1. Energy 2020: A Strategy for competitive, sustainable and secure energy

2. A key sector for the economy and a major source of emissions
EU Total Final Energy
Consumption in 2008
Share of greenhouse gas
emissions in 2008
Total = Mtoe
Source: European Commission & EEA 2010

3. Uncompleted internal market: recent gas crises are illustrative
> 75 % %
25 – 50 %
< 25% 0%
% of missing gas supply – 300 mcm/d for 14 days 6-20 January 2009
Source: European Commission

4. Massive modernisation investment is needed
Total investment needs in the electricity and gas sector
between : over € 1 trillion
Power generation: ~ € 500 bn
Transmission and distribution: ~ € 600 bn
Renewables: ~ € bn
Distribution: ~ € 400 bn
Transmission: ~ € 200 bn
Investments of over € 1 trillion will be needed by 2020 to replace obsolete power plants, to modernise and adapt infrastructure to the latest technologies and to cater for demand for low carbon energy.
Source: Commission calculations

5. Meeting our “20-20-20 by 2020” goals
Reduce greenhouse gas levels by 20%
Increase share of renewables to 20%
Reduce energy consumption by 20%
100%
Current trend to 2020
Current trend to 2020
-20%
-10%
Current trend to 2020
20% 5

6. ENERGY STRATEGY 2020 5 PRIORITIES
Efficient use of energy
Integrated energy market
Secure, safe and affordable energy
Technological leadership
Strong international partnership

7. Priority 1 : achieving an energy-efficient Europe
Priority 1 : achieving an energy-efficient Europe
Action 1: Comprehensive national Energy Efficiency Actions plans
Action 2: tapping into the biggest energy saving potential – buildings and transport
Action 3: reinforcing the competitiveness of our industry
Action 4: reinforcing efficiency in the supply side

8. Priority 2: building a pan-European integrated energy market
Priority 2: building a pan-European integrated energy market
Action 1: timely and accurate implementation of the internal market legislation
Action 2: establishing a blueprint of the European infrastructure for
Action 3: removing technical and regulatory obstacles to infrastructure developments
Action 4: providing the right financing framework

9.  Action 1: making energy policy more consumer-friendly
Priority 3: protecting consumers and achieving the highest level of safety and security
Action 1: making energy policy more consumer-friendly
Action 2: continuous improvement in safety and security

10. Priority 4: extending Europe’s leadership in energy technology
Priority 4: extending Europe’s leadership in energy technology
Action 1: implementing the European Strategic Energy Technology Plan (SET-Plan) without delays
Action 2: launching four new, targeted, large scale European projects
Action 3: ensuring long-term EU technological competitiveness

11. Priority 5: strengthening the external dimension of EU energy policy
Priority 5: strengthening the external dimension of EU energy policy
Action 1: integrating energy markets and regulatory frameworks with our neighbours
Action 2: establishing privileged partnerships with key supplier and transit countries
Action 3: promoting the EU global role for a low-carbon energy future
Action 4: promoting legally-binding nuclear safety, security and non-proliferation standards worldwide

12.  NEXT STEPS New proposals from the Commission in 2011:
Infrastructure Instrument, with list of European priority infrastructure projects and analysis of needs and possible sources of finance for these projects (July)
Energy Efficiency Action Plan (March 2011)
Communication on an external energy policy (3rd quarter 2011, public consultations)
2050 Energy Roadmap (complementary to low-carbon and transport Roadmaps) (3rd quarter 2011)
Proposal on smart grids for end 2011
So what can we look forward to in 2011:
Full implementation of existing legislation is top priority;
Speedy adoption of proposals on the table, particularly REMIT;
Council has urged Commission to continue work on strategic technologies and on monitoring position of consumers in the internal market;
In addition, the Commission will present a number of new initiatives in 2011:
Infrastructure
Energy efficiency
External policy
2050 Roadmap
Smart grids
ENERGY 2020 12