Finland’s national targets in renewable energy and energy efficiency

15 June 2015

Timo Ritonummi

Deputy Director General Energy Department

Ministry of Employment and the Economy Finland

National targets – given by EU • 2020: EU ”20-20-20 + 10”, GHG-RES-EE + RES-transport

• GHG targets: Emission Trading Sector and non-trading per MSs • Renewable Energy Sources,RES, 38 % share in final energy use

• 20 % share in road transport (incl. double counting), EU 10 % • Energy Efficiency, EE: EU-28 target primary energy 1483 Mtoe,

Finland indicative target 310 TWh (26.7 Mtoe) final energy use • 2030: EU 40-27-27

• GHG -40 % of 1990, ETS -43 % and non-trading -30 % of 2005 • RES 27 % of final energy use, no MS-target • EE 27 %, possible 30 % ”same way as in 2020…”, no MS-target • No target – yet – for transport

• 2050: EU and Finland, GHG -80…-95 % of 1990-level

EU reduction target 2020 -20 % from 1990

-14 % from 2005 level

EU ETS -21 % from 2005

level

non-ETS sector -10 % from 2005 level

27 member states target -20 % - +20 %, Finland -16 %

17.6.2015

17.6.2015

Non-trading sector, GHG target for 2020 compared to 2005 level

EU and -20 % Energy Efficiency Goal scenarios from different years, enlargement, non-energy uses subtracted…

Source: DG ENER & Eurostat data

0

500

1000

1500

2000

2005 2010 2015 2020

Baseline 2013 ~1570 Mtoe

+ Croatia -> EU-28 goal:1483 Mtoe EU-27 Non-energy uses: raw materials to chemical

industry etc subtracted, ~100-150 Mtoe

2014: 18..19 %

1473 Mtoe

2009

RES share in final energy use (EU-27) 2005 and goals 2020

0 %0,9 %

2,2 %2,9 %

4,3 %6,1 %

2,4 %6,7 %

1,3 %7,2 %

3,1 %9,4 %

5,2 %5,8 %

6,9 %8,7 %8,5 %

10,3 %15,0 %

17,8 %16,0 %

18,0 %17,0 %

20,5 %23,3 %

28,5 %34,9 %

39,8 %

0% 5% 10% 15% 20% 25% 30% 35% 40% 45% 50%

MaltaLuxemburg

BelgiaKyprosUnkariTsekki

AlankomaatSlovakia

Iso-BritanniaPuolaIrlanti

BulgariaItalia

SaksaKreikkaEspanja

EU 27RanskaLiettua

RomaniaSlovenia

ViroTanska

PortugaliItävaltaSuomiLatviaRuotsi

2005 tavoite 2020

Lähde: Direktiivi uusiutuvan energian edistämisestä, 2008/0016 (COD), liite 1

Eurostat: FI 2013 36.8 %

EE target 310 TWh 2020 is met – unless..

0

50

100

150

200

250

300

35019

9019

9119

9219

9319

9419

9519

9619

9719

9819

9920

0020

0120

0220

0320

0420

0520

0620

0720

0820

0920

1020

1120

1220

1320

1420

1520

1620

1720

1820

1920

20

Finland, Final energy use, TWh

0

1000

2000

3000

4000

5000

6000

1990 1995 2000 2005 2010 2015 2020 2025 2030 2035 2040 2045 2050

Mt CO2-equivalent

EU-28EU-28 projections 'with existing measures'EU-28 projections 'with additional measures'Primes/GAINS baseline with adopted measures-20 % target by 2020proposed -40 % goal by 2030-80 % target by 2050 (cf. 1990)-95 % target by 2050 (cf. 1990)

GHG 2020-2030-2050

RES 2020 on path

RES 2020 Not only PV and Wind

RES 2020-2030-2050

EU meets 2020-goal - 2030? (3376 Mt) -2050? 20 % 5000 Mt

20 %

50 %

75 %

2050

2050

2020

2020

New Goverment programme 2015-

• New Prim.Min. Sipilä’s Government’s programme in May 2015:

• Meet 2020 target by end of election period -2019 (mid-April)

• RES in transport 40 % by 2030

• RES share over 50 %, over 55 % with domestics by end of 2020’s

• Phase out coal by end of 2020’s (2030)

• Half the use of fossil oil by end of 2020’s (2030)

• Limit wind power to 2000 MVA – and quota-system (2500 MVA) oversubscribed in few days

• All these answered in new Energy and Climate Strategy

• Some extra slides on EE in Finland

Energy Efficiency (EE) in Finland • Energy Efficiency (EE) has been a corner stone of Finnish Energy

Policy: Energy intensive industry; Lack of indigenous energy sources; Cold & dark climate; Relatively sparsely inhabited

• High energy intensity (energy / capita, energy / GDP) is not wasting! • Energy Efficiency agreements (2008-2016), earlier Energy Saving

agreements (1997-2007) in central role, good reporting • Energy Auditing, linked to agreements, Finnish success story!

• IEA’s Country Reviews: EE in Finland good, market based • Information and advice activities (EE week in October) in use • CHP market based, yet Finland top-share in EU/world: ~35 %

• CHP DHC cooperation CEM & IEA • Implementation of EU directives (Labelling & Ecodesign for

appliances, EPBD, ESD+CHP=EED) + Smart meter rollout end -13

Energy Auditing • Finnish success story: Energy Auditing started in Finland early

1990’s; now EED is demanding the same for EU • Energy Auditing Progam (EAP) is runned by Motiva, state owned

company • Voluntary program until end 2014

• 2015- EED made compulsory (no subsidies) for non-SME • Still voluntary, subsidized auditing for SME’s

• Subsidies, 1992-2007 total 23.1 M€, 2008-2013 total 9.8 M€ • Energy Auditing is an expert analyze – just like a visit to a doctor • Combining Auditing with Agreements: monitoring • Energy Auditors qualified by Motiva, training, 1994- over 1400 part.

• http://www.motiva.fi/en/areas_of_operation/energy_auditing

Energy Efficiency Agreements • Volentary agreements, sectors, coverage varies: over 90 %

(industry, energy companies), road goods tranport lowest (~20 %) • Period 2008-2016 (ESD), letter of intent signed Nov 2013 of

prolongation period to cover 2017-2020. New agreements in 2015 • Older version Energy Conservation Agreements 1997-2007 • Results from 2008-2013, annual savings at end 2013

• Heating energy and fuels 6.65 TWh • Electricity 2.64 TWh • Energy cost 566 M€, CO2 reduction 2.9 Mt • Subsidies granded 2008-2012: 9.8 M€ for audits, 62.6 M€ for

investments, total investments 612 M€

• http://www.energiatehokkuussopimukset.fi/en/ • http://www.motiva.fi/files/9677/ETS_tuloksia_2008_2016_suomi_englanti.pdf

Energy Efficiency Agreements 2008-2016

www.energyefficiencyagreements.fi