EEX responded to the public consultation of the European Commission on it’s Renewed Sustainable Finance Strategy. EEX strongly supports the European Commission’s sustainable finance agenda. As the European Union moves towards climate neutrality, both the financial sector and real economy will undergo significant transformations. To scale up private investments in support of a sustainable recovery and the European Green Deal, long term visibility and predictability are essential.
Energy policy has already played a strong role in, directly or indirectly, supporting investment is sustainable projects such as renewable energy – albeit investment levels remain too low. Financial policy should now aim to amplify the move of capital in this direction in the most efficient way. Energy derivatives markets, and in particular power and emissions markets, will be a key instrument in delivering on Europe’s long-term climate ambitions. This is not the least necessary for the role financial instruments play in mitigating risks via markets. Market participants across many real economy sectors need access to efficient, transparent and liquid financial markets to be able to hedge and efficiently manage their risks in a rapidly evolving physical energy commodity market.