Montenegro Ministry of Economy Energy sector of Montenegro - present situation and future plans - Author: Božidar Pavlović ENERESE Workshop - Niš, 04.04.2013. Content • • • • • • Strategic guidelines Legal framework Energy production/consumption Energy indicatiors for Montenegro RES potential in Montenegro EE potential in montenegro ENERESE Workshop - Niš, 04.04.2013. Strategic guidelines • Energy is identified as one of the main factors of economic development • Main priorities and key strategic guidelines of energy policy are: security in terms of energy suply, development of competitive energy market and sustainable energy development • Strategic documents in the field of energy: – Energy Policy of Montenegro until 2030 (from 2010) – Energy Development Strategy of Montenegro until 2025 (the document is currently updated) (from 2007) ENERESE Workshop - Niš, 04.04.2013. Legal framework • Membership in the Energy Community and the obligation related to implementation of certain directives and regulations for Montenegro represents a mitigating circumstance in terms of defining the legal framework • Legislative framework in the field of energy is relatively new and the work on defining the regulatory framework for certain areas is intensive • Legislative framework in the field of energy: – Law on Energy (May 2010) – Law on Energy Efficiency (May 2010) ENERESE Workshop - Niš, 04.04.2013. Law on Energy - transposed • Directive 2001/77/EC of on the promotion of electricity produced from renewable energy sources in the internal electricity market; • Directive 2009/28/EC on the promotion of the use of energy from renewable sources and amending Directive 2001/77/EC and Directive 2003/30/EC • Directive 2005/89/EC measures to safeguard security of electricity supply and infrastructure investment; • Directive 2004/8/EC on the promotion of cogeneration based on a useful heat demand in the internal energy market • Directive 2009/119/EC imposing an obligation on Member States to maintain minimum stocks of crude oil and/or petroleum products ENERESE Workshop - Niš, 04.04.2013. Law on Energy – new obligations • Directive 2003/30/EC on the promotion of the use of biofuels or other renewable fuels for transport • Third package of legislation for the internal energy market (EU) - deadline by January 1st, 2015. – Directive 2009/72/EC on common rules for the internal electricity market – Directive 2009/73/EC (13 July 2009) on common rules for the internal market in natural gas ENERESE Workshop - Niš, 04.04.2013. Law on Energy Efficiency - transposed • Directive 2006/32/EC on energy end-use efficiency and energy services • Directive 2002/91/EC on the energy performance of buildings repealing Directive 2002/91/EC • Directive 92/75/EEC on the energy labeling of household apliances, and associated implementation directives for individual appliances • Directive 2005/32/EC establishing a framework for the setting of ecodesign requirements for energy–using products ENERESE Workshop - Niš, 04.04.2013. Law on Energy Efficiency – new obligations • In a meantime all 4 mentioned directives are repealed, and Montenegro have obligation to harmonize developed legislation with requirements of the new directives: – Directive 2012/27/EU on energy efficiency, amending Directives 2009/125/EC and 2010/30/EU and repealing Directives 2004/8/EC and 2006/32/EC – Directive 2010/31/EU on the energy performance of buildings repealing Directive 2002/91/EC – Directive 2010/30/EU on the indication by labelling and standard product information of the consumption of energy and other resources by energy-related products (recast) and implementing regulations – Directive 2009/125/EC establishing a framework for the setting of eco design requirements for energy-related products (recast) and implementing regulations ENERESE Workshop - Niš, 04.04.2013. Legal framework - priorities • Regarding the legal framework the work plan priorities should be as follows: – Transposition and steps towards the implementation of the Third Package on the Internal Market in accordance with stated Decision, – Transposition of the requirements of the new directives in the field of energy efficiency, – Preparation and implementation of Action Plans for energy efficiency and renewable energy, – Expansion of the Acquis to rules on energy statistics, RES and oil reserves ENERESE Workshop - Niš, 04.04.2013. Institutional framework • Ministry of Economy (ME) is the ministry responsible for energy, Within the ME three sector cover energy issues: Sector for Energy, Sector for Energy Efficiency and Sector for Mining and Geological Explorations. • Energy Regulatory Agency (ERA) has authorisation to regulate the energy sector in Montenegro, in accordance with the Law. • Elektroprivreda Crne Gore (EPCG AD) is the holder of three licenses for: (i) generation, (ii) distribution of electricity and distribution system operator (DSO) and (iii) supply of electricity • Crnogorski elektroprenosni sistem Crne Gore (CGES AD) was unbundled from EPCG AD in 2009. CGES AD owns two licenses: for transmission system operator (TSO) and transmission of electricity. • Crnogorski operator tržišta električne energije (COTE Ltd) was unbundled from CGES AD in December 2010 with the Decision of the Government of Montenegro and own a license for electricity market operator. ENERESE Workshop - Niš, 04.04.2013. Gross domestic energy consumption 1990-2010 (PJ) 60.000 50.000 1.56 1.83 2.76 14.21 2.48 17.81 22.91 23.40 19.53 18.82 19.31 19.13 19.12 18.69 16.36 15.00 13.64 16.94 17.53 3.14 40.000 30.000 2.12 Stock change + international bunkers Net import (import-export) 28.92 18.57 25.11 19.68 23.08 2006 24.48 2004 21.64 22.59 2003 2005 22.60 21.51 2000 2002 21.48 1999 18.87 22.20 1998 19.02 10.000 22.07 20.000 -10.000 ENERESE Workshop - Niš, 04.04.2013. 2010 2009 2008 2007 2001 1997 1990 - Primary production + recovered products Gross domestic consumption by carier 1990-2010 (PJ) 60.000 9.32 2.02 4.63 2003 2004 2005 2006 15.72 19.59 19.34 0.000 2001 Solid biomass and wastes (RES) *) 2007 2008 2009 ENERESE Workshop - Niš, 04.04.2013. Hydro Oil derivats 17.56 2002 10.53 15.97 15.13 3.83 6.65 6.44 4.77 14.41 13.51 2000 11.99 1999 9.94 Electricity (Net import/export and exchange with RS) 7.46 13.76 13.82 1998 10.33 13.29 10.55 13.53 12.17 10.000 1997 13.68 12.92 13.73 14.60 13.00 12.36 10.14 16.22 5.19 1990 6.30 6.72 2.02 6.39 1.79 20.000 8.06 5.55 16.91 6.12 5.54 2.02 8.63 3.96 2.02 2.02 15.64 1.45 6.43 4.67 5.71 2.15 2.02 14.71 6.18 1.43 1.59 2.31 16.00 1.37 1.39 6.08 30.000 3.65 4.98 2.05 3.26 3.57 4.78 40.000 7.33 6.79 50.000 2010 Coal Final energy consumption by sector 1990-2010 (PJ) 40.000 11.04 10.02 11.68 11.65 7.16 7.20 1990 Households, commerce, pub. auth. etc. Transport 14.43 15.33 9.57 10.94 11.01 9.30 8.25 14.62 9.77 6.99 14.47 10.01 6.36 13.76 10.13 5.73 13.39 9.27 5.57 13.05 8.85 6.86 12.15 8.52 7.74 11.23 8.03 7.20 10.34 8.17 6.18 8.42 10.60 5.000 4.31 10.000 16.22 15.000 10.83 20.000 5.48 25.000 7.02 30.000 10.80 35.000 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 ENERESE Workshop - Niš, 04.04.2013. Industry Gross electricity supply 1990-2010 (PJ) 20.000 18.000 16.000 4.77 14.000 6.43 9.94 3.83 5.07 2.48 4.64 3.10 4.33 3.59 3.85 4.31 4.42 2.61 3.01 4.10 4.000 2.000 - 1990 Net import (import - export) *) Hydro power plants (HPP Perućica, HPP Piva, sHPP) Thermal power plant (TPP Pljevlja) 7.46 4.63 5.55 6.30 5.71 3.84 3.96 6.12 3.73 6.39 6.18 3.44 5.19 6.000 3.65 8.000 6.72 4.98 6.79 9.32 8.06 10.000 4.78 6.44 6.65 4.67 6.08 7.33 3.57 3.26 5.54 12.000 0.01 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 ENERESE Workshop - Niš, 04.04.2013. Energy Indicators (2008-2010) No. Indicator Unit 2008 2009 2010 Energy intensity 2 (EI2): Final energy consumption / GDP (MJ/000 EUR2000) 22.751,64 20.168,25 20.032,39 2 Final electricity consumption per GDP (kWh/000 EUR2000) 2.425,73 2.015,71 2.214,64 3 Final energy consumption per capita GJ/capita 56,91 47,36 47,69 4 Final electricity consumption per capita kWh/capita 6.068,16 4.733,38 5.272,76 5 Share of gross electricity production from RES in gross electricity consumption (%) 32,66 54,21 66,21 6 Share of energy produced from RES in gross final energy consumption (GFEC) (%) 19,53 28,74 36,28 7 Emission of CO2 per capita t CO2/capita 4,83 3,34 4,66 Emission of CO2 per unit of GDP (kg CO2/EUR2000) 1,93 1,42 1,96 1 8 ENERESE Workshop - Niš, 04.04.2013. RES potential in Montenegro - consumption in 2008 - Figure 3.14: Gross inland consumption by energy form in 2008 (PJ, %) Solid biomass and waste (RES)*) 2.02 PJ; 4% Electrical energy (import and exchange) 6.79 PJ; 14% Coal 15.64 PJ; 32% Hydro energy 5.55 PJ; 11% Oil derivats 19.59 PJ; 39% ENERESE Workshop - Niš, 04.04.2013. RES potential in Montenegro - HPP • Hydropower: theoretical potential 10.6 – 10.8 TWh; technical potential 4.1 – 5 TWh • Project of construction of hydropower plants on Moraca river (4 power plants with installed capacity of 242 MW; annual energy production of 620-720 GWh; construction costs around 480 million euros). The last tender for the system of HPPs on the Moraca river failed (September 2011). • Process of valorization of the potential of the Komarnica river (168 MW of installed capacity; annual energy production of 232 GWh; construction costs around 160 million euros) ENERESE Workshop - Niš, 04.04.2013. RES potential in Montenegro - Small HPP and Wind • Projects of construction of small hydro power plants (13 concessions were granted, 35 small hydro power plants were planned with total power of 100 MW and annual production of 300 GWh) •Project of construction of wind power plants (2 concessions were granted, with installed capacity of 46 MW and 72 MW) ENERESE Workshop - Niš, 04.04.2013. RES potential in Montenegro - Solar • The horizontal insolation in Podgorica is around 1,600 kWh/m2 yr • Use of solar radiation for electricity generation is not practically exploited: – 5 kW PV is currently used in municipality of Perast for charging of the electric cars and bicycles that are used for public transport. – The UN building in municipality of Podgorica, that is under construction plans to install a 136 kW PV power plant on the roof. ENERESE Workshop - Niš, 04.04.2013. EE potential in Montenegro • Energy efficiency is one of priorities of the new energy policy • Energy efficiency is recognised as a cost-effective and fast way to increase security of energy supply and reduce the greenhouse gases emissions responsible for climate change. • Two energy intensive industrial companies, the Aluminium Plant Podgorica (KAP) and the Steel Works Plant in Niksic consumed about 45%of the total final energy consumption and 50% of final electricity consumption in 2008. • Transport is also a significant energy consumer contributing to about 28% of the final energy consumption 2008 with significant unexploited EE potential. ENERESE Workshop - Niš, 04.04.2013. EE potential in Montenegro • Bildings in households, commercial and public buildings consumed about 30% of the final energy consumption • Buildingsare characterized by poor energy performance of constructions and technical systems, deficient maintenance and low level of awareness among energy consumers • District heating and natural gas is not available which results in use of electricity for space heating • Solar thermal system are not used enough especialy in south region ENERESE Workshop - Niš, 04.04.2013. EE potential in Montenegro - pilot projects • Energy efficiency projects – Reconstructions of public buildings (healthcare and educational) on the basis of soft loans the government took from the World Bank and KfW Bank in the total amount of around 20 million euros. Around 50 public buildings will be refurbished through these projects – Montesol – program of interest free loans for households for installation of solar systems for water heating. The project is supported with a grant in the amount of 1 million euros from the Ministry for Environment, Land and Sea of the Republic of Italy through the United Nations Environment Programme ENERESE Workshop - Niš, 04.04.2013. THANK YOU FOR YOUR ATTENTION! Contact: Ministry of Economy Rimski trg 46, 81000 Podgorica bozidar.pavlovic@ee.me.org ENERESE Workshop - Niš, 04.04.2013.