Discours Gérard Mestrallet : UN Private Sector Forum, Carbon Pricing Segment
ENGIE CEO Gérard Mestrallet advocates the principle of a world price for carbon at the United Nations Climate Summit, this tuesday in New York.
Mr. Secretary General, Excellencies, Ladies and Gentlemen.
Action is needed against climate change.
ENGIE is the largest private utility in the world. As such, my company is determined to become leader in Energy Transition in Europe as well as a global Energy benchmark.
The Paris Conference Of the Parties, in December next year, will require governments to take long term decisions on global commitments to address climate change. We support carbon pricing because we believe there is a need to address risks linked to climate change, and we support action to address emissions reductions cost effectively. We are in favor of market-based approaches and emissions trading : they give business the flexibility to reduce emissions when and where it is the most economically viable.
This is why in the name of ENGIE I gave my full support to :
- The World Bank Declaration on Carbon Pricing
- The Business Leadership Criteria on Carbon Pricing of the Caring for Climate initiative.
We are conscious of our responsibility and accountability to customers and stakeholders around the world : We have set ourselves targets, including reducing our CO2 emissions/kWh by 10% by 2020, increasing by 40% our energy efficiency business activity, as well as increasing renewable capacity in our generation portfolio mix by 50%. We need to anticipate risks, including those linked to climate change. This is why, to build the annual investment plan, my Group uses middle and long term scenarios which include high carbon prices.
ENGIE was among the pioneers of the Carbon Market.
I was proud to lead the Magritte coalition of the main power utilities in Europe. This coalition submitted detailed policy recommendations to the European Commission for the 2030 climate and energy package, most notably in the area of reform of the EU ETS, to enhance its resilience and drive a price on carbon to encourage low carbon investments.The Carbon price needs to be strengthened, 60 countries have already adopted regulations, which establish a carbon price.
The Carbon price needs to be strengthened, 60 countries have already adopted regulations, which establish a carbon price.
Finally, I need to mention that in May this year, in line with our strategy on energy transition, we have issued a 2.5 billion euro green bond, the largest issued by a private company to date. This bond, 3 times oversubscribed within the space of 2 hours, will finance energy efficiency and renewable projects.
The prime driver of green policies should be the globalization of pricing carbon, of which I am happy to see so many supporters in this room today, following the proposals of our partners : the World Bank and the Global Compact.