoners, migrants and other marginalized groups, and highlighted abuses, especially in the turbulent North Caucasus region that includes Chechnya". Memorial said that it would appeal the verdict and the NGO's lawyer said: "We are positive that this motion is unlawful. Yet, this is a political decision." (Thibault Spirlet, "Top Russian court orders shutdown of human rights group Memorial," POLITICO, 28 December 2021; "Russia's Supreme Court orders closure of top human rights group Memorial," France24, 28 December 2021)
US and Russia to hold talks on 10 January 2022
On 28 December, The Guardian reported Russian and the US officials to have verified security talks between the two countries on 10 January 2022 in Geneva, Switzerland. According to The Guardian, the deliberations are expected to cover “Russia’s military buildup on Ukraine’s borders, while Moscow will press demands that Nato pledges not to admit Ukraine and roll back the alliance’s post-cold war development”. The Russian Foreign Minister Sergei Lavrov stated that Russia would be taking a “hard line” during the negotiations. However, Kremlin Deputy Foreign Minister Sergei Ryabkov stated: “(there was) no need to invent an oversized agenda and to stuff it with issues, which have long been addressed through other channels, to serve one’s own interests.” Earlier on 27 November, a spokesperson for the White House’s National Security Council had said: “When we sit down to talk, Russia can put its concerns on the table, and we will put our concerns on the table with Russia’s activities as well. There will be areas where we can make progress, and areas where we will disagree. That’s what diplomacy is about.” (Andrew Roth and Jon Henley, “US and Russia to hold talks amid Ukraine tensions,” The Guardian, 28 December 2021)
CLIMATE CHANGE AND ENVIRONMENT
Germany: Katjuscha, the oldest polar bear in Europe, passes away
On 27 December, Europe's oldest polar bear called Katjuscha passed away at 37. The polar bear had an underlying heart condition and was suffering for some time. The zoo released a statement on Twitter saying: "Farewell Katjuscha! After almost four decades in the Berlin zoo, we have had to bid farewell to our Katjuscha." Since the Berlin Zoo had experts who cared for Katjuscha, she lived till the age of 37. In the wild, polar bears can only live for 25-30 years on average. The zoo director further commented, saying: "We have of course observed our senior citizen very closely over the past few years. Thanks to optimal veterinary care and daily medication Katjuscha was able to reach such a stately polar bear age." PETA campaign team leader Peter Höffken took the opportunity to mention how Germany should stop keeping polar bears in zoos. He further stated: "If the Berlin Zoo would publicly stand by an end to the keeping of polar bears, this would be a great step with a signalling effect for all other zoos with disturbed polar bears running around in circles." ("Europe's oldest polar bear, Katjuscha, passes away at Berlin Zoo," Deutsche Welle, 27 December 2021)
Spain: La Palma to restrict cruise ships citing environmental impact
On 27 December, The Guardian reported Balearic Islands’ officials to have sought to restrict vessels arriving at its largest port of Palma in Mallorca. From 2022, the port would see only three cruise ships arriving to the port per day. The historic five-year deal is expected to reduce the port arrivals by 13 percent when compared to statistics from 2019. In 2019, over 25 organizations had released a joint statement, calling for the reduced arrivals. It read: “The mega-cruise ship tourism arriving in Palma has grown in a way that is unsustainable and undesirable for our city, leading to serious environmental impact and increasing social protest.” The Regional Official in charge of Economy and Tourism Iago Negueruela said: “It means setting, for the first time, a real limit to the arrival of cruise ship passengers to Palma, something that would not have been possible without the will of the sector… We’re the first to do so in a port as large as Palma.” However, critics of the deal such as Platform Against MegaCruises, stated: “Three cruise ships a day – one of them with a capacity of more than 5,000 passengers – still seems to us a very high figure for what the city can bear… The regional government has missed out on the opportunity to make a courageous decision to safeguard residents of the Balearic Islands, their environment, their health and their right to the city.” Meanwhile, counter-organization Yes to Cruises’ spokesperson Álex Fraile stated: “Is the next step to restrict the arrival of aircraft at [Mallorca’s] Son Sant Joan airport?” (Ashifa Kassam, “Palma to limit cruise ships after environmental concerns,” The Guardian, 27 December 2021)
COVID-19
Germany: Police under psychological stress due to continuous protests
On 29 December, the German Police Union raised concerns about the frequent COVID-19 protests and the psychological consequences faced by the police officers at work. The Union Chairman Oliver Malchow said: "The many coronavirus protests are putting a huge strain on our forces." The frequent protests and its rising intensity have taken a toll on the officers. The level of aggression towards police officials deployed has also increased lately. Malchow mentioned how 13 officers were injured the week prior to 29 December and additionally said: "Managers are working hard to reduce the stress on their staff, but this is becoming increasingly difficult". Germany has increased the number of personnel involved in dealing with the psychological service of the police, but the situation these days has been overwhelming. Continuous demonstrations and other assignments restrict officers from getting the help they need. Now with the new wave of cases caused by the Omicron variant, more restrictions will likely cause further protests. ("Germany: COVID protests put police under 'huge strain'," Deutsche Welle, 29 December 2021)