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At the May 2019 Petersberg Climate Dialogue, Chancellor Merkel rather praised China on the expansion of renewable energy and the way it “face[s] up to the challenges posed by climate change.” What this means in practice is that the U. doesn’t limit itself to promoting fossil fuels abroad.For geopolitical reasons, it also continues to support clean energy, for instance through its efforts to promote energy access in Africa and the Asia Pacific, because in many countries they are the most economical alternative in setting up electricity supply and the U. has an interest in maintaining close relations with these countries.Trump’s central energy policy goal is to eliminate environmental regulation which, in his view, limits the country’s production of coal, gas, and oil.
It will further have the ability not only to support U. Having a common interest among the transatlantic partners does not, of course, translate automatically into cooperation and common policy approaches.
In many cases, the complexity of coordinating, especially when it comes to development policy, may simply be too high.
[O]ur withdrawal from the agreement represents a reassertion of America’s sovereignty […]. and Germany are moving in fundamentally different directions with their energy policies. Some believe that “not much has changed” in terms of climate and sustainable energy since President Trump took office.
Staying in the agreement could also pose serious obstacles for the United States as we begin the process of unlocking the restrictions on America’s abundant energy reserves, which we have started very strongly. Germany has embarked on its “Energiewende,” an energy strategy based on renewable energy and energy efficiency as well as the phase-out of fossil fuels and nuclear energy. under the Trump administration has abandoned its national and international climate commitments. This strategy marks a significant departure from the Obama administration, which pursued a climate action plan focused on fostering clean energy in the U. To others, “everything has changed” and the situation for sustainable energy is “very bad,” even “an embarrassment.” How can there be such different perceptions of current energy policy? and Germany thus persist and the essay concludes with some ideas on how this could translate into transatlantic energy cooperation.
China and Russia target their investments in the developing world to expand influence and gain competitive advantages against the United States.
This is quite in contrast to the German foreign policy approach in which Russia and China do not figure nearly as prominently.
Transatlantic disagreements over energy issues are not just limited to Germany’s dependence on Russian energy imports, as climate protection and global sustainable energy transformation are no longer shared goals. this means increasing and diversifying energy supply at home and abroad, for Germany it means reducing import dependence and increasing supply security.
As a lowest common denominator, both countries share an interest in energy security. The Trump administration’s foreign policy strategy is meant to ensure U. leadership in international energy markets and influence in the international system.
USAID estimates that this could result in at least billion in U. One of the instruments to implement this strategy is Asia “EDGE” (Enhancing Development and Growth through Energy). Asia EDGE also includes programs to promote the construction of LNG infrastructure and projects to supply LNG in the region. The programs and policies aim to support the deployment of low-carbon technology. Most of this is spent in renewable energy with a current regional focus on Africa, Latin America, and the Indo-Pacific. One of the focal points of DFC’s work will be on energy, as recent expert interviews in Washington, DC, suggested.
In addition to new tools such as loans and loan guarantees, DFC will be able to make equity investments. With its new development finance institution, the U. seeks to provide “financially-sound alternatives to state-led initiatives from countries like China.” Despite the Trump administration’s focus on promoting fossil fuels, a closer look at foreign policy instruments thus reveals that the U. and Germany still have a common interest in promoting sustainable energy abroad—albeit for different reasons.