BRINGING E UROPE AND T HIRD COUNTRIES CLOSER
TOGETHER THROUGH RENEWABLE E NERGIES
The BETTER project
Andreas Tuerk, Dorian Frieden
PROJECT PRESENTATION (1/2)
 BETTER: Bringing Europe and Third countries closer together
through renewable Energies (BETTER);
 Intelligent Energy for Europe Programme, managed by the Executive
Agency for Competitiveness and Innovation (EACI);
 Started: 1st July 2012;
 Expected Completion Date: 1st January 2015;
 Coordinator: CIEMAT, Madrid
http://better-project.net
PROJECT PRESENTATION (2/2)
 CIEMAT (Spain)
Centro de Invest. Energ. Mediamb. Tecn
 DLR (Germany)
Deutsches Zentrum Für Luft-und raumfahrt e.V
 ECN (Netherlands)
Who we are
Energy Research Centre of the Netherlands
 JOANNEUM (Austria)
Forshungsgesellschaft Mbh
 NTUA (Greece)
National Technical University of Athens
 OME (France)
Observatoire Méditerranéen de l’Energie
 PIK (Germany)
Postdam Institute for Climate Impact Research
 TUWIEN (Austria)
Vienna University of Technology
 UNDP (International)
United Nations Development Programme
BACKGROUND
RES-Directive 2009/28/EC binding targets:
• 20 % RES gross final consumption by 2020;
• Nat. targets: flat rate approach adjusted to GDP.
Cooperation mechanisms
• allow MS to partially meet their national targets
with RE from other countries
• May reduce the overall costs to meet RES
20% European target
• Statistical Transfers (Art 6)
• Joint projects within MS (Art 7) and with 3rd countries (Art 9)
• Joint support schemes (Art. 11)
OBJECTIVES
Assess,
through
case
studies,
involvement and integrated analysis:
stakeholders
• to what extent cooperation with third countries can
help Europe achieve its RES targets in 2020 and
beyond
• trigger the deployment of RES electricity projects in
third countries and
• create synergies and win-win circumstances for all
involved parties.
Case Studies
Early
movers?
METHODOLOGICAL FRAMEWORK
Case studies (N.Africa, W.Balkans and Turkey) will
investigate in detail the technical, socio-economic and
environmental aspects of RES cooperation.
Top-Down
COMMUNICATION AND
DISSEMINATION
• Detailed quantitative cost-benefit evaluation of
feasible policy approaches as well as power system
analysis (Green-X, HIREPs Models)
• Other possible “co-effects” (such as impacts on EU
climate targets, energy security and macro-economic
aspects).
Bottom-up
STAKEHOLDERS INVOLVEMENT
Integrated assessment will be undertaken from the
“EU plus third countries” perspective, including:
Modeling results include:
• required power system and transmission grid adaptations and related
costs
• changes in the regional power prices and the daily power price profile
due feed-in of the volatile wind and solar power
• changes in the power system stability and supply security.
consequences of the combined volatility of wind, solar and hydropower
and the conventional power plants in the “EU plus third countries” region.
• Evaluation of the benefits due to the increased flexibility and capability of
the whole power system because of the added assets such as:
– increased hydro power storage capacity, wind and solar from Turkey
– North Africa offering anti-cyclic wind compared to Europe as well as solar thermal
power plants which flexible and base load generation
– The Balkan countries with their untapped RES potentials (incl. biomass, wind, solar,
hydro) where an increased linkage to the EU may serve to close some of existing
bottlenecks in forming an integrated European electricity market
• Increased stability of power supply from wind and solar due to the
enlarged regional coverage (“EU plus third countries”)
SWOT analyses for each country/region
2020
RES
Szenarios
Green-X:
Costs
HiREPs
Macroeco
nomic
Effects
Swot
analysis
Ecologicco-effects
Design
options,
potentials,
barriers
Specific aims
• Identify cooperation potential with Third countries on
macro-economic level,
• identify specific design options and business cases,
• give practical recommendations for implementation,
• develop an action plan to foster RES energy production,
transfer and use in the EU and third countries through
cooperation mechanisms,
• BETTER is a results/ action oriented project with a
strong focus on stakeholder involvement
STAKEHOLDER INVOLVEMENT and AB
Financial actors
KfW, EBRD
Private Investors and
Project developers
SHE Consulting, EEA, HEP,
Suntrace
Stakeholder’s
Networks
Policy makers
DG-Ener officials
Industry associations
DII,, Estela, Protermosolar,
etc
Multilateral initatives
Desertec, Medgrid, Medrec, GTZ;
UfM
International Organization
IRENA
Utilities
Iberdrola, Verbund, EnerjiSA, etc
NGO´s and civil society
Renewables Grid Initiative
National Authorities
I.D.A.E, German Federal Ministry of
Economics and Technology,etc
Energy Regulators
MEDREG
TSO operators
REE
So far, more than 20 LoS have been received from
different stakeholder categories
BETTER: applying a multi-level framework
Macro level
(prospects for
international
cooperation)
Micro level
(business cases)
Acceptance level
Adoption of RES directive and RES
targets in the West Balkan countries
• The countries covered by the West Balkan case study
will be eligible to make use of
 Statistical transfers
 Joint support schemes
 Joint projects between EU Member States and third
countries requiring the physical transfer of the
involved electricity.
Exploring the strategic options for
West Balkan countries
 EE vs. RES expansion
 Likely surplus or shortfall?
 Domestic target achievement vs trade (Based on model
results and qualitative assessments)
 Interim trading and/or target achievment
 Trading with the EU or within the region?
 Possible role and design of different cooperation
mechanism with different pros and cons
…
Embedding coop.mechanisms in the
national framework
Regulatory context
• Network regulations
• State aid provisions
• Institutional context
Existing or planned support framework
• Feed-In tariffs, subsidies…
• CDM
• Nationally Appropriate Mitigation Actions (NAMAs)
->Which technologies should be exploited by which
instrument?
Developing design options: Important
issues
• FIT, Market access, currency and yield risk
• Institutional capacities, public acceptance
• Cost-sharing and price considerations incl. grid
expansion, energy sharing?, employment,
environment…)
• Delivery risk, timing
Developing design options: Important
issues
• Possible funding and implementation approaches
selection of implementing company
• Regulatory, legal and institutional aspects (monitoring,
authorisation, verification, compensation…), oversight
• tec transfer
• transit compensation, grid access
• Investment support
Combination with the CDM
• Several renewable energy projects in the West Balkan
countries are registered as CDM-projects
• The combination of the CDM with the cooperation
mechanisms for the same projects/investments may be
limited due to specific requirements of the CDM, namely:
o the additionally of the investment;
o double counting
More on our webpage:
D2.3: Design options of the Cooperation Mechanisms
and their Complementarity with different financing
schemes http://better-project.net
Stakehodoler dialogue
2013
2014
Stakehodoler dialogue
• Bilateral meetings with gvts, investors, financing
institutions, power companies, TSOs, NGOs…
• Summer school in Foijnica, Bosnia
• Workshop early next year discussing draft results
Outlook
• Modeling results by autumn 2013
• Final results of the West Balkan case study in spring
2014