EUROPEAN COMMISSION

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EU Energy Efficiency Policy Dr. Karl
Kellner , Adviser DG Energy and Transport
European Commission New and Renewable Sources
of Energy, Energy Efficiency and
InnovationEnergy Efficiency 2009 Seminar-
VILNIUS , 24 Nov.2009
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EUROPEANCOMMISSION
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Political and Economical Motivation
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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
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ENERGY FOR A CHANGING WORLD
LIMITING CLIMATE CHANGE TO 2 C
ACTION PLAN 2007-2009
GREEN PAPER ENERGY
ENERGY POLICY FOR EUROPE
ENERGY PACKAGE 2007
SPRING EUROPEAN COUNCIL 2007
SPRING EUROPEAN COUNCIL 2006
EXTERNAL RELATIONS
INTERNAL MARKET
SUSTAINABILITY AND LOW-CARBON ECONOMY
JOINT COMMISSION/ HR / COUNCIL JUNE 2006 PAPER
AND COM PAPER OCT 2006
SUSTAINABLE FOSSIL FUEL TECHNOLOGIES
DG COMP SECTOR INQUIRY
RENEWABLES RD MAP PROPOSAL FOR DIRECTIVE JAN
ILLUSTRATIVE NUCLEAR PROGRAMME (PINC)
REPORT ON FUNCTIONING OF INTERNAL MARKET
PROGRESS REPORT BIOFUELS
NEGOTIATION MANDATE FOR NEW AGREEMENT WITH RUSSIA
PROGRESS REPORT RES ELECTRICITY
PRIORITY INTERCONNECTION PLAN
DIALOGUE WITH PRODUCERS OPEC-NORWAY-GCC- ALGERIA-
CASPIAN BASIN (BAKU PROCESS)
ENERGY EFFICIENCY ACTION PLAN (19 OCT 2006)
DIALOGUE WITH CONSUMERS CHINA, US, INDIA, JAPAN
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2nd Strategic Energy Review (SER, Nov 2008)
focus on energy security - new political momentum
to develop a European approach completes 1st
SER
Competitiveness

• Integrated approach
• Mutually reinforcing

Security of supply
Sustainable Development
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The 20-20-20 EU policyby 2020
100
-20
-20
20
8,5
Greenhousegas levels
Energyconsumption
Renewables inenergy mix
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Europes strategy and leadership role1st
Strategic Energy Review 20-20-20 by 2020
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
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AGENDA

• Main energy savings policy areas
• New policy developments
• Future challenges and responses

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AGENDA

• Main energy savings policy areas
• New policy developments
• Future challenges and responses

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

• Mobilisation of the
• general public
• policy-makers
• market actors
• to achieve the
• 20 primary energy savings objective

• 2007 - 2012 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

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Comprehensive set of legislation to enhance
energy efficiency
Proposal for revision in 2008

• Energy end-use efficiency and energy services
  Directive (ESD)

Services
Buildings

• Energy performance of buildings Directive (EPBD)

• Directive on the promotion of cogeneration (CHP)

Generation

• 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
Eco-Design

• 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)

Taxation

• Directive for the taxation of energy products and
  electricity

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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.

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Visibility of EU legislation for consumers
Energy performance certificates
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Support measures and networks on energyefficiency
Covenant of Mayors
Sustainable Energy Europe Campaign
ManagEnergy Network
Networks
EACI project funding Intelligent Energy
Europe (IEE)
EMAS Scheme
Projects in FP 7 incl. CIVITAS, CONCERTO
Measures programmes
Buildings Platform Build-up
Legislative implementation support
Concerted Actions
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Financing energy efficiency
EU Structural Cohesion Funds

• 2007-13 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 (LTmax.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 )

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HUDA apartment renovations

• 25M budget
• Residents fund 50
• Exterior wall, window and roof renovations

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Hospital and schools renovations

• 4.2M budget
• 2 hospitals and 1 school to be extended
• Roof and exterior wall cladding

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International co-operations on energy efficiency
International Organisations

• 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
  (gt 50 member countries)

Regional

• Energy Community Efficiency Task Force
• Baltic Sea Region Energy Cooperation (BASREC)

• Russia
• Brazil
• China
• India
• Norway
• USA

Bilateral
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AGENDA

• Main energy savings policy areas
• New policy developments
• Future challenges and responses

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Recent policy developments

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

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SER II - Energy efficiency is a key element of
the Energy Security and Solidarity Action Plan
Energy Security Solidarity Action Plan ( Nov.
2008)
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SER II - Key messages from the Communication on
Energy efficiency Delivering the 20 target

• Current policy measures insufficient to achieve
  20 saving objective in 2020

Appeal to MS to implement energy efficiency
legislation more swiftly and effectively
Immediate initiatives are proposed for buildings,
products and CHP
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
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EU objective 20 EU primary energy savings in
2020
2005 1705 Mtoe
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- 20
Objective in 2020 1474 Mtoe
Source European Commission
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Target Energy Saving Potential 20 by 2020

• Energy efficiency potential in different
  sectors¹
• Manufacturing industry up to 27
• Transport up to 30
• Commercial buildings up to 26
• Households up to 25 ( LT gt35 ?)
• ¹ Wuppertal Institute 2005.

• Directorate-General for Energy and Transport

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Role of the Building Sector
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• 40 of EUs energy use
• 36 of EUs CO2 emissions
• Cost-effective energy savings potential 30
  by 2020
• 9 of GDP, 8 of employment and 2 trillion
  annual turnover
• Key EU legislation Energy Performance of
  Buildings Directive (EPBD, 2002/91/EC)

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Energy Performance of Buildings Directive
recast(1)
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• Elimination of the 1000 m2 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
  newbuildings and major renovationsBenchmarking
  to achieve cost-optimal levels

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Energy Performance of Buildings Directive
recast(2)
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• 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
  carbonand energy buildings, such as passive
  houses
• Clarification/simplification of provisions
  anddefinitions

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Energy Performance of Buildings Directive
recast(3)
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• Political agreement between EU Institutions on 17
  Nov. 2009
• 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. 2017
• Next Step Energy Council 7 Dec.

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AGENDA

• Main energy savings policy areas
• New policy developments
• Future challenges and responses

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Investments in energy efficiency pay off 2030 -
Global GHG abatement cost curve beyond
business-as-usual
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Many remaining challenges

• Long decision making chain from Brussels to
  final consumers.

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.

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.
Lack of incentives for energy companies to take
savings measures for their clients despite their
key position
Reluctance from political decision makers to
touch upon delicate behaviour-related issues.
Lack of consumer awareness on the benefits of
energy savings.
and so on
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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

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ENERGY FOR A CHANGING WORLD
Further information - All documents
are available
on the climate and energy package
http//ec.europa.eu/energy/energy_policy/index_en.
htm
EC, DG TREN agencies, partners, programmes
http//www.managenergy.net
EC, Executive Agency for Competitiveness
and Innovation (EACI) Intelligent Energy -
Europe http//ec.europa.eu/eaci
Calls for proposals FP7 http//cordis.europa.eu/
fp7/dc/
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• Thank you for attention.
• Contact details
• Dr. Karl Kellner
• Adviser Dir. D - Directorate-General for Energy
  and Transport
• European Commission
• 24 rue Demot
• B - 1040 Brussels
• Tel [phone]
• E-mail karl.kellner_at_ec.europa.eu