7 andreas tuerk better_zagreb_09_12 10h03


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7 andreas tuerk better_zagreb_09_12 10h03

  1. 1. B RINGING E UROPE AND T HIRD COUNTRIES CLOSER TOGETHER THROUGH RENEWABLE E NERGIES The BETTER project Andreas Tuerk, Dorian Frieden, JR Robert Pasiscko, Zoran Kordic, UNDP Zagreb, 09 December 2013
  2. 2. PROJECT PRESENTATION (2/2)  CIEMAT (Spain) Centro de Invest. Energ. Mediamb. Tecn  DLR (Germany) Deutsches Zentrum Für Luft-und raumfahrt e.V  ECN (Netherlands) 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
  3. 3. 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
  4. 4. 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.
  5. 5. Where can get the EU (green) energy from?
  6. 6. EU RES directive • The RES Directive (2009/28/EC) sets binding national 2020 RES targets for all EU member states • These targets do not explicitly reflect the national resource availability -> Its not about capacity extension only but also on energy efficiency
  7. 7. Adoption of RES directive and RES targets in the West Balkan countries
  8. 8. 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:
  9. 9. Motivation for cooperation mechanisms Renewable energy targets are calculated based on: • current RES share • country GDP Do not take into account renewable energy potentials!
  10. 10. Different options how to reach the targets MS domestically RES Directive -> RES targets WB NREAP (Renewable energy Action Plan) Cooperation mechanism  most of the Member States plan to fulfill their renewable energy targets domestically  4 Member States namely France, Greece, Italy, and Spain noted in their forecast documents that they may use cooperation mechanisms to develop renewable energy in third countries
  11. 11. Basic principle of cooperation mechanisms • • Cooperation mechanisms were introduced to allow countries with high renewable energy potentials and/or low production costs (COUNTRY A) to sell their renewable energy surplus to those countries that have either low renewable energy endowments and/or have higher generation costs (COUNTRY B). The main idea behind this is to reach the targets in a more cost-effectively way and to reduce the overall costs in achieving it. COUNTRY A (low/expansive RES potential) Money transfer RES transfer COUNTRY B (high/cheap RES potential)
  12. 12. Types of cooperation mechanisms Cooperation Mechanisms are defined in Directive 2009/28/EC as followed: • Statistical transfers between MS (Article 6) • Joint projects between MS (Article 7 and 8) • Joint projects between MS and third countries, under the condition that RES electricity is imported to the EU (Article 9 and 10) • Joint support schemes (Article 11) Cooperation Mechanisms Type cooperation Statistical transfers Only transfer shares Joint projects between MS Main actors Eligible for West Balkan countries Type transferred energy Governments Yes, but unlikely – because of statistics  No transfer of energy Project-based Governments No Heat/transport/el ectricity Joint projects between MS and third countries Physical transfer Governments Yes Electricity Joint schemes Common scheme Governments Yes, but unlikely Heat/transport/el ectricity support of statistical of RES support of
  13. 13. In focus: West Balkan region • • The green columns represent the share of renewable energy against projected 2020 energy demand The differences between the green (RES potential) and red columns (RES target) represents the energy that could be sold via cooperation mechanisms.
  14. 14. In focus: Joint projects between MS and WB Money transfer RES Country A (low/expensive RES potential) Project investor s t ran fer Notification EU Comission Country B (high/cheap RES potential) Framework Agreement Support payment (feed-in-tariffs) MWh
  15. 15. Projected renewable electricity surplusses - Valleys of Opportunity (VoO) RES transfer
  16. 16. Study case: The Serbia Italian Cooperation Joint project on Ibar river • • • Italy stated in its National Renewable Energy Action Plan (NREAP) that it would import 6 TWh per year of electricity from the Balkans, via Montenegro through the marine energy cable (2015) During 2009, Serbia and Italy signed Memorandum of understanding to implement joint projects It was decided that the first project in mutual cooperation would be the construction of hydroelectric power plants on the Ibar Technology Hydro power Capacity of hydro power plants 118 MW Construction time 7 years Investment costs 300 mil. € Location Ibar river Production 443,400 MWh Number of parks 10 Cooperation mechanism Joint project between MS and third countries
  17. 17. Study case: The Serbia Italian Cooperation Costs (red color) and benefits (blue color) from cooperation Cost and benefits Base case scenario (Italy produces Cooperation scenario hydro power domestically) electricity from Serbia) Generation costs (€c/kWH) 20-22 10-12 Electricity market price (€c/kWh) 6-7 3-4 Grid related costs (€c/kWh) 0.5 n/a Transmission related costs (€c/kWh) - 0,75 TOTAL COSTS (€c/kWh) ~15 ~5 Indirect costs and benefits CO2 Industrial Leadership Other pollutants Economic activity Employment Energy Security CO2 Industrial Leadership Other pollutants Economic activity Employment Energy Security (Italy buys
  18. 18. Action plans roadmap and Stakehodolders dialogue • Action plans for each contry • roadmap for the region • We need YOUR feedback and input! 2013 2014
  19. 19. Do the West Balkans benefit from RES cooperation? • Are there win-win situations? • Can potentials be exploited that cannot be exploited with national feed-in tarriffs? • Economic benefits? • Environmaltal effects? Eg biodiversity loss? • Social implications?
  20. 20. Linking the Balkans with Italy • Planned new grid connections will significantely change the energy market in the region • Low feed-in tarifs barrier for some technologies • New business cases for renewables and/or fossils
  21. 21. Our research agenda Strategic consideration for each WB country: Domestic target achievement vs trade: Do the Balkans need the potential for 2020 or later? Trading with the EU or within the region? Can the cooperation mechanisms lead to new business models for the region adn how could they look like? Could the cooperation mechanisms assist in avoiding a fossil lock-in? Possible role and design of different cooperation mechanism with different pros and cons
  22. 22. Bosnia and Herzegovina • • • • • • Target of 40% renewables by 2020 Currently large hydro and lignite electricity More fossil plants and hydro planned Will Bosnia be able to expand wind up to 2020? Can export create business cases for non-hydro? New 400 kV to Serbia planned (to export hydro electricity) • Regulatory and administrative barriers?
  23. 23. BIH: potential and targets
  24. 24. BIH: energy scenarios
  25. 25. Montenegro • RES target of 33% • Currently large hydro, fossils and biomass • Focus is mainly on large and small hydro, but also wind and biomass power expansion is envisioned. • Planned submarine interconnection cable between Montenegro and Italy should offer new possibilities for international cooperation.
  26. 26. Montenegro: RES potentials and targets
  27. 27. FYROM Macedonia • RES target of 28% • Strong expansion of hydroelectric generation is planned. • A Feed-In Tariff is in place, with a budgetary limit for nonhydro technologies. • 400 kV to Greece, 400kV to Albania-Italy only after 2016 • Limited financial support for solar and wind
  28. 28. Macedonia: RES potentials and targets
  29. 29. Croatia • 20% RES target • Currently thermal and large hydro electricity generation • Increase of renewable electricity generation, especially wind and biomass, but far below wind potentials • Increased biomass heat and solar energy use for heating. • Wind energy could be available for export, if grid to Italy is enhanced • current grid capacity for new wind power plants is estimated at a maximum of 360 MW • EU MS since July 2013: No third country status anymore
  30. 30. Croatia: RES potentials and targets
  31. 31. Albania • Albanian electricity generation mainly hydro • Albania has accepted a RES target of 38% by 2020 • NREAP: • Focus on hydro and renewable heat (biomass, solar thermal) • Possible use of cooperation mechanism until 2020 for wind expansion • Current grid connections are insufficient for large scale export, new cable to be built to Italy (to enable wind energy export)
  32. 32. AL: potential and targets
  33. 33. AL: Energy Efficiency pathway critical
  34. 34. Serbia • RES target of 27% • Lignite fired TPPs, large hydro power and biomass as the major renewable energy source • Increase of wind planned (500MW), but also biomass electricity and heat. • Planned wind expansion at the upper limit of what the Serbian grid is expected to be able to absorb (NREAP) • Feed-in Tariff for solar photovoltaics limited to 10 MW of capacity. • Interest in using cooperation mechanisms for hydro and solar projects in Serbia.
  35. 35. SR: RES potentials and targets
  36. 36. SR: energy demand
  37. 37. Kosovo* • Strong expansion of hydroelectric generation is planned (large HPP Zhur) • Feed-In-Tariff for solar photovoltaic generation is to start in 2014. • Planned renewables would exceed RES targets if Zhur is impemented • Surplus renewables could be sold via the cooperation mechanisms. • 400 kV connection to Albania only in 2017
  38. 38. Kosovo*: RES potentials and targets
  39. 39. Cooperation within the region? • Current lack of cooperation between countries led to an inefficient regional energy system as opposed pre-1990, where region was a net electricity exporter • Cooperation between some countries in the region unlikely (eg Serbia and Kosovo), in others cooperation is emerging (Albania and Kosovo, or Macedonia and Kosovo) • Joint Projects within the region an option • Joint Support schemes however unlikely in the near future
  40. 40. Conclusions • Export of those renewable potential in the next years that cannot be financed by the countries • Export for those RES potentials that cannot be integrated in the countries grids, eg wind • Meeting the RES targets will be a challenge • More efficient use and improvement of existing infrastructure is key to meet the RES targets and may enable to export electricity
  41. 41. Thanks for your attention!