Upload
leliem
View
213
Download
0
Embed Size (px)
Citation preview
Meeting of TEN-E Regional and Thematic Groups for electricity, gas, oil and smart grids
Brussels, 4 February 2016
Chaired by Catharina SIKOW-MAGNY, Head of Unit European Commission, DG ENERY
Internal market, Networks & Regional initiatives
Agenda overview
• 09:30-10:00 Introduction: TEN-E framework and its state of play
• Part 1: Monitoring and implementation of the PCIs on the 2nd Union list
• 10:00-11:00 Permit granting
• 11:00 – 11:15 Coffee break
• 11:15-12:15 Public acceptance
• 12:15 – 13.30 Lunch break
• 13:30-14:30 Regulatory issues
• 14:30 – 14:45 Coffee break
• 14:45-16:00 Financing
• Part 2: Towards the 3rd PCI list
• 16:00-17:00 How to design the process in view of the 3rd PCI list to be adopted in 2017?
• 17.00-17.30 Next steps & meeting plan for 2016
INTRODUCTION AND CONTEXT
European Commission DG Energy Networks and Regional Initiatives Milosz MOMOT and Tomasz JERZYNIAK
09:30-10:00 Introduction
• What is the TEN-E framework about, what is its state of play and what is its general context
Energy
COMPETITIVE-NESS
SECURITY OF SUPPLY
SUSTAINABILITY
TEN-E Guidelines Regulation (347/2013) - addressing infrastructure needs in a
comprehensive way
Infrastructure is at the heart of the European energy policy
Also the backbone of the European Energy Union… And an apple of this Commission (investment oriented) eye..
Energy
2nd list: 195 PCIs November 2015
Accelerated permit
granting
Regulatory measures
EU financial assistance
Criteria / CBA
TEN-E Guidelines Regulation +Delegated Regulations + CEF
CO2 transport E-highways Smart grids
CEF 5.35bn
Regulation 1361/2013
http://eur-lex.europa.eu/legal-content/EN/TXT/PDF/?uri=OJ:JOL_2016_019_R_0001&from=EN
Energy
Permit granting – Regime of common interest
• Priority status for PCIs
• Most preferential treatment in Member States
• Streamlining of EA procedures
• Competent Authority to manage permit granting process
• 3 and a half years time limit for the permit granting decision
• Increased transparency and enhanced public participation
Energy
195 PCIs
Accelerated permit granting
Regulatory measures EU financial assistance
Criteria / CBA
Energy
Regulatory framework - measures
• Energy system-wide cost-benefit analysis – equal footing for all network elements
• Enabling investments with cross-border impact: • Cross-border cost allocation (CBCA)
• NRA joint decision on investments and cost allocation
• ACER decision if no agreement
• Long-term incentives for investment: • Obligation on NRAs to grant appropriate risk-related
incentives
• ACER guidance on best practices of NRAs and methodology
Energy
195 PCIs
Regulatory measures EU financial assistance
Criteria / CBA
CEF Regulation 1361/2013 with
5.35bn;
Structural Funds, EIB, EFSI, Marguerite Fund,
EBRD
Energy
Implementation
TEN-E Regulation introduces BENEFITS for PCIs but also certain obligations on PCI promoters
Your project (indeed)
but
part of a (common) network
Delays may trigger call for proposals for an alternative project promoter - Art 5(7)(d)
Energy
Reporting on the progress - information is key
• Submit an annual report on progress achieved, delays registered – to ACER (reporting by 31 March)
• Draw up an implementation plan including a timetable for the major milestones of a project (Art 5(1)) - Transparency platform
• Keeping project websites up-to-date (Art 9(7))
• Sharing information within Regional Groups
Energy
Monitoring key to identify and tackle delays • Regional group – platform facilitating cooperation on cross-border
projects – bringing two (more) sides together "TSOs, DSOs and other operators shall co-operate with each other in order to facilitate the development of PCIs in their area"- Art 5(2)
• Also an opportunity to learn from each other
• Regional groups (and ACER) monitor progress achieved by PCIs and make recommendations to facilitate implementation of PCIs (Art 5(3))
"If a problem is not known it cannot be solved" (source: CIA)
• Possibility to organise specific support activities for PCIs; Technical Assistance; European Coordinators (Art 6)
• High Level Groups – giving more political impetus in regions that need reinforced cooperation given a particular challenge
Energy
16
Baltic Energy Market Interconnection Plan (BEMIP)
• BEMIP longstanding cooperation; its reform kicked off in autumn 2014
• New MoU and Action Plan signed on 8 June 2015
• Key goals include connecting Finland and the Baltic States to the continental European gas network and new gas supply sources and accelerating market opening in the Member States and synchronisation of the electricity grids of the Baltic states with the European grid
• LitPol (in operation), GIPL
Energy
South-West Europe High Level Group
17
• Madrid Declaration of 4 March 2015 on the setting up of the HLG
• MoU signed on 30 June 2015
• Aims at increasing the interconnection level between the Iberian Peninsula and rest of Europe, at completion of the Eastern gas axis between Portugal, Spain and France and allowing bidirectional flows between the Iberian Peninsula and France
• Studies ongoing
Energy
Central and South-Eastern European Gas Connectivity (CESEC) High Level Group
18
• MoU and Action Plan signed on 10 July 2015
• Agreement between 15 EU and Energy Community countries on joint regional efforts to boost diversification and gas market integration
• Action Plan identifies priority infrastructure projects and sets out actions to tackle market integration issues
• Action Plan implementation up and running
General Energy Policy context 2016
Adoption of the State of the Energy Union – 18 November 2015 including 2nd PCI list
February 2016 package
• Revision of the Security of Gas Supply Regulation
• LNG and Gas Storage Strategy
• Revision of the Transparency of Intergovernmental Agreement
Winter 2016 package (Q4/2016)
• Energy Union Governance initiative
• New RES Directive for 2030
• EED & EPBD review
• Market Design initiative
• Electricity SoS – review of the directive
• Vital infrastructure & 15% target Communication
PERMIT GRANTING FOR PCIs
European Commission DG Energy Networks and Regional Initiatives Adam ROMANOWSKI
10:00-11:00 Permit granting
• Have the permitting procedures applied by MS changed/improved following the adoption of the TEN-E Regulation?
• Have you noticed any positive impact of the Regulation in this respect?
• Do the established one-stop-shops actively coordinate and streamline in real life the permitting procedures?
• Which specific permit granting measure(s) introduced by the TEN-E Regulation do you find particularly useful and thus should be given an absolute priority by the Member States and the Commission?
• Can you identify any particular provision related to the permit granting which should be improved or removed in the future revision of the Regulation?
• Would you agree with the following statement: "There is no need for any legal rules streamlining the permit granting procedure and/or these rules have limited impact on the permitting for PCIs because in real life the political importance of the project determines how fast the permit granting is carried out
Energy
Obstacle
Streamlined
procedure
Unique framework
Significant achievement
Challenges
Binding law Compliance
Check
Energy
Discussion
Four questions
In the context of the results of the study, but based on your experience, have the permit
granting procedures applied by MS changed/improved (to a large/moderate/little extent?) following the adoption of the Regulation
Have you noticed – in the 2.5 years of the application of the Regulation – any positive impact
of the Regulation in this respect?
Do the established one-stop-shops actively coordinate and streamline in real life the
permitting procedures?
Energy
Discussion
Which specific permit granting measure(s) introduced by the Regulation do you find
particularly useful and thus should be given an absolute priority by MS and EC? Is it for example (not
exclusively): the powers of the one-stop-shop to establish time limits for issuing individual decision, the
time limits, the manual of procedures, the need to prepare a concept for the public consultation?
Energy
Discussion
Can you identify any particular provision related to the permit granting which should be improved or
removed in the future revision of the Regulation?
Would you agree with the following statement: “There is no need for any legal rules streamlining the permit granting procedure for PCIs and/or these rules have a
limited impact in real life because the political importance of the project determines how fast
the permit granting is carried out”
Permit granting process
Key messages:
• We have in place the unique set of measures streamlining and accelerating the implementation of PCI.
• We need to take the full advantage of these measures. Further delays in the projects implementation are not acceptable.
• MS need to comply with the permit granting rules.
Next steps:
• Dialog with the Member States; dedicated meeting with the one-stop-shops in September 2016.
• EU-Pilots against the non-complaint Member States (as of March-April 2016)
Legislative Framework
TEN-E Regulation (No 347/2013) Article 9:
publish a manual of procedures for the permit granting process
draw up and submit a concept for public participation
one public consultation (at least)
establish and regularly update a website with relevant information on
PCIs
Commission's tools for a successful stakeholder engagement
Based on article 18 of TEN-E Regulation: COM needs to provide an infrastructure transparency platform easily accessible to the general public, including via the internet.
Therefore, we have created the following tools:
PCI MAP Viewer (+ implementation plans + union list main page + funds allocated – fiches)
CIRCABC - regularly updated information on the progress of work, meeting agendas, as well as final conclusions and decisions of each Regional Group are published by the Commission on the transparency platform
Additional tools and activities:
Public Consultations
Grid Infrastructure Communication Toolkit
Stakeholders Workshop
Communication activities ( Brochures, flyers, Press Releases, DG ENER website, replies to citizens enquiries/petitions etc.)
Description of results achieved
This toolkit helps citizens to gather important information about
grid development projects in Europe.
It supports environmental NGOs to have a stronger voice in all
stages of a grid development project.
It helps national or regional policy makers to better engage with
their constituents.
It supports transmission system operators to identify relevant
aspects for communication and stakeholder involvement activities
surrounding grid development projects.
Debate
How could the process of public consultations be improved?
What are your experiences regarding different obstacles in permitting procedures due to the public acceptance of some PCIs?
What could the Commission do more to help stakeholders successfully engage?
How would you like to be involved in future projects?
•
Do you have ideas? Please contact us @[email protected]
Conclusions on public acceptance session
Well-designed and structured dialogue combined with sustained engagement will help build a common understanding and knowledge about a particular infrastructure proposal.
Efficient use of best practices exchanges and existing tools to increase the public acceptance of PCIs and raise awareness around their importance.
Next meetings:
13-17 June 2016 - European Sustainable Energy Week (EUSEW):
- 3 dedicated sessions on: "How to improve stakeholders' dialogue & develop best practices on the common road towards cleaner and more affordable energy".
September–October 2016: series of workshops/meetings on best practices for enhancing the process of public consultation.
13:30-14:30 Regulatory issues
• - How can Article 13 be used to ensure and speed up the implementation of mature PCIs?
• - How to deal with underinvestment and how incentives can help for a timely and swift implementation of the PCIs?
• - Are the projects' and promoters' risks adequately addressed by the NRAs in the existing regulatory frameworks?
An incentive is something that motivates an individual to perform an action.
https://en.wikipedia.org/wiki/Incentive
Cost-Benefit-Analysis
(Article 11)
• Identify most beneficial energy infrastructure projects for the European Union
Cross-border
cost-allocation (Article 12)
• Agree on cost sharing among Member States according to received benefits
Incentives
(Article 13)
• Ensure a suitable set-up to incentivise implementation decision
Regulatory Treatment of PCIs
Dimensions of Incentives
Incentivise by
adjusting Risk-Level
Incentivise by
Rewarding
Enhanced Risk/Return-Ratio leads to
suitable set-up for
implementation decision
"Where a project promoter incurs higher risks … compared to the risks normally incurred by a comparable infrastructure project"
"The decision shall consider the results of the cost-benefit analysis … and in particular the regional or Union-wide positive externalities generated by the project."
Example for Incentives
• risks related to new transmission technologies, both onshore and offshore
• risks related to under-recovery of costs and development risks
• rules for anticipatory investment
• rules for recognition of efficiently incurred costs before commissioning of the project
• rules for providing additional return on the capital invested for the project
Approaches on Incentives
Business as usual
Riskier project Systematic Approach One defined risk-level
for all operations, e.g. through CAPM
and/or Individual Approach One risk-level projects set, e.g. approach of Article 13
Regulating A dynamic
environment
Procedural Aspects & Next steps
• By 31 July 2013 NRAs shall submit to the Agency its methodology
• By 31 December 2013 the Agency shall facilitate the sharing of good practices and make recommendations
• By 31 March 2014 NRAs shall publish its [updated] methodology
• Where the measures not sufficient to ensure the timely implementation of projects of common interest, the Commission may issue guidelines regarding incentives
• ACER-Recommendation No 03/2014 on Article 13 (incentives)
• Study on regulatory incentives for investments in electricity and gas infrastructure projects
• EC received updated NRA-methodologies
• Study on compliance-check of national regulatory practice with Article 13 of Regulation (EU) 347/2013
FINANCING PCIs
European Commission DG Energy Networks and Regional Initiatives
Wioletta DUNIN-MAJEWSKA
14:45-16:00 Financing
• Available financing and accessing it by project promoters
• Technical assistance for PCIs from existing and new sources
Outline
1. Legal framework: TEN-E, CEF, and EFSI
2. Financial instruments available (in some detail)
3. Support tools : EIAH, EIPP
4. Financial screening exercise
Setting the stage TEN-E
• TEN-E (347/2013)
• Recalling general principles
• The three step logic (for investments)
Setting the stage FI
• Two Regulations establishing financial instruments: CEF (1316/2013) and EFSI (1017/2015)
• CEF (three sectors; grants and FI)
• FI – debt instrument and equity instrument
• FI – specific market needs, clear EU added value, no crowding out of private financing, improved leverage effect and higher multiplier effect (in attracting private-sector financing)
Setting the stage CEF
• Commission should give priority to the use of FI within the ceiling of the CEF
• Energy project promoters should be encouraged to explore the possibility of using financial instruments before applying for grants for works. (possibly additional requirements in the AWP)
Setting the stage EFSI
EFSI Regulation– what is it about?
EU Guarantee, EU Guarantee Fund, EIB funds
EIAH
EIPP
Setting the stage EFSI
• NO: a substitute for private market finance or products provided by national promotional banks or institutions (additional)
• YES: acting as a catalyst for private finance by addressing market failures; ensure the most effective and strategic use of public money
Setting the stage EFSI
• strategic, transformative and productive investments with high economic, environmental and societal added value contributing to EU policy objectives
• also for: PCI that complete the internal market in energy (…) including energy interconnections
• No sectoral or regional pre-allocation
• Higher risk profile than projects supported by EIB normal operations
Setting the stage EFSI
• Consistent with EU policies
• Mature enough to be bankable
• Economically and technically viable (commercially sound)
• Priced in a manner commensurate with the risk taken
Financial instruments – what are they?
• Common features:
• Entrusted entity (-ies) (DA to implement)
• Creating risk-bearing capacity (within EIB)
• Expected leverage effect for EU support (more investment)
• Expected multiplier effect (attracting private investors)
• Suitable for blending
Products under CEF DI
• Project bond credit enhancement (PBCE) (PBI)
• Senior debt credit enhancement (SDCE) (LGTT)
• Funded senior loan
• Hybrid securities
Combination with other sources of funding (DI)
• (a) other parts of the CEF;
• (b) other instruments, programmes and budget lines in the Union budget;
• (c) Member States, including regional and local authorities' contributions of own resources or resources available from the funds under the cohesion policy
EFSI – instruments (EU Guarantee)
• loans
• guarantees
• counter-guarantees
• capital market instruments
• funding or credit enhancement instrument
• equity or quasi-equity participations (including in NPB or institutions, investment platforms or funds)
European Investment Advisory Hub
• Strengthen support for project development and preparation across the Union
• Additional to existing instruments
• A single entry point for technical assistance for investments; technical assistance for project promotors at the local level
• Free of charge (or costs capped)
European Investment Project Portal
• What: website with information on current and future investment projects in the Union (rolling)
• How: Project promoters looking for financing can upload information (with a small fee); minimum check by the Commission services (disclaimers)
• Goal: easily accessible database on investment opportunities to potential investors
Financial screening
• A fresh look at the new list
• Project phase?
• Is it a good time to start the bid?
• Sources of financing under consideration?
• Assistance needed?
• Financing ready? – information on source
We are happy to assist
Conclusions on financing
For consideration:
• Grants are exceptional
• Financing and advisory services are available under CEF DI and EFSI
• Engage early: first come, first served basis
Next steps:
• dedicated events on financing in April and November
• Case-by-case assistance and facilitation by the Commission (with IFIs and other investors
TOWARDS THE 3rd PCI LIST
European Commission DG Energy Networks and Regional Initiatives Milosz MOMOT
16:00-17:00 How to design the process in view of the 3rd PCI list
• Which concrete modifications could be introduced to the PCI assessment and selection process?
Energy
2nd list: 195 PCIs November 2015
108 Electricity transmission
& storage (27 Electricity
Highways)
77 Gas transmission, storage & LNG
3 Smart Grids 7 Oil
None yet in CCS
Criteria / CBA
CO2 transport E-highways Smart grids
http://eur-lex.europa.eu/legal-content/EN/TXT/PDF/?uri=OJ:JOL_2016_019_R_0001&from=EN
Energy
ENTSOs (G/E) Project
promoters NRAs (G/E)
Regional Groups
ACER (G/E) European
Commission
• Prepare TYNDPs for gas and electricity
• Submit projects
• Criteria (Art4)/CBA methodology
• PS CBA (ENTSOs)
• Check application of criteria
• Cross-border relevance
• Evaluate projects [against needs]
• Rank • Adopt
regional lists
• Adopt Union-wide list of PCI (no ranking)
• Opinion • Cross-
regional consistency (in CBA application)
Process to identify projects of common interest
<- May-July -> October -> End of February -> <- - March - April - ->
2017
PCI identification process
2016 2017
Energy
ENTSOs (G/E) - Prepare TYNDPs for gas and electricity [Stakeholders' involvement]
Process to identify projects of common interest
<- September –December - -> <- - April - September - ->
2016
Preparation of the PCI identification process
2015
Regional groups – Identification of infrastructure needs in Corridors
Regional groups – From needs to projects - Data requirements
Cooperation Platform – Improvements in the TYNDP, input to Regional Groups discussions
<- - February
Cross-Regional meeting – proposal
for Needs' identification
process - April
Cross-Regional meeting – launch of the process - June
Corridor meetings – needs' discussion
and validation July-September
2016
Energy
Main elements of the 3rd PCI identification process
• Every proposed project (gas + el) shall be part of the latest TYNDP
─ Electricity: 2016
─ Gas: 2017
• Project Specific CBA in line with the approved CBA methodologies (developed by ENTSOs)
• Benefits to outweigh project costs
• Importance of input data quality and accuracy for TYNDP
• Projects that best address infrastructure needs/deficiencies/bottlenecks in a given corridor
Energy
Needs identification
• Work in progress
• Possible sources of information
Needs in terms of market integration, sustainability, security of supply and competition (Art 4(2))
Needs embedded in the definition of Priority Corridors and Areas (Annex I)
Regional groups input – qualitative requirements; relying on Stakeholders' expertise
TYNDPs (previous) and Regional Plans for Gas and Electricity – bottlenecks
Gap analysis as part of the ongoing TYNDPs (electricity)
Outcomes of network modelling
Supply adequacy analysis / security of supply outlooks
• Intelligent process for assessing projects' response to identified needs
Energy
Key features of the 3nd PCI process
• Transparency
• Updated calendar of the PCI process available (CIRCAB?)
• Timely notification of activities and information sharing
• All stakeholders to have an overview of all the activities
• Stronger stakeholder involvement
• Meetings by default open to all stakeholders, including NGOs
• Keen to receive feedback on all steps of the process
• Public consultation on the list of candidate projects
• Rely on additional expertise to support Regional Groups, when needed
• Attention to the quality and reliability of data – factoring in information from the monitoring of the 2nd PCI list
RG Planning 2016 February March April Mai June July August September October November December
Regional Groups meetings
TEN-E Regional Groups meetings
(all)
Kick-off meeting
(04/02)
TEN-E RGs on
infrastructure needs
TEN-E RGs on
infrastructure needsStock taking meeting
Launch of PCI
application
(provisional)
Cross-RGs for gas
Cross-Regional
meeting
infrastructure needs
Regional Groups for gas
individually
RG meeting (PCI
progress)
RG meeting (PCI
progress)
RG meeting (PCI
progress)
Cross-RGs for electricity
Cross-Regional
meeting
infrastructure needs
Regional Groups for electricity
individually
RG meeting (PCI
progress)
RG meeting (PCI
progress)
RG meeting (PCI
progress)
Regional Group for oilRG meeting (PCI
progress)
RG meeting (PCI
progress)
RG meeting (PCI
progress)
Thematic group for Smart GridsRG meeting (PCI
progress)
RG meeting (PCI
progress)
RG meeting (PCI
progress)
Work streams:
Permit granting
Meeting for
National Competent
Authorities
Public acceptance
EUSEW 13,17/06, 3
sessions on public
acceptance
Workshops for
project promoters
and stakeholders
Workshops for
project promoters
and stakeholders
Regulatory issuesWorkshop (study
results)Workshop (Art 13)
Financing
Dedicated event on
financing (Financial
instruments)
CEF Info day
Dedicated event on
financing (Financial
instruments)
High-Level Groups
BEMIPWorking level
(10/03)Working level Working level High Level
CESEC
Steering Group
(senior officials)
(16/02)
Technical
Technical,
Steering Group
(senior officials)
High Level
South-West Europe
Technical meeting
(23/02) for
Ministries
Technical meeting
(04/03) for
Ministries, TSOs,
NRAs, ENTSOs
NSOG ?
Energy
Priority corridors: electricity
Northern Seas Offshore grid Nicole VERSIJP
North-South interconnections Western EU Tomasz JERZYNIAK
BEMIP Electricity Andreea TANASA
North-South interconnections CEE Beatrice CODA
+ E
lectr
icity h
ighw
ays (
Tom
asz J
ERZYN
IAK)
and s
mart
grids (
Sebastian G
RAS)
Energy
Priority corridors: gas, oil, CO2 transport
North-South interconnections Western EU Sebastian GRAS
BEMIP gas Adam ROMANOWSKI
North-South interconnections CEE & oil Adam SZOLYAK
Southern gas corridor Milosz MOMOT
+ c
arb
on d
ioxid
e t
ransport
infr
astr
uctu
re
(Beatr
ice C
OD
A)
Energy
Leaders of work streams and other responsibilities
Permit granting – Adam ROMANOWSKI
Public acceptance – Sorina STATE
Regulatory issues – Sebastian GRAS
Financing – Wioletta DUNIN-MAJEWSKA
High Level Groups:
HLG for South Western Europe – Sorina STATE, Tomasz JERZYNIAK (electricity), Sebastian GRAS (gas);
CESEC – Mikko VAHA-SIPILA;
BEMIP – Andreea TANASA (electricity), Adam ROMANOWSKI (gas)