Post-subsidies – can CO2 tax decarbonise energy system? (1)

16
" #$%& '("' Post-subsidies – can CO 2 tax decarbonise energy systems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ewsletter No.14

Transcript of Post-subsidies – can CO2 tax decarbonise energy system? (1)

!!

! "!!

#$%&!'("'!

!Post-subsidies – can CO2 tax decarbonise energy systems? (I)!!"#$%&'()*#+,#!'(&-.*/'#

!

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

G-56421&+!6/!+$*+,-,&+!@6,%1!16!R&3?2%9!2%-!)@2,%P+!+$44&++.!A>&3&!6%+>63&!A,%-!+$@@8,&+!?63&!1>2%!"DE!6/!@6A&3.!A>,8&!*61>! ?23Q&1+! 2446$%1! /63! S(E! 6/! '(""! ;86*28! +6823! @6A&3<!N&4&%1! +$*+,-,&+! 4$1+! -2?@&%! ,%5&+1?&%1! &%1>$+,2+?.!@231,4$82389!/63!+6823!@6A&3!1>21!&23%+!21!8&2+1!/,5&!1,?&+!/6++,8!/$&8! /63! +,?,823! 6$1@$1<! B%! ?9! ?,%-.! 1>,+! 32,+&+! 2! +1321&;,4!T$&+1,6%U!V>&%!/,3?+!,%5&+1!,%!3&%&A2*8&!&%&3;9.!23&!1>&9!,%!1>&!&%&3;9!*$+,%&++.!63!23&!1>&9!&713241,%;!+$*+,-,&+W!

B%!1>,+!+&3,&+!6/!1A6!@2@&3+.!B!2,?!16!2--3&++!1>&+&!,++$&+U!

"< V>9! +$*+,-,&+! >25&! *&46?&! 0%/-# 12'# /*/! 16!3&%&A2*8&!&%&3;9!-&@869?&%1!

'< V>9!LX'! 127! /,%-+! 6%89! ;3$-;,%;! 244&@12%4&! ,%! +@,1&!6/!,1+!2@@23&%1!+,?@8,4,19!

Y< O6A! 42%! A&! 3&/32?&! 3&%&A2*8&! &%&3;9P+!6@@631$%,1,&+W!

B%!-&28,%;!A,1>!1>&+&!,++$&+.!B!&72?,%&!1>&!&46%6?,4!86;,4!1>21!$%-&3@,%+!1&4>%686;9!4>6,4&+.!2%-!>6A!+$*+,-,&+!2%-! 423*6%! 12721,6%!63!LX'! 127! ,%/8$&%4&!-&4,+,6%0?2Q,%;<! B%! 1>,+! 46%1&71.! +$*+,-,&+! 2@@8,&-!*362-89! 16! ,%48$-&!/&&-0,%!123,//+!2%-!,%4&%1,5&+!23&!46%+,-&3&-!2+!@68,49P+!&7@3&++&-!@3&/&3&%4&!/63!6%&!1&4>%686;9!65&3!2%61>&3<!B%!46%132+1.!LX'!127&+!23&!+&&%!2+!T$2+,0@3,4,%;!/63!1>&!46+1!6/!@688$1,6%<!)&&%!/36?!2!/,3?P+!@&3+@&41,5&.!+$*+,-,&+!63!

!"#$%&'#()"$%*'#+,&$&)"-#

:6+10+$*+,-,&+!Z!42%!LX'!127!-&423*6%,+&!&%&3;9!+9+1&?+W!HBI!$%&'()*#+,#!'(&-.*/'!

L6%%&41,%;!&%&3;9!+6$34&+!16!46%+$?&3+!3-4-(#5%(6"78'((%0#

G41,5,1,&+!

FJLFN)!6%!1>&!N62-!

:$*8,421,6%+!

G%%6$%4&?&%1+!

L6%1241!FJLFN)!

FJLFN)!G-5,+639!M623-!

G4Q%6A8&-;&?&%1+!

!''./#012#3."/#4504#

Newsletter No.14

!

!

F$36@&2%!L&%13&!/63!F%&3;9!2%-!N&+6$34&!)&4$3,19!HFJLFN)I! B++$&!"[!

'!!

#$%&!'("'!

LX'! 127&+! 23&! 2++&++&-! 6%! 1>&,3! ,%/8$&%4&! 6%! &%139! \! &7,1! -&4,+,6%+! 6%! 3&%&A2*8&! &%&3;9.! 2%-! >6A! /6++,8! /$&8+!,%1&3241! A,1>! 3&%&A2*8&! &%&3;9! A,1>,%! ?,7&-! 1&4>%686;,&+! @631/68,6+<! ]63! 1>,+! @$3@6+&.! B! ,%48$-&! >9-36! 2%-!;&61>&3?28! @6A&3! 16! ?2%-21&-! 3&%&A2*8&! &%&3;9! H,<&<! A,%-! 2%-! +6823! @6A&3I! A>&%! 3&/&33,%;! 16! 3&%&A2*8&!&%&3;9<!!!!!!

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

6/"/789:/#/"/;<=#>#8#?.9:&@#<)),#);#8#?);$A):&)#%/,</B#N&%&A2*8&! &%&3;9! ,+! @&34&,5&-! 2+! 2! +64,28! ;66-! A,1>! >,;>! @3,521&! 46+1+<! O&%4&.! 16! 46?@&%+21&! /63! ,1+! 46+1!-,+2-52%12;&!3&821,5&!16!/6++,8!/$&8+.!+$*+,-,&+!23&!_$+1,/,&-<!=>,+!A&8803&>&23+&-!23;$?&%1!,+!-&&@89!&?*&--&-!,%!2!@&34&,5&-! ^;86*28! 46%+&%+$+P! A,1>,%! @68,49! 4,348&+<! =>,+! ,+! ,%! +@,1&! 1>21! &//&41+! 6/! >$?2%! 241,5,1,&+! 6%! 48,?21&!4>2%;&!23&!9&1!16!*&!+4,&%1,/,42889!@365&%<!

=>,+!@68,49!^46%+&%+$+P!,+!@23189!3&+@6%+,*8&!/63!1>&!?,7&-!3&463-!6/!3&%&A2*8&!&%&3;9!2-2@121,6%!*9!/,3?+<!V>&%!@68,49! ?2%,/&+1+! ,1+! @3&/&3&%4&! *9! +&11,%;! T$612+.! +$*+,-,&+! *&46?&! 0%/-# 12'# /*/! 16! 3&%&A2*8&! &%&3;9!-&@869?&%1<!V,1>!+$*+,-,&+!2446$%1,%;!/63!2!-,+@36@631,6%21&!8&5&8!6/!3&1$3%+.!1>&!*2+&+!6/!42@,128!46??,1?&%1+!23&!*8$33&-<!=>$+.!-6!/,3?+!,%5&+1!,%!3&%&A2*8&!&%&3;9!16!-,5&3+,/9!+$@@8,&+.!63!16!&713241!1>&!?27,?$?!+$*+,-,&+W!!

]63! 3&%&A2*8&!&%&3;9! 16!&+12*8,+>! ,1+&8/!2+!2!5,2*8&!&%&3;9!+6$34&.! ,1+!&46%6?,4! 368&!A,1>,%!?,7&-01&4>%686;,&+!&%&3;9! +9+1&?+! ?$+1! *&! *&11&3! $%-&3+166-<! N&%&A2*8&! &%&3;9! ,+! 4>23241&3,+&-! *9! `&36! /$&8! 2%-! 46%+12%1!6@&321,%;!46+1+<!O&%4&.!$%-&3!56821,8&!@3,4&+!2%-!-9%2?,4!?23Q&1+.!3&%&A2*8&!&%&3;9!@365,-&+!@61&%1,28!16!>&-;&!2;2,%+1!3,+,%;!/$&8!@3,4&+.!,?@6+,1,6%!6/!LX'!127.!63!6@1,6%!6%!>,;>&3!@6A&3!@3,4&+<!!!

C.9'&,&/'*#A:87/,#:)<&@#9:.;'#/@)")D&@#E8:./#)$*+,-,&+!46?&! ,%!&++&%1,2889! 1A6!;&%&3,4! /63?+U!],3+1.!2! +$@@89!@$+>!2@@3624>! 1>21! 123;&1+! +$@@631! /63! +@&4,/,4!1&4>%686;,&+.!A,1>!1>&!2,?!6/!@36?61,%;!A,-&!+428&!-&@869?&%1a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

:3,4&!+$@@631!,+!+&1!*9!*362-89!/6886A,%;!2!;3,-!@23,19!86;,4!1>21!&T$28,+&+!46+1+!6/!+$@@89,%;!&%&3;9!/36?!/6++,8!/$&8!2%-!3&%&A2*8&!&%&3;9<!M9! 12Q,%;! 1>&!46+1+!-,//&3&%1,28+.! 1>&!3&T$,3&-! /&&-0,%! 123,//! 42%!*&!+&1<!]63!&72?@8&.! /63!6%+>63&!A,%-!A,1>!2!8,/&!4948&!46+1+!6/!&%&3;9!HbLXF+I!6/!c(<(d\QV>.!46?@23&-!16!2!46?*,%&-!4948&!;2+!1$3*,%&!HLLR=I!46+1!6/!c(<(D\QV>!21!2!;,5&%!/$&8!@3,4&.!1>&!3&T$,3&-!/&&-0,%!123,//!,+!2*6$1!c(<('\QV><!=6!@36?61&!&2389!2-6@1,6%.!46$%13,&+!+$4>!2+!)@2,%!2%-!B3&82%-!@365,-&!2!/,7&-!@3,4&!63!523,2*8&!*2%-!6/!/&&-0,%!123,//+!8&;,+821&-!/63!3&%&A2*8&!&%&3;9<!=>&+&!23&!+&1!21!8&5&8+!+,?,823!16!?9!&72?@8&<!=>,+!?&4>2%,+?!866Q+!+,?@8&!$%1,8!1>&639!?&&1+!?23Q&1!3&28,1,&+<!

=>&!;3,-!@3,4&!@23,19!86;,4!6@&321&+!$%-&3!2!+121,4!/32?&A63Q!*2+&-!6%!^4&312,%19P.!A>&3&!/$&8!@3,4&+!23&!2++$?&-!16!*&!46%+12%1!63!@3&-,412*8&<!O&%4&.!*9!,;%63,%;!/$&8!46+1+!56821,8,19.!1>&!3&T$,3&-!+$*+,-,&+!23&!1>&%!&528$21&-!*9!/,3?+! 2+! 2++$3&-! 3&5&%$&+! A>&%! 4284$821,%;! 1>&,3! &7@&41&-! ,%5&+1?&%1! 3&1$3%+<! B! T$&+1,6%! 1>&! 528,-,19! 6/! 1>,+!4&312,%19!2++$?@1,6%<!B%!3&28,19.!56821,8&!/$&8!46+1+!-&1&3?,%&!1>&!@6A&3!@3,4&+!+&1!*9!LLR=+!,%!-9%2?,4!?23Q&1+!+$4>!2+!)@2,%!2%-!1>&!J%,1&-!e,%;-6?.!1A6!6/!F$36@&P+!?6+1!&+12*8,+>&-!46?@&1,1,5&!@6A&3!?23Q&1+<!G+!2!3&+$81.!@6A&3!@3,4&+!$%-&3!-9%2?,4!?23Q&1+!23&!2%91>,%;!*$1!@3&-,412*8&<!

!

!

F$36@&2%!L&%13&!/63!F%&3;9!2%-!N&+6$34&!)&4$3,19!HFJLFN)I! B++$&!"[!

Y!!

#$%&!'("'!

N&821,5&! 46?@&1,1,5&%&++! +>,/1+! -9%2?,42889! /63! @6A&3! ;&%&321,6%! 1&4>%686;,&+! 2+! ,88$+1321&-! ,%! ],;$3&! "<! B!4284$821&! bLXF+! $+,%;! 1>&! +12%-23-,+&-! -212! /36?! 1>&! F%&3;9! B%/63?21,6%! G-?,%,+1321,6%! HFBGI! ,%! 1>&! J%,1&-!)121&+<!M9!12Q,%;!1>&!-,//&3&%4&+!,%!b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

F&<.;/#0G#6/H.&;/,#?;&@/#'.??);$#>#'$8$&@#E/;'.'#,="8D&@#D8;I/$'#

!J%+$3@3,+,%;89.!21!>,;>&3!/$&8!@3,4&+.!3&%&A2*8&!&%&3;9!@36+@&3+!A>,8&!LLR=!*&46?&+!8&++!2113241,5&!,%!1&3?+!6/!3&821,5&!3&1$3%+<!M9!>25,%;!/,7&-!6@&321,%;!2%-!`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f9!,88$+1321,6%!,%!],;$3&!"!+$@@631+!1>,+!5,&A!/63!3&%&A2*8&!&%&3;9<!

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gD(\**8.!63!gS(\**8!/63!6%+>63&!A,%-<!!

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

!

!

F$36@&2%!L&%13&!/63!F%&3;9!2%-!N&+6$34&!)&4$3,19!HFJLFN)I! B++$&!"[!

[!!

#$%&!'("'!

=>&3&!2@@&23+! 16!*&! 3&46;%,1,6%! /36?!3&+&234>&3+"!1>21!A>,8&!F$36@&!*362-89! /6886A+!2!+$@@89!@$+>!+1321&;9! 16!+$*+,-,&+.!-&@869?&%1!6$146?&+!23&!523,&-<! B%!&//&41.!R&3?2%9!2%-!)@2,%P+!+$44&++!2@@&23!16!*&!2%!&74&@1,6%!321>&3!1>2%!1>&!3$8&<!=6!1>,+!46%$%-3$?.!B!6//&3!2!^43&-,10A631>,%&++P!@23288&8!2+!2!/&2+,*8&!&7@82%21,6%<!

V>,8&!3&;$821639!2++&++?&%1!,%!/,%2%4,%;!,+!%61!2+!A&88!-&5&86@&-!2+!43&-,1!321,%;+.!2!+,?,823! 86;,4! 46$8-! *&! 2@@8,&-<! e%6A%! /63! 1>&,3! 3&+@&41! /63! 46%13241$28! ,%1&;3,19.!R&3?2%9!2%-!)@2,%P+! 3&463-!21! +$+12,%,%;! 3&;$821639!@3&-,412*,8,19!&%46$32;&! /,3?+!16!3&89!6%!1>&,3!8&;,+821,6%!16!,%/63?!1>&,3!42@,128!-&4,+,6%+<!O&%4&.!/63!1>&!^3,;>1P!8&5&8!6/!+$*+,-,&+.!42@,128!42%!*&!46??,11&-<!J%/631$%21&89.! /63! 8&++!&+12*8,+>&-!?23Q&1+.!$%4&312,%19! 132%+821&+! ,%16! >,;>&3! 3&T$,3&-! +$*+,-,&+! 16! 46?@&%+21&! /63! +6?&!@&34&,5&-!3,+Q+!1>21!23&!$%T$2%1,/,2*8&<!!

]6886A,%;!1>,+!@3&?,+&.!/,3?+!2-_$+1!/63!+6?&!+$*_&41,5&!_$-;?&%1!6%!1>&!@36*2*,8,19!2+! 16!>6A! 86%;!2! +$*+,-,&+! 3&;,?&!46$8-! 82+1! ,%! ,1+!Q%6A%! /63?<!=>,+! ,%/8$&%4&+! 1>&!@3&/&3&%4&! /63! 2%! &238,&3! 3&465&39! 6/! +$*+,-,&+! 1>21! /256$3+!/36%10&%-! @29?&%1+! H,<&<! ,%! 1>&! /,3+1! /&A! 9&23+I! 1>&! ?63&!$%4&312,%!1>&!3&;$821639!3&;,?&!,+!_$-;&-!16!*&<!!!

=>&! &+12*8,+>&-! @3&?,+&.! >6A&5&3.! A2+! 1$3%&-! $@+,-&! -6A%!A>&%! R&3?2%9! 2%-! )@2,%! 4$1! +$*+,-,&+! 16! 3&%&A2*8&! &%&3;9<!V>,8&! %61! 3&%&;,%;! 6%! 1>&,3! @3,63! 46??,1?&%1+.! 1>&,3! 241,6%+!+,;%288&-!2!4>2%;&!,%!46$3+&<!G+!2!3&+$81.!/,%2%4,&3+!1>21!1>6$;>1!+6823! @6A&3! ,%! 1>&+&! 46$%13,&+! ,+! 2! +2/&! >25&%! 16! ?,%1! 42+>!A,1>6$1! 3,+Q+! A&3&! 3$-&89! 2A2Q&%&-<! :3,%1,%;! 4688&41,6%!-&?2%-+!/63!$%@2,-!+$*+,-,&+!23&!2*6$1!1>&!486+&+1!1>&9!23&!16!?2Q,%;!2!?,%1<!!

B%!1>&!+&46%-!@231!6/!1>,+!@2@&3.!B!A,88!&7@863&!+,1$21,6%+!A>&3&!+$*+,-,&+!23&!?,+2@@8,&-!2%-!1>&,3!46%+&T$&%4&+!16!@68,49!2%-!/,3?+P!+1321&;9<!=>,+!,+!/6886A&-!*9!2%!2++&++?&%1!6/!LX'!127!2+!2%! 281&3%21,5&! 16! +$*+,-,&+! ,%! +@$33,%;! 3&%&A2*8&! &%&3;9!2-2@121,6%!*9!/,3?+.!,1+!&//&41+!6%!1&4>%686;,428!,%%6521,6%!2%-.!@61&%1,2889.!,1+!-,+3$@1,5&!&//&41+!6%!/,3?+P!+1321&;,4!@6+,1,6%,%;<!

!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!"!F72?@8&+!23&!G%,8!f23Q2%-92!2%-! 1&2?!21!]6%-2`,6%&!FKB!F%3,46!f211&,! H'("(Ia!V,88,2?!f!b2//&319!2%-!G$-$%!N$$-!6/!J%,5&3+,19!6/!X+86! H'((SIa!h,3Q!Gi?2%%!6/!1>&!R&3?2%!=&4>%,428!L66@&321,6%#H'((jIa!2%-!K<!F%`&%+*&3;&3!2%-!1&2?P+!A63Q!6%!3&%&A2*8&!&%&3;9P+!+$@@631!?&4>2%,+?+!H"CSCI<!

N,423-6! M234&86%2! ,+! f2%2;,%;! h,3&4163! 6/!M234,%6! Lk@,12+! b,?,1&-<! O&! ,+! 2%! &7@&31!2-5,+63! /63! +&%,63! &7&4$1,5&+.! *$+,%&++!&%13&@3&%&$3+!2%-!/,%2%4,&3+!6%!2!*362-!32%;&!6/! *$+,%&++! ,++$&+.! A,1>! /64$+! 6%! &%&3;9.!,%/32+13$41$3&+!2%-!/,%2%4,%;<! !X5&3!1>&!9&23+.!>&! *$,81! >,+! &7@&31,+&! ;86*2889! ,%! ,%5&+1?&%1!*2%Q,%;!2%-!1>&!6,8!2%-!;2+!,%-$+139!,%!23&2+!6/!/,%2%4,%;! 8,T$&/,&-!%21$328! ;2+! HbKRI! @36_&41+.!@3,521,`21,6%.! 463@6321&! 3&+13$41$3,%;.! &%&3;9!3&;$821,6%.! 46?@2%9! 528$21,6%.! ?&3;&3+! l!24T$,+,1,6%+.!2%-!42@,128!?23Q&1+<!O&!>68-+!2%!fMG! /36?! BF)F! M$+,%&++! )4>668! 2%-! ,+!4$33&%189! 2! :>h! 42%-,-21&! 21! e,%;P+! L688&;&!b6%-6%<!

!

!

F$36@&2%!L&%13&!/63!F%&3;9!2%-!N&+6$34&!)&4$3,19!HFJLFN)I! B++$&!"[!

D!!

#$%&!'("'!

Connecting energy sources to consumers: Why European governments’ main priority for energy policy should be to

create a continent wide super grid. !"#3-4-(#5%(6"78'((%0#

!

=>&!%&&-! /63!2!46%1,%&%1!A,-&!+$@&3!;3,-! 16!+$@@89!+&4$3&!&%&3;9! 16! 1>&!4,1,`&%+!6/! 1>&!F$36@&2%!J%,6%! ,+! /2+1!2@@3624>,%;! 43,1,428! ?2++! ,%! 1&3?+! 6/! &7@&-,&%49.! 2//63-2*,8,19! 2%-! 8&;,1,?249<! h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

! =>&! ?2_63! 46%4&3%! A,1>! 3&@824,%;! /6++,8! /$&8+! A,1>! 3&%&A2*8&+! ,+! 1>&! -,+@&3+&-! %21$3&! 6/! 3&%&A2*8&!&%&3;9!+6$34&+!2+!@6@$821,6%!4&%13&+! 1&%-! 16!*&!-,+12%1! /36?!A>&3&!+6$34&+! +$4>!2+!A,%-.!;&61>&3?28.!>9-360&8&413,4!2%-!*,6?2++!23&!86421&-<!B%!63-&3!16!+685&!1>,+!@36*8&?!2%-!+@$3!,%5&+1?&%1!,%!1>&+&!+6$34&+!6/!&%&3;9!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!'!>11@U\\AAA</3,&%-+6/1>&+$@&3;3,-<&$\!

!

!

F$36@&2%!L&%13&!/63!F%&3;9!2%-!N&+6$34&!)&4$3,19!HFJLFN)I! B++$&!"[!

j!!

#$%&!'("'!

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

! M$1!A>9!,+!,1!1>21!6%89!;65&3%?&%1+!42%!3&+685&!1>,+!@36*8&?W!X/!1>&!?2%9!3&2+6%+!/63!1>,+!1>&!6%&!1>21!+12%-+!6$1!,+!1>&!,++$&!6/!+65&3&,;%19.!1>21!1>&!@36@6+&-!;3,-!A,88!&%46?@2++!288!'d!FJ!?&?*&3!+121&+!2+!A&88!2+!%6%0FJ! +121&+! +$4>! 2+! B4&82%-.! K63A29.! )A,1`&382%-.! f636446.! G8;&3,2! 2%-! =$%,+,2<! =>&! 4$33&%1! ,%+1,1$1,6%28!42@2*,8,1,&+!6/!1>&!FJ!?2,%!@68,1,428!*6-,&+!&%+$3&+!1>21!1>&3&! ,+!283&2-9!,%!@824&!2!+13$41$3&!1>21!42%!2$1>63,+&.!/$%-! 2%-! 3&;$821&! 1>&! 46%+13$41,6%! 2%-! 6@&321,6%! 6/! +$4>! 2%! 2?*,1,6$+! @36_&41.! 9&1! 1>&! &71&3%28! 2+@&41! A,88!3&T$,3&!-,@86?249!2+!A&88!2+!8&;,+821,6%<!B1! ,+!*24Q!,%!'((j!1>21!1>&!/,3+1!-,3&41,5&!6%!$@-21,%;!2%-!,?@365,%;!1>&!FJP+!&%&3;9!,%/32+13$41$3&!A2+!3&8&2+&-Y!1>&3&*9!>,;>8,;>1,%;!1>21!1>,+!@82%!@3&-21&-!1>&!FJP+!'(U'(U'(!-,3&41,5&!/63!?,1,;21,%;!48,?21&!4>2%;&!A>,4>!A2+!3&8&2+&-!1>&!/6886A,%;!9&23<[!B%!'("(!1>&!3$8&+!A&3&! /,%28,+&-! ,%!2!%&A!3&;$821639! /32?&A63Q! 1>21! 211&?@1&-! 16! 3&+685&! 1>&! @82%%,%;! 2%-! /,%2%4,%;! 46%4&3%+! 1>21! 1>&! %&A! @68,1,4+! 6/!2$+1&3,19!>2-!43&21&-<D!

=>&!,-&2!/63!1>,+!@,&4&!46?&+!2*6$1!2!@231!6/!2!@36*8&?!+685,%;!&7&34,+&!B!>25&!*&&%!3$%%,%;!/63!1>&!82+1!9&23! ,%16!A>21!*864Q2;&+!&7,+1! /63! 1>&!F$36@&2%!&%&3;9!?23Q&1! 16! +>,/1! &%!?2++&!2A29!/36?!/6++,8! /$&8+! H+121,4!&%&3;9! ,%/32+13$41$3&!A>,4>! ,+! ,%!%&&-!6/!3&@2,3I! 16A23-+!2!48&2%!&%&3;9! ;3,-! -&+,;%&-! 236$%-! &8&413,/,421,6%! 2%-! 8642889! @36-$4&-! /63?+! 6/! /$&8! +$4>! 2+!*,6/$&8+! 2%-! *,6?2++<! f9! ,%,1,28! 46%48$+,6%! >2+! *&&%! 1>21! 1>&! 46+1+! 6/! ,%5&+1,%;! ,%!3&%&A2*8&+!23&!@$11,%;!?2%9!,%5&+163+!6//!$+$2889!2+!1>&3&!23&!28+6!46%%&41,5,19!@36*8&?+!2%-!8,?,1&-!244&++!16!1>&!&%&3;9!?23Q&1<!G--&-!16!1>,+!,+!1>&!4$33&%1!/,721,6%!6%!+A,14>,%;!/36?! 4628! 16! %21$328! ;2+.! A>,4>! ,+! 2%! &7132! +T$&&`&! 6%! 1>&! /,%,1&! /$%-+! 1>21! 46$8-!61>&3A,+&! ;6! 16! /$%-,%;! 3&%&A2*8&+<! =>&! +$@&30;3,-! A,88! >&8@! 16! 3&+685&! 1>&! /,3+1! 1A6!46%48$+,6%+! 6/! ?,%&! 2%-! A>&%! +6823.! A,%-! 2%-! 61>&3! 3&%&A2*8&+! *&46?&! ?63&!A,-&+@3&2-! 2%-! 1>&3&/63&!?63&! 46?@&1,1,5&!A,1>! /6++,8! /$&8+! 1>&%!A&! 42%! 82*&8! %21$328!;2+!2+!2!132%+,1,6%!/$&8!2A29!/36?!4628!2%-!>&8@,%;!16!*3,-;&!1>&!;2@!16!2!48&2%!&%&3;9!FJ!*9!?,-04&%1$39<!!

!F%&3;9!46?@2%,&+!23&!$%8,Q&89!16!@29!/63!2!+9+1&?!A>,4>!A6$8-!+&%-! ,%1&3?,11&%1!A,%-!@6A&3! /36?!1>&!K631>!)&2!16!4,1,&+! ,%!K631>&3%!F$36@&! *$1! ;65&3%?&%1+! ?,;>1! +&&! 1>&! @6++,*,8,19! 6/! *66+1,%;!&?@869?&%1! 8&5&8+!2+!A&88!2+! 3&-$4,%;!&%&3;9! ,?@631+!2%-!;3&&%>6$+&!;2+! &?,++,6%+<! :82%+! $%-&3A29! /63! h&+&31&4! ,%! 1>&! )2>232! 2%-! 2! %&A!&8&413,4,19! 42*8&! 46%%&41,%;! B4&82%-! 16! 1>&! Je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

!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!Y!FJ!F%&3;9!)&4$3,19!2%-!)68,-23,19!G41,6%!:82%U!'%-!)1321&;,4!F%&3;9!N&5,&A!>11@U\\&$36@2<&$\32@,-\@3&++N&8&2+&+G41,6%<-6W3&/&3&%4&mfFfX\(S\d(Yl/63?21mO=fbl2;&-m(l82%;$2;&mFKl;$,b2%;$2;&m&%![!F$36@&2%!J%,6%!'('(!)1321&;9!>11@U\\&$308&7<&$36@2<&$\b&7J3,)&35\b&7J3,)&35<-6W$3,mLFbFnUD'("(hL(jYCUFKUO=fbUKX=!D!N&;$821,6%!HFJI!K6!"''d\'(""!6/!1>&!F$36@&2%!:238,2?&%1!

:&1&3!e,3*90O233,+!,+!2!h6416328!N&+&234>&3!,%!1>&!)4>668!6/!:68,1,4+!2%-!B%1&3%21,6%28!N&821,6%+!21!o$&&%!f239!L688&;&.!J%,5&3+,19!b6%-6%.!2%-!2++64,21&!6/!1>&!R3&&%!F46%6?,4+!B%+1,1$1&!X7/63-<!O&!>2+!A3,11&%!&71&%+,5&89!6%!F%5,36%?&%128!2%-!&%&3;9!@68,1,4+.!A,1>!2!@231,4$823!/64$+!6%!B%1&3%21,6%28!F%5,36%?&%128!G;3&&?&%1+!,%!3&;23-+!16!L8,?21&!L>2%;&.!F4686;,428!F46%6?,4+.!M,603&;,6%28,+?.!F%5,36%?&%128!?65&?&%1+.!2+!A&88!2+!1>&!@68,1,4+!6/!1>&!F$36@&2%!J%,6%<!

!

!

F$36@&2%!L&%13&!/63!F%&3;9!2%-!N&+6$34&!)&4$3,19!HFJLFN)I! B++$&!"[!

d!!

#$%&!'("'!

+JK+6C#LKM!N!M!+C#F).;$%#8",#F&A$%#+"/;<=#6).",$89:/'##

(8=-#O;//"#+"/;<=#>#O;//"#P.'&"/''#&"#+.;)?/#8",##On 23rd May and 13th June 2012, the European Centre for Energy and Resource Security (EUCERS), along with the European Commission Representation in the UK and the Konrad Adenuaer Foundation in London, and in cooperation with the Centre for European Studies, hosted the fourth and fifth of a series of six roundtable discussions on European security topics.

The fourth Roundtable, titled ‘Green Energy – Green Business in Europe’, reunited keynote speakers Mechthild Wörsdörfer, Head of Unit for Energy Policy and Monitoring of Electricity, DG Energy, European Commission and Humphrey Douglas, Partner at SNR Denton.

After the welcome address by Professor Dr Friedbert Pflüger, Director of EUCERS, Dominic Brett, Senior Political Officer, EU Commission Representation in the UK and Claudia Crawford, Director of the Konrad Adenauer Foundation’s London office, Ms Wörsdörfer gave a European perspective on Green Energy in Europe in reference to the 20/20/20 European Union targets. Later on, Mr Douglas offered a British perspective on feed-in tariffs (FITs), the electricity market reform and green employment contracts in the UK to conclude that the engagement of the workforce in relevant for energy efficiency in times of economic downturn.

The roundtable discussion also included the presentation of the paper ‘Green Energy – Green Business: New Financial and Policy Instruments for Sustainable Growth in the EU’ by Arash Duero and Sadu-Daniel Kopp, supported by EUCERS and the Centre for European Studies. The paper analyses the EU’s policy on renewable energy and propose the mobilisation of private investment capital as the means to ensure the sustainable growth of the eco-industry in the European Union.

!

!

F$36@&2%!L&%13&!/63!F%&3;9!2%-!N&+6$34&!)&4$3,19!HFJLFN)I! B++$&!"[!

S!!

#$%&!'("'!

3."/-#M%/#C).$%/;"#O8'#K);;&,);#8$#$%/#Q)D/#C$;/$@%#The fifth Energy Roundtable was an active and interesting discussion that reunited Jean-Arnold Vinois, Director of the internal energy market, DG Energy, European Commission, Kjetil Tungland, Managing Director of the Trans Adriatic Pipeline Project and John T Baldwin, Political Adviser at BP plc UK.

After the welcome address by Prof Pflüger and Claudia Crawford, Mr Vinois gave a presentation on ‘Natural Gas in the EU and the Role of the Southern Gas Corridor’, which highlighted the benefits the EU perceives in the diversification of export routes for gas producers. Later on, Mr Tungland presented TAP’s perspective on the cost-benefit advantages of opening the Southern Corridor and Mr Baldwin offered BP’s perspective on the regional role of the Shah Deniz natural gas field.

The panel presentations were followed by comments by experts, including Mathew Hulbert of the Clingendael Netherlands Institute of International Relations; Gulmira Rzayeva, Center for Strategic Studies in Azerbaijan; Heiko Ammerman from Roland Berger Strategy Consultants GmbH; Jonathan Peel, President of the WTO and International Trade Permanent Study of the European Economic & Social Committee; Dorian Ducka, Director of European Integration and International Projects, Ministry of Economy, Trade and Energy of Albania; and Dr Frank Umbach, Associate Director at EUCERS. These remarks were enriched by the comments and active engagement of the audience during an interesting Q&A session.

We would like to thank the attendees and participants in these interesting discussions and we look forward to more on these and other energy topics at our next roundtables. !

!

!

!

!

!

F$36@&2%!L&%13&!/63!F%&3;9!2%-!N&+6$34&!)&4$3,19!HFJLFN)I! B++$&!"[!

C!!

#$%&!'("'!

+JK+6C#RS#MQ+#6RLT#X$3!1&2?!3&@3&+&%1+!FJLFN)!21!523,6$+!46%/&3&%4&+!2%-!&5&%1+!288!65&3!1>&!A638-<!=>,+!+&41,6%!;,5&+!2!3&;$823! $@-21&! 2%-! 65&35,&A! 6/! 46%/&3&%4&+! 2%-! 46%13,*$1,6%+! *9! FJLFN)! h,3&4163! :36/&++63! h3!]3,&-*&31!:/8p;&3.!G++64,21&!h,3&4163!h3!]32%Q!J?*24>.!N&+&234>!h,3&4163!h3!:&132!h68212!2%-!N&+&234>!G++64,21&!f27,?,8,2%!e$>%<!

O2%65&3.!R&3?2%9! G@3,8!'D1>.!'("'!

]3,&-*&31!4>2,3&-!1>&!&%&34,19!&%&3;9!-,286;$&!6/!q)12-1A&3Q&!O2%%65&3q!H:$*8,4!)&35,4&+!,%!O2%65&3I!A,1>!:36/<!)4>&88%>$*&3!H:BeI!2%-!:36/<!M&11`p;&!HFVBI<!

M&38,%.!R&3?2%9! f29!'%-.!'("'! ]3,&-*&31!A2+!,%1&35,&A&-!*9!GNh!HR&3?2%!"<!=r!+121,6%I!6%!G`&3*2,_2%!&%&3;9!+&4$3,19<!

r,&%%2.!G$+13,2! f29![1>.!'("'!

]32%Q!;25&!1>&!@3&+&%121,6%!^R&6+1321&;,4!N&821,6%+!*&1A&&%!L>,%20J)G0F$36@2!/63!N2A!f21&3,28!)&4$3,19P!,%!1>&!+&3,&+!^F46%6?9!,%!=32%+,1,6%P.!]&-&328!f,%,+139!/63!F46%6?9.!]2?,89!2%-!s6$1><!

B+12%*$8.!=$3Q&9! f29![1>.!'("'!

=>&!B%1&3%21,6%28!F%&3;9!G;&%49!A,1>!1>&!+$@@631!6/!1>&!=$3Q,+>!f,%,+139!6/!F%&3;9!2%-!K21$328!N&+6$34&+!>68-!1>&,3!A63Q+>6@!/63!1>&!F%&3;9!X$1866Q!'("Y!,%!B+12%*$8!1>,+!9&23!A,1>!2!/64$+!6%!B32T<!]3,&-*&31!@3&+&%1&-!21!1>&!A63Q+>6@.!A>,4>!2,?&-!21!+&&Q,%;!,%+,;>1+!2%-!,%/63?21,6%!/36?!>,;>08&5&8!&7@&31+!,%!,%-$+139.!@68,49?2Q,%;!2%-!61>&3!3&8&52%1!+12Q&>68-&3+!,%!523,6$+!@231+!6/!1>&!A638-!16!&74>2%;&!5,&A+!6%!B32T,!&%&3;9!@&3+@&41,5&+<!

]32%Q/$31!2?!f2,%.!R&3?2%9! f29!"(1>.!'("'!

]32%Q!@3&+&%1&-!6%!^+-(<'/"D0#;/-(@"#E2(/'(*2/)#'/)#3*.%&%-0F#G'4%*/'.#C-(020#;2(*9-'/#'/)#+.*6'.#H%<-/0%*/0P!21!1>&!+&46%-!2%%$28!46%/&3&%4&!^EA-#I/0-&2(-#J4'4-,#I<9'&40#*?#4A-#KA'/@-#*?#J-&2(%4"#K2.42(-P.!#6>2%%!V68/;2%;0R6&1>&0J%,5&3+,1t1!]32%Q/$31<!

e216A,4&.!:682%-! f29!"D1>.!'("'!

=>&!FFL!e216A,4&!63;2%,+&-!2!8,5&!-&*21&!6%!&%&3;9!,++$&+!,%!L&%1328!F$36@&<!=rK!LKML!,%!:682%-!3&463-&-!1>&!-&*21&.!A>&3&!]3,&-*&31!46%13,*$1&-!A,1>!2!5,&A!6%!^L&%1328!F$36@&!Z!

!

!

F$36@&2%!L&%13&!/63!F%&3;9!2%-!N&+6$34&!)&4$3,19!HFJLFN)I! B++$&!"[!

"(!!

#$%&!'("'!

)1321&;,4!F%&3;9!)&4$3,19!L>288&%;&+P<!

e216A,4&.!:682%-! f29!"j1>.!'("'!

]3,&-*&31!166Q!@231!,%!2!@2%&8!A,1>!L&%1328!2%-!F2+1&3%!F$36@&2%!F%&3;9!F7@&31+.!,%48$-,%;!1>&!h&@$19!f,%,+1&3!6/!1>&!L`&4>!N&@$*8,4!2%-!:682%-!2%-!/63?&3!FJ0:238,2?&%1!:3&+,-&%1!M$`&Q<!

M&38,%.!R&3?2%9! '"+1!Z!''%-!f29!'("'!

f27,?,8,2%!211&%-&-!1>&!F$36@&2%!b&2-&3+P!)$??,1!6%!J%46%5&%1,6%28!R2+!f23Q&1!)4&%23,6+<!

),%;2@63&.!),%;2@63&! f29!'[1>.!'("'!

]32%Q!@3&+&%1&-#:EA-#L/&*/C-/4%*/'.#+'0#$-C*.24%*/##'/)#4A-#3-(09-&4%C-0#?*(#;2(*9-#'/)#M0%'D#21!1>&#G+,2%0F$36@&2%0L6%/&3&%4&U!^E('/0%4%*/%/@#N(*<#N*00%.#N2-.0OF#;2(*9-#'/)#M0%'/#3-(09-&4%C-0P.!63;2%,+&-!*9!1>&!F%&3;9!!)1$-,&+!B%+1,1$1&!21!1>&!K21,6%28!J%,5&3+,19!6/!),%;2@63&!HKJ)I<!

M&38,%.!R&3?2%9! f29!'D1>.!'("'!]3,&-*&31!?6-&321&-!1>&!M:!]63$?!6%!^K21$328!R2+!/36?!G`&3*2,_2%P!A>,4>!,%48$-&-!2!Q&9%61&!*9!B2,%!L6%%!HM:I!2%-!f,4>2&8!eu>8&3!HFJI<!

M2Q$.!G`&3*2,_2%! j1>!Z!d1>!#$%&.!'("'!

f27,?,8,2%!211&%-&-!1>&!"C1>!B%1&3%21,6%28!L2+@,2%!X,8!l!R2+!F7>,*,1,6%!2%-!L6%/&3&%4&!B%463@6321,%;!N&/,%,%;!2%-!:&1364>&?,428+.!A,1>!>,;>0@36/,8&!3&;,6%28!&%&3;9!8&2-&3+<!

!

!

#

#

#

#

#

#

#

N(%-)6-(4#3?.P@-(#'4#4A-#=*(>0A*9#?*(#4A-#;/-(@"#Q24.**>#RSTU#%/#I04'/62.#4A%0#"-'(#=%4A#'#?*&20#*/#I('1#

!

!

F$36@&2%!L&%13&!/63!F%&3;9!2%-!N&+6$34&!)&4$3,19!HFJLFN)I! B++$&!"[!

""!!

#$%&!'("'!

#

#

#

#

UJPV!KLM!RSC#]3,&-*&31P+!?6+1!3&4&%1!@$*8,421,6%U!

! ^]63! B1289! ,1v+! =G:! 63! *&,%;! 8&/1! 6$1! ,%! 1>&! 468-P.! F$36@&2%! F%&3;9! N&5,&A.! Y"! f29! '("'.!>11@U\\&$36@&2%&%&3;93&5,&A<&$\+,1&\@2;,%2<@>@W,-mYd"d!!

]32%QP+!3&4&%1!@$*8,421,6%+!2%-!,%1&35,&A+U!

! wxyz{x|}~�!ÄÅz~ÇyÉ! Ñ{Å{W! H^R86*28!R2+!f23Q&1PWI.! ,%U!R86*28!G//2,3+! Hf6+46AI.!f29!'("'! H,%!N$++,2%I.! H>11@U\\AAA<;86*282//2,3+<3$\@3,%1\%$?*&3\R86*28%9,0,`*916Q0;2`20"DD[YIa! 1>&! F%;8,+>!5&3+,6%!,+!/631>46?,%;!,%!1>&!%&71!A&&Q+<!

! B%1&35,&AU!^f,88,6%!#6*+!G3&!h&@&%-&%1!6%!N23&!F231>+P.!,%U!V,31+4>2/1+*8211!Hr,&%%2.!G$+13,2I.!"[!f29!'("'.!@<!"[<!

! ^F$36@&2%! F%&3;9U! R6,%;! /63! 1>&! FT$,821&328! =3,2%;8&P.! K21$328! R2+! F$36@&.! Y! f29! '("'!H>11@U\\AAA<%21$328;2+&$36@&<46?\&$36@&2%0&%&3;9013,2%;8&I!

! ^]24,%;!$@!1>&!L>288&%;&+U!J%46%5&%1,6%28!R2+!B%-$+139!,%!F$36@&P.!K21$328!R2+!F$36@&.!"S!G@3,8!'("'!H>11@U\\AAA<%21$328;2+&$36@&<46?\$%46%5&%1,6%280;2+0&$36@&0@36;3&++I<!

!

N('/># '4# 4A-! M0%'/7;2(*9-'/7K*/?-(-/&-F# VE('/0%4%*/%/@# N(*<#N*00%.# N2-.0OF# ;2(*9-# '/)# M0%'/#3-(09-&4%C-0WB# *(@'/%X-)# 6"# 4A-#;/-(@"## J42)%-0# I/04%424-# '4# 4A-#G'4%*/'.# L/%C-(0%4"# *?# J%/@'9*(-#YGLJZB#J%/@'9*(-,#

!

!

F$36@&2%!L&%13&!/63!F%&3;9!2%-!N&+6$34&!)&4$3,19!HFJLFN)I! B++$&!"[!

"'!!

#$%&!'("'!

+JK+6C#LSSRJSK+(+SMC#

#EA-#;2(*9-'/#K-/4(-#?*(#;/-(@"#'/)#$-0*2(&-#J-&2(%4"#Y;LK;$JZ#&*()%'.."#%/C%4-0#"*2#4*#4A-#?*2(4A#*?#'#0-(%-0#*?#0%[#(*2/)4'6.-#)%0&200%*/0#*/#;2(*9-'/#-/-(@"#0-&2(%4"#4*9%&0#&*7A*04-)#6"#4A-#;2(*9-'/#

K*<<%00%*/#$-9(-0-/4'4%*/#%/#4A-#L5#'/)#5*/(')#M)-/'2-(#N*2/)'4%*/#%/#\*/)*/#'/)#%/#&**9-('4%*/#=%4A#4A-#K-/4(-#?*(#;2(*9-'/#J42)%-0#

#

+J@/;'#+"/;<=#M8:I'-!!M%/#F.$.;/#)A#K:/8"#K)8:#M/@%"):)<&/'#8",#KKC#&"#$%/#+J#8",#

JCL#1#3.:=#45042#0WG55#>#0XGW5#

Y&"<*'#K)::/</#V)",)"2#C$;8",#K8D?.'2#V)",)"#ZK46#4VC#!V,1>!Q&9%61&+!*9!Y8&#M.::&.'.!LL)!@68,49!4663-,%2163!21!1>&!hR!F%&3;9.!FJ!L6??,++,6%

2%-!3)%"#V=D8".!h,3&4163!6/!F%&3;9!:36;32??&.!G182%1,4!L6$%4,8

=>&!&5&%1!A,88!28+6!,%48$-&!2!3&@631!82$%4>!*9 U8D/:8#M)D'I,.!)&%,63!]&886A!F%&3;9!2%-!F%5,36%?&%1!:36;32?.!G182%1,4!L6$%4,8!6/!1>&!J<)<!2%-!F;8"I#JD98@%.!G++64,21&!h,3&4163.!

FJLFN)<

)@&2Q&3+!,%48$-& V//#Q8@I/$$.!G8+16?!Je

38".'[#V.I'.!LFX!L&%1328!F$36@&!F%&3;9!:231%&3+a 38".'[#6/&$/;.!:3&+,-&%1.!L&%1&3!/63!B%1&3%21,6%28!N&821,6%+!V23+2A<

=>&!A63Q+>6@!A,88!*&!/6886A&-!*9!2!3&4&@1,6%<!

!E*#'44-/)#9.-'0-#(-@%04-(#=%4A#;LK;$J#*/#"#"!$%&%!'('##*(#-<'%.#)*+,-*./0/012*30+45)-.*).35!

!!

!

!

F$36@&2%!L&%13&!/63!F%&3;9!2%-!N&+6$34&!)&4$3,19!HFJLFN)I! B++$&!"[!

"Y!!

#$%&!'("'!

+JK+6C##+\/@.$&E/#+"/;<=#C/D&"8;#4504#

]K%8"</'#8",#K%8::/"</'#&"#!"$/;"8$&)"8:#+"/;<=#(8;I/$'*#

#M$,8-,%;! 2! +136%;! /6$%-21,6%! 2%-! ,%5&+1,%;! ,%! 1>&! %&71! ;&%&321,6%! 6/! &7&4$1,5&+! ,+! 2! 43$4,28! 12+Q! /63!&%&3;9!46?@2%,&+!16!&%+$3&!86%;01&3?!46?@&1,1,5&%&++!,%!2!32@,-89!4>2%;,%;!?23Q&1!&%5,36%?&%1<!!

=6! 46%13,*$1&! 16! +$4>! 2%! $%-&3+12%-,%;.! 1>&! F$36@&2%! L&%13&! /63! F%&3;9! 2%-! N&+6$34&! )&4$3,19.! ,%!466@&321,6%!A,1>!e,%;P+!:36/&++,6%28!2%-!F7&4$1,5&!h&5&86@?&%1! He:FhI.!>2+!-&5&86@&-!1>&!F7&4$1,5&!F%&3;9!)&?,%23!HFF)I<!=>&!@36;32?.!1,18&-!ÖL>2%;&+!2%-!L>288&%;&+!,%!B%1&3%21,6%28!F%&3;9!f23Q&1+Ü.!,+!;&23&-!16A23-+!96$%;!&7&4$1,5&+!,%!1>&!&%&3;9!,%-$+139.!*61>!6%!1>&!+1321&;,4!2%-!6@&321,6%28!8&5&8+<!!

B%!46%_$%41,6%!A,1>!2!+&8&41!;36$@!6/!&%&3;9!&7@&31+.!@231,4,@2%1+!A,88!>25&!1>&!6@@631$%,19!16!&7@863&!1>&! 4&%1328! ,++$&+! 2//&41,%;! &%&3;9! 46?@2%,&+! 16-29! ,%48$-,%;! ;&6@68,1,4+\;&60&46%6?,4+.! 3,+Q!?2%2;&?&%1! 2%-! 2%289+,+.! &?&3;,%;! ;86*28! +$@@89\-&?2%-! 4&%13&+.! 1&4>%686;,428! -&5&86@?&%1+.!&5685,%;! &%&3;9!?23Q&1+! 2%-! @3,4,%;!?&4>2%,+?+.! -,//&3&%1!?6-&+! 6/! ;65&3%2%4&.! 2%-! 1>&! ,?@241! 6/!;86*28!48,?21&!4>2%;&!@68,4,&+!6%!523,6$+!+6$34&+!6/!&%&3;9<!

#

U8;$&@&?8"$'-##

• B-&28! +&?,%23! @231,4,@2%1+! 23&! 96$%;! &7&4$1,5&+! /36?! 46?@2%,&+! 1>21! 23&! &%;2;&-! ,%! 1>&!&7@86321,6%.!/,%2%4,%;.!-&5&86@?&%1.!?2%2;&?&%1!2%-!-&8,5&39!6/!&%&3;9!+6$34&+.!@36_&41+.!2%-!+&35,4&+!HM&1A&&%!"D0'(!@231,4,@2%1+I<#

#

T8$/#8",#:)@8$&)"-##

• 4^X#3.:=#4504.!e,%;P+!L688&;&!b6%-6%.!)132%-!L2?@$+<!!

F//'-##

• RM:!j.C((!H=A6!@231,4,@2%1+!/36?!1>&!+2?&!46?@2%9!&24>!3&4&,5&!2!-,+46$%1!6/!RM:!".(((I!• =>&!@36;32?!/&&!465&3+!1$,1,6%.!?21&3,28+.!2446??6-21,6%+.!*3&2Q/2+1!2%-!8$%4>.!1A6!-,%%&3+.!2!

?2_63! 4$81$328! &5&%1! H?$+,428I.! 2! =>2?&+! 43$,+&.! 2! 13,@! 16! 1>&! b6%-6%! F9&.! 2%-! 2%! 6//,4,28!4&31,/,421&!6/!46?@8&1,6%!/36?!e,%;P+!L688&;&!b6%-6%<!

• :29?&%1U!]$88!/&&!@292*8&![!A&&Q+!,%!2-52%4&!6/!@36;32??&!+1231!!EA%0#0-<%/'(#=%..#9(*C%)-#4A-#/-[4#@-/-('4%*/#*?#"*2/@#-[-&24%C-0#=%4A#'#=%)-#'(('"#*?#4**.0#'/)#

04('4-@%-0#/-&-00'("#%/#*()-(#4*#-??-&4%C-."#<--4#4A-#<*04#9(-00%/@#@.*6'.#-/-(@"#&A'..-/@-0#*?#4*)'"#'/)#4*<*((*=,#

!]63!?63&!,%/63?21,6%.!@8&2+&!46%1241!L23682!R&;&%*2$&3!H423682<;&;&%*2$&3áQ48<24<$QI!

!

!

!

F$36@&2%!L&%13&!/63!F%&3;9!2%-!N&+6$34&!)&4$3,19!HFJLFN)I! B++$&!"[!

"[!!

#$%&!'("'!

Z/#8;/#;/8,=#A);#$%&'#=/8;*'#Y&"<*'#K)::/</#V)",)"#C.DD/;#C@%)):_#

O:)98:#+"/;<=#U):&$&@'#`4#>#45#3.:=#4504a##FJLFN)! >2+! 6%4&! ?63&! _6,%&-! /634&+! A,1>! 1>&! e,%;P+! L688&;&! )$??&3!)4>668! 16! 6//&3! 2! +@&4,28! 46$3+&! 6%! ,%1&3%21,6%28! &%&3;9! ,++$&+<! =>&!46$3+&!R86*28!F%&3;9!:68,1,4+!A,88!*&!12$;>1!286%;+,-&!1>&!?63&!1>2%!j(!61>&3!46$3+&+!21!e,%;P+!4&%1328!)132%-!L2?@$+!/36?!'!#$89!Z!"(!G$;$+1<!!!

=>&!46$3+&!A,88!*&! 8&-!*9!)&*2+1,2%!O&3*+13&$1>!A>6!>2+!*&&%!1&24>,%;!)$??&3! )4>668! 46$3+&+! 6%! B%1&3%21,6%28! N&821,6%+! =>&639! 2%-! F%&3;9!:68,1,4+!21!e,%;P+! /63! +&5&328! 9&23+<! )&*2+1,2%! ,+!2!-6416328! 3&+&234>&3!21!1>&!h&@231?&%1!6/!:68,1,4+!2%-!B%1&3%21,6%28!)1$-,&+!21!1>&!J%,5&3+,19!6/!L2?*3,-;&<!!

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

]63!/$31>&3!46$3+&!-&12,8+.!2@@8,421,6%!/63?+!2%-!-&2-8,%&+.!2+!A&88!2+!;&%&328!,%/63?21,6%!6%!1>&!e,%;P+!L688&;&!)$??&3!)4>668!'("'!@8&2+&!+&&U!>11@U\\AAA<Q48<24<$Q\+$??&3+4>668<!!

+JK+6C#)"#M7&$$/;#8",#F8@/9))I#!

]6886A! 6$3!?6%,163,%;! 6/! &%&3;9! 16@,4+! 6%! =A,11&3U!áFJLFN)! 2%-! 6$3!A&*+,1&! /63!?63&!,%/63?21,6%U!AAA<&$4&3+<&$!

!

s6$! 42%! ^8,Q&P! $+! 21U! >11@+U\\AAA</24&*66Q<46?\@2;&+\F$36@&2%0L&%13&0/630F%&3;902%-0N&+6$34&0)&4$3,190FJLFN)\''dj"''S(jj[(dSW+QmA288!

]6886A!$+!16!/,%-!$@-21&+.!%&A+.!@,41$3&+!6/!6$3!&5&%1+!2%-!?63&à!

KRSMLKM#+JK+6C!

B/! 96$! >25&! /6$%-! 6$3! K&A+8&11&3! ,%1&3&+1,%;.! A,+>! 16! >&23! ?63&! 2*6$1! 6$3! 241,5,1,&+.! 63.! ,%-&&-.!46%13,*$1&! A,1>! ,-&2+! 63! &++29+.! @8&2+&! 46%1241! 6$3! FJLFN)! &-,163.! b63&%2! R$1,â33&`.! 21!863&%2<;$1,&33&`ä;234,2áQ48<24<$Q<!

!

!

!

F$36@&2%!L&%13&!/63!F%&3;9!2%-!N&+6$34&!)&4$3,19!HFJLFN)I! B++$&!"[!

"D!!

#$%&!'("'!

+JK+6C#LTN!CR6b#PRL6T#),%4&! 1>&!*&;,%%,%;!6/! 1>&!9&23!A&!>25&!-&5&86@&-!6$3!2-5,+639!*623-.! 4>2,3&-!*9!:36/&++63!f&359%!]36+1.! 1>&!O&2-! 6/! 1>&!h&@231?&%1! 6/!V23! )1$-,&+.! e,%;P+! L688&;&! b6%-6%<!V&!A6$8-! 8,Q&! 16! @36$-89!@3&+&%1!2%-!1>2%Q!1>&!?&?*&3+!6/!1>&!*623-<!

! U;)A/'');#(/;E="#F;)'$.!L>2,3?2%!6/!1>&!M623-.!O&2-!h&@231?&%1!6/!V23!)1$-,&+.!e,%;v+!L688&;&!b6%-6%!

! (8;@)#L;@/::&.!F7&4$1,5&!r,4&!:3&+,-&%1.!J@+13&2?!R2+.!F%&8.!N6?&!

! U;)A/'');#T;#Qc'/=&"#P8d@&.!h&@231?&%1!L>2,3!6/!B%1&3%21,6%28!N&821,6%+.!f,--8&!F2+1!=&4>%,428!J%,5&3+,19!B%u%p!M$8523,.!G%Q232!

! L",;/7#P8;$:/$$.!R86*28!O&2-!X,8!l!R2+.!)12%-23-!L>231&3&-.!b6%-6!

! N):I/;#P/@I/;'.!LFX!NVF!%@6A&3!

! U;)A/'');#T;# F;8"I#P/%;/",$.!h,3&4163!6/! 1>&! B%+1,1$1&! /63!F%&3;91&4>%686;9!21! 1>&!=&4>%,+4>&!J%,5&3+,1t1!M&38,%!

! U;)A/'');# T;# L:9/;$# P;/''8",.! h,3&4163! 6/! 1>&! L&%1&3! /63! F%&3;9.! f23,%&! =32%+@63121,6%! 2%-!:$*8,4!:68,49!HLFf=::I.!)4>668!6/!B%1&3%21,6%28!2%-!:$*8,4!G//2,3+.!L68$?*,2!J%,5&3+,19!

! U;)A/'');#T;# !.:&8"#K%&A..!G-5,+63!16!1>&!N6?2%,2%!:3&+,-&%1!/63!)1321&;,4!G//2,3+.!)&4$3,19!2%-!]63&,;%!:68,49!2%-!:3&+,-&%1!6/!1>&!L&%1&3!/63!L6%/8,41!:3&5&%1,6%!2%-!F2389!V23%,%;.!M$4>23&+1!

! T;#3)%"#K%&?D8".!h,3&4163!6/!1>&!B%1&3%21,6%28!B%+1,1$1&!/63!)1321&;,4!)1$-,&+!HBB))I.!b6%-6%!

! U;)A/'');#T;#T&/$/;#Q/:D.!J%,5&3+,19!6/!X7/63-!

! U;)A/'');#T;#Y8;:#Y8&'/;.!h,3&4163!6/!1>&!:36;32?!6%!=32%+2182%1,4!N&821,6%+!6/!1>&!V&21>&3>&2-!L&%1&3!/63!B%1&3%21,6%28!G//2,3+.!O23523-!e&%%&-9!)4>668.!L2?*3,-;&.!J)G!

! F;/,/;&@I#Y/D?/.!:3&+,-&%1!2%-!LFX.!G182%1,4!L6$%4,8.!V2+>,%;16%.!h<L<.!J)G!

! !:=8#Y)@%/E;&".!F7&4$1,5&!h,3&4163!6/!R2`@36?!F7@631!b1-!

! 38".'[#V.I'.!LFX!L&%1328!F$36@&!F%&3;9!:231%&3+!HLFF:I.!M3$++&8+\V23+2A!

! M%&/;;=# ,/# ()"$9;&8:.! ]6$%-&3! 2%-! :3&+,-&%1! 6/! 1>&! B%+1,1$1! ]32%ã2,+! -&+! N&821,6%+!B%1&3%21,6%28&+!HB]NBI.!:23,+!

! K%;&'#()$$/;'%/8,.!r,4&!:3,%4,@28.!e,%;v+!L688&;&!b6%-6%!

! Q&:,/<8;,#(c::/;.!r63+,1`&%-&!-&3!MhFV0O2$@1;&+4>t/1+/p>3$%;!$%-!f,1;8,&-!-&+!:3t+,-,$?+!

! T;#U&/;;/#S)e:.!h,3&4163!F%&3;9!:68,49!]63$?.!#$-;&!M$+,%&++!)4>668.!J%,5&3+,19!6/!L2?*3,-;&!

! T;#V&<&8#S);)"%8.!h,3&4163!N&+6$34&+.!N&;$821,6%!2%-!R86*28!)&4$3,19.!=FNB.!K&A!h&8>,!

! T//?8I#U.;&.!L>2,3?2%!l!f2%2;,%;!h,3&4163.!f6+&3!M2&3!B%-,2!b1-<.!h&8>,#

! 38".'[#6/&$/;.!L&%1&3!/63!B%1&3%21,6%28!N&821,6%+.!V23+2A!

! U;)A/'');#T;#Y8;:#6)'/.!)&%,63!]&886A!)4&%23,6+.!V638-!F%&3;9!L6$%4,8.!r,&%%2\b6%-6%!

! U;)A/'');#T;#P.;I%8;,#C@%7/"I/;.!L>2,3?2%!6/!1>&!)$@&35,+639!M623-.!N682%-!M&3;&3!)1321&;9!L6%+$812%1+!R?*O.!O2?*$3;!

!

!

F$36@&2%!L&%13&!/63!F%&3;9!2%-!N&+6$34&!)&4$3,19!HFJLFN)I! B++$&!"[!

"j!!

#$%&!'("'!

LKYSRZV+TO+(+SMC#Z/#7).:,#:&I/#$)#$%8"I#).;#C.??);$/;'#4500f4504-#

#

L",#).;#(/,&8#U8;$"/;'-#

#

##

#

!

!

T!CKVL!(+6#670!890:;!0<=+0;;0>!91!?79;!@0:;-0??0+!*+0!;?+9)?-A!?7,;0!,B!?70!*3?7,+;!*1>!>,!1,?!10)0;;*+9-A!+0B-0)?!?7,;0!,B!?70!C3+,=0*1!D01?+0!B,+!C10+/A!*1>!E0;,3+)0!F0)3+9?A!

GCHDCEFIJ!9?;!*BB9-9*?0;!,+!K91/L;!D,--0/0!M,1>,1.!