COP28 + Renaturation + Energy price

Dear reader,

Weeks after the member states of the European Union solidified their stance for the upcoming COP28 in Dubai, the spotlight turns to the European Parliament. The Environment Committee is poised to vote on a resolution that will articulate its position to the COP28. While the outcome functions largely as a plea for EU negotiators to heed the Parliament’s voice in Dubai, it remains a symbolic gesture without direct influence on the core negotiations.

Members of the Parliament (MEPs) participate in global climate discussions as observant participants rather than decision-makers. They engage with peers from other nations, albeit in an informal capacity that stands apart from the formal negotiation tables of states.

Nevertheless, the European Parliament’s position on COP28 holds symbolic significance. It serves as an indicator of whether MEPs believe the member states’ commitments are ambitious enough. Expected today is a declaration advocating for an accelerated departure from fossil fuel reliance, marking a clear departure from member states’ policies, especially regarding Carbon Capture and Storage (CCS) technologies in the fossil fuel drawdown.

MEPs are also campaigning for the Parliament’s delegation to gain entry to the coordination meetings of the EU countries in Dubai. In previous COPs, MEPs have been excluded from these pivotal meetings, without access to deliberations or records. At these meetings, EU states’ delegations update each other on negotiations, strategize over potential compromises, and decide on their alignment with collective initiatives or independent actions. As a co-legislator with the power to ratify international agreements, the Parliament is asserting its right to be privy to these discussions, reflecting its integral role in shaping and endorsing global climate commitments.

Your
Lukas Knigge

Renaturation: Nothing has been decided yet

By

Claire Stam

It is unusual that the Spanish Environment Minister Teresa Ribera will lead the negotiations for the trilogue on the renaturation law. It is extremely rare for ministers to negotiate themselves. Normally, the respective permanent representations sit at the table for the Council. However, in the case of this law, which has already been the subject of bitter wrangling, the Spanish Council Presidency obviously wanted to play it safe.

“She is very committed to the debate, right from the start. She knows the processes and will bring all her political weight to bear”, says a source close to the negotiations about Ribera. The time has been moved from 7 p.m. to 2 p.m. so that she can conduct the talks. The negotiations are expected to end after midnight.

Numerous amendments

Nothing has been decided yet, according to negotiating circles in Brussels. This is because the political starting position is a special one: The Council is showing more ambition than the Parliament – an absolute rarity.

The intense political battle in Parliament over the legislative proposal before this summer had led to a large number of amendments. The compromise looks like “a patchwork of partly contradictory objectives in the parliamentary position”, said Pascal Canfin, chairman of the Environment Committee, in the summer. Attempts are now being made to sort out the content of the text and find a compromise that is acceptable to all institutions.

So far, agreement has only been reached on uncontroversial points. This includes, for example, Article 8 on pollinators and Article 10a on the planting of three billion trees. At the request of the EPP, Article 1 was also supplemented with the keyword food safety.

Limitation to Natura 2000 areas

The EPP’s demand to limit the implementation of the Nature Restoration Law to Natura 2000 areas is particularly controversial (Article 4.1). For environmentalists and supporters of the NRL, this makes no sense, as these areas are already in good condition anyway. The Commission and Council do not envisage any prioritization of Natura 2000 sites.

There is also an intense debate about the point that the areas to be restored must not deteriorate (Article 4.6). Conservatives reject the prohibition of deterioration. Supporters, on the other hand, ask why the member states should invest large amounts of money in the restoration of areas, only to build on the area again a short time later. The Council is trying to strike a balance by proposing more flexibility. For example, it provides for exemptions for projects where there is an “overwhelming public interest“.

Dispute over peatlands

Article 9 (agricultural ecosystems) remains highly controversial, especially paragraph 4, which is dedicated to peatlands. It includes measures that have an impact on agriculture. Former peatland is to be gradually renaturalized or rewetted in order to reduce greenhouse gas emissions. In contrast to the Commission and the Council, the Parliament adopted the amendment from the ECR Group and deleted this article completely.

So these are the most critical points that still need to be resolved. And this despite the fact that the trilogue already began in July. An end is not yet in sight. Because even if the negotiators manage to reach an agreement, the regulation could still fail. Both the Parliament and the Council still have to vote on the outcome of the negotiations before the regulation can enter into force. Before the summer, the draft regulation was only adopted by a narrow majority in both bodies.

Commission wants to extend energy price brake for companies

The EU Commission wants to allow member states to pay companies aid for sharply increased energy costs until the end of March 2024. To this end, the corresponding regulation is to be extended by three months. The Commission has sent a draft amendment to the Temporary State Aid Framework TCTF to the Member States with a request for comments, the authority announced on Monday evening.

It was previously planned that the regulation would expire at the end of the year. The Commission has announced that a final decision on the extension will be made in the coming weeks.

Falling electricity and gas prices

Only last Wednesday, the Federal Cabinet initiated an extension of the energy price brake for both companies and households. The Ministry of Economic Affairs had referred to the need for approval from the EU Commission. However, the relevant section of the TCTF only regulates energy price subsidies for companies, not for households.

In addition, unlike the Commission, the German government wanted to extend the price brake not just until March, but until April. However, it is questionable how relevant the subsidies still are in view of the renewed fall in electricity and gas prices. ber

Poland’s president tasks Morawiecki with forming government

A good three weeks after the victory of a three-party opposition alliance in the parliamentary elections in Poland, President Andrzej Duda has further delayed the transition of power with a controversial decision. On Monday, the head of state gave the current Prime Minister Mateusz Morawiecki from the national conservative PiS party the task of forming a government. Duda said in Warsaw that he had followed the good parliamentary tradition of appointing a representative of the strongest parliamentary group to form a government.

This move by the president, who himself comes from the PiS camp, could bring Poland further weeks of political instability. Previously, Duda had already set the date for the constituent session of the new parliament for Nov. 13 – almost a month after the election.

Tusk and his partners are already working on a coalition agreement

In the parliamentary elections on Oct. 15, Donald Tusk’s liberal-conservative Civic Coalition (KO) won a clear majority of seats together with two other opposition parties, the conservative Third Way and the left-wing alliance Lewica. The three parties are already working on a coalition agreement.

The previous governing party PiS, on the other hand, became the strongest political force, but fell short of an absolute majority and has no coalition partner. This means that Morawiecki’s attempt to form a government is most likely doomed to failure.

In Poland, it is a political custom, but not a must, for the head of state to give the task of forming a government to a representative of the party that has become the strongest political force. If his or her proposal for a cabinet does not receive a majority in Parliament, the ball is in the court of the other political groups.

Opposition politicians in Warsaw had repeatedly expressed fears after the election that the president could delay the change in order to give the PiS another month or two in power. dpa

Von der Leyen makes proposals for the time after the war in Gaza

EU Commission President Ursula von der Leyen has proposed five basic principles for possible peace negotiations in the aftermath of the Gaza war. Even if it may sound too ambitious at the moment, no stone should be left unturned in order to find a lasting solution based on two states existing side by side in peace and security. She said this on Monday in Brussels at an EU ambassadors’ conference. It is time for international efforts to bring peace to the Middle East. These are the five basic principles:

An understanding that the Gaza Strip cannot harbor terrorists. “We know what happened after the previous Gaza wars. Hamas immediately restocked its arsenal and prepared for the next conflict.” An international peacekeeping force under the mandate of the United Nations could ensure that this does not happen again.
Secondly, it could be agreed that there could only be one Palestinian Authority and only one Palestinian state. As a terrorist organization, Hamas would not be allowed to control or govern Gaza.
“Thirdly, there can be no long-term Israeli security presence in Gaza“, continued von der Leyen. The coastal strip is an essential part of a future Palestinian state.
Fourthly, there should be no forcible expulsion of Palestinians from Gaza, as this would only lead to even more instability in the region.
An understanding that there should be no continuing blockade of Gaza. 70 percent of young people there are unemployed. This would inevitably lead to further radicalization.

Yesterday, von der Leyen also announced that the EU would provide a further €25 million for humanitarian aid for civilians in the Gaza Strip. This brings the total pledges to €100 million, as the EU Commission President said. According to her, work is also underway to increase the number of aid convoys and to enable transportation by ship. A sea corridor from Cyprus could guarantee permanent and regulated aid.

According to EU foreign affairs representative Josep Borrell, a ceasefire to allow more humanitarian aid deliveries to the Gaza Strip could also provide access to the hostages held by Hamas. In his opinion, a corresponding initiative should be worked on, said the Spaniard at the ambassadors’ conference. Access to the hostages could take place with the help of the International Committee of the Red Cross and be a first step towards their release. dpa

Relations with China: Von der Leyen warns against naivety

EU Commission President Ursula von der Leyen has warned against an overly naive approach when dealing with Beijing. “We must recognize that there is an explicit element of rivalry in our relationship. The Chinese Communist Party’s clear goal is a systemic change of the international order, of course with China at its center”, she said at the EU Ambassadors Conference on Monday. Von der Leyen also addressed the wars in Ukraine and Israel in her speech. However, China took up a similar amount of time in her speech.

The rivalry with the People’s Republic “can be constructive, not hostile”, von der Leyen continued. “And this is why we need functioning channels of communication and high-level diplomacy.” She announced the EU-China summit in December.

Criticism of China’s proximity to Russia

The EU Commission President criticized China for not distancing itself from Russia, but emphasized: “The way forward is to continue working with Beijing to keep support for Russia as limited as possible.” At the same time, however, it must be made clear that China’s position on Russia has an influence on the relationship between Beijing and Brussels.

Von der Leyen praised trade policy measures such as the investigation into subsidies for Chinese EVs and the EU’s Global Gateway infrastructure initiative. At the associated forum, “a number of impressive new projects were signed worldwide”. This week, EU Internal Market Commissioner Thierry Breton is traveling to China and Hong Kong. Meanwhile, Foreign Affairs Commissioner Josep Borrell is traveling to Japan. ari

Commission checks TikTok’s compliance with DSA

The EU Commission recognizes efforts by the short video platform TikTok to comply with the Digital Services Act (DSA) – but intends to examine them more closely. “We have seen changes on TikTok’s platform in the past months, with new features being released with the aim to protect users and investments made in content moderation and trust and safety”, Thierry Breton, the EU’s internal market commissioner, said, after a video call with TikTok CEO Shou Zi Chew. The DSA is an EU law that regulates liability and safety rules for digital platforms, services, and products, among other things.

The Commission is now investigating whether this is enough to ensure compliance with the DSA, which is designed to protect citizens from illegal content and disinformation. The Commission had already submitted a list of questions to TikTok. On X, TikTok’s policy advisor Theo Bertram noted that it had been a good meeting with Breton. “We continue to engage closely with the Commission on DSA compliance”, Bertram announced. As in January, Chew will also meet the Commissioners for Digital Affairs, Věra Jourová, and Justice Commissioner Didier Reynders on the second day of his visit to Brussels.

Also on Monday, the Commission submitted a formal request for information under the DSA to the retail platform AliExpress. In it, the Commission asks AliExpress to provide more details on what the company has done to improve consumer protection against illegal products such as counterfeit medicines.

Breton said that the DSA not only deals with hate speech or disinformation. The law also intends to ensure that no illegal or unsafe products are sold on online trading platforms in the EU. AliExpress has to submit the required information to the Commission by Nov. 27, 2023. vis

$500 million for German AI start-up Aleph Alpha

The Heidelberg-based company Aleph Alpha, founded in 2019, is living up to its reputation as a shooting star among European AI start-ups. As the company announced in Berlin on Monday, it has received investments of more than $500 million (€486 million). This makes it the second-largest financing round in the field of artificial intelligence (AI) in Europe to date.

The consortium is led by venture capitalist Innovation Park Artificial Intelligence (Ipai), the Bosch Group, and the retail and IT group Schwarz Group (Lidl, Kaufland). Europe’s largest software company SAP and the Berlin-based investor Christ&Company are also participating in this second financing round.

AI for industry and administration

Aleph Alpha claims to be the leading provider of sovereign generative AI applications in Europe. The company develops large language models, similar to the Californian start-up OpenAI with ChatGPT. Aleph Alpha specializes in use cases for public administration and industry.

CEO Jonas Andrulis repeatedly emphasizes that his company is all about explainable and trustworthy AI applications. For example, a pilot project called F13 is currently running in the state administration of Baden-Württemberg.

A significant proportion of the investment sum will flow in the form of a capital commitment from Ipai. The Dieter Schwarz Foundation project aims to establish Europe’s largest research center for artificial intelligence in Heilbronn. Andrulis said that it was important to him to conduct research and publish the results in a freely accessible way. The new partners support this course. Andrulis reported that AI experts from the USA, such as Microsoft Research, have already moved to Aleph Alpha. He himself worked as a research and development manager at Apple from 2016 to 2019.

Lower financing volumes in Europe

Aleph Alpha attracted attention at the beginning of the year when its AI language model Luminous performed similarly well to the models from OpenAI and Meta in a standardized performance comparison.

European AI start-ups that have also received significant financial injections this year include the French company Mistral, which wants to develop a language model similar to ChatGPT for companies and raised €105 million in the summer. The largest financing round in Europe to date was achieved in 2022 by the French AI company Contentsquare with $600 million.

The dimensions are different in the USA: According to media reports, Microsoft is to invest more than $10 billion in OpenAI. Amazon and Google are financing their competitor Anthropic with several billion dollars. abg

Labor market: Heil calls for a more social EU

Hubertus Heil (SPD) is calling for the next EU Commission to focus on more worker participation and fair conditions for their mobility. What is currently lacking most in Europe is “realistic confidence that we have a good future”, said the Federal Minister of Labor at a conference held by his office in Berlin. There is a loss of confidence in the EU’s ability to solve the “big and small problems of everyday life”.

Changing this is the most important task of the next Commission in the area of labor and social affairs – also in order to shape the transformation of the economy well. For Heil, this also includes, for example, ensuring that foreign truck drivers and workers in slaughterhouses are better informed about their rights in order to prevent exploitation. okb

Greenwashing complaint against Coca-Cola and Co

BEUC, the EU umbrella organization of 45 consumer protection organizations, is today launching a complaint against the manufacturers of water in plastic bottles over allegations of greenwashing. The complaint is directed against Coca-Cola HBC, Danone, Nestlé Waters, and other companies. BEUC and consumer protection organizations from 13 member states will submit their complaint to the European Commission and the Consumer Protection Commission (CPC) network and call on them to launch an investigation.

The consumer protection organizations accuse the retailers of making misleading advertising claims about the recyclability of their products. BEUC bases its accusations on an analysis according to which the companies do not comply with EU regulations on unfair commercial practices. The analysis was carried out by Client Earth and ECOS – Environmental Coalition on Standards.

Criticism is aimed at:

the statement “100 percent recyclable”

the statement “100 percent recycled”

the use of green symbolism

Justin Wilkes from ECOS demands: “Politicians must establish rules for recycled content that are implemented and monitored using standardized, reliable methods.” The Wild West methods of greenwashing must be brought to an end.

The average European consumer drinks around 118 liters of bottled water per year, and 97 percent of this water is packaged in plastic containers. cst

Austerity policy is costing us our future

By Carolina Ortega Guttack and Carl Mühlbach

Carolina Ortega Guttack and Carl Mühlbach work for the NGO Fiscal Future.

The structure of fiscal policy and the stability rules form the long-term foundation of our coexistence. On Nov. 9 and 10, the finance ministers of the EU member states will discuss their reform proposal in the Economic and Financial Affairs Council (Ecofin). They could make a forward-looking decision. As representatives of the youth organization Fiscal Future, we are concerned about Germany’s blockade of the reform of the EU framework for economic governance.

The austerity dictate is expensive in the long term

German Minister of Financial Affairs Christian Lindner insists on the demand for fixed numerical values for debt reduction and other rigid restrictions. This would significantly restrict the flexibility of the EU’s Stability and Growth Pact. However, a rigid budgetary policy and low deficits are not an expression of economic competence in the current situation; on the contrary, they do not even begin to meet the challenges of today and tomorrow. They prevent necessary investments and make it more difficult to deal with multiple crises. The austerity course that Germany is helping to drive forward would be one thing above all: expensive in the long term.

Climate impact costs represent a greater burden on the economy and public budgets than the follow-up costs of financing climate investments. Nevertheless, it is precisely fiscal rules that are making it more difficult to prevent climate collapse across Europe. These debt limits are not based on science, but the limits of our planet are.

Austerity jeopardizes cohesion

If the reform proposal currently under discussion were implemented, most EU countries would not be in a position to make the investments required to achieve the climate targets. In addition, many member states would be forced to implement austerity measures. EU regulations and austerity programs have already led to cuts in social spending during the financial and euro crisis, exacerbated socio-economic inequalities within Europe, and hampered the economic recovery of member states.

Dealing with crises in this way is a key threat to the stability of the EU. Austerity policies are fueling the many crises of our time, reinforcing anti-EU movements and populism instead of strengthening solutions and the resilience of our economy and society.

Young people demand: fund our future

Austerity policy is not in the interests of young people. Ten youth associations and movements made this clear in the summer with an open letter on the federal budget. The debt brake threatens to act above all as a brake on investment and the future. Responsible action is also required at European level! If Germany blocks a future-friendly reform of EU fiscal rules, the socio-ecological transformation throughout Europe will be at risk. For example, exemptions for green investments within the fiscal framework or a European Investment Fund for the transformation could provide a remedy.

The Federal Constitutional Court has resolutely insisted on the protection of the freedoms of future generations. This calls for real intergenerational justice, especially in financial policy. The EU fiscal rules are only in the interests of young people if they do not stand in the way of necessary investments.

Fiscal Future is a non-partisan and non-profit initiative of young people for a sustainable fiscal policy. It promotes the participation of young people in financial policy debates. The founder and managing director is Carl Mühlbach (27). He studied economics in Heidelberg, Cambridge, and Berlin. Carolina Ortega Guttack (26) studied Social-Ecological Economics and Policy in Vienna and previously Economics and Political Science in Lüneburg and Paris and works at Fiscal Future.

EUROPE.TABLE EDITORS

Till
Hoppe

Charlotte
Wirth

Falk
Steiner

Timo
Landenberger

Corinna
Visser

Lukas
Knigge

Eric
Bonse

Sarah
Schaefer

Manuel
Berkel

Lisa-Martina
Klein

Markus
Grabitz

Stephan
Israel

Claire
Stam

Dear reader,

Weeks after the member states of the European Union solidified their stance for the upcoming COP28 in Dubai, the spotlight turns to the European Parliament. The Environment Committee is poised to vote on a resolution that will articulate its position to the COP28. While the outcome functions largely as a plea for EU negotiators to heed the Parliament’s voice in Dubai, it remains a symbolic gesture without direct influence on the core negotiations.

Members of the Parliament (MEPs) participate in global climate discussions as observant participants rather than decision-makers. They engage with peers from other nations, albeit in an informal capacity that stands apart from the formal negotiation tables of states.

Nevertheless, the European Parliament’s position on COP28 holds symbolic significance. It serves as an indicator of whether MEPs believe the member states’ commitments are ambitious enough. Expected today is a declaration advocating for an accelerated departure from fossil fuel reliance, marking a clear departure from member states’ policies, especially regarding Carbon Capture and Storage (CCS) technologies in the fossil fuel drawdown.

MEPs are also campaigning for the Parliament’s delegation to gain entry to the coordination meetings of the EU countries in Dubai. In previous COPs, MEPs have been excluded from these pivotal meetings, without access to deliberations or records. At these meetings, EU states’ delegations update each other on negotiations, strategize over potential compromises, and decide on their alignment with collective initiatives or independent actions. As a co-legislator with the power to ratify international agreements, the Parliament is asserting its right to be privy to these discussions, reflecting its integral role in shaping and endorsing global climate commitments.

Your
Lukas Knigge

Renaturation: Nothing has been decided yet

By

Claire Stam

It is unusual that the Spanish Environment Minister Teresa Ribera will lead the negotiations for the trilogue on the renaturation law. It is extremely rare for ministers to negotiate themselves. Normally, the respective permanent representations sit at the table for the Council. However, in the case of this law, which has already been the subject of bitter wrangling, the Spanish Council Presidency obviously wanted to play it safe.

“She is very committed to the debate, right from the start. She knows the processes and will bring all her political weight to bear”, says a source close to the negotiations about Ribera. The time has been moved from 7 p.m. to 2 p.m. so that she can conduct the talks. The negotiations are expected to end after midnight.

Numerous amendments

Nothing has been decided yet, according to negotiating circles in Brussels. This is because the political starting position is a special one: The Council is showing more ambition than the Parliament – an absolute rarity.

The intense political battle in Parliament over the legislative proposal before this summer had led to a large number of amendments. The compromise looks like “a patchwork of partly contradictory objectives in the parliamentary position”, said Pascal Canfin, chairman of the Environment Committee, in the summer. Attempts are now being made to sort out the content of the text and find a compromise that is acceptable to all institutions.

So far, agreement has only been reached on uncontroversial points. This includes, for example, Article 8 on pollinators and Article 10a on the planting of three billion trees. At the request of the EPP, Article 1 was also supplemented with the keyword food safety.

Limitation to Natura 2000 areas

The EPP’s demand to limit the implementation of the Nature Restoration Law to Natura 2000 areas is particularly controversial (Article 4.1). For environmentalists and supporters of the NRL, this makes no sense, as these areas are already in good condition anyway. The Commission and Council do not envisage any prioritization of Natura 2000 sites.

There is also an intense debate about the point that the areas to be restored must not deteriorate (Article 4.6). Conservatives reject the prohibition of deterioration. Supporters, on the other hand, ask why the member states should invest large amounts of money in the restoration of areas, only to build on the area again a short time later. The Council is trying to strike a balance by proposing more flexibility. For example, it provides for exemptions for projects where there is an “overwhelming public interest“.

Dispute over peatlands

Article 9 (agricultural ecosystems) remains highly controversial, especially paragraph 4, which is dedicated to peatlands. It includes measures that have an impact on agriculture. Former peatland is to be gradually renaturalized or rewetted in order to reduce greenhouse gas emissions. In contrast to the Commission and the Council, the Parliament adopted the amendment from the ECR Group and deleted this article completely.

So these are the most critical points that still need to be resolved. And this despite the fact that the trilogue already began in July. An end is not yet in sight. Because even if the negotiators manage to reach an agreement, the regulation could still fail. Both the Parliament and the Council still have to vote on the outcome of the negotiations before the regulation can enter into force. Before the summer, the draft regulation was only adopted by a narrow majority in both bodies.

Commission wants to extend energy price brake for companies

The EU Commission wants to allow member states to pay companies aid for sharply increased energy costs until the end of March 2024. To this end, the corresponding regulation is to be extended by three months. The Commission has sent a draft amendment to the Temporary State Aid Framework TCTF to the Member States with a request for comments, the authority announced on Monday evening.

It was previously planned that the regulation would expire at the end of the year. The Commission has announced that a final decision on the extension will be made in the coming weeks.

Falling electricity and gas prices

Only last Wednesday, the Federal Cabinet initiated an extension of the energy price brake for both companies and households. The Ministry of Economic Affairs had referred to the need for approval from the EU Commission. However, the relevant section of the TCTF only regulates energy price subsidies for companies, not for households.

In addition, unlike the Commission, the German government wanted to extend the price brake not just until March, but until April. However, it is questionable how relevant the subsidies still are in view of the renewed fall in electricity and gas prices. ber

Poland’s president tasks Morawiecki with forming government

A good three weeks after the victory of a three-party opposition alliance in the parliamentary elections in Poland, President Andrzej Duda has further delayed the transition of power with a controversial decision. On Monday, the head of state gave the current Prime Minister Mateusz Morawiecki from the national conservative PiS party the task of forming a government. Duda said in Warsaw that he had followed the good parliamentary tradition of appointing a representative of the strongest parliamentary group to form a government.

This move by the president, who himself comes from the PiS camp, could bring Poland further weeks of political instability. Previously, Duda had already set the date for the constituent session of the new parliament for Nov. 13 – almost a month after the election.

Tusk and his partners are already working on a coalition agreement

In the parliamentary elections on Oct. 15, Donald Tusk’s liberal-conservative Civic Coalition (KO) won a clear majority of seats together with two other opposition parties, the conservative Third Way and the left-wing alliance Lewica. The three parties are already working on a coalition agreement.

The previous governing party PiS, on the other hand, became the strongest political force, but fell short of an absolute majority and has no coalition partner. This means that Morawiecki’s attempt to form a government is most likely doomed to failure.

In Poland, it is a political custom, but not a must, for the head of state to give the task of forming a government to a representative of the party that has become the strongest political force. If his or her proposal for a cabinet does not receive a majority in Parliament, the ball is in the court of the other political groups.

Opposition politicians in Warsaw had repeatedly expressed fears after the election that the president could delay the change in order to give the PiS another month or two in power. dpa

Von der Leyen makes proposals for the time after the war in Gaza

EU Commission President Ursula von der Leyen has proposed five basic principles for possible peace negotiations in the aftermath of the Gaza war. Even if it may sound too ambitious at the moment, no stone should be left unturned in order to find a lasting solution based on two states existing side by side in peace and security. She said this on Monday in Brussels at an EU ambassadors’ conference. It is time for international efforts to bring peace to the Middle East. These are the five basic principles:

An understanding that the Gaza Strip cannot harbor terrorists. “We know what happened after the previous Gaza wars. Hamas immediately restocked its arsenal and prepared for the next conflict.” An international peacekeeping force under the mandate of the United Nations could ensure that this does not happen again.
Secondly, it could be agreed that there could only be one Palestinian Authority and only one Palestinian state. As a terrorist organization, Hamas would not be allowed to control or govern Gaza.
“Thirdly, there can be no long-term Israeli security presence in Gaza“, continued von der Leyen. The coastal strip is an essential part of a future Palestinian state.
Fourthly, there should be no forcible expulsion of Palestinians from Gaza, as this would only lead to even more instability in the region.
An understanding that there should be no continuing blockade of Gaza. 70 percent of young people there are unemployed. This would inevitably lead to further radicalization.

Yesterday, von der Leyen also announced that the EU would provide a further €25 million for humanitarian aid for civilians in the Gaza Strip. This brings the total pledges to €100 million, as the EU Commission President said. According to her, work is also underway to increase the number of aid convoys and to enable transportation by ship. A sea corridor from Cyprus could guarantee permanent and regulated aid.

According to EU foreign affairs representative Josep Borrell, a ceasefire to allow more humanitarian aid deliveries to the Gaza Strip could also provide access to the hostages held by Hamas. In his opinion, a corresponding initiative should be worked on, said the Spaniard at the ambassadors’ conference. Access to the hostages could take place with the help of the International Committee of the Red Cross and be a first step towards their release. dpa

Relations with China: Von der Leyen warns against naivety

EU Commission President Ursula von der Leyen has warned against an overly naive approach when dealing with Beijing. “We must recognize that there is an explicit element of rivalry in our relationship. The Chinese Communist Party’s clear goal is a systemic change of the international order, of course with China at its center”, she said at the EU Ambassadors Conference on Monday. Von der Leyen also addressed the wars in Ukraine and Israel in her speech. However, China took up a similar amount of time in her speech.

The rivalry with the People’s Republic “can be constructive, not hostile”, von der Leyen continued. “And this is why we need functioning channels of communication and high-level diplomacy.” She announced the EU-China summit in December.

Criticism of China’s proximity to Russia

The EU Commission President criticized China for not distancing itself from Russia, but emphasized: “The way forward is to continue working with Beijing to keep support for Russia as limited as possible.” At the same time, however, it must be made clear that China’s position on Russia has an influence on the relationship between Beijing and Brussels.

Von der Leyen praised trade policy measures such as the investigation into subsidies for Chinese EVs and the EU’s Global Gateway infrastructure initiative. At the associated forum, “a number of impressive new projects were signed worldwide”. This week, EU Internal Market Commissioner Thierry Breton is traveling to China and Hong Kong. Meanwhile, Foreign Affairs Commissioner Josep Borrell is traveling to Japan. ari

Commission checks TikTok’s compliance with DSA

The EU Commission recognizes efforts by the short video platform TikTok to comply with the Digital Services Act (DSA) – but intends to examine them more closely. “We have seen changes on TikTok’s platform in the past months, with new features being released with the aim to protect users and investments made in content moderation and trust and safety”, Thierry Breton, the EU’s internal market commissioner, said, after a video call with TikTok CEO Shou Zi Chew. The DSA is an EU law that regulates liability and safety rules for digital platforms, services, and products, among other things.

The Commission is now investigating whether this is enough to ensure compliance with the DSA, which is designed to protect citizens from illegal content and disinformation. The Commission had already submitted a list of questions to TikTok. On X, TikTok’s policy advisor Theo Bertram noted that it had been a good meeting with Breton. “We continue to engage closely with the Commission on DSA compliance”, Bertram announced. As in January, Chew will also meet the Commissioners for Digital Affairs, Věra Jourová, and Justice Commissioner Didier Reynders on the second day of his visit to Brussels.

Also on Monday, the Commission submitted a formal request for information under the DSA to the retail platform AliExpress. In it, the Commission asks AliExpress to provide more details on what the company has done to improve consumer protection against illegal products such as counterfeit medicines.

Breton said that the DSA not only deals with hate speech or disinformation. The law also intends to ensure that no illegal or unsafe products are sold on online trading platforms in the EU. AliExpress has to submit the required information to the Commission by Nov. 27, 2023. vis

$500 million for German AI start-up Aleph Alpha

The Heidelberg-based company Aleph Alpha, founded in 2019, is living up to its reputation as a shooting star among European AI start-ups. As the company announced in Berlin on Monday, it has received investments of more than $500 million (€486 million). This makes it the second-largest financing round in the field of artificial intelligence (AI) in Europe to date.

The consortium is led by venture capitalist Innovation Park Artificial Intelligence (Ipai), the Bosch Group, and the retail and IT group Schwarz Group (Lidl, Kaufland). Europe’s largest software company SAP and the Berlin-based investor Christ&Company are also participating in this second financing round.

AI for industry and administration

Aleph Alpha claims to be the leading provider of sovereign generative AI applications in Europe. The company develops large language models, similar to the Californian start-up OpenAI with ChatGPT. Aleph Alpha specializes in use cases for public administration and industry.

CEO Jonas Andrulis repeatedly emphasizes that his company is all about explainable and trustworthy AI applications. For example, a pilot project called F13 is currently running in the state administration of Baden-Württemberg.

A significant proportion of the investment sum will flow in the form of a capital commitment from Ipai. The Dieter Schwarz Foundation project aims to establish Europe’s largest research center for artificial intelligence in Heilbronn. Andrulis said that it was important to him to conduct research and publish the results in a freely accessible way. The new partners support this course. Andrulis reported that AI experts from the USA, such as Microsoft Research, have already moved to Aleph Alpha. He himself worked as a research and development manager at Apple from 2016 to 2019.

Lower financing volumes in Europe

Aleph Alpha attracted attention at the beginning of the year when its AI language model Luminous performed similarly well to the models from OpenAI and Meta in a standardized performance comparison.

European AI start-ups that have also received significant financial injections this year include the French company Mistral, which wants to develop a language model similar to ChatGPT for companies and raised €105 million in the summer. The largest financing round in Europe to date was achieved in 2022 by the French AI company Contentsquare with $600 million.

The dimensions are different in the USA: According to media reports, Microsoft is to invest more than $10 billion in OpenAI. Amazon and Google are financing their competitor Anthropic with several billion dollars. abg

Labor market: Heil calls for a more social EU

Hubertus Heil (SPD) is calling for the next EU Commission to focus on more worker participation and fair conditions for their mobility. What is currently lacking most in Europe is “realistic confidence that we have a good future”, said the Federal Minister of Labor at a conference held by his office in Berlin. There is a loss of confidence in the EU’s ability to solve the “big and small problems of everyday life”.

Changing this is the most important task of the next Commission in the area of labor and social affairs – also in order to shape the transformation of the economy well. For Heil, this also includes, for example, ensuring that foreign truck drivers and workers in slaughterhouses are better informed about their rights in order to prevent exploitation. okb

Greenwashing complaint against Coca-Cola and Co

BEUC, the EU umbrella organization of 45 consumer protection organizations, is today launching a complaint against the manufacturers of water in plastic bottles over allegations of greenwashing. The complaint is directed against Coca-Cola HBC, Danone, Nestlé Waters, and other companies. BEUC and consumer protection organizations from 13 member states will submit their complaint to the European Commission and the Consumer Protection Commission (CPC) network and call on them to launch an investigation.

The consumer protection organizations accuse the retailers of making misleading advertising claims about the recyclability of their products. BEUC bases its accusations on an analysis according to which the companies do not comply with EU regulations on unfair commercial practices. The analysis was carried out by Client Earth and ECOS – Environmental Coalition on Standards.

Criticism is aimed at:

the statement “100 percent recyclable”

the statement “100 percent recycled”

the use of green symbolism

Justin Wilkes from ECOS demands: “Politicians must establish rules for recycled content that are implemented and monitored using standardized, reliable methods.” The Wild West methods of greenwashing must be brought to an end.

The average European consumer drinks around 118 liters of bottled water per year, and 97 percent of this water is packaged in plastic containers. cst

Austerity policy is costing us our future

By Carolina Ortega Guttack and Carl Mühlbach

The structure of fiscal policy and the stability rules form the long-term foundation of our coexistence. On Nov. 9 and 10, the finance ministers of the EU member states will discuss their reform proposal in the Economic and Financial Affairs Council (Ecofin). They could make a forward-looking decision. As representatives of the youth organization Fiscal Future, we are concerned about Germany’s blockade of the reform of the EU framework for economic governance.

The austerity dictate is expensive in the long term

German Minister of Financial Affairs Christian Lindner insists on the demand for fixed numerical values for debt reduction and other rigid restrictions. This would significantly restrict the flexibility of the EU’s Stability and Growth Pact. However, a rigid budgetary policy and low deficits are not an expression of economic competence in the current situation; on the contrary, they do not even begin to meet the challenges of today and tomorrow. They prevent necessary investments and make it more difficult to deal with multiple crises. The austerity course that Germany is helping to drive forward would be one thing above all: expensive in the long term.

Climate impact costs represent a greater burden on the economy and public budgets than the follow-up costs of financing climate investments. Nevertheless, it is precisely fiscal rules that are making it more difficult to prevent climate collapse across Europe. These debt limits are not based on science, but the limits of our planet are.

Austerity jeopardizes cohesion

If the reform proposal currently under discussion were implemented, most EU countries would not be in a position to make the investments required to achieve the climate targets. In addition, many member states would be forced to implement austerity measures. EU regulations and austerity programs have already led to cuts in social spending during the financial and euro crisis, exacerbated socio-economic inequalities within Europe, and hampered the economic recovery of member states.

Dealing with crises in this way is a key threat to the stability of the EU. Austerity policies are fueling the many crises of our time, reinforcing anti-EU movements and populism instead of strengthening solutions and the resilience of our economy and society.

Young people demand: fund our future

Austerity policy is not in the interests of young people. Ten youth associations and movements made this clear in the summer with an open letter on the federal budget. The debt brake threatens to act above all as a brake on investment and the future. Responsible action is also required at European level! If Germany blocks a future-friendly reform of EU fiscal rules, the socio-ecological transformation throughout Europe will be at risk. For example, exemptions for green investments within the fiscal framework or a European Investment Fund for the transformation could provide a remedy.

The Federal Constitutional Court has resolutely insisted on the protection of the freedoms of future generations. This calls for real intergenerational justice, especially in financial policy. The EU fiscal rules are only in the interests of young people if they do not stand in the way of necessary investments.

Fiscal Future is a non-partisan and non-profit initiative of young people for a sustainable fiscal policy. It promotes the participation of young people in financial policy debates. The founder and managing director is Carl Mühlbach (27). He studied economics in Heidelberg, Cambridge, and Berlin. Carolina Ortega Guttack (26) studied Social-Ecological Economics and Policy in Vienna and previously Economics and Political Science in Lüneburg and Paris and works at Fiscal Future.