Activities of Seán KELLY related to 2023/0081(COD)
Plenary speeches (1)
Framework of measures for strengthening Europe’s net-zero technology products manufacturing ecosystem (Net Zero Industry Act) (A9-0343/2023 - Christian Ehler)
Shadow opinions (1)
OPINION on the proposal for a regulation of the European Parliament and of the Council Establishing a framework of measures for strengthening Europe’s net-zero technology products manufacturing ecosystem (Net Zero Industry Act)
Amendments (26)
Amendment 26 #
Proposal for a regulation
Recital 2 a (new)
Recital 2 a (new)
(2a) The net-zero industry globally is growing at an increasing rate, to the extent that demand is sometimes outpacing supply. Considering the scale at which the global market for key mass- manufactured clean energy technologies is expanding, as well as the Union's position as the world’s largest trader of manufactured goods and services. The provisions of this Act should be pursued in a manner that allow European industry to specialise in net-zero technologies, innovations, and services in which they have a comparative advantage and to capture a significant global market share. The Union can deliver prosperity for Union citizens only if it is competitive on and open to the global market.
Amendment 28 #
Proposal for a regulation
Recital 3
Recital 3
(3) Regarding external aspects, in particular regarding emerging markets and developing economies, the EU will seek win-win partnerships given the complexity and transnational character of net-zero technologies and their supply chains, ensuring open and functional global value chains and protecting the framework of its Global Gateway strategy, which contribute to the diversification of its raw materials supply chain aopen and rules-based global trading system, will be essential to the net-zero industry transition. Cooperation with like-minded partners weill as to partner countries’ efforts to pursue twin transition and develop local value addlso be a key element of the climate and clean energy transition.
Amendment 34 #
Proposal for a regulation
Recital 3 a (new)
Recital 3 a (new)
(3a) Trade diversification is a key factor in enhancing supply chain resilience, in order to avoid disruption of the supply of clean energy technologies and their component. By enhancing existing Free Trade Agreements and trading arrangements, as well as concluding new agreements, the EU can open new import and export markets for European entities, enhancing security of supply and lowering costs for consumers.
Amendment 35 #
Proposal for a regulation
Recital 3 b (new)
Recital 3 b (new)
(3b) In particular regarding emerging markets and developing economies, the EU will seek win-win partnerships in the framework of its Global Gateway strategy, which contribute to the diversification of its raw materials supply chain as well as to partner countries’ efforts to pursue twin transition and develop local value addition.
Amendment 36 #
Proposal for a regulation
Recital 3 c (new)
Recital 3 c (new)
(3c) The Union should aim to enhance cooperation on trade, research and production of net-zero technologies with like-minded and reliable partners through bilateral cooperation and joint efforts to enhance the multilateral trading system.
Amendment 37 #
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 sources. ThisNoting the potential of the net-zero transition for increasing employment in the energy and renovation sector, through upskilling and reskilling, this transition 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 59 #
Proposal for a regulation
Recital 16
Recital 16
(16) The Union has helped build a global economic system based on open and rules-based trade, pushed for respecting and advancing social and environmental sustainability standards, and is fully committed to those values. In a manner that is fair, transparent and WTO compliant, the Union promotes the level playing field globally through cooperation with trading partners, as well as by progressing targeted policies that address unfair trading practices and production overcapacity, with the objective of securing a fair, competitive global trading environment for EU industry, including for Net-Zero Industry Partnerships.
Amendment 64 #
Proposal for a regulation
Recital 17
Recital 17
(17) To address security of supply issues and contribute to supporting the resilience of Union’s energy system and decarbonisation and modernisation efforts, the net-zero technology manufacturing capacity in the Union needs to expand. Union manufacturers of solar photovoltaic (PV) technologies need to increase their competitive edge and improve security of supply perspectives, by aiming to reach at least 30 gigawatt of operational solar PV manufacturing capacity by 2030 across the full PV value chain, in line with the goals set out in the European Solar Photovoltaic Industry Alliance, which is supported under the Union’s Solar Energy Strategy.38 Union manufacturers of wind and heat pump technologies need to consolidate their competitive edge and maintain or expand their current market shares throughout this decade, in line with the Union’s technology deployment projections that meet its 2030 energy and climate targets.39 This translates into a Union manufacturing capacity for wind of at least 36 GW and, respectively, for heat pumps of at least 31 GW in 203040a . Union manufacturers of batteries and electrolysers need to consolidate their technology leadership and actively contribute to shaping these markets. For battery technologies this would mean contributing to the objectives of the European Battery Alliance and aim at almost 90% of the Union’s battery annual demand being met by the Union’s battery manufacturers, translating into a Union manufacturing capacity of at least 550 GWh in 2030. For EU electrolyser manufacturers, the REPowerEU plan projects 10 million tonnes of domestic renewable hydrogen production and a further up to 10 million tonnes of renewable hydrogen imports by 2030. To ensure EU’s technological leadership translates into commercial leadership, as supported under the Electrolyser Joint Declaration of the Commission and the European Clean Hydrogen Alliance, EU electrolyser manufacturers should further boost their capacity, such that the overall installed electrolyser capacity being deployed reaches at least 100 GW hydrogen by 2030. _________________ 38 Communication from the Commission to the European Parliament, the Council, the European Economic and Social Committee and the Committee of the Regions: EU Solar Energy Strategy, SWD(2022) 148 final, 18.05.2022. 39 As per REPowerEU objectives set out in the REPowerEU Plan, COM/2022/230 final, and accompanying Commission Staff Working Document Implementing the Repower EU Action Plan: Investment Needs, Hydrogen Accelerator and achieving the Bio-Methane Targets 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 REPowerEU Plan, SWD/2022/230 final, 18.05.2022 40a The 36 GW covers the components and necessary infrastructure required for the manufacturing and installation of wind turbines notably blades, nacelles, gearboxes, generators, cables, vessels, sea ports.
Amendment 69 #
Proposal for a regulation
Recital 23
Recital 23
(23) In addition, the Communication on the Green Deal Industrial Plan for the Net- Zero Age42 sets out a comprehensive approach to support a clean energy technology scale up based on four pillars. The first pillar aims at creating a regulatory environment that simplifies and fast-tracks permitting for new net-zero technology manufacturing and assembly sites and facilitates the scaling up of the net-zero industry of the Union. The second pillar of the plan is to boost investment in and financing of net-zero technology production, through the revised Temporary Crisis and Transition Framework adopted in March 2023 and the creation of a European Sovereignty fund to preserve the European edge on critical and emerging technologies relevant to the green and digital transitions. The third pillar relates to developing the skills needed to make the transition happen and increase the number of skilled workers in the clean energy technology sector. The fourth pillar focuses on trade and the diversification of the supply chain of critical raw materials. That includes creating a critical raw materials club, working with like-minded partners to collectively strengthen supply chains and diversifying away from single suppliers for critical input. The EU should foster international collaboration and partnerships to promote secure, sustainable and resilient global supply chains through the promotion of open and rules-based trade. _________________ 42 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: A Green Deal Industrial Plan for the Net-Zero Age, COM/2023/62 final, 01.02.2023.
Amendment 73 #
Proposal for a regulation
Recital 29 a (new)
Recital 29 a (new)
(29a) In view of the Union’s effort to promote a level playing field and reciprocity in market access for international public procurement, the Commission should ensure that the provisions of this act are implemented with respect to the Union’s commitments under the WTO Agreement on Government Procurement and public procurement chapters of EU FTAs.
Amendment 80 #
Proposal for a regulation
Recital 36
Recital 36
(36) When designing schemes benefitting households or consumers which incentivise the purchase of net-zero technology final products listed in the Annex, Member States, regional or local authorities, bodies governed by public law or associations formed by one or more such authorities or one or more such bodies governed by public law, should ensure the respect of the Union’s international commitments, including by ensuring that schemes are compatible with the Union's WTO commitments and do not reach a magnitude that causes serious prejudice to the interest of WTO members.
Amendment 83 #
Proposal for a regulation
Recital 39
Recital 39
(39) As indicated in the Communication on the Green Deal Industrial Plan for the Net-Zero Age, published on 1 February 2023, the Union’s industry’s market shares are under strong pressure, due to subsidies in third countries which undermine a level playing field. This translates in a need for a rapid and ambitious reaction from the Union in modernising its legal framework. Such measures should aim to prevent unfair global trading practices, the Union should ensure that these are implemented in a fair and transparent manner. The EU and the Member States should cooperate with partners and multilateral organisations, notably the WTO, to actively promote the rules-based multilateral trading system and work to prevent the occurance of a subsidy race.
Amendment 109 #
Proposal for a regulation
Recital 70
Recital 70
(70) As part of the Green Deal Industrial Plan the Commission announced its intention to conclude Net-Zero Industrial Partnerships covering net-zero technologies, to adopt net-zero technologies globally and to support the role of EU industrial capabilities in paving the way for. Cooperation through such Partnerships will promote the adoption of net-zero technologies globally. Net-Zero Industrial Partnerships can also contribute to the diversification and resilience of the EU's supply of net-zero techologies and their components, enhance information sharing between the Union and its partners on the development of net-zero technologies and support EU net-zero industries in accessing the global clean energy transitionmarket. The Commission and Member States may coordinate within the Platform the Partnerships, discussing existing relevant partnerships and processes, such as green partnerships, energy dialogues and other forms of existing bilateral contractual arrangements, as well as potential synergies with relevant Member States’ bilateral agreements with third countries.
Amendment 113 #
Proposal for a regulation
Recital 70 a (new)
Recital 70 a (new)
(70a) In the preparation of Net-Zero Industrial Partnership, the Commission should carry out a thorough assessment of the Union's supply chain vulnerabilites and import dependencies. The outcomes of this assessment, as well as the need to enhance cooperation with reliable and like-minded global partners, should inform the conclusions of Net-Zero Industrial Partnerships.
Amendment 117 #
Proposal for a regulation
Recital 71
Recital 71
(71) The Union should aim to diversify international trade and investments in net- zero technologies and to promote globally high social and environmental standards. This should be done in close cooperation and partnership with like-minded countries. Similarly, stronger international cooperation on research and innovation efforts to develop and deploy net-zero technologies should be pursued in close cooperation with partner countries in an open but assertive approachand balanced manner, with due regard to the Union’s strategic interests.
Amendment 118 #
Proposal for a regulation
Recital 71 a (new)
Recital 71 a (new)
(71a) The Union remains committed to an open and multi-lateral, rules-based trading system. With this in mind, measures that are introduced by the Union that impact trade must be WTO compliant, and take into account the possible response of the Union’s trading partners. The European Commission should engage at an early stage in information and communication with our trading partners on the implementation of the NZIA in order to address any percieved protectionism on the part of the Union.
Amendment 123 #
Proposal for a regulation
Article 1 – paragraph 2 – point a
Article 1 – paragraph 2 – point a
a) tThat by 2030, manufacturing capacity in the Union of the strategic net- zero technologies listed in the Annex approaches or reaches a benchmark of at least 4025% of the Union’s annual deployment needsglobal demand for the corresponding technologies necessary to achieve the Union’s 2030 climate and energy targets;
Amendment 227 #
Proposal for a regulation
Article 15 – paragraph 2 – point d
Article 15 – paragraph 2 – point d
(d) relevant Union funding and financing programmes, including a repurposed EU Innovation Fund that supports the scaling up of existing state- of-the-art and innovative EU net zero industry technologies and their supply chains.
Amendment 236 #
Proposal for a regulation
Article 19 – paragraph 2 – introductory part
Article 19 – paragraph 2 – introductory part
2. The tender’s sustainability and resilience contribution shall be based on the following cumulative criteria which shall be objective, transparent and non- discriminatory:
Amendment 238 #
Proposal for a regulation
Article 19 – paragraph 2 – point d
Article 19 – paragraph 2 – point d
(d) the tender’s contribution to sustaining and reinforcing European supply chains’ resilience, taking into account the proportion of the products originating from a single source of supply, as determined in accordance with Regulation (EU) No 952/2013 of the European Parliament and of the Council72 , from which more than 65% of the supply for that specific net-zero technology within the Union originates in the last year for which data is available for when the tender takes place. _________________ 72 Regulation (EU) No 952/2013 of the European Parliament and of the Council of 9 October 2013 laying down the Union Customs Code (OJ L 269, 10.10.2013, p. 1).
Amendment 244 #
Proposal for a regulation
Article 20 – paragraph 1
Article 20 – paragraph 1
1. Without prejudice to Article 4 of Directive (EU) 2018/2001 and Articles 107 and 108 the Treaty, and to the Union’s international commitments including the GPA and other international agreements by which the Union is bound, Member States, regional or local authorities, bodies governed by public law or associations formed by one or more such authorities or one or more such bodies governed by public law, could assess cybersecurity as a criteria, and shall assess the sustainability and resilience contribution as referred to in Article 19(2) of this Regulation when designing the criteria used for ranking bids in the framework of auctions, the aim of which is to support the production or consumption of energy from renewable sources as defined in Article 2, point (1) of Directive (EU) 2018/2001.
Amendment 256 #
Proposal for a regulation
Chapter IV a (new)
Chapter IV a (new)
IVa Net-Zero Industrial Partnerships
Amendment 257 #
Proposal for a regulation
Article 22 a (new)
Article 22 a (new)
Article22a Strengthening global value chains for net- zero technologies (1) In their trade and investments stratagies, in the framework of the WTO and through bilateral trading arrangements, the Commission and the Member States should aim to diversify and strengthen global value chains for net-zero technologies. (2) In the preparation of Net-Zero Industial Partnership, the Commission should carry out a thorough assessment of the Union's supply chain vulnerabilites and import dependencies, with reference to the criteria set out in Article 28(4)(c). The outcomes of this assessment, as well as the need to enhance cooperation with reliable and like-minded global partners, should inform the conclusions of Net- Zero Industial Partnerships.
Amendment 258 #
Proposal for a regulation
Article 22 b (new)
Article 22 b (new)
Article22b Net-Zero Industrial Partnerships 1. Without prejudice to existing trade and investment agreements between the Union and the third countries, the Commission shall enter into Net-Zero Industrial Partnerships with third countries. 2. Net-Zero Industrial Partnerships shall have the following objectives: (a) identifying and ensuring the availability of necessary resources and raw materials for the production of net- zero technologies, by avoiding overdependence on single suppliers and diversifying the sources; (b) Opening new export markets for European Union producers of net-zero technologies and manufactured goods; (c) Cooperating with partners to identify and mitigate tariff and non-tariff barriers to trade in net-zero technologies and their components; exchanging on regulatory cooperation and ensuring a level playing field between European and third country undertakings; (d) Stimulating international cooperation on research, innovation and knowledge exhange of the development and deployment of net-zero technologies.
Amendment 273 #
Proposal for a regulation
Recital 32
Recital 32
(32) The weighting of criteria on the sustainability and resilience contribution of the tender in relation to public procurement procedures is without prejudice to the possibility for ca minimum threshold. Within this minimum threshold, the contracting authorities and contracting entities may freely differentiate the weighting of the individual criteria, without ignoring one completely. Contracting authorities and contracting entities tomay always set a higher threshold for the criteria relating to environmental sustainability and innovation, in line with Article 41 (3) and Recital 64 of Directive 2014/23/EU of the European Parliament and of the Council50 , Article 67 (5) of Directive 2014/24/EU and Article 82 (5) of Directive 2014/25/EU. _________________ 50 Directive 2014/23/EU of the European Parliament and of the Council of 26 February 2014 on the award of concession contracts (OJ L 94, 28.3.2014, p. 1)one or several relevant criteria on the sustainability and resilience contribution. Given the importance of increasing the resilience of the Union’s energy system, the contracting authorities and contracting entities should pay significant attention to the resilience contribution.
Amendment 1236 #
Proposal for a regulation
Article 19 – paragraph 4
Article 19 – paragraph 4
4. TBy derogation from paragraph 3, the contracting authority or the contracting entity shall not be obliged to apply the considerations relating to themay decide to lower the weight of the tender’s sustainability and resilience contribution of net-zero technologies where their application would clearly oblige that authority or entity to acquire equipment having disproportionate costs, or technical characteristics different from those of existing equipment, resulting in incompatibility, technical difficulties in operation and maintenance. Cost differences above 10%, compared to a tender without the sustainability and resilience contribution, may be presumed by contracting authorities and contracting entities to be disproportionate. This provision shall be without prejudice of the possibility to exclude abnormally low tenders under Article 69 of Directive 2014/24/EU and Article 84 of Directive 2014/25/EU, and without prejudice to other contract award and exclusion criteria according to the EU legislation, including social aspects according to Articles 30 (3) and 36 (1), second intent of Directive 2014/23/EU, Articles 18 (2) and 67 (2) of Directive 2014/24/EU and Articles 36 (2) and 82 (2) of Directive 2014/24/EU.