Sustainable development Improving competitiveness and protecting the environment are not necessarily in conflict. The Fifth Action Programme for sustainable development takes the view that internalisation of external costs and benefits could offer the best and most efficient way of integrating environmental concerns since it has the advantage that it is working with the market rather than against it. It is believed that in the medium term, at least, even if fiscal measures continue to be developed, the internalisation of external costs other than through taxation needs to be given a higher profile. Furthermore, energy efficient technologies and practice and energy conservation need to be fully exploited by mobilising all available and consistent with the competitiveness objective instruments to contribute to energy efficiency. In addition, given that they produce little or no pollution, the renewable energy sources should be promoted and offered an increased share in the EU's energy balance.
Energy is important and even fundamental for local activities and local life.
Consequently, the role of local authorities in the field of energy should be given more recognition in both national and Community energy policies. Technology and Energy Advanced energy technology can make a significant contribution to sustainable development, diversification and production of energy. This means improving collaboration between companies in different Member States by promoting integrated and clearly targeted projects with considerable potential for replication. It also means establishing close cooperation and understanding between the different stages of technology development and measures to improve their market application. Therefore, the Commission will compile a database and atlas of energy technology to help establish EU needs and demands in this area and develop priorities for Community activities.