Economic Update
On March 14, 2023, the European Commission presented its proposed reform of the EU’s electricity market design. The reform does not drastically change the controversial elements of the EU market but is incorporating elements to future-proofing the electricity market.
Special
The eurozone economy benefits from the fall in energy prices, generous government subsidies and high job security. Yet inflation continues to be high and we foresee interest rates to stay elevated for longer, which hurts private demand.
Special
The European offshore wind supply chain faces different challenges that could hamper the EU and its member states’ efforts to reach their offshore wind targets. The European wind industry, particularly turbine manufacturers, are struggling due to slow permitting, increased cost inflation of raw materials and logistics, dependency on imports of raw materials, growing demand for larger turbines, and competition from China.
Special
On September 14, the European Commission proposed specific intervention measures to address the soaring energy prices. Such intervention is a complex task, and any approach has its own drawbacks. This report reviews the proposal and contextualises it, among all the possible ones.
Special
PPAs are on the rise in Europe, as such contracts are an increasingly popular way of financing the deployment of renewables. However, the growth in this market is not hurdle free. High power market volatility pushes players to rethink their strategies.
Economic Update
High inflation keeps a grip on the Dutch economy. Economic growth is leveling off, but we do not expect a recession. The war in Ukraine is the largest source of uncertainty.
Economic Update
We were moderately positive about 2022, despite growing concerns about the high inflation prints. But that was all before Russia’s invasion of Ukraine.
Special
The current energy crisis has highlighted the geopolitical risks associated with our dependence on Russian gas. The EU aims to become fully independent from Russian energy, but replacing Russian gas fully is easier said than done.
Economic Quarterly Report
The war in Ukraine is expected to lead to strongly rising prices and impediments to foreign trade, resulting in lower economic growth in the Netherlands this year.
Special
The economic impacts of a CO2 tax on combustion vary strongly across sectors, countries and scenarios. Yet, for overall Dutch GDP, it may not matter much whether the tax is introduced only in the Netherlands or also in the EU, EFTA and UK.
Economic Comment
The new Dutch coalition government’s Climate and Transition fund boosts the credibility of its hydrogen plans. The Dutch now rank first in the Champions League for clean hydrogen.
Special
Post-COP26, the 1.5°C target is still out of reach, but the gap narrows as Glasgow brought some progress. Paris Agreement Rulebook was finalized and new emission reduction pledges were announced. Yet, credibility concerns cast some shadow over these announcements and climate finance remains unsettled.
Economic Comment
To “keep the 1.5°C target alive” within COP26, we need more stringent targets for 2030, not only for 2050. Progress could come from new methane emissions targets and through advancements in discussions on Paris Agreement Rulebook and climate finance.
Special
US and European natural gas prices have jumped to multi-year highs; to the extent that comparisons with the 1970’s oil crises are perhaps not as far-fetched as some would think.
Economic Report
The EU Commission published the next step in the E.U. Taxonomy in June 2020. It includes a proposal to make all large companies and listed SMEs disclose their alignment with the Taxonomy. This report provides an update on the latest developments.
