Deutsche Bank Admits EU Will Need ‘Eco-Dictatorship’ to Implement Green New Deal

Following President Joe Biden’s announcement that the United States would be rejoining the Paris Climate Accords and subsequent reiterations about pursuing a ‘net zero’ carbon emissions goal by sometime between 2030 and 2050, many are left asking how is such a radical transition in energy markets and usage practical, let alone even possible?

A senior economist at Deutsche Bank warns that for the EU’s own Green New Deal to succeed, “a certain degree of eco-dictatorship will be necessary.”

Needless to say, the implications of this are far-reaching, and will penetrate every level of society and the political economy. As this author aptly points out, in order to achieve carbon neutral by 2050, Europe’s economy and entire political and legal systems will have to be fundamentally altered.

The Global Warming Policy Forum reports…

An analysis published by Deutsche Bank sharply criticises the “dishonest debate” with which the EU is selling its “Green Deal” to the people of Europe. The massive risks of the project for prosperity, the economic system and democracy itself should not be concealed, but should be addressed openly.

Eric Heymann, a senior economist at Deutsche Bank Research, warns that Europe’s Green Deal and its goal of climate neutrality by 2050 threatens a European mega-crisis, leading to “noticeable loss of welfare and jobs”. And he warns: It won’t work without “a certain degree of eco-dictatorship”.

The analyst describes it as dubious that the Green Deal is being touted across the board as “a new growth strategy” which would allow the EU to become a “fair and prosperous society.” While this may look good on paper, Heymann writes, in order to achieve carbon neutral by 2050, Europe’s economy and its entire political and legal systems will have to be changed fundamentally.

Some parties will find arguments against strict climate protection policies if the latter lead to a significant increase in energy prices or to restrictions of personal freedom or ownership rights. And let us not fool ourselves: these parties will find voter support. At the EU level, there will be major conflicts about distribution, which may contribute to (further) divisions within the bloc. Are we ready to deal with this polarisation?

For the time being, the revolutionary consequences of the EU’s climate agenda for everyday life are “still relatively abstract” and for most households “still acceptable.” Soon, however, the path towards climate neutrality will require drastic interventions in the choice of means of transport, the size of housing, the means of heating, the possession of electronic consumer goods, as well as restrictions in the consumption of meat and tropical fruits.

And he warns these restrictions and infringements will inevitably trigger “massive political resistance.” Read Full Article >