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EUROPEAN COMMISSION EU Energy Efficiency Policy Dr. Karl Kellner, Adviser DG Energy and Transport European Commission New and Renewable Sources of Energy,

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Presentation on theme: "EUROPEAN COMMISSION EU Energy Efficiency Policy Dr. Karl Kellner, Adviser DG Energy and Transport European Commission New and Renewable Sources of Energy,"— Presentation transcript:

1 EUROPEAN COMMISSION EU Energy Efficiency Policy Dr. Karl Kellner, Adviser DG Energy and Transport European Commission New and Renewable Sources of Energy, Energy Efficiency and Innovation Energy Efficiency 2009 Seminar- VILNIUS, 24 Nov.2009

2 Political and Economical Motivation Environment: Climate change: limit temp.increase +2 degrees C Financial and Economic Crisis: EUs Economic Recovery Plan Social & Economic: Recent energy prices and their volatility Security & Economy: EU Energy Import Dependency - Forecast:

3 ENERGY FOR A CHANGING WORLD EXTERNAL RELATIONS ILLUSTRATIVE NUCLEAR PROGRAMME (PINC) SUSTAINABLE FOSSIL FUEL TECHNOLOGIES INTERNAL MARKET REPORT ON FUNCTIONING OF INTERNAL MARKET DG COMP SECTOR INQUIRY PRIORITY INTERCONNECTION PLAN PROGRESS REPORT RES ELECTRICITY PROGRESS REPORT BIOFUELS RENEWABLES RD MAP PROPOSAL FOR DIRECTIVE JAN SUSTAINABILITY AND LOW-CARBON ECONOMY ENERGY EFFICIENCY ACTION PLAN (19 OCT 2006) JOINT COMMISSION/ HR / COUNCIL JUNE 2006 PAPER AND COM PAPER OCT 2006 DIALOGUE WITH PRODUCERS: OPEC-NORWAY-GCC- ALGERIA-CASPIAN BASIN (BAKU PROCESS) NEGOTIATION MANDATE FOR NEW AGREEMENT WITH RUSSIA DIALOGUE WITH CONSUMERS: CHINA, US, INDIA, JAPAN ACTION PLAN ENERGY PACKAGE 2007 ENERGY POLICY FOR EUROPE GREEN PAPER ENERGY SPRING EUROPEAN COUNCIL 2007 R&D 7 TH FRAMEWORK PROGRAMME STRATEGIC ENERGY TECHNOLOGY PLAN (Nov 07) LIMITING CLIMATE CHANGE TO 2 ° C SPRING EUROPEAN COUNCIL 2006

4 2 nd Strategic Energy Review (SER, Nov 2008) – focus on energy security - new political momentum to develop a European approach – completes 1 st SER Integrated approach Mutually reinforcing Security of supply Competitiveness Sustainable Development

5 The EU policy by 2020 Greenhouse gas levels Energy consumption Renewables in energy mix -20% 100% +20% 8,5%

6 20% reduction in greenhouse gas emissions, compared to 1990 Emissions capping and trading – credible carbon price; demand for emissions reductions in developing countries Equivalent measures in other sectors 20% renewable energy in energy consumption – EU target, binding national targets derived Includes 10% biofuels in road transport fuel - binding minimum national target – contingent on sustainability 20% energy consumption to be saved, compared to baseline projections – throughout economy Europes strategy and leadership role: 1 st Strategic Energy Review : by 2020

7 AGENDA Main energy savings policy areas New policy developments Future challenges and responses

8 AGENDA Main energy savings policy areas New policy developments Future challenges and responses

9 Main policy areas to achieve energy savings Policy areas European Energy Efficiency Action Plan (EEAP) Comprehensive set of legislation Support programmes & energy efficiency networks International co-operations Financing Research & Development

10 OBJECTIVE European Energy Efficiency Action Plan Mobilisation of the general public policy-makers market actors to achieve the 20% primary energy savings objective : Implementation period for 85 measures in 6 priority areas: Dynamic energy performance requirements for energy-using products, buildings and energy services Improving energy transformation Moving on transport Financing energy efficiency, economic incentives and energy pricing Changing energy behaviour International partnerships ACTION PLAN

11 Comprehensive set of legislation to enhance energy efficiency Directive for the taxation of energy products and electricity Proposal for revision in 2008 Energy end-use efficiency and energy services Directive (ESD) Services Directive on the promotion of cogeneration (CHP) Generation Buildings Energy performance of buildings Directive (EPBD) Directive establishing a framework for the setting of eco- design requirements for energy-using products (implementing directives for e.g. boilers, refrigerators, freezers and ballasts for fluorescent lighting) Eco-Design Directives for labelling of e.g. electric ovens, air- conditioners, refrigerators and other domestic appliances Regulation of Energy Star labelling for office equipment Product Labelling Taxation

12 National Energy Efficiency Action Plans Main tool in the planning, implementation and monitoring of energy efficiency policy, also with the view to longer term objectives like the 20% by 2020 and beyond. Active policy development tool at the national, regional and local level. Translation of energy savings objectives into concrete and coherent measures and actions in each MS. Demonstrate the role of energy efficiency with regard to climate change and other relevant policy objective placing energy efficiency within a broader policy context - going beyond the reporting requirements of the ESD. Capturing synergies and avoid duplication. Trigger exchange of experiences and best practices between MS. Objectives Assessment of 1st NEEAPs Wide diversity of policy packages and individual measures targeting different end-use sectors – COM Working Doc. SEC/2009/889,June 09. Very heterogeneous in nature with regard to scope and coverage, the level of detail provided about measures and expected savings. Minimum reporting requirements of the ESD not always fulfilled. Gap between political commitment and concrete commitment in the Plan.

13 Visibility of EU legislation for consumers: Energy performance certificates

14 Support measures and networks on energy efficiency Covenant of Mayors Sustainable Energy Europe Campaign ManagEnergy Network EACI project funding Intelligent Energy Europe (IEE) EMAS Scheme Projects in FP 7 incl. CIVITAS, CONCERTO Buildings Platform Build-up Networks Measures & programmes Legislative implementation support Concerted Actions

15 Financing energy efficiency about 9 billion for RES & energy efficiency projects allocated (LT : 367 M ) New possibilities by change of ERDF allocation to EE/RE in existing housing in EU-27 (LT:max.138 M ) Reallocation of 91 M from priority 2 to 1 EIB and EBRD -JESSICA holding fund ( 227 M ) - EBRD : renovation private/public buildings ( 29 M ) under Ignalina Decom.Support Fund ( IIDSF) Call for urgent, coordinated measures, notably in buildings :. New PPP for research in construction etc ( FP7 call deadline 3 Nov. 09 ) EU Structural & Cohesion Funds Collaboration with IFI´s Recovery Action Plan

16 HUDA apartment renovations 25M budget Residents fund ~ 50% Exterior wall, window and roof renovations

17 Hospital and schools renovations 4.2M budget 2 hospitals and 1 school – to be extended Roof and exterior wall cladding

18 International co-operations on energy efficiency Russia Brazil China India Norway USA International Organisations Regional Bilateral International Partnership on Energy Efficiency Collaboration (IPEEC): G8 + China, India, Korea Heiligendamm Dialogue Process: G8 + Brazil, China, India, Mexico and South Africa. Energy Charter Protocol on Energy Efficiency (> 50 member countries) Energy Community Efficiency Task Force Baltic Sea Region Energy Cooperation (BASREC)

19 AGENDA Main energy savings policy areas New policy developments Future challenges and responses

20 Recent policy developments Energy efficiency is placed at the heart of EU energy policy Second Strategic Energy Review (SER II) Economic Recovery Plan

21 SER II - Energy efficiency is a key element of the Energy Security and Solidarity Action Plan Energy Security & Solidarity Action Plan ( Nov. 2008) Infrastructures, diversification Energy efficiency External relations Indigenous energy resources Emergency oil stocks, Gas crisis response mechanisms

22 Current policy measures insufficient to achieve 20% saving objective in 2020 Immediate initiatives are proposed for buildings, products and CHP Appeal to MS to implement energy efficiency legislation more swiftly and effectively More financing tools will be developed to enhance energy efficiency Assessment of the Energy Efficiency Action Plan ongoing as basis for a revised Action Plan SER II - Key messages from the Communication on Energy efficiency: Delivering the 20% target

23 EU objective: 20% EU primary energy savings in 2020 Source: European Commission 2005: 1705 Mtoe - 20% Objective in 2020: 1474 Mtoe - 13 %

24 Target Energy Saving Potential: 20% by 2020 Energy efficiency potential in different sectors¹: Energy efficiency potential in different sectors¹: Manufacturing industry: up to 27%Manufacturing industry: up to 27% Transport: up to 30%Transport: up to 30% Commercial buildings: up to 26%Commercial buildings: up to 26% Households: up to 25% ( LT >35 % ?)Households: up to 25% ( LT >35 % ?) ¹ Wuppertal Institute Directorate-General for Energy and Transport

25 Role of the Building Sector 40 % of EUs energy use 36 % of EUs CO 2 emissions Cost-effective energy savings potential: ~30 % by % of GDP, 8 % of employment and 2 trillion annual turnover Key EU legislation: Energy Performance of Buildings Directive (EPBD, 2002/91/EC)

26 Energy Performance of Buildings Directive – recast(1) Elimination of the 1000 m 2 threshold for existing buildings when they undergo a major renovation Eliminating/lowering of the threshold also for - Display of Energy Performance Certificates in public buildings - Assessment on installation of alternative systems for new build Minimum energy performance requirements for new buildings and major renovations: Benchmarking to achieve cost-optimal levels

27 Energy Performance of Buildings Directive – recast(2) Strengthening the role and the quality of energy performance certificates – i.a. quality checks and use of the performance indicator in advertisements for sale or rent Strengthening the role and the quality of inspections (HVAC) Addressing the public sector to act as leading example Stimulating the market entry of low/zero carbon and energy buildings, such as passive houses Clarification/simplification of provisions and definitions

28 Energy Performance of Buildings Directive – recast(3) Political agreement between EU Institutions on 17 Nov Issuance and Display of certificates Financing : European Commission statement Public sector to act as leading example Nearly zero energy buildings ( not low energy) Cost optimal methodology : benchmarking process Review by Jan Next Step : Energy Council 7 Dec.

29 AGENDA Main energy savings policy areas New policy developments Future challenges and responses

30 Investments in energy efficiency pay off Global GHG abatement cost curve beyond business-as-usual

31 Many remaining challenges… …Long decision making chain from Brussels to final consumers. …Lack of incentives for energy companies to take savings measures for their clients despite their key position …27 Member Sates : different climate, economy, consumers habits. …Many energy saving actions are not in the scope of internal market, demanding special attention to subsidiarity. …Slow implementation speed of the existing legislation. …Lack of consumer awareness on the benefits of energy savings. …Complexity of financing : small scale actions and missing organisational and administrative structures. …Mixing up of energy efficiency and actual energy savings in the policy debate, ignoring the difficulties of measuring energy savings. …Reluctance from political decision makers to touch upon delicate behaviour-related issues. … and so on

32 Next steps Saving energy is what matters: improved Energy efficiency is a means to achieve the 20% energy saving objective at EU level Review of Energy Efficiency Action Plan (ongoing ) All sectors covered: households, services, transport, industry, energy supply and transmission

33 on the climate and energy package ENERGY FOR A CHANGING WORLD EC, DG TREN: agencies, partners, programmes EC, Executive Agency for Competitiveness and Innovation (EACI) Intelligent Energy - Europe Calls for proposals – FP7 Further information - All documents are available Further information - All documents are available

34 Thank you for attention. Contact details: Dr. Karl Kellner Adviser Dir. D - Directorate-General for Energy and Transport European Commission 24 rue Demot B Brussels Tel:


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