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Begin New Search Political Geography Europe Content Type Policy Brief Publishing Institution Finnish Institute of International Affairs Publication Year within 25 Years

71. Fighting climate change: A structural shift towards renewable energies requires concerted policy action

Author:
Patrick Matschoss
Publication Date:
03-2012
Content Type:
Policy Brief
Institution:
Finnish Institute of International Affairs
Abstract:
Renewable energies will be the major contributor to any future low carbon energy system and the share may be as high as nearly 80% of the world's energy supply by 2050. Renewable energies have vast potential but require a set of coherent policies to reach necessary deployment rates, because the market place neither accounts sufficiently for their climate change-related and wider benefits nor for the benefits of technological learning, making them appear less competitive than they really are. Renewable energies can be integrated in all supply systems and end-use sectors but at some point they will require investment and change. In electricity, an enhanced Pan-European network infrastructure (smart grid) would smooth variability and the remaining non-renewable generation capacity would be highly flexible. Energy security would be enhanced by greater efficiency and a broader and less import-dependent energy portfolio with less vulnerability to energy price volatility. Network stability needs to be addressed but some renewable energies are fully dispatchable and part of the solution. The transition to renewable energies is possible and beneficial, not only due to climate change but also because it serves energy security concerns and necessary infrastructure improvements. The EU's proposed long-term strategy concerning emission reductions and competitiveness, as well as the related legislation, is moving in the right direction and it is up to the member states to pick this up and push it forward.
Topic:
Climate Change, Economics, Energy Policy, and Treaties and Agreements
Political Geography:
Europe

72. A Eurosceptic big bang: Finland's EU policy in hindsight of the 2011 elections

Author:
Kaisa Korhonen and Juha Jokela
Publication Date:
05-2012
Content Type:
Policy Brief
Institution:
Finnish Institute of International Affairs
Abstract:
The Finnish parliamentary elections in spring 2011 were marked by a landslide victory for the Eurosceptic (True) Finns Party. Such an unprecedented upswing for anti-integrationist voices was expected to reshape Finland's EU policy. The Finns Party did not join the government, however, and the party has mainly influenced Finnish EU policymaking while in opposition, and indirectly through public opinion-building. While outright anti-integrationist rhetoric remains on the margins of national public debate, more critical approaches to EU politics have become increasingly pronounced. Political parties have, to varying degrees, adapted their rhetoric and policies to the changing environment. Importantly, the broad consensus on EU affairs in Finland has broken down, at least temporarily. The EU has featured high on the agendas of the recent election campaigns as well as in opposition politics. This has affected Finland's official position too. It has moved in a more cautious and self-contained direction, although the country remains a pro-integrationist member state.
Topic:
Democratization, International Trade and Finance, Political Economy, and Regional Cooperation
Political Geography:
Europe and Finland

73. An alienated partnership: German-Russian relations after Putin's return

Author:
Stefan Meister
Publication Date:
05-2012
Content Type:
Policy Brief
Institution:
Finnish Institute of International Affairs
Abstract:
The return of Vladimir Putin as Russia's president and the probable end of Dmitri Medvedev's modernization project will increase the alienation within German-Russian relations. Germany's modernization partnership with Russia has produced limited results because the two sides have different views on the cooperation. While the German side wants to develop common projects of good practice which will modernize the Russian economy and politics, the Russian side is interested in technology transfer. The interest in and knowledge of Russia among German decision-makers is decreasing. Germany lacks vision and concepts on how to influence developments in Russia. This is also due to the resistance of the current Russian elite towards implementing political reforms. As a result, Russia is losing its most important advocate in the EU (also regarding energy policy). This will have a negative impact on EU-Russia relations because the EU lacks leadership on Russia. Ongoing changes in Russian society, which challenge the Putin system, will present an opportunity to find new allies in Russia for cooperation and modernization, which may increase Germany's interest in its large neighbour. But this will call for a more balanced approach between the Russian elites and society in Germany's Russia policy.
Topic:
Democratization, Economics, Social Stratification, and Bilateral Relations
Political Geography:
Russia, Europe, and Germany

74. On the road to a true Economic and Monetary Union? The challenges of fiscal federalism and democratic legitimacy

Author:
Teija Tiilikainen
Publication Date:
05-2012
Content Type:
Policy Brief
Institution:
Finnish Institute of International Affairs
Abstract:
Lessons learned from the current economic and financial crisis pose great challenges for the EU concerning the future development of the EMU. Through the recent changes the limits of a mere coordination of economic policies have been reached and a debate about turning the system into a true Economic and Monetary Union must be launched. A further strengthening of the EU's power in economic and fiscal policies would require a clearer move in the direction of fiscal federalism, that is, a more balanced relationship between the Union's budget and those of the member states. It would also require the finalization of the Union's democratic system along the lines of a federal political order. The divided character of the currency union presents significant difficulties for its further deepening and democratization.
Topic:
Economics, Political Economy, Regional Cooperation, Monetary Policy, and Financial Crisis
Political Geography:
Europe

75. The corporate benefits of the euro: Finnish companies cannot live without a common currency

Author:
Timo korkeamäki
Publication Date:
04-2012
Content Type:
Policy Brief
Institution:
Finnish Institute of International Affairs
Abstract:
The costs of euro membership have been a topic of lively political debate in recent years, and they have received ample media attention. In contrast, numerical estimates on the benefits of the euro have been practically non-existent. While the corporate benefits of the euro have been widely documented in the academic literature, the practical value of those publications has suffered from their technical complexity. Several experts have linked the fast growth of corporate bond markets in Europe since 1999 to the introduction of the euro. With growing arm's length credit markets in Europe, companies' access to financing has improved significantly. Companies from countries with small and unstable legacy currencies, such as Finland, have benefited comparably more from the widened financial markets. The cost savings due to the lowered cost of debt are non-trivial. For a set of large Finnish companies alone, the narrowing spread between their interest expenses and those of their German counterparties has resulted in after-tax cost savings of over €400 million each year. Sweden, Norway, and Denmark may have received some free-rider benefits while staying outside the currency union. However, it is difficult to estimate whether such benefits would have been obtainable had Finland chosen to keep its own currency. Reductions in the cost of financing should increase companies' ability to invest, and thus these savings are likely to have multiplicative effects on the economy for years to come.
Topic:
Economics, International Trade and Finance, Markets, and Monetary Policy
Political Geography:
Europe

76. A rocky road towards Europe: The prospects for the EU's Eastern Partnership Association Agreements

Author:
Kristi Raik
Publication Date:
06-2012
Content Type:
Policy Brief
Institution:
Finnish Institute of International Affairs
Abstract:
The EU has a strategic goal to build political association and economic integration with the six countries included in its Eastern Partnership policy. To reach this goal, it has invented a new model of association agreement that includes deep and comprehensive free trade. At best, three out of six Eastern partners are likely to sign the agreements within the next couple of years.
Topic:
Democratization, Economics, and Regional Cooperation
Political Geography:
Europe

77. Ripe and ready for Rio+20? The UN conference on sustainable development and the European Union

Author:
Marikki Stocchetti
Publication Date:
06-2012
Content Type:
Policy Brief
Institution:
Finnish Institute of International Affairs
Abstract:
The UN Conference on Sustainable Development (Rio+20) marks a historic opportunity to address unsustainable trends in economic, social and environmental development multilaterally. Still, on the eve of Rio+20, the international community lacks consensus and leadership. The European Union has taken a very proactive and constructive role in the preparations for Rio+20. However, the EU's commitment to the sustainable development agenda is not shared equally across its policies or member states. This weakens the EU's strategic position in the negotiations. Disagreements between Rio+20 parties cut across all the main items on the agenda. In particular, the topic of the “Green Economy” brings old clashes between developing economies and post-industrialized countries back to the fore. The key question relates, on the one hand, to the right to determine development strategies, and on the other hand, to the division of responsibilities between countries. On a more optimistic note, the need for institutional reform and joint sustainable development objectives has been widely acknowledged. In addition, much progress can still be made in the 15 thematic areas of sustainable development. This may compensate for the lack of unanimity on grand paradigms. It is of utmost importance for a successful outcome that the Union works in unison, with clear negotiation mandates, and coordinates its views effectively throughout the process. Success at Rio+20 may also help to increase the EU's own coherence with regard to sustainable development in the future.
Topic:
Development, Economics, and Environment
Political Geography:
Europe

78. Swimming in murky waters: Challenges in developing the EU's external representation

Author:
Piotr Maciej Kaczyński
Publication Date:
09-2011
Content Type:
Policy Brief
Institution:
Finnish Institute of International Affairs
Abstract:
In the area of external affairs, the Treaty of Lisbon has introduced a number of innovations into the functioning of the European Union. The initial phase of these innovations was in 2010 when two parallel processes took place. First, the set-up of the European External Action Service (EEAS) was negotiated and subsequently implemented. Second, a number of developments have taken place in the sphere of the EU's external representation. Soon after December 2009, when the new treaty entered into force, it became clear that it was wide open to interpretation. Since most actors continued to interpret the treaty provisions in their favour, the EU had to engage in difficult negotiations on several occasions. In fact, the new treaty impacts not only EU relations with third states and within international organizations, it also has a significant impact on the member states' relations with third states as well as on their representation within international organizations.
Topic:
Foreign Policy, Regional Cooperation, and Treaties and Agreements
Political Geography:
Europe

79. Pro-European Presidency: Poland on the way to the club of heavyweight EU members

Author:
Tiia Lehtonen
Publication Date:
09-2011
Content Type:
Policy Brief
Institution:
Finnish Institute of International Affairs
Abstract:
On 1 July 2011, Poland took over the Presidency of the Council of the European Union. It is the first Presidency for Poland during its seven-year EU membership. As an ambitious, large and relatively new member state, Poland is now striving towards joining the club of heavyweight players in the EU. Although the Polish Government and political elite are highly pro-European, this work remains nothing but demanding. Nevertheless, Poland is no doubt the most powerful state in the Presidency trio compris¬ing of Poland, Denmark and Cyprus.
Topic:
Regional Cooperation and Governance
Political Geography:
Europe and Poland

80. Austerity ahead: How will a conservative victory change Spanish politics?

Author:
Teemu Sinkkonen
Publication Date:
11-2011
Content Type:
Policy Brief
Institution:
Finnish Institute of International Affairs
Abstract:
The electoral defeat suffered by the ruling Socialist Party (Partido Socialista Obrero Español, PSOE) in the municipal elections and the prolonged financial crisis has forced Prime Minister Zapatero to call an early general election on 20 November. The Conservative People's Party (Partido Popular, PP) is ahead in the polls by a clear margin and is likely to gain an absolute majority in the parliament. The economic outlook for Spain looks bleak, which means that the new government will have to create new jobs quickly and push through harsh and unpopular reforms, particularly regarding the fiscal and administrative structures. The Indignados protest movement is gaining support, and looks set to challenge the legitimacy of the system and force the future government to produce speedy results. Spain is expected to enhance its role in international politics through pragmatic bilateral relations. In particular, relations with the US seem to be warming up, while Spain can turn to the UK and Poland in the EU for companionship
Topic:
Debt, Democratization, Economics, and Financial Crisis
Political Geography:
United States, United Kingdom, Europe, and Spain