1. Global opportunities for eco-innovation
Timo Makela
European Commission DG Environment
4th ETAP Forum
Vienna, 31 January 2008
The presentation is the first one after the welcome address by the Ministry (speaker not yet known).
Its main goal is to introduce the issues to be discussed in the Forum, to set the scene without going into details.

2. From global threats…  Green House Gas emissions
 2.5 to 3-fold increase by 2050
 Ecological footprint
 EU 2,5 earths; USA 4.5 earths
 Metals and minerals consumption
 35-40% growth in 10 years
 Metal consumption in China
 % growth in 10 years
Europe and the world are facing huge challenges: climate change, scarcity of resources, loss of biodiversity…
As highlighted by Stern Report: 5 to 20% of yearly cost to GDP if we do not do anything: so we have to act !
The footprint indicator (developed by WWF) shows that our model of development is clearly unsustainable
Plastic to Landfill comes from Thematic Strategy on Waste and Recycling

3. …to business opportunities
 Eco-Industries in EU  Turnover €227 billion = 2.2% of GDP= 3.4 M jobs
 World market
 € 1,000 billion (2005) -> € 2,200 billion (2020)
 EU strong player
 ~ 30% of world turnover
 Water & waste management > 50% share
Population growth 70 to 80 million people per year, or 50% increase by 2050
It’s a new Europe every 5 years - 9 billion people in the world in This will create inevitably a rise in demand
We have to tackle the problem. Business as usual is not an answer/not enough
Technologies cannot make it alone, radical changes are necessary in our consumption and production patterns
Better cleaner technologies are part of the solution – environmental performance is key

4. Unlocking global markets
 Enabling framework: Multilateral agreements, export credits, intellectual property regime, clean development mechanisms
 Strong home market: Robust legislative framework, innovation policies, develop demand in eco-innovation, facilitate market uptake of environmental technologies
 Specific support to environmental technologies: Financial schemes, eco-technology centers abroad
 What else?
Eco-industries are already a significant sector – equivalent to Aerospace or pharmaceutical industry
World market in clean technologies (not only traditional end-of-pipe, also energy efficiency, cleaner processes…) are expected to boom in coming years – EU industry needs to be ready
Estimation of eco-industries come from ECOTEC study for the Commission (2006)
Predictions for World growth come from German Roland&Berger Studies

5. ETAP- A range of measures
 Focus Research
Environmental research, technology platforms
 Green Procurement
Set 50% Private Procurement by 2012
Set 100% Public Procurement by 2020
 Labelling and Top Runner
Eco-label 10%-20% products to meet criteria
After 5 years top performer becomes mandatory
Priority Actions
Focus R&D programmes,Technology platforms
Networks of testing centres
Performance targets for key products
Review of state-aids, harmful subsidies
Green Public Procurement
Awareness-raising, targeted training
Responsible investment in developing countries
Financial instruments to share the risks
Already good results in some fields: R&D programmes (up to 10 bn in FP7), technology platforms, new environment State aid guidelines, new CIP programme including venture capital…
More need to be done on the demand side, focus on key sectors (construction, food and drink, recycling)

6. ETAP- A range of measures (ii)
 Environmental Performance Verification
Credible verification to open up the market
 Mobilise Financing
More public and private sector financing, state aid rule
 Establish Lead Markets
Sustainable Construction
Recycling, Bio-based products…

7. Future… Sustainable Consumption and Production
(IPPC, EuP, ETAP…)
Greening of EU industrial policy
(Action plan proposed for 2008)

8. ETAP Forum on eco-innovation
 Bringing together business and policy
 Exchange experience on good practice
 Identify strategic orientations for the EU
 4th issue on ‘Unlocking global market opportunities’
Welcome the participation of US and Canadian colleagues – their experience should help better understand how existing system works and how to design a cost-efficient system in Europe.
To discuss the different aspects of an EU scheme, three main themes were selected: scope and economics (to be discussed in parallel sessions tomorrow morning) and international aspects (to be discussed in plenary session tomorrow afternoon)

9. Looking for new horizons…
In addition to the Forum, participants are invited to respond to the public consultation (available on-line on the ETAP website). This is the opportunity to give your opinion in more details after the forum.
Recall the foreword of Commissioner Dimas to the Forum brochure: he invites participants to be bold, innovative, forward-looking in their participation. Let’s live up to the challenge!