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Summary: How do we get a climate-smart restart after the pandemic?

Published: 14 July 2020

The Vinnova and the Swedish Energy Agency's joint webinar on 30 June focused on the question of how we can achieve a sustainable restart after the pandemic. Is it possible that we can emerge stronger from the crisis and at the same time accelerate the transition to a sustainable society? During the webinar, we got to take part in perspectives from business, climate expertise and from Minister of Trade and Industry Ibrahim Baylan.

This web page has been machine translated. If there are any uncertainties, please refer to the Swedish text.

What do Vinnova and the Swedish Energy Agency see in the crisis and what is needed in the future? Approach from the Directors-General

See the clip "Approach from the Directors-General"

Darja Isaksson, director general at Vinnova, began by stating that Sweden and the world with the pandemic show that it is possible to switch quickly and efficiently when we all focus on a common objective.

- Any individual, any activities, every city, every country, has taken action, changed behaviors, and priorities to address it - and that's something we can learn from, says Darja Isaksson.

At the same time, there are now clear signs that the business sector's investment levels are declining and then the business community will miss the opportunity to invest in adaptive competitiveness, which risks slowing down our adaptability and long-term competitiveness.

- This means that we as financiers fulfill not only a stimulating but also a countercyclical function. This means that our funding creates conditions that are otherwise reduced.

Robert Andrén, director general of the Swedish Energy Agency, raises in particular the issue of the need for risk sharing between business and the public sector as central for us to cope with climate change. He believes that we have the solutions - but it is difficult to bring innovations to the market.

- We must review state aid rules, review the law on public procurement and how regulations in other sectors affect. It must be profitable and rewarding to be sustainable and to work for sustainability. And here we, the public sector, have a particularly important task to think about how we can create a regulatory framework that facilitates, says Robert Andrén.

Darja Isaksson believes that it is not enough to succeed with the technology solutions, which we are certainly very good at in Sweden, but they need to be put in a larger context - where regulations are developed together with the innovations.

- This is what we call system demonstrators. We see that the Swedish innovation system has the ability to solve complex challenges together, says Darja Isaksson.

What kind of investments are made in our neighboring countries?

See the clip what "What kind of investments are made in our neighboring countries?"

Both Finland and Norway are making major targeted investments in business research and innovation at a level we have not yet seen in Sweden. Nina Kopola, director general Business Finland talks about the ongoing effort being made to Finnish small and medium-sized companies totaling approximately SEK 20 billion. Anne Kjersti Fahlvik, The Research Council of Norway, tells about Norway's targeted investments in recovery through green transformation of the business community worth approximately NOK 3.7 billion.

What can politics do?

Watch the clip "What can politics do?"

Minister of Trade and Industry Ibrahim Baylan is asked by moderator Viktoria Raft whether Sweden risks falling behind countries such as Norway and Finland, which have quickly made major targeted efforts. But he believes that Sweden has worked at a speed he has never seen before with nine additional budgets of SEK 270 billion during the spring.

- We see worrying signs that investments are declining in the business world, so we must find efforts to attract private capital, because I think unfortunately, neither for Finland nor even Norway, public efforts will not be enough - we must find ways to get back the private investments, says Ibrahim Baylan.

When it comes to efforts to ensure that the business community gets on track after the pandemic and that it will be in a sustainable way, Baylan believes that the government does it through the authorities and he is happy that everyone has stepped up and pushed for funding and that it happens in close dialogue with the business community.

- We reason within the government and with the business community about how we rig this so that what we know we have to do is done - climate change, digitalisation, automation - how we make sure to use our resources together. How do we make sure to give this an extra boost. Sweden must be one of the countries that show the way, concludes Minister of Trade and Industry Ibrahim Baylan.

What needs does the business community see in getting a climate-smart restart?

See the clip "What needs does the business community see in achieving a climate-smart restart?"

Eva Vitell, CEO of Hybrit, which is an initiative to produce steel without carbon dioxide emissions. Eva Vitell highlights the need for risk sharing, as Robert Andrén initially mentioned, as an important part of daring to take major technological risks. She also wants politicians to continue working for a market and consumer pressure for fossil-free products. But the most important thing right now is the permit processes, says Eva Vitell.

- We are prepared, technology development is ongoing, but we have administrative permit processes in Sweden that affect our schedule. We must definitely have processes that protect the environment and local democracy - but it can go much smoother and faster. It is very important for Swedish competitiveness!

Niklas Gustafsson, environmental director, Volvo group, begins by saying that AB Volvo is currently in a state of restart that will take place step by step, but that it will be towards a new normal - something different than what was before the corona crisis. The direction is towards transformation, it is about electrification of passenger cars, buses, marine applications, autonomous vehicles and fuel cells. We must dare to go a little further!

- In order to achieve change, we need to include the entire social apparatus and our inhabitants so that they are involved. We have a penalty kick situation right now, says Niklas Gustafsson.

Johan Kuylenstierna, Deputy Chairman of the Climate Policy Council, says that during the year they will evaluate how the Government's crisis package for maintaining competitiveness contributes to the climate goals. Johan Kuylenstierna thinks that Sweden should take an active role in the EU's climate work now that we within the EU have a system in place that shows a clear development agenda.

- Sweden is at the top of the EU's innovation board, which means that we can take the lead. Of course, we will get the Swedish economy started - but then it will take place within the European Green Deal, framework, says Kuylenstierna.

Concluding comments from the Directors General of Vinnova and the Swedish Energy Agency

See the clip "Closing Comments from the Directors-General"

Darja Isaksson says that what she brings with her from the seminar is that there is a consensus today. The transition to a sustainable society is the key to competitiveness.

- What remains is to develop the ability to collaborate in parallel, not in sequence and preferably in Nordic and European contexts, says Darja Isaksson

Robert Andrén agrees, and adds:

- Let us be clear, the changeover is not a zero-sum game. There are winners and losers, and we must dare to bet on those who are winners in the transition, says Robert Andrén.

Programme with time indications:

  • Moderator Viktoria Raft (00.00-02: 09)
  • What is needed for us to strengthen the crisis and cope with change? (02: 08 to 7,782,278: 18)
  • Darja Isaksson, director general Vinnova. Time: 02:10 - 08:25 and 14: 20-16: 23
  • Robert Andrén, director general Swedish Energy Agency. Time: 08:52 - 14:18
  • In our neighboring countries Finland and Norway, large R&D investments are being made in the wake of the crisis. Time: 16: 30-24.24
  • Nina Kopola, director general Business Finland talks about the ongoing effort being made to Finnish companies totaling approximately SEK 20 billion.
  • Anne Kjersti Fahlvik, Research Council of Norway, tells about Norway's targeted investments in green conversion worth 3.7 billion and another 7 billion Norwegian kroner.
  • Minister of Trade and Industry Ibrahim Baylan comments on what Sweden is doing for the business community in the crisis and how the government reasons in the future. Time: 24: 25-32: 30
  • The business panel answers what is needed for a climate-smart restart: 33:00 - 56:18
  • Eva Vitell, CEO Hybrit 33.00-37: 00
  • Niklas Gustafsson, Environmental Director Volvo Group: 37: 05-44: 30
  • Johan Kuylenstierna, Vice Chairman of the Climate Policy Council 44: 35-52: 42.
  • Closing words from Darja Isaksson and Robert Andrén: 57:00: 01.00.05:

Last updated 14 July 2020