Scientists lambast EU over gas and nuclear’s ‘green’ energy label

Posted: 21st January 2022

Pressure on Brussels to change draft ‘taxonomy’ rules to guide sustainable investment

Mehreen Khan in Strasbourg

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An EU proposal to label nuclear power and some natural gas as sources of green energy has come under fire from experts hired by Brussels to help draw up the sustainable investment rules.

The group of scientists want Brussels to amend its so-called “taxonomy on sustainable finance” to limit use of gas and nuclear energy or risk undermining EU climate goals.

Environmentalists and some member states have already criticised the EU over the draft plan, which will allow nuclear energy and some forms of natural gas to be considered as sustainable for decades. The designation is part of rules designed to guide investment into green activities.

In a document seen by the Financial Times the expert group that has helped to design the taxonomy over the past three years wants Brussels to deny a green label to electricity produced from natural gas that produces more than 100 grammes of CO2 per kilowatt hour. That is compared with more than 550kg/kWh annually over 20 years allowed in the draft. Natural gas has a lower carbon footprint than coal but still produces CO2. It can qualify for the green label if it is used to switch from coal.

The stance will heap pressure on Brussels to amend the taxonomy in the face of a scientific and political backlash. The feedback will be sent to the European Commission on Friday as part of a consultation between Brussels, member states and experts on the rules. The text is due to be finalised this month.

Nuclear power and some forms of natural gas were included in the draft taxonomy late last year after Brussels was put under severe pressure from some EU governments that wanted to avoid key sources of energy being penalised. They included France, among Europe’s most pro-nuclear countries, and gas-dependent states in eastern Europe.

In the commission’s draft, nuclear power, which has no carbon footprint but produces toxic waste with radiation risks, is considered as sustainable as long as countries can prove they can safely dispose of the waste. New nuclear power permits can be granted until 2045.

The experts say the inclusion of nuclear energy contravenes the principle of “do no significant harm”, which is vital in ensuring eligibility for the green label. The document demands “substantial changes” to the text in order to ensure that new nuclear power stations contribute to the EU’s climate targets.

The experts add that in its current form, the taxonomy would “not be suitable” in helping to classify sustainable finance products.

The scientific criticism will embolden anti-nuclear countries like Austria and Luxembourg which have vowed to sue the commission at the European Court of Justice if the taxonomy is approved in its current form.

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Despite vocal criticism from some corners, the draft is almost certain to be approved as it requires a super-majority of member states and MEPs to reject it. EU legislators cannot propose their own amendments.

France, Europe’s biggest nuclear power, has been instrumental in demanding that nuclear technology is given the sustainable label. French president Emmanuel Macron on Wednesday said the inclusion of nuclear “was in line with the protection against climate change”.

​Dr Paul Dorfman

Chair, Nuclear Consulting Group 
http://www.nuclearconsult.com/