The price on carbon dioxide is the single most effective tool for cutting emissions in Europe as it drives innovative technology development, according to Vattenfall chief executive Anna Borg.
Borg, who was speaking at the White House’s climate summit, said current technology development is dramatically driving costs down for CO2 free technologies.
She noted Vattenfall’s Hybrit initiative is aiming to result in the first fossil-fuel free steel, while the company is also partnering to decarbonise in other sectors such as refineries, transportation, mining and chemicals.
“There is a growing industry cluster around mining, steel and new energy intensive businesses, like battery production for electric cars,” Borg said.
“One of the main problems now is finding all the people needed to work in these industries and projects,” she added.
Vattenfall’s chief also reiterated the company’s commitment to make sure that it meets the targets in the Paris agreement by phasing out fossil emissions from its operations and by enabling its customers to do the same.
She said: “A few years ago, Vattenfall embarked on a journey, with the goal to enable fossil-free living within one generation.
“This is not our sustainability strategy. It is our business strategy. And it is sustainable.”
Borg added that transforming into a sustainable business is not only possible, but is “the way to have a competitive edge in the future”.
She said: “And the future is not happening in 2050. All of us are creating it. Here and now.”