Abstract Energy policy in the European Union (EU) faces two majorchallenges. The first challenge is posed by EUs commitment to reducegreenhouse gas emissions to the atmosphere in the context of theinternational agreement on climate change. The second challenge isto keep ensuring European security of energy supply, while its dependencyon external sources of energy is projected to increase. In this paper,two long-term alternative climate change policy scenarios for Europeare examined. In the first scenario, EU reduces carbon dioxide emissionsby domestic measures; in the second scenario EU maximizes cooperationwith the countries of the former Soviet Union (FSU). Impacts on carbonflows between the EU and FSU and on the external energy dependencyof the EU are assessed with an applied general equilibrium model,GTAP-E, whose set of energy commodities is expanded with combustiblebiomass as a renewable and carbon-neutral energy commodity. The resultsshow that there is a trade-off between economic efficiency, energysecurity and carbon dependency for the EU. The FSU would unambiguouslyprefer cooperation.
Kuik, O. (2003). Climate Change Policies, Energy Security and Carbon Dependency Trade-offs for the European Union in the Longer Term. International Environmental Agreements: Politics, Law and Economics, 3(3), 221–242. https://doi.org/10.1023/b:inea.0000005625.44125.54