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The Nexus between Climate and Energy Policies in Europe

Since the late 1990s, the European Commission has pursued a strategy to build an energy policy for Europe based on three main objectives for both internal and external activities: sustainability, competitiveness and security. While a market-oriented approach dominated for a number of years,more recently a paradigm shift towards policies led by energy sustainability has taken place at EU level.In response to increasing energy insecurity and climate change concerns, the European Union adopted an integrated energy and climate policy approach at the European Council in March 2007 and is implementing new EU-level policies dealing with greenhouse gas targets, renewable energy, energy efficiency, the development of carbon capture and storage, and climate/environmental standards for fuels. This paper explains how and why did this paradigm shift happen and what was the impact of the financial crisis on the energy-climate policy nexus in Europe.