Smart energy transition calls for inclusive approach

UG scientist Christian Zuidema discusses how we can jointly move towards a sustainable society. A smart transition requires a better distribution of advantages and disadvantages, he argues. 'The gap between the haves and have-nots is widening.'

Text: Jelle Posthuma

Winter in Groningen

At the height of the energy crisis in late 2022, Zuidema cycled down a street near the Pioenpark in Groningen early one morning. The ground was slightly frozen. Normally, at these temperatures, heavy gas fumes would rise from the many rooftop chimneys, but this morning only a few houses emitted smoke. According to the researcher, residents were forced to leave their heating off on this cold morning.

During the European Researchers' Night, Zuidema will talk about a smart energy transition together with energy technology specialist Bert Stuij. The transition to sustainable energy is moving rapidly, in fact faster than experts have been predicting. Many people now have solar panels on their roofs and a heat pump ensures a pleasant temperature inside. Large wind and solar farms are a fact in our landscapes. However, the example of the Groningen neighborhood during winter shows that the transition is by no means guaranteed for everyone.

Haves and have-nots

A smart transition is a social-inclusive transition, argues the Associate Professor. Not everyone with a home of their own has enough money to make it sustainable. For tenants in a poorly insulated home, the problem is possibly even bigger: they are dependent on their landlord. ‘As a result, the gap between the haves and have-nots is widening,’ the researcher knows. ‘Part of society is unable to become sustainable, which leads to a delay in the energy transition.’

Moreover, the difference between the haves and have-nots is unfair, he continues. 'The energy bill is mainly a challenge for the have-nots. Even before the energy crisis, in some Groningen neighbourhoods a fifth of the households could not consume the energy they desired. This group is left behind because they cannot make their homes more sustainable. While they pay energy tax, they do not receive sustainability subsidies funded from this tax. That is a strange reallocation of finances.' Ultimately, this distortion can contribute to polarisation in society, says Zuidema.

New schemes

Delay, inequality and polarisation all call for a smarter way of tackling the energy transition in the Netherlands. It is not easy, the researcher warns, but there are definitely opportunities. ‘For example, by making citizens collective owners of energy facilities instead of market parties.’ As an example, Zuidema mentions the large heating networks in Denmark. Also, the government will have to provide more guidance in making poorly insulated rental housing more sustainable.

To help citizens, the government can set up new financing schemes. 'For example, low-interest loans that allow citizens to participate in sustainable projects. They do not have to invest directly, but do benefit from the profits.' According to Zuidema, ‘unburdening’ citizens is crucial for these schemes to succeed. ‘Someone who is worried about the energy bill often does not have time to study the matter.’

In the end, it is about ensuring that social investments in sustainability also end up in the hands of the have-nots. He sees opportunities in spending the funds from Nij Begun, the extensive restoration package for Groningen, on a fair energy transition. The current 'omgevingsfonds' (environment funds), intended to compensate surrounding neighbourhoods and villages for projects such as wind farms, could also be better spent. ‘Do we want to use these funds to build a golf course or a new canteen for the snooker club, or do we use it to serve society as a whole?’

Costs and benefits

Improving the use of the environment fund is part of making energy systems local. ‘Renewable energy is ultimately far less expensive than fossil energy, but it requires huge investments in our infrastructure.’ Zuidema stresses that it is beneficial to keep these investments in the local system. ‘The money we pay for fossil energy is lost to foreign suppliers of oil and gas, and finally Manchester City ends up playing in the Champions League. Whereas the money we invest in renewable energy, which is locally or regionally owned, stays in our own system.'

Sharing the costs and benefits of the energy transition fairly is also about the distribution of scarce space in the Netherlands, the researcher knows. ‘Renewable energy requires a lot of space. The landscape changes because of wind turbines and solar parks.’ If local residents receive nothing in return, this landscape change will inevitably lead to resistance, Zuidema knows. ‘But if we let the profits flow back into the community, you will get a completely different conversation. To find physical space, we must create social space.’

The fair distribution of costs and benefits fits the (political) message ‘the broadest shoulders carry the greatest load’. According to Zuidema, the message is easy to adapt according to one's political preferences. 'You can look at it both morally and nationalistically. Take it to fight poverty, to save the climate, for Dutch business or to provide Dutch energy to Dutch citizens at a low price. The message fits all perspectives. It is up to politicians to put a spin on it, as long as we meet our goals.’