Challenges and Solutions for Central and Eastern European Countries
Analyses on the National Energy Efficiency Action Plans
Dr. Ralf SchüleSenior Consultant and Project Co-ordinatorWuppertal Institute - RG II:Energy, Transport and Climate Policy
IPM8 - 8th Inter-Parliamentary Meeting on Renewable Energy and Energy Efficiency
Friday, 7th November 2008, Budapest, Parliament of Hungary
7 Nov. 2008 IPM8, Budapest 2
Overview
Energy Efficiency Policy in the EU and the Role of the ESD
Framework Conditions for Energy Efficiency Policy in CEE
National Energy Efficiency Action Plans as Exercise and Indicator
Conclusions for CEE and for the Future Design of Energy Efficiency Policy
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Overview
Energy Efficiency Policy in the EU and the Role of the ESD
Framework Conditions for Energy Efficiency Policy in CEE
National Energy Efficiency Action Plans as Exercise and Indicator
Conclusions for CEE and for the Future Design of Energy Efficiency Policy
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Energy Efficiency Policy in the EU and the Role of the ESD
Energy and Climate Package 2008 and futher three strategies by 2020: ETS and Kyoto-
Targets Energy Efficiency
and CHP Renewable
Energies
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Climate Policy
Energy Policy Technology Policy
Target 2: 20% PE-Savings vs. BAU
Target 3:20% of REN
Target 1: 20% Reductions in
GHG-Emissions vs. 1990
ESD-Directive
CHP-Directive Cars-Directive
EuP-Directive EPBD-Directive
EE Action Plan
REN-Directive
Fuel Quality Directive
CCS-Directive
SET-Plan
Effort Sharing Com.
ETS-Directive
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Energy Efficiency Policy in the EU and the Role of the ESD
Energy Efficiency and Energy Service Directive (ESD) requires MS to adopt aim to achieve an overall national indicative reduction
target in end-energy use of 9% by 2016 (... for the 9th year of application ...)
to submit three (National) Energy Efficiency Action Plans (NEEAPs): 2007, 2011, 2014
Only a few formal requirements are given in the ESD: Calculation of national indicative annual energy savings target adopted for 2016 (GWh)
and national intermediate indicative annual energy savings target adopted for 2010 (GWh) Displaying energy efficiency improvement programmes, energy services, and other
measures planned for achieving the target
Measures and strategies complying with the provisions on the exemplary role of the public sector, and the provision of information and advice on end energy efficiency on end users.
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Energy Efficiency Policy in the EU and the Role of the ESD
Strenghs of the ESD ...
„framework directive“ in which regulations of other directives (EuP, EPBD), can be embedded
With the publication of NEEAPs, we currently have an illustrative and impressive collection of measures that enables international mutual learning among MS ...
(... despite high variation of level of information provided)
Forces MS to develop action plans and display strategies and to monitor effects of measures
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Energy Efficiency Policy in the EU and the Role of the ESD
... and weaknesses
Additionality: ESD does not mention that energy savings counting towards the 9 % target must
be in addition to energy savings from autonomous changes EU Action Plan for Energy Efficiency obviously expects strong contribution from
ESD (and other recent Directives): „new policy“ leading to new and additional energy savings compared to autonomous changes and even previous policy
Early action/early savings: ESD allows that effects of measures initiated in a previous year not earlier than
1995 can be taken into account in the calculation of the annual energy savings.“ (Annex I, ESD)
What is meant: ‘Early measures’?
(e.g., building code from 2005 and still in force in 2008 - 2016) or Early energy savings‘?
(e.g., from energy-efficient building constructed in 2005)
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Overview
Energy Efficiency Policy in the EU and the Role of the ESD
Framework Conditions for Energy Efficiency Policy in CEE
National Energy Efficiency Action Plans as Exercise and Indicator
Conclusions for CEE and for the Future Design of Energy Efficiency Policy
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4
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Final Energy Consumption in selected MS 1995-2005in Mio t OE
Source:
EUROSTAT
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0,00 50,00 100,00 150,00 200,00 250,00
Bulgaria
Czech Republic
Estonia
Latvia
Lithuania
Hungary
Poland
Romania
Slovenia
Slovakia
France
Germany
Sweden
United Kingdom
2005
2000
1995
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Baseline Projections(in ktoe)
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0
200000
400000
600000
800000
1000000
1200000
1400000
1600000
1995 2000 2005 2010 2015 2020 2025 2030
Transport
Industry
Residential
Tertiary
Source:
PRIMES (2006)
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Energy Intensity of Selected MS in 2005(kgoe per EUR 1 000 of GDP)
Source:
EUROSTAT
McKinsey0 200 400 600 800 1.000 1.200 1.400 1.600 1.800
EU-27
Euro area
Bulgaria
Romania
Estonia
Lithuania
Slovakia
Czech Republic
Latvia
Poland
Hungary
Slovenia
Sweden
United Kingdom
France
Germany
Austria
USA (2004)
Japan (2004)
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CO2-Emissions per Capita(kg per capita)
Source: NEEAPs, ESD Potential Study
- 2.000 4.000 6.000 8.000 10.000 12.000 14.000 16.000
EU-27
Estonia
Czech Republic
Poland
Slovenia
Slovakia
Bulgaria
Hungary
Romania
Lithuania
Latvia
France
Germany
Sweden
United Kingdom
Source:
EUROSTAT
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ESD-Target and Economic Potentials
ESD Target vs. Economic Potential (HPI)
0 5000 10000 15000 20000 25000 30000
Hungary
Poland
Romania
Slovenia
Germany*
Sweden
UK
Savings Potential [ktoe]
Target for 2016
Economic Potential(HPI)
Source: NEEAPs, ESD Potential Study* lower value of two values given in plan
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Energy Efficiency Policy in the EU and the Role of the ESD
Framework Conditions for Energy Efficiency Policy in CEE
National Energy Efficiency Action Plans as Exercise and Indicator
Conclusions for CEE and for the Future Design of Energy Efficiency Policy
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National Energy Efficiency Action Plans in CEE
Plans reflect the significance (and the respective conditions) of energy efficiency policy in member states: one group of countries has already gathered large experience
with the development, implementation and evaluation of measures,
Another group predominantly aims at establishing basic institutional structure and supporting framework conditions
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National Energy Efficiency Action Plans in CEE
Different types of policy packages 1. Packages for end-users of energy
(private housholds, companies, state authorities ...)
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En
d U
se
r Informatione.g. Inform. Campaigns, Labelling, Certificates,
Auditing
Advice and Consultancy
e.g initial advice
for buildings Regulatione.g. Energy Standards
for Buildings and Appliances
Funding and Financing
Subsidies for building retrofitting, investments
in ee technologies
Institutional Measures
e.g. energy agencies
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National Energy Efficiency Action Plans in CES and NMS
Different types of policy packages 2. Packages for „supplier“ of services
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En
d-U
sers
Informatione.g. Inform. Campaigns, Labelling, Certificates,
Auditing
Advice and Consultancy
e.g initial advice
for buildings Regulatione.g. Energy Standards
for Buildings and Appliances
Funding and Financing
Subsidies for building retrofitting, investments
in ee technologies
Institutional Measures
e.g. energy agencies
Networks + Voluntary AgreementsLTA between
Industry and Gov‘t
Market Based Servicesand Instruments
e.g. energy performance contractingEducation and
Quality Assurance
„Su
pp
lye
r“
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National Energy Efficiency Action Plans in CEE: Types of Measures
Information, Advice and Consultancy In most NEEAPs, public information campaigns or activities targeting at the information of end-users
are annouced.
Poland and Romania announces a large information campaign on rational energy consumption in the housing sector
EPBD: Audits and Building Certification (BUL, PL, ROM, LIT) in the housing sector
ESD: Smart Metering in collaboration with ESCOs (BUL)
EuP: Labelling of household appliances and lighting (CZ, HU, PL, ROM)
Innovative approach:
Ireland: Power of One campaign (broad array of comminication channels and sectors covered)
Austria: klima:aktiv Initiative
(link to loan programmes)
Innovative approach: linking mandatory advice with funding (Germany)
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Zur Anzeige wird der QuickTime™ Dekompressor „“
benötigt.
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National Energy Efficiency Action Plans in CEE: Types of Measures
Regulation: EuP: Standards of boilers and technical appliances (BUL, PL)
EPBD: Minimum requirements of old and new buldings (BUL, CZ, HU, PL)
Mandatory introduction of energy management in large energy users (HU, PL)
Guarantee of maximum and minimum indoor temperature in the residential sector (BUL)
Innovative approach: dynamisation of standards (for building regulations, top runner)
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National Energy Efficiency Action Plans in CEE: Types of Measures
Funding and Financing Most of CEC have already implemented (or will implement) energy efficiency (credit)
funds in the residential, industry, service sector: e.g. BUL, HU, POL, ROM)
Additional funding
through compensation funds: REECL credit line (BUL)
through EU Structural fond (HU/PHARE)
through GEF/UNDP energy efficiency programme (PL/Krakow), ROM
Innovative Measure:
Combination of funding with quality assurance and advice
Tax rebates for companies having committed to reduction targets (e.g. in a LTA)
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National Energy Efficiency Action Plans in CEE: Types of Measures
Education and Quality Assurance: Only a few CEC and MNS mention education and quality assurance of
„suppliers“ of services explicitly
Example:
Checking of boilers (CZ),
Information campaign on training and education (PL)
Training of municipalities (HU)
Innovative approach: Funding only when certified advisors and consultants have guaranteed the quality of the measure, e.g. the installation of a Solar Thermal Heater (City of Hamburg)
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National Energy Efficiency Action Plans in CEE: Types of Measures
Industry Networks and Voluntary Agreements: Underrepresented in CEC and NMS
Examples:
EE consultation network (HU),
VA on Audits (HU),
System of voluntary undertaktings (PL)
White Certificate Scheme (Poland)
Innovative approach: Tax Rebates given in companies having joined the LTA (Finland), White Certificates Scheme
Market-based approaches and services: Underrepresented in NEEAPs
Establishing regulatory framework for contracting, offering of contracting seminars (ROM)
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Member State
Austria 1 measure
Belgium (Flanders)
Belgium (Wallonia+BRX) Wallonie yes, BRX no
Bulgaria
Cyprus 1 measure
Czech Republic Energy act
Denmark
Estonia
Finland
France
Germany
Hungary
Ireland 4.7%
Italy
Latvia
Lithuania
Malta
Netherlands
Poland
Portugal
Romania
Slovakia
Spain
Sweden
UK
ESCOSs
Involvement of Role of
Energy-Services
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National Energy Efficiency Action Plans in CEE
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Member StateInvolvement of
ESCOSs
Austria 1 measure
Belgium (Flanders)
Belgium (Wallonia+BRX) Wallonie yes, BRX no
Bulgaria
Cyprus 1 measure
Czech Republic Energy act
Denmark
Estonia
Finland
France
Germany
Hungary
Ireland 4.7%
Italy
Latvia
Lithuania
Malta
Netherlands
Poland
Romania
Slovenia
Slovakia
Spain
Sweden
UK
Role of Energy-Services
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National Energy Efficiency Action Plans in CEE: Types of Measures
Industry Networks and Voluntary Agreements: Underrepresented in CEC and NMS
Examples:
EE consultation network (HU),
VA on Audits (HU),
System of voluntary undertaktings (PL)
Innovative approach:
White Certificate Scheme (Poland)
Tax Rebates given in companies having joined the LTA (Finland), White Certificates Scheme
Market-based approaches and services: Underrepresented in NEEAPs
Establishing regulatory framewok for contracting, offering of contracting seminars (ROM)
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National Energy Efficiency Action Plans in CEE: General Remarks on Sectors
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Buildings/Residential Sector Regulatory approach (according to EU Directives)
Focus on establishing a funding structure
Focus on multi-family houses
Social aspects (energy poverty)?
Industry and Service Sector Focus on establishing a funding structure
Networks and voluntary agreement
Transport Sector „weakest part in the chain“
Transport sector not or not adequately addressed
Focus on improving the transport infrastructure
„soft measures“ (Information etc.)
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Energy Efficiency Policy in the EU and the Role of the ESD
Framework Conditions for Energy Efficiency Policy in CEC and NMS
National Energy Efficiency Action Plans as Exercise and Indicator
Conclusions for CEE and for the Future Design of Energy Efficiency Policy
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Main methodological problem in NEEAPs: Assessing the relationship between potentials, targets calculated and measures assessed ex ante or ex post
Calculation of Energy Savings Targets
Energy Savings Potentials in Sectors(national studies, sectoral
studies, ESD Potential Study)
Assessments of Effects of Measures
by BU ond/or TD Methodologies
Conclusions
?
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Conclusions From diversity to harmonisation
Harmonisation of evaluation methods (EMEEES) MS need support from the EC and partners in other MS to
establishish capacities Harmonisation of NEEAPs (template) for 2011
From plan to implementation MS to implement/monitor and improve EEI measures displayed in the NEEAPs Stakeholders and actors in MS can evaluate and control the state of implementation Further measures are required to achieve energy savings beyond
baseline Savings achieved by natural development (e.g. NEEAP CZ) need to be excluded in
NEEAPs II
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Conclusions
Overcoming obstacles: Power relations in market creation
In which sense are stakeholders in energy (supply) sector „open“ for energy efficiency issues? In what sense can structures, institutions and markets focusing on energy efficiency can be
established?
Developing the Potentials Innovative measures:
Dynamisation of standards (e.g. front runner principle, combined with subsidies,
progressive building standards for new and existing buildings etc.) Introduce performance based standards and measures
(measuring the „real“ savings) Strengthen labelling and marketing approaches
Energy efficiency as part of the Energy Security Strategy in the EU and in MS.
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Vision
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Ford T prototype of innovation Innovative was automatised mode of
manufacturing its parts and the organisation of the production process
the key of the success: promise of unlimited mobility and the promise of the automobilisation of the world.
Efficiency 2020
Equivalent vision for energy and resource efficiency is needed, NEEAPs are a first small
step to develop such a vision throughout Europe.
Thank you for your attention!
Dr. Ralf Schüle Wuppertal Institute
for Climate, Environment and Energy ++49/(0)202/2492-110