The EU 2020 Renewable Energy
Directive
By Jessica Bejerea
The Problem
• Dependency on imports
• Dependency on limited fossil fuels
• The impact of fossil fuels on the
environment
• Obligations under Kyoto Protocol
• Only 8.5% of the energy produced by the
EU 27 comes from renewable energy
sources
The Problem
“The challenges of transforming Europe’s energy system
remain urgent and daunting: the EU currently imports
approx. 55% of its energy – and might reach 70% in the
next 20 to 30 years. In 2030 the EU will be importing
84% of its gas, 59% of its coal and 94% of its oil. In these
circumstances, it is obvious that the challenge to satisfy
our energy needs is big.”
- The European Renewable Energy Council, “RE-Thinking 2050: A 100%
Renewable Energy Vision for the European Union”
In 2009 The EU Issued a Directive
That Promotes the use of Energy from
Renewable Sources
Purposes
• Reduce greenhouse gas emissions and comply with the
Kyoto Protocol
• Promote energy security
• Promote technological development and innovation
• Create job opportunities and regional development,
especially in rural and isolated areas
The EU’s 2020 Directive Has Three
Primary Objectives
• Reduce GHGs 20% below 1990 levels
• Reduce emissions by 20% by improving
energy efficiency, and
• Increase the share of energy derived from
renewables to 20%
How it Will be Accomplished
• Each of the 27 EU States is assigned a series of
individualized progressive “targets” starting
with 2011
• Each State must submit a National Renewable
Energy Action Plan by June 2010
• Statistical Transfers
• Joint projects between member States and with
third countries
How it Will be Accomplished
• Guarantees of origin
• Access to the electricity grid for energy from
renewable sources
• Sustainability criteria for biofuels and
bioliquids
EU Renewable Energy Targets Are Similar
in Principle to Renewable Portfolio
Standards in the US
• 28 US states have binding standards
• 5 states have non-binding standards (ND, SD, UT, VA,
and VT)
• Maine (40% by 2017) and California (33% by 2030)
have the most stringent requirements
• Illinois
– 25% by 2025
– Eligible Renewable: Solar Thermal Electric, Photovoltaics,
Landfill Gas, Wind, Biomass, Hydroelectric, Biodiesel
– Investor Owned Electric Utilities: 75% of the standard must
come from wind
– Alternative retail electric suppliers: 60% of the standard must
come from wind
EU 27 in 2005
Percentage of energy derived from renewable
energy sources in 2005
EU 27 in 2020
Percentage of energy to be derived from
renewable energy sources in 2020
2007 Share of Technologies of the Overall
Renewable Electricity Portfolio for Each Member
State
*Hydro does not include pumped storage.
State Action Plans
• States must identify the percentage of renewable
energy that it will procure from three sectors:
• Transport
• Electricity*
• Heating and cooling
• States must identify the technology mix that they will
use to meet their targets
• The plans must also include a list of activities that the
member state will implement to meet its target
• If a member state fails to meet an indicative trajectory
target it must submit an amended action plan
*excludes electricity produced in pumped storage units from water that has previously been pumped
uphill.
State Action Plans: Analysis*
• 45% of the renewable energy target will be
met by the electricity sector
• 41% to be derived from wind
• 29% onshore (approximately)
• 12% offshore (approximately)
• 31% from hydropower
• 18% from biomass
• 9% from solar energy (mostly Solar photovoltaic)
Combined data for 21 countries: Austria, Bulgaria, Cyprus, Czech Republic, Denmark, Germany, Greece, Finland, France, Ireland, Italy,
Lithuania, Luxembourg, Malta, Netherlands, Portugal, Romania, Spain, Sweden, Slovenia and the United Kingdom.
State Action Plans: Analysis*
• 43% of the mandate will be met in the heating
and cooling sector
• 80% to be derived from biomass
• 12% will be met in the transportation sector
• 66% Biodiesel
• 22% Bioethanol
• 10% renewable electricity
*Combined data for 21 countries: Austria, Bulgaria, Cyprus, Czech Republic, Denmark, Germany, Greece, Finland, France, Ireland, Italy,
Lithuania, Luxembourg, Malta, Netherlands, Portugal, Romania, Spain, Sweden, Slovenia and the United Kingdom.
Further Analysis
• Estimated that 10 Member States will exceed their
2020 targets
• Five Member States anticipate a deficit
• Overall, EU will exceed the 20% renewable energy
mandate by more than 0.3 percentage points
Specific State Action Plans
• United Kingdom
• Germany
• Spain
State Action Plans: United Kingdom
• 15% 2020 target
• Current sectoral targets:
• 30% electricity
• 12% heating/cooling, and
• 10% transportation
• How the UK will attain its target
• Obtain financial support for renewable energy
• Remove barriers to delivery of renewable energy
• Develop and invest in new technologies
State Action Plans: United Kingdom
• Obtain financial support for renewable energy
• Includes a system of feed-in tariffs in electricity
• Renewable Obligation Certificates and
• UK will potentially establish a Green Investment
Bank to help fund the introduction of renewable
energy
• Remove barriers to delivery
• Make the grid “smarter” in part by rolling out smart
meters
State Action Plans: United Kingdom
• Develop new technologies
• develop an offshore electricity grid
• encouraging the development and
commercialization of marine energy (tidal
and wave) over the coming decade
• network of marine energy parks
State Action Plans: United Kingdom
State Action Plans: Germany
• 18% 2020 target
• Current sectoral targets:
•
•
•
•
38.6% electricity
15.5% heating/cooling, and
13.2% transportation
Combined -> 19.6%
• Estimated 1.6% renewable energy surplus can
be used in cooperative projects or statistical
transfer
State Action Plans: Germany
Germany will develop solar energy to help meet its 2020
renewable energy targets for the electricity sector
State Action Plans: Germany
• Heating and cooling
• 2005 – 94% biomass
• By 2020 the mix will become diversified
• 79% biomass
• 9% Solar thermal energy
• 8% heat pumps
State Action Plans: Spain
• 20% 2020 target
• 8.7% in 2005
• Current sectoral targets:
•
•
•
•
40% electricity;
18.9% heating/cooling; and
13.6% transportation
22.7% renewable energy surplus that can be
used in cooperative projects or statistical
transfer
State Action Plans: Spain
• Planned projects include
• Invest in R&D for innovation in energy storage
systems.
• Develop marine technologies to increase the
potential of marine renewable energies, and remove
barriers to developing marine energy projects
• Adopt a smart grid system of transmission and
distribution
• Establish international interconnections with France
and Portugal
The EU Pledged to Increase Their Targets
If Other Developed Countries Agree to
Reduce Emissions
• Each objective would increase to 30%
• The additional reduction would come from
improved demand-side efficiency and a
reduction of carbon-intensive supply-side
investments
If They Succeed …
• The EU community would serve as a
renewable energy role model for other
countries
• The European Renewable Energy Council:
100% renewables by 2050!
EREC 100% by 2050
• How to get to 100%
–
–
–
–
–
–
–
Full liberalization of the energy market
Use smart grids
Hybrid energy solutions
Virtual power plants
Eliminate all subsidies for fossil and nuclear energy
EU wide carbon tax
Transportation: shift from oil to hydrogen and
electricity with almost complete reliance on
renewable electricity by 2050
Europe in 2050?