Estonia
ESTONIA
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On the occasion of the
High Level Segment of the
14th Session of the Commission on Sustainable Development
Statement by
Ms Annika Velthut
Secretary General
Ministry of the Environment of Estonia
United Nations
New York, 11 May 2006
PERMANENT MISSION OF THE REPUBLIC OF ESTONIA TO THE UNITED NATIONS
600 THIRD AVENUE 26TH FLOOR NEW YORK, NY 10016 TEL 212 883 0640 FAX 212 883 0648
Distinguished Chairperson, dear colleagues, ladies and gentlemen,
Estonia aligns itself to the views of the European Union expressed by Austria, but find it
worth to share its experience with the distinguished audience. Estonia shares the view that
in order to be ready for achieving concrete and meaningful policy guidance and actions at
CSD 15, it is of utmost importance for the outcomes of CSD 14 to be focused on key
success stories and challenges to implementation.
Estonia's own experience confirms that substantial economic growth and environmentally
sustainable path of development can be achieved if relevant economic and fiscal measures
are applied. It is essential to design and implement incentives with the view to promote
efficient, transparent and competitive markets for energy, while reducing energy related
environmental and health problems, in particular those related to climate change and air
pollution.
The different energy-related challenges are unevenly distributed among countries. There is
therefore a need for flexible and pragmatic approaches while adhering to common goals
and commitments. Estonian economy is highly dependent on fossil fuels. Approximately
90% of Estonia?s energy is produced through the combustion of fossil fuels. The remaining
10% comes from renewables, such as biomass, hydropower and wind. The main domestic
energy source is the combustion of oil shale, which puts high pressure on the environment -
approximately 70% of atmospheric pollution, 80% of effluents and 80% of generation of
solid waste are connected with the oil shale power industry.
Estonia has successfully decoupled its economic development from environmental
pollution, having taken different energy-related measures, which have had also very
positive effect on substantial decrease of emission of greenhouse gases. Among the most
efficient measures I would mention the application of new technologies - renovation of oil
shale power plants and installation of new circulating fluidized bed combustion technology,
which has higher combustion efficiency allowed to reduce fuel consumption up to 25%,
which in turn means substantially lower CO2 emissions.
Promotion of renewable energy sources and the increase of energy efficiency, together with
the demand side measures are other promising steps. The potential of Estonian renewable
ene rgy is primarily in the wind power and combined heat and power production (CHP)
based on biofuels. According to Estonia's strategic energy policy objectives the share of
renewable energy sources in electricity production should reach 5.1% by 2010 from
virtually zero level in 2000. The use of CHP is planned to be increased in electricity
production up to 20% by 2020, and the primary energy consumption is settled not to
exceed the level of 2003 until 2010.
Estonia has started the introduction of ecological tax reform, which is directed towards
fairer pricing of the use of natural resources and pollution, while at the same time not
increasing the total tax burden. Existing CO2 tax, excise taxes on fuels, feed-in prices for
electricity produced from renewable energy sources are other examples of taken fiscal
measures. In addition the established EU greenhouse gas market is very promising market
based tool for further increase of energy efficiency and decrease of GHG emissions.
Time is too limited to list all measures, but already this short overview should encourage
nations both in developed and developing world to define ambitious, but realistic goals in
further diminishing CO2 emissions through different economic and fiscal tools, primarily
through energy efficiency and increased use of renewables in parallel with development of
new technologies and sources of cleaner energy, like hydrogen for instance.
Prosperous future of mankind needs coordinated and targeted actions of all nations in order
to achieve sustainable path of development. Peaceful and sustainable co-existence on our
common planet is possible only if everybody is ready to accept differences of others and
willing to share their values, advantages and experiences.
Thank you for your attention.
Please check against delivery
On the occasion of the
High Level Segment of the
14th Session of the Commission on Sustainable Development
Statement by
Ms Annika Velthut
Secretary General
Ministry of the Environment of Estonia
United Nations
New York, 11 May 2006
PERMANENT MISSION OF THE REPUBLIC OF ESTONIA TO THE UNITED NATIONS
600 THIRD AVENUE 26TH FLOOR NEW YORK, NY 10016 TEL 212 883 0640 FAX 212 883 0648
Distinguished Chairperson, dear colleagues, ladies and gentlemen,
Estonia aligns itself to the views of the European Union expressed by Austria, but find it
worth to share its experience with the distinguished audience. Estonia shares the view that
in order to be ready for achieving concrete and meaningful policy guidance and actions at
CSD 15, it is of utmost importance for the outcomes of CSD 14 to be focused on key
success stories and challenges to implementation.
Estonia's own experience confirms that substantial economic growth and environmentally
sustainable path of development can be achieved if relevant economic and fiscal measures
are applied. It is essential to design and implement incentives with the view to promote
efficient, transparent and competitive markets for energy, while reducing energy related
environmental and health problems, in particular those related to climate change and air
pollution.
The different energy-related challenges are unevenly distributed among countries. There is
therefore a need for flexible and pragmatic approaches while adhering to common goals
and commitments. Estonian economy is highly dependent on fossil fuels. Approximately
90% of Estonia?s energy is produced through the combustion of fossil fuels. The remaining
10% comes from renewables, such as biomass, hydropower and wind. The main domestic
energy source is the combustion of oil shale, which puts high pressure on the environment -
approximately 70% of atmospheric pollution, 80% of effluents and 80% of generation of
solid waste are connected with the oil shale power industry.
Estonia has successfully decoupled its economic development from environmental
pollution, having taken different energy-related measures, which have had also very
positive effect on substantial decrease of emission of greenhouse gases. Among the most
efficient measures I would mention the application of new technologies - renovation of oil
shale power plants and installation of new circulating fluidized bed combustion technology,
which has higher combustion efficiency allowed to reduce fuel consumption up to 25%,
which in turn means substantially lower CO2 emissions.
Promotion of renewable energy sources and the increase of energy efficiency, together with
the demand side measures are other promising steps. The potential of Estonian renewable
ene rgy is primarily in the wind power and combined heat and power production (CHP)
based on biofuels. According to Estonia's strategic energy policy objectives the share of
renewable energy sources in electricity production should reach 5.1% by 2010 from
virtually zero level in 2000. The use of CHP is planned to be increased in electricity
production up to 20% by 2020, and the primary energy consumption is settled not to
exceed the level of 2003 until 2010.
Estonia has started the introduction of ecological tax reform, which is directed towards
fairer pricing of the use of natural resources and pollution, while at the same time not
increasing the total tax burden. Existing CO2 tax, excise taxes on fuels, feed-in prices for
electricity produced from renewable energy sources are other examples of taken fiscal
measures. In addition the established EU greenhouse gas market is very promising market
based tool for further increase of energy efficiency and decrease of GHG emissions.
Time is too limited to list all measures, but already this short overview should encourage
nations both in developed and developing world to define ambitious, but realistic goals in
further diminishing CO2 emissions through different economic and fiscal tools, primarily
through energy efficiency and increased use of renewables in parallel with development of
new technologies and sources of cleaner energy, like hydrogen for instance.
Prosperous future of mankind needs coordinated and targeted actions of all nations in order
to achieve sustainable path of development. Peaceful and sustainable co-existence on our
common planet is possible only if everybody is ready to accept differences of others and
willing to share their values, advantages and experiences.
Thank you for your attention.
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