ABSTRACT
This chapter examines how notions of economic competitiveness feed into the European Union's (EU) climate policies and how this might influence the ability of European businesses to adapt and grow in response to the problem. It begins by providing an overview of the Paris climate agreement and the challenge that its objectives entail. The chapter also examines the role that the EU has played in driving international action on climate change, highlighting the importance of economic competitiveness to the EU's position. It outlines the key policies implemented by the EU in relation to climate change, energy and innovation, identifying points of convergence between all three. The chapter focuses on the energy sector, examining the ways in which the transition to a low-carbon economy will disrupt incumbent businesses and business models. It concludes by assessing the EU's progress in meeting its climate and innovation objectives.
