Ministers target green machines

By Emily Smith

Date: 11/05/06

Environment ministers will brainstorm next week on ways to promote environmental technologies and services, as Europe struggles with flagging unemployment and sluggish growth.

At an informal meeting on 19 May, the 25 ministers will also canvass the views of the European Commission, non-governmental organisations (NGOs) and regional representatives.

A spokesman for Austrian Environment Minister Josef Pröll said it was "high time" the EU took a serious look at green technologies.

"Environmental and economic policy need not always be in constant antagonism," he explained, pointing out that "environmental technology is the sector with the largest growth in Austria".

"Keeping economic growth in the back of our minds, new markets like China and India through their growth are facing environmental challenges. That makes them a good market for Europe".

The spokesman added that one of the greatest challenges in environmental policy was "decoupling economic growth and pollution".

"Environmental technologies can give a very strong answer," he added.

Their popularity, however, depends on the way Europe chooses to promote them, concluded the spokesman.

He suggested a market-based approach to the environment would "take environmental policy a step further than telling people to change their behaviour patterns [for the sake of the environment]. Telling people not to travel so much or not to use cheap airlines is simpler in theory but very hard to implement".

The most commonly mentioned market mechanism for green technologies is fiscal reform, offering tax cuts or rebates for the cleanest products.

The Commission also touts eco-innovation as the green side to plans for European growth. The importance of developing clean technologies and services was stressed in the 2005 Lisbon Strategy review and in recent consultation papers on the EU energy market and energy efficiency.

European eco-industries currently make up a third of the world market.

Environment Commissioner Stavros Dimas in March predicted that in ten years' time eco-technologies will be taken for granted in the same way information technology is today. But unless it takes strong action soon, he added, by 2016 Europe will be wondering how to catch up with "global competitors who have been more successful in developing and marketing these technologies".

John Hontelez, secretary-general of the European Environmental Bureau (EEB), said the EU had "until now focused on the supply side of eco-innovation, on research for example".

"It is very important also to look at the demand side. In the end if the demand signs are right for eco-technology the market will really have a boost."

Hontelez will also take part in this month's informal Council. He said he would be pushing for fiscal reform: "Prices should give the economic truth about products; that is the biggest boost we can give them."

But Hontelez added that another challenge ahead was getting local authorities to buy into eco-innovation, a process known as green public procurement.

In particular, he said, there was a need for "a concrete guide and information for local authorities...They need to be shown how to play a real role in boosting eco-innovation".

The Commission's recent emphasis on eco-innovation got a cautious welcome from the EEB chief, who said it was "fine conceptually, but we need to see concrete actions".

Article anticipates an informal meeting of EU Environment Ministers on 19 May 2006, where participants were to brainstorm on ways to promote environmental technologies and services, as Europe was struggling with flagging unemployment and sluggish growth.