ABSTRACT
This chapter describes the major European Union (EU) energy policy instruments that address several problems, one of which is achieving a more competitive and secure energy system largely coinciding with those needed to reduce greenhouse gas emissions. Their examination is confined to how they relate to climate policy and the need to reduce emissions. The chapter deals with renewable energy, energy efficiency, and covers the regulations related to the emissions of passenger cars, vans, lorries and ships. It provides an assessment of the current way that the EU produces and consumes energy, and indicates the important role that Member States play in designing policies in this field, in particular when energy security is at stake. The EU Emissions Trading System (ETS) needs a well-functioning electricity market so that competition in dispatch and investment enables a shift to low-carbon generation. EU-level intervention is relevant when it comes to the energy use of products and devices that are traded internationally.
