ENVIRONMENT MINISTRY: GERMANY READY TO TALK

UNCLAS SECTION 01 OF 02 BERLIN 002743

SIPDIS

SIPDIS

DEPT PASS CEQ - BANKS, AND EPA - MEDEARIS, DEPT FOR OES AND
EB

E.O. 12958: N/A
TAGS: SENV ENRG EAIR GM
SUBJECT: ENVIRONMENT MINISTRY: GERMANY READY TO TALK
BUSINESS AT CSD, HIGH LEVEL DIALOGUE

REF: BERLIN 2548


1. Summary. Officials in the international division of the
Environment Ministry emphasize the Chancellery's desire to
link environmental and economic issues will shape Germany's
bilateral dialogue with the U.S. on climate change as well as
Germany's contributions to the upcoming High Level Dialogue
on Climate, Energy and Sustainable Development. The linkages
between economics and environment will also help determine
where Germany stands in the UN Commission on Sustainable
Development as well as Germany's agenda during the G-8 and EU
presidencies. In each context, the officials noted the value
of dialogue between business and government. Environment
Ministry officials state Germany's goal for the CSD-15 is
integrating energy into sustainability planning by 2010. The
Environment Ministry is also interested in a good result from
the High Level Dialogue and hopes to move it forward during
Germany's EU presidency in 2007. A major EU Presidency
priority for the Environment Ministry will be energy
efficiency. Environment Ministry officials also used the
September 14 meeting to inquire about U.S. interest in
hosting the next meeting in the Bonn Renewables process
during 2007 and described what they perceive as initial
interest from the United Arab Emirates in a long-term
dialogue on advancing renewable energy. Finally, officials
announced Ministry of Environment State Secretary Machnig
will travel to Washington October 5-6. End Summary.

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LET'S TALK BUSINESS
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2. Economics Minister Counselor, Global Affairs Officer, and
EUR/AGS Desk Officer for Economic and Global Affairs Issues
met September 14 with German Ministry of Environment's (BMU)
Stephan Contius, Director for United Nations and Cooperation
with Developing Countries, Bert-Axel Szelinski, Director for
Cooperation with OECD Member States, and Dr. Martin Schoepe,
from the division on International and EU Affairs of
Renewable Energy. Contius opened by referring to the Energy
Summit process Chancellor Merkel convened in April and
stressing the Chancellery wants to see a strong linkage
between environment and the economy. Environmental
innovation -- particularly in the areas of energy efficiency
and clean energy -- can play an important role in boosting
the German economy. The Environment Ministry is on board
with this approach and is taking concrete steps to foster
investment in clean energy technology, for example by
creating a unit to help German clean energy companies enter
foreign markets. Szelinski commented that he had been in a
meeting that day with a visiting delegation from the American
Chamber of Commerce EU and found that U.S. industry
representatives are more accepting than he had thought
regarding environmental policies such as cutting energy
consumption. He suggested the U.S. and Germany encourage EU
industries and their U.S. counterparts to establish a
dialogue on energy efficiency, since there is already
considerable progress being made at the industrial level that
can help shape government policies.

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AS G-8, EU PRESIDENT
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3. Szelinski said the environmental goal of the German G-8
Presidency is "going from the important multilateral language
of Gleneagles to concrete action." Energy efficiency will be
a main focus, he said, because the Chancellery has political
interest in energy efficiency and its links to innovation and
economic stimulation.


4. The Environment Ministry also plans an EU Environment
Ministers' conference on the international aspects of energy
efficiency during the first half of February 2007. The
German government would welcome U.S. ideas on steps we have
taken to boost energy efficiency, such as the Energy Star
program. EMIN pointed out other related efforts underway in
the U.S. as well to cut energy consumption. Although Contius
said the Environment Ministry still has to work out with the
other ministries what concrete results they will seek during
the EU presidency, one possibility is an "energy roadmap" for

BERLIN 00002743 002 OF 002


increasing energy efficiency and use of renewables by EU
members, as described in reftel.

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AT CSD-15
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5. Contius mentioned his involvement in the EU troika
dialogue on energy leading up to the CSD-15. He will meet
counterparts from Finland, the European Commission, and the
U.S., plus the Austrian Vice Minister for Energy in Helsinki
on September 19. Contius said Germany supports the proposal
made at CSD-14 in May 2006 that energy be integrated into
national sustainability planning by 2010. The integration of
water sanitation into sustainability planning provides a good
model, he continued. Contius said Germany wants to build on
this idea by suggesting at CSD-15 that members create a list
of national commitments on sustainable energy practices by

2010. He sid the list could serve as an "action program,"
ut noted that both the name of the list and the 201 date
are open for discussion.

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AT THE HIGH LEVEL DIALOGUE
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6. Contius recognizes the Hgh Level Dialogue (HLD) is in
its early stages, ut said the Environment Ministry is
interested in a good result right from the start. EMIN
stressd the intent of the HLD is to discuss climate, energy,
and sustainable development in an integrated way and that it
is important all relevant interests be represented. The
Environment Ministry officials all agreed with this
statement, noting the Chancellor's energy summit process
takes a similar view to the Ministries of Economics and
Environment sharing ground where climate and energy issues
intersect.

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BONN RENEWABLES PROCESS
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7. Schoepe reiterated interest in the U.S. hosting the next
meeting in the Bonn Renewables Process, which began in 2004.
He said Germany would be willing to contribute to financing
the conference and said it is important the conference be a
government-sponsored event to which stakeholders and NGOs are
invited. He was concerned corporate sponsorship of this
event would have -- or would be seen to have -- undue
influences over the event's proceedings. Emboffs argued this
need not be the case.


8. Contius sees potential political value of the U.S.
hosting another meeting in the Bonn Process: he said Germany
and the United Arab Emirates have signed an MOU on technology
cooperation in the areas in energy and renewables. By
holding the next renewables meeting, he suggested the U.S.
might be able to persuade the UAE to host the following one,
which would have great symbolic value. Cooperation on clean
and more efficient energy technology is of interest to Abu
Dhabi as part of its long-term development strategy, he
continued, and the U.S. and Germany should seize the moment
to further this interest.

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STATE SECRETARY MACHNIG TO WASHINGTON
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9. Environment Ministry State Secretary Matthias Machnig
will travel to Washington October 5-6. He will look to have
meetings at Departments of State and Energy, as well as at
the EPA. The German Embassy is arranging his program.
Topics for discussion will be Germany's upcoming EU and G-8
presidencies, as well as how to further bilateral cooperation
with the U.S. on climate and energy issues.


TIMKEN JR