/ESHA_conference_RES_directive_and_NR by Info Esha

EU renewable energy policy and legislative framework â&#x20AC;&#x201C; RES Directive and the NREAP Hydropower Seminar Brussels, 2nd October 2009 Andrea Hercsuth DG TREN, Regulatory Policy and Promotion of Renewable Energy EUROPEAN COMMISSION

Policy background

 Content

. . . .

EU renewable energy policy background and instruments The implementation of Directive 2001/77/EC The new legislation: Directive 2009/28/EC

Other aspects to be taken into account RENEWABLE ENERGY DIRECTIVE

Policy background

 EU renewable energy policy background and instruments

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 Bases of the European Energy Policy

Energy efficiency and renewable energy sources

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Policy background European Renewable Energy (RES) policy

• Green Paper in 1996, then White Paper in 1997 (12% RES by 2010) • Directive 2001/77/EC national targets for RES electricity by 2010 (EU target: 21%)

• Directive 2003/30/EC national targets for RES in transport by 2010 (EU target: 5,75%)

absence of legislative framework for heating and cooling

• Directive 2009/28/EC EU and national binding overall RES targets and minimum transport target (EU targets: 20% and 10%)

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Policy background

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The implementation of a directive – Dir. 2001/77/EC

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The Renewable Electricity Directive 2001/77/EC 

1. 2. 3. 4. 5. 6. 7.

Sets indicative national targets for renewable electricity shares by 2010 – Member States have to confirm targets; EU target 21% Requires “appropriate steps to encourage greater consumption of electricity produced form renewable energy sources… in conformity with the national indicative targets ” Introduces the possibility of using support schemes in Member States (without prejudice of Articles 87 and 88 of the Treaty, however could have effect of restricting trade – based on Art. 6 and 174 of the Treaty) – possibility for Commission to propose Community framework Requires the introduction of guarantees of origin – enabling producers to demonstrate origin of electricity Requires evaluation of administrative procedures with the view to reducing barriers Requires clear rules on grid issues (connection cost sharing, priority dispatch)

Requires periodical reporting of Member States and Commission on implementation and progress

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 Progress in electricity from RES

. . .

RES-E share of 15,7% (2006) - up from 14,5% in 2004 2010 RES-E target: 21% still significant additional effort needed RES-E growth driven by a small number of Member States and technologies Bottlenecks:

» » »

Administrative barriers Grid constraints Low support in certain MSs

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Policy background



The new element of legislation: Directive 2009/28/EC

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 The Renewable Energy Directive

1. 2. 3. 4. 5.

Sets mandatory national targets for renewable energy shares, including 10% renewables share in transport (also RES-E), in 2020 Requires National Action Plans

Introduces the possibility of statistical transfers, joint projects and joint support schemes between Member States and of joint projects between Member States and 3rd countries to provide flexibility to Member States in reaching their targets Requires reduction of administrative barriers to the growth of renewable energy, improvements in provision of information and training and improves renewables’ access to energy grids Creates a sustainability regime for biofuels

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 Target setting BE BG CZ DK DE EE IE EL ES FR IT CY LV LT LU HU MT NL AT PL PT RO SI SK FI SE UK

13%

2.2%

16%

9.4% 6.1%

RES share in 2005

13% 30%

17.0% 5.8%

RES share in 2020

18% 25%

18.0% 16%

3.1%

18%

6.9%

20%

8.7%

23%

10.3% 17%

5.2% 13%

2.9%

40%

32.6% 23%

15% 11%

0.9%

13%

4.3% 10%

14%

2.4%

34%

23.3% 7.2%

15% 31%

20.5% 17.8% 16% 6.7%

24% 25%

14% 28.5%

38% 39.8%

1.3%

49%

15%

Based on 2005 starting point, recent progress and a balanced sharing of the effort, 11 RENEWABLE ENERGY DIRECTIVE | weighted by GDP/capita

 National Renewable Energy Action Plans Required by June 2010 based on template adopted by Commission in C(2009) 5174-1

.. .

Sectoral targets and estimated trajectory set by Member States Adequate measures to achieve the targets » Support schemes » Administrative procedures, regulations and building codes » Information and training » Necessary electricity grid development » Environmental sustainability scheme for biofuels and bioliquids » Biomass policy » Planned use of joint projects and statistical transfers Involvement of local and regional authorities in preparing NAPs and raising awareness

Provides policy stability for investment RENEWABLE ENERGY ENERGY DIRECTIVE DIRECTIVE RENEWABLE

Policy background

 The content of the NREAPs (Annex VI) 1. Summary of national renewable energy policy 2. Expected final energy consumption 3. Targets and trajectories (national and sectoral) 4. Measures for achieving the targets 5. Assessments RENEWABLE ENERGY DIRECTIVE

 Flexibility mechanisms (1) – why are they needed? Potential %

Flat rate/ GDP %

Potential %

Flat rate/ GDP %

Potential %

Flat rate/ GDP %

Austria

Germany

Netherlands

Belgium

Greece

Poland

Bulgaria

Hungary

Portugal

Cyprus

Ireland

Romania

Czech Rep.

Italy

Slovakia

Denmark

Latvia

Slovenia

Estonia

Lithuania

Spain

Finland

Lux.

Sweden

France

Malta

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 Flexibility mechanisms (2) – the instruments

. . ..

Fair distribution

Efficiency

Statistical transfers between Member States if “seller” is on track to reach its targets (RES) Joint projects between Member States (RES-E or RESH&C) Joint support schemes in MSs (RES) Joint projects between Member States and 3rd countries (RES-E) – only if electricity consumed in the Community

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 Administrative procedures

Ensure that national rules on authorisation procedures are proportionate and necessary:

» Coordinated, defined responsibilities at national – regional - local level, transparent timetables

» Comprehensive information on the processing of applications and on assistance available

» Streamlined administrative procedures » Objective, transparent, non-discriminatory rules » Transparent, cost-related administrative charges » Simplified, less-burdensome procedures for small installations

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 Planning, building codes, information and

. . .

training

Recommend the use of renewable energy sources and district heating – for planning of residential and industrial areas, city infrastructure planning

Measures to be introduced in building regulations and codes to increase RES share in buildings sector Information support measures and awareness raising RENEWABLE ENERGY DIRECTIVE RENEWABLE ENERGY DIRECTIVE

 Challenges concerning the grid •

RES-E development and electricity grid

• • •

•

Administrative procedures Technical adaptation Financing

System design criteria:

• • • •

Large amounts of variable generation (wind, solar, wave and tidal) Increased distributed generation Remote huge (and variable) resources Energy efficiency and overall efficiency

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Grid infrastructure

. . .

Requires Member States to » develop transmission and distribution grid infrastructure, intelligent networks, storage facilities, interconnections » to accelerate authorisation procedures for grid infrastructure » to coordinate approval of grid infrastructure with administrative and planning procedures

Cost sharing and cost bearing rules (transparent, objective, nondiscriminatory) and their revision every two years

TSO and DSO to provide comprehensive and necessary information to new producer (cost estimation,RENEWABLE timetables) RENEWABLE ENERGY ENERGY DIRECTIVE DIRECTIVE

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Grid operation

Requires Member States to ensure

Non discriminatory tariff charges

» » »

guaranteed or priority grid access priority dispatch appropriate grid and market related operational measures to minimise curtailment (system operator to report to Regulator)

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Policy background

 Other aspects to be taken into account

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 Other aspects to be taken into account

.. . .

Internal electricity market legislation State aid rules – Guidelines on State Aid for Environmental Protection (2008/C 82/01) Environmental legislation (Natura 2000, water framework directive, etc.) Certifications and standards

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Policy background

 Further steps

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What is next? Directive entered into force in June 2009, to be implemented by Member States by December 2010

In 2009 the EU Commission will:

» »

report on biomass sustainability criteria refine biofuel sustainability criteria

National Action Plans are due by June 2010

In following years the Commission will report on:

» » »

indirect land use change on areas with low agricultural GHG emissions RENEWABLE ENERGY DIRECTIVE sustainability verification methods

For more information: http://ec.europa.eu/energy/index_en.html Andrea.Hercsuth@ec.europa.eu

 Thank you for your attention! RENEWABLE ENERGY DIRECTIVE

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Guarantees of origin Purpose: proving to final customers the share or quantity of energy from RES in supplier's energy mix – no poof of target compliance

Requirements on information, format, period of use Taken into account only once (same amount of energy) and only in one energy mix

MS may provide that no support granted Accurate, reliable, fraud-resistant

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