Von der Leyen's Speech: Continuing Climate Scare and Preparing for a New Pandemic

"Battlelines for a new world order based on power are being drawn right now.”

Continuing with the Green Deal and developing e-cars with tax money, age restrictions on social media, an even tougher fight against fake news, and preparing for a global health crisis. Alongside this, there is also the digital euro and European AI Gigafactories. These are the visions for the future that European Commission President Ursula von der Leyen outlined in her speech on Wednesday.

European Commission President Ursula von der Leyen said that Europe is currently fighting for integrity, peace, freedom, and independence, even though fundamentally the union is a peace project. “This summer showed us that there is simply no room or time for nostalgia. Battlelines for a new world order based on power are being drawn right now,” von der Leyen described the current situation to the parliament.

According to the President of the European Commission (EC), Europe as a whole must therefore fight for its place in the world. However, this fight does not mean a change of direction compared to the previous policy – according to her, climate policy, or the Green Deal, which some argue hinders economic development, must continue. In her opinion, more vigorous efforts should also be made to combat fake news, by investing money in the media and creating resilience programs. Such plans require various strategies, laws and requirements, that is, even more regulations, as well as sustainability and resilience centers, that is, even greater costs for European taxpayers, who are already struggling financially.

"And we must stay the course on our climate and environmental goals."

According to von der Leyen, Europe is firmly on track to meet the Green Deal’s 2030 target of reducing emissions by at least 55%. According to the president, we must remain committed to these climate and environmental goals. “The science is crystal clear,” the politician confirmed, adding: “And the economic and security case is equally compelling.”

She made this statement despite the fact that she herself was forced to admit to the same parliament that Europeans’ costs have risen and people are making sacrifices to make ends meet. However, according to her, European authorities have made considerable efforts: “So at the height of the energy crisis in the last years, Europe acted. And thanks to that common effort, we quickly managed to stabilise prices and secure supply. We are now on the path to energy independence,” said the president, although she acknowledged that energy prices remain too high and are a constant source of concern for citizens and businesses.

Of course, the president did not acknowledge that the European Union’s costly climate policy and unrealistic requirements are what is behind the high energy prices (we have discussed these issues in depth here, here, here, here and here). On the contrary, according to von der Leyen, dependence on Russia is solely to blame for the energy crisis. Therefore, in her words, it is now high time to “get rid of dirty Russian fossil fuels.” Von der Leyen also reiterated her firm belief that energy prices will be lowered by so-called clean domestic energy, that is, solar panels and wind turbines, which have to increase. However, such claims are easily refuted when looking at the price of electricity in Germany, for example, which has invested heavily in wind and solar energy. The addition of unstable wind and solar energy to the grid is also causing increasing problems for grid operators, which can result in major power outages, as happened in Spain and Portugal at the end of April. According to von der Leyen, Europe faces the challenge of investing even more in so-called clean energy infrastructure and networks, building them faster and creating Energy Highways.

Von der Leyen said that the Commission has also made a proposal for the 2040 targets, and although many are concerned about the scale of the task, the president reassures us that “the transition must support people and strengthen industry.” Public and private sectors alike need to invest more, and the EU plans to create a functioning circular economy, and lead markets for environmentally friendly products. To ensure a fair transition, there are plans to create a Social Climate Fund, and the promotion of carbon pricing around the world should secure a global level playing field. However, the fact remains that only Europe has imposed a high tax on CO₂, and the rest of the world has not followed suit, which means that now Europe isn’t able to remain competitive.

"I believe Europe should have its own E-car."

The automotive industry is tightly linked to climate policy, with car manufacturers considering the requirements for an electric future to be unrealistic and the benefits of electric cars to be overstated (see, for example, here, here, here, here and here). Von der Leyen did not ignore the automotive industry in her speech and considers it to be the cornerstone of the European economy and industry, and the pride of Europe. However, her political plan stands in stark contrast to the assessment of car manufacturers.

“And millions of Europeans want to buy affordable European cars. So we should also invest in small, affordable vehicles. Both for the European market, but also to meet the surge in global demand,” said von der Leyen. However, since affordable vehicles, especially electric cars, are still a rarity in Europe (see, for example, here, here and here), the Commission intends to launch a project for small, affordable cars. “I believe Europe should have its own E-car,” said the politician, emphasizing: “E for environmental – clean, efficient and lightweight. E for economical – affordable for people. E for European – built here in Europe, with European supply chains.” The Commission President is certain that China must not be allowed to conquer this market, because “no matter what, the future is electric, and Europe will be part of it.”

Europe needs an Anti-Poverty Strategy, a Quality Jobs Act, and an Affordable Housing Plan.

When it comes to poverty, the Commission President says that energy prices, which have already been addressed, are important, but so are jobs, people and their livelihoods, and empowered workers. There are several ambitious documents planned to improve the labour market: the European Anti-Poverty Strategy and the Quality Jobs Act. The first would set out the steps to be taken by Member States until 2050 and help protect children from poverty by outlining measures to ensure affordability and the cost of living. The second would “ensure that modern employment keeps pace with the modern economy”.

Housing has also become a source of concern for many Europeans. “House prices are up by more than 20% since 2015. Building permits down by over 20% in five years,” the president lamented. In her view, this is no longer just a housing crisis, but a “social crisis” that is undermining Europe’s social structure, cohesion, and competitiveness. “Nurses, teachers, and firemen cannot afford to live where they serve. Students drop out because they cannot pay the rent. Young people delay starting families,” von der Leyen described.

To address housing concerns, the Commission plans to launch a European Affordable Housing Plan, which would make housing more affordable, sustainable, and of higher quality. According to the Commission President, State aid rules need to be changed to enable housing support measures, simplify the construction of new houses and student apartments, and propose a legal initiative on short-term rentals. The only question that remains is how will the plan fits with climate targets, as the commitment to reduce carbon dioxide emissions suggests that the future looks rather challenging in cold regions. Energy efficiency requirements in the form of renovation obligations and permitted types of heating do not bode well for affordable housing.

Europe is on the brink of a global health crisis, democracy is under attack, and we need to fight misinformation more effectively

According to von der Leyen, Europe is on the brink of a new global health crisis, or perhaps it has already begun. But the most serious problem for her is misinformation, which threatens the world’s progress in combating serious diseases, from measles to polio. It is important to note, of course, that the authorities’ approach to misinformation in the context of the coronavirus crisis does not mean that they actually combated misinformation, but rather that facts that were, for some reason, unwelcome to the authorities were also labeled as false. In any case, von der Leyen’s solution to combating this so-called misinformation is the Global Health Resilience Initiative, which Europe intends to lead.

In addition to health information, von der Leyen believes that democracy in general is under attack – manipulated information and misinformation divide societies and undermine trust in the truth. Here, the Commission President believes that Europe urgently needs a European Democracy Shield and greater capacity to monitor and detect information manipulation and disinformation. Implementing this program will, of course, require the creation of yet another European Union agency – the European Center for Democratic Resilience. Based on the limited information currently available, this could be compared to the UK communications regulator Ofcom, which is also actively combating misinformation and prioritises protecting children in its stated objectives (see also here and here).

Von der Leyen specifically pointed out that traditional media outlets are struggling in many EU countries. This has created many news deserts, where disinformation spreads and this is extremely dangerous for democracy. “And when independent media are dismantled or neutralised, our ability to monitor corruption and preserve democracy is severely weakened,” von der Leyen said, adding: “This is why the first step in an autocrat’s playbook is always to capture independent media. Because this enables backsliding and corruption to happen in the dark.” In any case, von der Leyen believes that the EU must do much more to protect the media and independent press, and to this end, it plans to launch a Media Resilience Program that supports journalism and media literacy and through which the EC can channel significant funds into the media. At this point, however, it is appropriate to recall the stories we have previously discussed as a kind of taboo topics in Europe (e.g. immigration, the origin of the coronavirus, the safety of vaccination, etc.), where the media often contribute to limiting opinions, false-checking facts, and amplifying cancellation (see, for example, here, here, here).

"Our friends in Australia are pioneering a social media restriction."

Von der Leyen also addressed social media in more detail in her speech, primarily focusing on children’s unrestricted access. “As a mother of seven and grandmother of four, I feel anxious for parents who are doing their best to protect their children. These parents worry that when their children pick up a phone, they may be exposed to a wide range of dangers just by scrolling through the screen,” von der Leyen explained. As examples, the politician cited online bullying, access to adult content, self-harm propaganda, and algorithms that seek to create addiction in children.

“Just as in my youth, we as a society taught children not to smoke, drink, or view adult content before a certain age. I believe it is time to consider doing the same with social media. Our friends in Australia are pioneers in restricting social media,” said von der Leyen. She confirmed that she is closely monitoring Australia’s example to determine Europe’s next steps and promised a preliminary plan by the end of the year. Indeed, there are now similar examples of age verification elsewhere, and trials are also being conducted in European countries.

There are no plans to restrict immigration, but it is necessary to restrict the work of human traffickers

The last topic addressed by Ursula von der Leyen, and which can therefore be considered the least prioritised, was immigration. She emphasised the need to triple funding for migration and border management in the next budget. “The people of Europe have shown that they are willing to help those fleeing war and persecution,” said the EC President, but public frustration grows when the rules are not followed. Von der Leyen therefore considers it crucial that if someone is denied asylum, their return must be taken seriously, and the migration and asylum pact must be fully implemented. According to the politician, Europe must decide who comes here and under what conditions, not human traffickers and smugglers. The latter’s business model must be dismantled, and the EU needs a new sanctions regime targeting human traffickers and smugglers to freeze their assets, restrict their movements, and cut their profits. However, Ursula von der Leyen did not address other problems associated with immigration, such as increased crime, difficulties with school slots and accommodation, immigration’s costs to the countries, and other similar issues (see also here, here, here, here,here, here, here, here, here and here).