Voice of the European textile and garment industry, Euratex has urged European Commissions and its member states to urgently support the industry in resolving the current industry crisis. The crisis is impacting competitiveness of European textile and clothing industry, says Euratex. The Commission needs to introduce a long-term vision to restore this competitiveness and achieve carbon neutrality, it adds. To achieve this vision, the Commission needs to fulfill the following 10 requirements, says Euratex to Kadri Simson, European Commissioner for Energy. Develop resilient supply chains

To lessen the impact of current energy crisis on the sector, the European Commission needs to develop resilient supply chains. It needs to ensure a safe supply with sufficient green energy at internationally competitive prices.

Boost infrastructure investments

To transform the industry into a sustainable one, the Commission needs to make significant investments in infrastructure. This will enable the industry to provide significant amount of renewable energy at competitive costs. It will also ensure a confirmed access to new renewable energy supplies.

Grant competitive prices in green energy

The European Commission needs to maintain price competitiveness in green energy at European or national levels till a global or at least G20 level of carbon price or other means for a global playing field in climate protection are implemented.

Prevent carbon leakage

The Commission needs to protect European textile and clothing companies from direct and indirect carbon leakage which hamper competitiveness from other countries or regions with less stringent climate ambitions.

Introduce solutions-based policy

Need to introduce a policy that supports solutions for the current energy crisis. The policy should grant subsidies for the hydrogen industry, energy grids, Research and Development, technology roadmap studies, etc.

Introduce dedicated approach for SMEs

A dedicated approach for SME needs to be put in place as they do not have the skills and knowledge to improve energy efficiency and become carbon neutral.

Provide Capex support for new technologies

Capex and Opex support for new breakthrough technology like hydrogen. Its Fit-for-55-Package needs to support the European Textile and Clothing industry in decarbonization and carbon neutrality besides establishing an internationally uniform, binding CO2 pricing, preferably in the form of a standard at G-7 / G-20 level.

Compensate gap between national and global prices

The Commission needs to introduce new state aid rules to compensate the gap between national energy or climate levies and a globally competitive energy price. This gap should not be viewed as a subsidy.

Focus on cost-effectiveness

Implement new measures to improve energy efficiency in confirmation with the current investment cycles. It needs to focus on the proportionality of costs without weakening the competitive position in EU internal market or with competitors outside the EU.