EU Urged to Prioritize Scalable Renewable Fuels for Aviation and Shipping in Clean Industrial Deal
Key Ideas
- European shipping and aviation sectors call for prioritizing scalable renewable fuels in the EU's Clean Industrial Deal to boost decarbonization and clean technologies.
- Financial obstacles like high upfront capital requirements and production costs hinder large-scale green fuel projects in aviation and shipping.
- The open letter urges action from the European Commission in areas such as de-risking investments, establishing a European industrial base, and facilitating access to financing schemes.
- Investments in clean fuels are deemed essential to meet climate targets for aviation and shipping, enhance energy security, and create employment opportunities in the EU.
The European shipping and aviation sectors have collectively urged the EU to prioritize scalable renewable fuels in its upcoming Clean Industrial Deal, set to be revealed on 26 February. The aim is to boost Europe's industrial decarbonization strategy by focusing on clean technologies. The sectors, represented by entities like the European Community Shipowners' Associations and Airlines for Europe, highlighted the current financial obstacles hindering investments in hydrogen and renewable fuels. The open letter emphasized the need for fuel mandates to guarantee demand and smart instruments at the EU level to bridge the cost gap between fossil and renewable hydrogen. These investments are crucial for the competitiveness of aviation and shipping industries, with an estimated €100 billion needed annually for the energy transition. The letter calls for action from the European Commission in various areas, including scalable renewable fuels, de-risking investments, and establishing a European industrial base. Ultimately, investments in clean fuels are seen as essential to meet climate targets, enhance energy security, and create job opportunities in the EU's aviation and shipping sectors.
Topics
Investing
Aviation
Investment
Energy Transition
Renewable Fuels
Shipping
EU
European Commission
Industrial Decarbonisation
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