Activities of Johan VAN OVERTVELDT related to 2023/0081(COD)
Shadow opinions (1)
OPINION on the proposal for a regulation of the European Parliament and of the Council on establishing a framework of measures for strengthening Europe’s net-zero technology products manufacturing ecosystem (Net Zero Industry Act)
Amendments (38)
Amendment 27 #
Proposal for a regulation
Recital 4
Recital 4
(4) To fulfil those commitments, the Union must accelerate its pace of transition to clean energy, notably by increasing energy efficiency and the share of renewable energy sourcesadopting a technology neutral approach. This will contribute to achieving the EU targets of the European Pillar of Social Rights Action Plan for 2030 of an employment rate of at least 78% and participation in training of at least 60% of adults. It will also contribute to ensuring that the green transition is fair and equitable34 . __________________ 34 Council Recommendation on ensuring a fair transition towards climate neutrality, adopted on 16 June 2022 as part of the Fit for 55 package.
Amendment 29 #
Proposal for a regulation
Recital 6
Recital 6
(6) The net-zero transformation is already causing huge industrial, economic, and geopolitical shifts across the globe, which will become ever more pronounced as the world advances in its decarbonisation efforts. The road to net zero translates into strong opportunities for the expansion of Union’s net-zero industry, making use of the strength of the Single Market, by promoting investment in technologies in the field of renewable energy technologies , electricity and heat storage technologies, heat pumps, grid technologies, renewable fuels of non- biological origin technologies, electrolysers and fuel cells, fusion, conventional and small modular reactors and related best-in-class fuels, carbon capture, utilisation, and storage technologies, and energy-system related energy efficiency technologies and their supply chains, allowing for the decarbonisation of our economic sectors, from energy supply to transport, buildings, and industry. A strong net zero industry within the European Union can help significantly in reaching the Union’s climate and energy targets effectively, as well as in supporting other Green Deal objectives, while creating jobs and growth.
Amendment 30 #
Proposal for a regulation
Recital 6 a (new)
Recital 6 a (new)
(6 a) This Regulation shall take into account the principle of technology neutrality, whereas no prejudice will be given to an existing or future technology, which aims at achieving the same goals through different means. Reaching the Paris Agreement climate goals is of the utmost importance. Therefore, the EU should recognise that industry and regulation go hand in hand, and no form of technology, which potentially contributes to reaching these goals, should be excluded.
Amendment 31 #
Proposal for a regulation
Recital 8
Recital 8
(8) The Union’s decarbonisation objectives, security of energy supply, digitalisation of the energy system and electrification of demand, for example in mobility and the need for fast recharging points, require an enormous expansion of electricity grids in the European Union, both at transmission level and at distribution level. At transmission level, high-voltage direct current (HVDC) systems are needed to connect offshore renewable energies; while at distribution level, connecting electricity providers and managing demand-side flexibility builds on investments in innovative grid technologies, such as electric vehicles smart charging (EVSC), energy efficiency building and industry automation and smart controls, advanced meter infrastructure (AMI) and home energy management systems (HEMS). The electricity grid needs to interact with many actors or devices based on a detailed level of observability, and hence availability of data, to enable flexibility, smart charging and smart buildings with smart electricity grids enabling demand side response from consumers and the uptake of renewables. Connecting the net-zero technologies to the network of the European Union requires the substantial expansion of manufacturing capabilities for electricity grids in areas such as offshore and onshore cables, substations and transformers. To maintain a working capacity in electricity grids, a diversified energy supply is a necessary.
Amendment 33 #
Proposal for a regulation
Recital 10
Recital 10
(10) To achieve the 2030 objectives a particular focus is needed on some of the net-zero technologies, also in view their significant contribution towards the path to net zero by 2050. These technologies include solar photovoltaic and solar thermal technologies, onshore and offshore renewable technologies, nuclear energy technologies, battery/storage technologies, heat pumps and geothermal energy technologies, electrolysers and fuel cells, sustainable biogas/biomethane, carbon capture and storage technologies and grid technologies. These technologies play a key role in the Union’s open strategic autonomy, ensuring that citizens have access to clean, affordable, secure energy. Given their role, these technologies should benefit from even faster permitting procedures, obtain the status of the highest national significance possible under national law and benefit from additional support to crowd-in investments.
Amendment 34 #
Proposal for a regulation
Recital 12
Recital 12
(12) In 2020 the European Commission adopted an EU strategy for energy system integration. It set out a vision on how to accelerate the transition towards a more integrated energy system, one that supports a climate neutral economy at the least cost across sectors. It encompasses three complementary and mutually reinforcing concepts: first, a more ‘circular’ energy system, with energy efficiency at its core; second, a greater direct electrification of end-use sectors; third, the use of renewable and low-carbon fuels, including hydrogen, produced from all energy sources, for end- use applications where direct heating or electrification are not feasible, not efficient or have higher costs. Considerations related to energy system integration refer to solutions for fully integrating all the electricity generated by renewable energy installations into the wider energy system. This means, for instance, adopting technical solutions that allow for the integration of surplus electricity generated by renewable electricity installations, including through storage in its various forms and demand- side management.
Amendment 38 #
Proposal for a regulation
Recital 18
Recital 18
(18) Considering these objectives together, while also taking into account that for certain elements of the supply chain (such as inverters, as well as solar cells, wafers, and ingots for solar PV or cathodes and anodes for batteries) the Union manufacturing capacity is low, the Union net-zero technologies annual capacity should aim at approaching or reaching an overall annual manufacturing benchmark of at least 40% of annual deployment needs by 2030 for the technologies listed in the Annex . When sourcing raw materials and other elements in the supply chain, carbon and business leakage should be taken into account.
Amendment 40 #
Proposal for a regulation
Recital 21 a (new)
Recital 21 a (new)
(21 a) The EU should take the risk of business leakage into account. Climate regulation should offer clear investment conditions in order to let innovation thrive. By overregulating we risk business leakage, where (innovative) companies will relocate elsewhere where they are less burdened by red tape and due diligence obligations.
Amendment 42 #
Proposal for a regulation
Recital 25
Recital 25
(25) Directives 2014/23/EU, 2014/24/EU and 2014/25/EU already allow contracting authorities and entities awarding contracts through public procurement procedures to rely, in addition to price or cost, on additional criteria for identifying the most economically advantageous tender. Such indicative criteria concern for instance the quality of the tender including social, environmental and innovative characteristics. When awarding contracts for net-zero technology through public procurement, contracting authorities and contracting entities should duly assess the tenders’ contribution to sustainability and resilience in relation to a series of criteria relating to the tender’s environmental sustainability, innovation, system integration and to resilience.
Amendment 50 #
Proposal for a regulation
Recital 38 a (new)
Recital 38 a (new)
(38 a) Public authorities should lead by example in the use of net-zero technology sources and energy efficiency.
Amendment 55 #
Proposal for a regulation
Recital 40
Recital 40
(40) Access to finance is key for ensuring the Union’s open strategic autonomy and for establishing a solid manufacturing base for net-zero technologies and their supply chains across the Union. The majority of investments necessary to reach the Green Deal objectives will come from private capital53 attracted by the growth potential of the net- zero ecosystem. Well-functioning, deep and integrated capital markets will therefore be essential to raise and channel the funds needed for the green transition and net-zero manufacturing projects. Swift progress towards the Capital Markets Union is thus necessary for the EU to deliver on its net-zero objectives. The sustainable finance agenda (and blended finance) also plays a crucial role in scaling up investments into the net-zero technologies, while guaranteeing the competitiveness of the sector. Swift access to both private and public financing can mitigate the inherent risks of innovation, research and development needed to achieve our climate goals. Public financing should not solely take the form of grants and subsidies but remain diversified and include tax-credits and loans. __________________ 53 Commission Staff Working Document Identifying Europe's recovery needs Accompanying the document Communication from the Commission to the European Parliament, the European Council, the Council, the European Economic and Social Committee and the Committee of the Regions - Europe's moment: Repair and Prepare for the Next Generation, SWD(2020) 98 final, Identifying Europe's recovery needs, 27.05.2020.
Amendment 59 #
Proposal for a regulation
Recital 41
Recital 41
(41) Where private investment alone is not sufficient, the effective roll-out of net- zero manufacturing projects may require public support in the form of State aid. Such aid must have an incentive effect and be necessary, appropriate and proportionate. The existing State aid guidelines that have recently undergone an in-depth revision in line with the twin transition objectives provide ample possibilities to support investments for projects in the scope of this Regulation subject to certain conditions. Member States can have an important role in easing access to finance for net-zero technologies manufacturing projects by addressing market failures through targeted State aid support. The Temporary Crisis and Transition Framework (TCTF) adopted on 9 March 2023 aims at ensuring a level playing field within the internal market, targeted to those sectors where a third- country delocalisation risk has been identified, and proportionate in terms of aid amounts. It would enable Member States to put in place measures to support new investments in production facilities in defined, strategic net-zero sectors, including via tax benefits. The permitted aid amount can be modulated with higher aid intensities and aid amount ceilings if the investment is located in assisted areas, in order to contribute to the goal of convergence between Member States and regions. Appropriate conditions are required to verify the concrete risks of diversion of the investment outside the European Economic Area (EEA) and that there is no risk of relocation within the EEA. To mobilise national resources for that purpose, Member States may use a share of the ETS revenues that Member States have to allocate for climate-related purposes. The EU closely monitors and evaluates the impact and consequences of this temporary framework, particularly regarding the proper functioning of the internal market. A disruption of the proper functioning of the Single Market can in no way be overcome by a European fund. Taking on new European debt is out of the question.
Amendment 67 #
Proposal for a regulation
Recital 45 a (new)
Recital 45 a (new)
(45 a) Member States are encouraged to pursue growth enhancing reforms, e.g. in the field of labour law or reviewing administrative procedures, for the Net Zero Industry Act to have the biggest possible effect in terms of added value and economic growth;
Amendment 68 #
Proposal for a regulation
Recital 47
Recital 47
(47) A European Sovereignty Fund would provide a structural answer to the investment needs, but no new debts will be incurred for this. It will help preserving a European edge on critical and emerging technologies relevant to the green and digital transitions, including net-zero technologies. This structural instrument will build on experience of coordinated multi-country projects under the IPCEIs and seek to enhance all Member States’ access to such projects, thereby safeguarding cohesion and the Single Market against risks caused by unequal availability of State Aids. The temporary flexibility offered by the State aid rules should in no way interfere with the level playing field in the Single Market, and be used as justification for new European debt. The unity of the Single Market and the equality of Member States must be closely monitored, with special attention to small(er) Member States.
Amendment 74 #
Proposal for a regulation
Recital 52
Recital 52
(52) In order to reduce complexity and increase efficiency and transparency, project promoters of net-zero technologies manufacturing projects should be able to interact with a single national, or regional competent authority responsible for coordinating the entire permit granting process and issuing a comprehensive decision within the applicable time limit. To that end, Member States should designate a single national competent authority or one authority per competent region, in accordance with the constitutional structures of the Member States as guaranteed by Article 4(2) TEU . Depending on a Member State’s internal organisation, it should be possible for the tasks of the national or regional competent authority ies to be delegated to a different authority, subject to the same conditions. To ensure the effective implementation of their responsibilities, Member States should provide their national or regional competent authority, or any authority acting on their behalf, with sufficient personnel and resources.
Amendment 75 #
Proposal for a regulation
Recital 53
Recital 53
(53) In order to ensure clarity about the permitting status of Net-Zero Strategic Projects and to limit the effectiveness of potential abusive litigation, while not undermining effective judicial review, Member States should ensure that any dispute concerning permit granting process is resolved in a timely manner. To that end, national or regional competent authorities should ensure that applicants and project promoters have access to a simple dispute settlement procedure and that Net-Zero Strategic Projects are granted urgent treatment in all judicial and dispute resolution procedures relating to them while ensuring respect for the rights of defence.
Amendment 76 #
Proposal for a regulation
Recital 54
Recital 54
(54) In order to allow businesses and project promoters, including for cross- border projects, to directly enjoy the benefits of the internal market without incurring an unnecessary additional administrative burden, Regulation (EU) 2018/1724 of the European Parliament and the Council64 provides for general rules for the online provision of procedures relevant for the functioning of the internal market. The information that needs to be submitted to national competent authorities as part of the permit-granting processes covered by this Regulation are to be covered in Annex I of Regulation (EU) 2018/1724 following its amendment by this Regulation, and the related procedures are included in its Annex II so as to ensure that project promoters can benefit from fully online procedures and the Once-Only Technical System. National or regional competent authorities acting as one stop shop pursuant to this Regulation are included in the list of assistance and problem-solving services in Annex III of Regulation (EU) 2018/1724. __________________ 64 Regulation (EU) 2018/1724 of the European Parliament and of the Council of 2 October 2018 establishing a single digital gateway to provide access to information, to procedures and to assistance and problem-solving services and amending Regulation (EU) No 1024/2012 (OJ L 295, 21.11.2018, p. 1).
Amendment 77 #
Proposal for a regulation
Recital 63 a (new)
Recital 63 a (new)
(63 a) The European Union choses deliberately for a lean and mean approach, providing a stable legal framework that offers legal certainty and opportunities to invest. Enhancing competitiveness and finalising the Capital Markets Union are key to have economic growth, without which the green transition will not succeed.
Amendment 78 #
Proposal for a regulation
Recital 66
Recital 66
(66) Building on previous experiences, such as the EU Pact for Skills and the European Battery Alliance, European Net- Zero Industry Academies should develop and deploy education and training content to upskill and reskill workers required for key net-zero technology value chains, such as solar photovoltaic and solar thermal technologies, renewable hydrogen technologies and raw materials. The academies would, pursuant to Articles 165-166 TFEU, aim to enable the training and education of 100.000 learners each, within three years of their establishment, to contribute to the availability of skills required for the net-zero technologies, including in small and medium-sized enterprises. That content should be developed and deployed with education and training providers in Member States, relevant Member States authorities and social partners. Education and training providers, industry and other actors involved in up- and reskilling in the Member States, such as Public Employment Services, should deliver the content produced by the academies. To ensure skills transparency and portability and the mobility of workers, the European Net-Zero Industry Academies will develop and deploy credentials, including micro- credentials, covering learning achievements. They should be issued in the format of European credentials for learning and could be integrated in EUROPASS and, where relevant, included in National Qualifications Frameworks. Member States are encouraged to support the continuous reskilling and upskilling offered via the academies and the relevant education and training providers in their territories through national programmes and Union funding, including from the European Social Fund Plus, the Recovery and Resilience Facility, the European Regional Development Fund, the Just Transition Mechanism, the Modernisation Fund and the Technical Support Instrument. The Net-Zero Europe Platform should assist in guiding the work of the Academies and providing oversight.
Amendment 80 #
Proposal for a regulation
Article 1 – paragraph 1
Article 1 – paragraph 1
1. This Regulation establishes the framework of measures for innovating and scaling up the manufacturing capacity of net-zeroexisting and future net-zero technologies and energy efficiency enhancing technologies in the Union to support the Union’s 2030 target of reducing net greenhouse gas emissions by at least 55 % relative to 1990 levels and the Union’s 2050 climate neutrality target, as defined by Regulation (EU) 2021/1119, and to ensure the Union’s access to a secure and sustainable supply of net-zero technologies needed to safeguard the resilience of the Union’s energy system and to contribute to the creation of quality jobs.
Amendment 81 #
Proposal for a regulation
Article 1 – paragraph 3 a (new)
Article 1 – paragraph 3 a (new)
3 a. The Commission shall assess and review the list of net-zero technologies and strategic net-zero technologies at least once every two years. The Commission shall take the contribution of these technologies into account in terms of achieving the climate goals, circular economy, sustainability and energy efficiency.
Amendment 84 #
Proposal for a regulation
Article 3 – paragraph 1 – point f
Article 3 – paragraph 1 – point f
(f) ‘permit granting process’ means a process covering all relevant administrative permits to plan, build, expand and operate net-zero technology manufacturing projects, including building, chemical and grid connection permits and environmental assessments and authorisations where these are required, and encompassing all administrative applications and procedures from the acknowledgment of the validity of the application to the notification of the comprehensive decision on the outcome of the procedure by the responsible national or regional competent authority;
Amendment 85 #
Proposal for a regulation
Article 4 – paragraph 1
Article 4 – paragraph 1
1. By …[3 months after the date of entry into force of this Regulation], Member States shall designate one national competent authority or one authority per competent region, in accordance with the constitutional structures of the Member States as guaranteed by Article 4(2) TEU, which shall be responsible for facilitating and coordinating the permit-granting process for net-zero technology manufacturing projects, including for net- zero strategic projects, and to provide advice on reducing administrative burden in line with Article 5.
Amendment 86 #
Proposal for a regulation
Article 4 – paragraph 2
Article 4 – paragraph 2
2. The national or regional competent authority referred to in paragraph 1 shall be the sole point of contact for the project promoter in the permit-granting process leading to a comprehensive decision for a given project and shall coordinate the submission of all relevant documents and information.
Amendment 87 #
Proposal for a regulation
Article 4 – paragraph 3 – introductory part
Article 4 – paragraph 3 – introductory part
3. The responsibilities of the national or regional competent authority referred to in paragraph 1 or the tasks related to it may be delegated to, or carried out by, another authority, for any given project, provided that:
Amendment 88 #
Proposal for a regulation
Article 4 – paragraph 3 – point a
Article 4 – paragraph 3 – point a
(a) the national or regional competent authority notifies the project promoter of that delegation;
Amendment 89 #
Proposal for a regulation
Article 4 – paragraph 5
Article 4 – paragraph 5
5. The national or regional competent authority shall take into consideration any valid studies conducted, and permits or authorisations issued, for a given project before the project entered the permit- granting process in accordance with this Article and shall not require duplicate studies and permits or authorisations, unless otherwise required under Union law.
Amendment 90 #
Proposal for a regulation
Article 4 – paragraph 6
Article 4 – paragraph 6
6. The national or regional competent authority shall ensure that applicants have easy access to information on and simple procedures for the settlement of disputes concerning the permit-granting process and the issuance of permits to construct or expand projects, including, where applicable, alternative dispute resolution mechanisms.
Amendment 91 #
Proposal for a regulation
Article 4 – paragraph 7
Article 4 – paragraph 7
7. Member States shall ensure that the national or regional competent authority responsible for the entire permit-granting processes, including all procedural steps, has a sufficient number of qualified staff and sufficient financial, technical and technological resources necessary, including for up- and re-skilling, for the effective performance of its tasks under this Regulation.
Amendment 99 #
Proposal for a regulation
Article 11 – paragraph 2 – point b
Article 11 – paragraph 2 – point b
(b) a summarised business plan evaluating the financial viability of the project consistent with the objective of creating quality jobs. The Platform for net-zero technologies provides a template for the business plan.
Amendment 110 #
Proposal for a regulation
Article 14 – paragraph 2 – introductory part
Article 14 – paragraph 2 – introductory part
2. Member States mayshall provide administrative support to net-zero strategic projects to facilitate their rapid and effective implementation, including by providing:
Amendment 121 #
Proposal for a regulation
Article 15 – paragraph 1
Article 15 – paragraph 1
1. The Net-Zero Europe Platform as established in Article 28 shall discuss financial needs and bottlenecks of net-zero strategic projects, potential best practices, in particular to develop the necessary EU cross-border supply chains, notably based on regular exchanges with the relevant industrial alliances.
Amendment 156 #
Proposal for a regulation
Article 20 – paragraph 2 a (new)
Article 20 – paragraph 2 a (new)
2 a. Non-financial criteria must be used in a transparent, coherent and predictable way.
Amendment 167 #
Proposal for a regulation
Article 26 – paragraph 7
Article 26 – paragraph 7
7. The duration of the net-zero regulatory sandbox may be extended through the same procedure upon agreement of the national and regional competent authority.
Amendment 168 #
Proposal for a regulation
Article 27 – paragraph 1 – point c a (new)
Article 27 – paragraph 1 – point c a (new)
(c a) Guide SMEs and start-ups throughout the process of raising both private and public funding.
Amendment 169 #
Proposal for a regulation
Article 31 – paragraph 2 – introductory part
Article 31 – paragraph 2 – introductory part
2. Member States and the national and regional authorities they designate for this purpose shall collect and provide data and other evidence required pursuant to paragraph 1, points (a) and (b). In particular, they shall collect and report each year to the Commission data on:
Amendment 170 #
Proposal for a regulation
Article 35 – paragraph 4 a (new)
Article 35 – paragraph 4 a (new)
4 a. In line with its Commission’s Better Regulation Guidelines, and Toolbox, and with the “one-in one-out” approach, the Commission has committed to offset newly introduced administrative burdens included in its proposals from 2022 onwards by reducing equivalent burdens in either within the remit of each Directorate-General, or within the respective REFIT area.
Amendment 173 #
Proposal for a regulation
Annex I – column 2 – row 8 a (new)
Annex I – column 2 – row 8 a (new)
Nuclear power technologies