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Monthly Progress Update
Issue 15/2014
01 June – 30 June
Part of the project “Assessment of climate
change policies in the context of the EU
Semester”
30 June 2014
Monthly Progress Update – June 2014
1
Table of Content
Austria ................................................................................................... 5
Renewable Energy ............................................................................................. 5
Belgium .................................................................................................. 6
Bulgaria ................................................................................................. 7
Energy Generation ............................................................................................. 7
Croatia ................................................................................................... 8
Renewable Energy ............................................................................................. 8
Cyprus ................................................................................................... 9
Renewable Energy ............................................................................................. 9
Czech Republic ................................................................................... 10
Energy Efficiency ............................................................................................. 10
Waste ................................................................................................................. 10
Denmark............................................................................................... 11
Horizontal Measures ........................................................................................ 11
Renewable Energy ........................................................................................... 11
Estonia ................................................................................................. 12
Horizontal Measures ........................................................................................ 12
Energy Generation ........................................................................................... 12
Renewable Energy ........................................................................................... 13
Finland ................................................................................................. 14
Horizontal Measures ........................................................................................ 14
Renewable Energy ........................................................................................... 14
Adaptation ........................................................................................................ 15
France .................................................................................................. 16
Horizontal Measures ........................................................................................ 16
Monthly Progress Update – June 2014
2
Renewable Energy ........................................................................................... 17
Energy Efficiency ............................................................................................. 17
Germany .............................................................................................. 19
Taxation ............................................................................................................ 19
Energy Generation ........................................................................................... 19
Renewable Energy ........................................................................................... 20
Energy Efficiency ............................................................................................. 20
Energy Networks .............................................................................................. 21
Greece .................................................................................................. 22
Energy ............................................................................................................... 22
Energy Networks .............................................................................................. 22
Renewable Energy ........................................................................................... 23
Electricity Production ...................................................................................... 23
Hungary ............................................................................................... 25
Horizontal Measures ........................................................................................ 25
Renewable Energy ........................................................................................... 25
Energy Efficiency ............................................................................................. 26
Ireland .................................................................................................. 27
Taxation ............................................................................................................ 27
Energy Policy.................................................................................................... 27
Renewable Energy ........................................................................................... 28
Interconnections .............................................................................................. 28
Italy. ...................................................................................................... 29
Lithuania .............................................................................................. 30
Energy Efficiency ............................................................................................. 30
Transport .......................................................................................................... 30
Latvia ................................................................................................... 31
Transport .......................................................................................................... 31
Climate Change ................................................................................................ 31
Monthly Progress Update – June 2014
3
Luxemburg .......................................................................................... 32
Horizontal Measures ........................................................................................ 32
Malta ..................................................................................................... 33
Transport .......................................................................................................... 33
The Netherlands .................................................................................. 34
Renewable Energy ........................................................................................... 34
Energy Networks .............................................................................................. 34
Poland .................................................................................................. 36
Horizontal Measures ........................................................................................ 36
Energy Generation ........................................................................................... 36
Portugal ............................................................................................... 37
Transport .......................................................................................................... 37
Energy ............................................................................................................... 37
Romania ............................................................................................... 38
Taxation ............................................................................................................ 38
Waste ................................................................................................................. 38
Slovakia ............................................................................................... 39
Horizontal Measures ........................................................................................ 39
Slovenia ............................................................................................... 40
Horizontal Measures ........................................................................................ 40
Renewable Energy ........................................................................................... 41
Energy Efficiency ............................................................................................. 42
Agriculture ........................................................................................................ 42
Energy Networks .............................................................................................. 44
Spain .................................................................................................... 45
Energy Efficiency ............................................................................................. 45
Monthly Progress Update – June 2014
4
Sweden ................................................................................................ 46
United Kingdom .................................................................................. 47
Horizontal Measures ........................................................................................ 47
Renewable Energy ........................................................................................... 48
Energy Efficiency ............................................................................................. 48
Transport .......................................................................................................... 49
Monthly Progress Update – June 2014
5
Austria
Renewable Energy
New demonstration project for innovative solar thermal heating systems launched
On 13 June 2014, a new demonstration project called “Demoprojekte Solarhaus 2014”
promoting innovative solar thermal heating in residential buildings was launched by the
Climate and Energy Fund. In the frame of this project grants up to 50 % of the
environmentally relevant investment costs are paid. Eligible are owners or lessees of single-
and multi-family houses with a solar covering at least 70 % of the total heat demand. In
addition to the investment subsidy, it is possible to receive guidance concerning the
improvement of the installation of the heating system. The project has a total budget of €
700,000 and is active until 25 September 2014.
Read more (in German): http://www.publicconsulting.at/uploads/klien_leitfaden_solarhaus.pdf
Monthly Progress Update – June 2014
6
Belgium
No important developments identified in June 2014 regarding climate or energy policies.
Monthly Progress Update – June 2014
7
Bulgaria
Energy Generation
EU’s infringement procedure over the South Stream pipeline leads to disputes in Bulgarian
ruling coalition
On 2 June 2014, the European Commission announced an infringement procedure against
Bulgaria on the grounds of non-compliance with the European legal framework as well as
public procurement and competition norms. During this procedure, the Commission expects
the Bulgarian Government “to suspend all activities connected with the construction of the
South Stream project”. Moreover, Commission President José Manuel Barroso warned that
other countries could also face infringement procedures over South Stream, reminding
leaders that energy security is one of the EU’s top priorities. Subsequently on 8 June,
Bulgaria’s Prime Minister Plamen Oresharski ordered the suspension of all activities related
to the South Stream project and further explained that Bulgaria would only proceed with the
gas pipeline after achieving compliance with the EU. On 12 June however, the speaker of the
Bulgarian Parliament Mihail Mikov stated that the construction of South Stream had not been
halted, as Prime Minister Oresharski did not possess the authority to suspend a contract with
a private company. Gazprom CEO Alexey Miller also pointed out that South Stream was still
under way in Bulgaria. Oresharski countered these statements arguing that the construction
activities could be halted by the Bulgarian Energy Holding (BEH) which is a co-owner of the
South Stream joint venture. Minister of Economy Dragomir Stoynev, who is in charge of
BEH, agreed that the work on the pipeline would be stopped. The deadline for Bulgaria’s
official response to the infringement procedure is 4 July.
Read more (in English):
http://www.novinite.com/articles/161260/PM+Oresharski+Insists+He+Ordered+that+South+Stream+Be+Frozen
Read more (in English):http://www.novinite.com/articles/161250/South+Stream+Project+%27Not+Frozen%27+-
+Parliament+Speaker
Bulgarian Industry Associations protest against electricity price increases
On 19 June, four major industry associations published an open letter to the Bulgarian
Energy Regulator DKEVR warning to stop paying electricity bills if a proposal on the increase
of electricity prices would be adopted by DKEVR. The four organisations – the Bulgarian
Industry Association (BIA), the Bulgarian Federation of Industrial Energy Consumers
(BFIEC), the Bulgarian Association of Metallurgical Industry (BAMI) and the Bulgarian
Chamber of Mining and Geology (BCMG) – argue that a price hike would lead numerous
companies into bankruptcy or force them to make severe job cuts. Electricity prices are a
sensitive issue in Bulgaria, as protests against price increases have led to the resignation of
Prime Minister Boiko Borisov in 2013. According to some experts, the incumbent
Government is therefore keeping prices for electricity and gas artificially low. At the same
time, however, the state-owned National Energy Company (NEK) is heavily in debt.
Read more (in English):
http://www.novinite.com/articles/161439/Business+Energy+Consumers+to+Protest+Electricity+Price+Hike
Monthly Progress Update – June 2014
8
Croatia
Renewable Energy
Croatia’s biggest wind farm has been put into operation
On 5 June 2014, the wind farm “Danilo” nearby Šibenik went into operation. After having
finished construction in October 2013, the wind farm has since been held in test operation,
waiting for final approval for operation.
With its 19 wind plants and a power of 44 MW, it is the biggest wind farm in Croatia. „Danilo“
is expected to produce 100 MWh per year and to provide 22,000 households with electricity.
Hence, the percentage of electricity produced by wind power will increase by 20%, which
would reduce yearly GHG emissions in Croatia by 33,000 tons.
The project was carried out by the Austrian enterprise “RP Global Projekti d.o.o.”. As the total
project costs amount to € 70 million, it represents the so far biggest foreign investment in
renewable energies in Croatia. However, Gerhard Matzinger, the CEO of RP Global,
expressed his discontent about the course of events leading to the completion of the works.
Mr. Matzinger has argued that high administration costs and slow administrative procedures
have unnecessarily prolonged the finalisation of the project.
Nevertheless, RP Global is again planning new projects in Croatia, such as hydropower
plants or the wind farm “Rudina” in the Dubrovnik area, whose construction should start this
year.
Read more (in Croatian):
http://www.slobodnadalmacija.hr/Dalmacija/Sibenik/tabid/74/articleType/ArticleView/articleId/247318/Default.aspx
Read more (in English): http://www.rp-global.com/croatia/
Monthly Progress Update – June 2014
9
Cyprus
Renewable Energy
Launch of the “Solar Energy for all” Scheme
On 14 June 2014, the Ministry of Energy, Commerce, Industry and Tourism launched the
“Solar Energy for All” Scheme. The Scheme substitutes the existing support schemes for
RES and Energy Efficiency for the period 2009-2013 and focuses only on PV installations.
“Solar Energy for All” supports the following categories:
Net metering for roof-mounted PV installations up to 3kW (max. installed capacity 1.2MW):
Beneficiaries are individuals with low income and they will receive a subsidy of max. € 2,700 per
installation.
Net metering for households (max. installed capacity 13.5MW): Beneficiaries are all individuals
willing to install a roof-mounted PV on their residence without receiving any subsidy; their
installation will operate under a net-metering scheme.
Net metering for local administration buildings (aggregate installed capacity 0.3MW):
Beneficiaries are public buildings of local administrations willing to install a roof mounted PV on
their building.
Autonomous production by PV installations (capacity between 10kW- 500kW) for industrial/
commercial units (aggregate installed capacity 5MW): Beneficiaries are industrial and
commercial units willing to install PV so as to cover their electricity demand. Any electricity
surplus will not be fed into the grid.
Applications are open until the capacity cap is reached.
Read more (in Greek):
http://www.mcit.gov.cy/mcit/mcit.nsf/All/294D516BA95427C4C2257CF6003C4F62/$file/%CE%A3%CF%87%CE%AD%CE%B4
%CE%B9%CE%BF%20%CE%97%CE%BB%CE%B9%CE%B1%CE%BA%CE%AE%20%CE%95%CE%BD%CE%AD%CF%8
1%CE%B3%CE%B5%CE%B9%CE%B1%20%CE%B3%CE%B9%CE%B1%20%CE%8C%CE%BB%CE%BF%CF%85%CF%8
2%202014_13062014.pdf
Monthly Progress Update – June 2014
10
Czech Republic
Energy Efficiency
New subsidies for the exchange of household boilers in Central Bohemia
On 3 June 2014, the Ministry of Environment confirmed that subsidies in the total amount of
CZK 80 million (approx. € 300,000) have been allocated for the replacement of inefficient
household boilers in the region of Central Bohemia. The amount of support will vary between
CZK 15,000 to 60,000 (approx. € 550 to 2,200) depending on the type and the efficiency of
the boiler. The subsidy programme is financed equally by the region and the Ministry of the
Environment.
Read more (in Czech): http://biom.cz/cz/zpravy-z-tisku/mzp-potvrdilo-80-mil-kc-na-kotlikove-dotace-ve-strednich-cechach
Waste
Czech Parliament rejects amendment of Waste Act
On 20 June 2014, the Czech Parliament rejected an amendment to the Waste Act which
would have notably increased the fees for waste collection and foreseen the introduction of a
landfill ban for recyclable waste. According to the amendment, municipalities should ensure
the separate collection of not only paper, plastic and glass, but also metals and
biodegradable waste. Fees for landfilling would have gradually increased from the current
CZK 500 (€ 18) per ton to CZK 600 (€ 22) in 2015 and up to CZK 1,000 (€ 36) in 2020. The
landfilling of biodegradable waste should have been banned by 2023. The Minister of
Environment Richard Brabec stated that the Ministry may submit these changes again in
autumn 2014 when a new Waste Act is expected to be discussed in Parliament. Having
rejected this proposal the Parliament only approved the introduction of a register of return
points for used electrical appliances, which is based on the Directive 2002/96/EC on Waste
Electrical and Electronic Equipment.
Read more (in Czech): http://biom.cz/cz/zpravy-z-tisku/zakaz-skladkovani-recyklovatelneho-odpadu-zatim-zaveden-nebude
Monthly Progress Update – June 2014
11
Denmark
Horizontal Measures
Danish Parliament passed the Climate Change Act
On 11 June 2014, the Danish Parliament passed the Climate Change Act. The Act will form
an agenda for Denmark’s climate policy with a goal to become a low-emission society by
2050. The low-emission society should be resource-efficient, with energy supply from
renewable energy and considerably lower greenhouse gas emissions.
The Act and related notes introduce:
an independent Climate Council,
an annual Climate Policy Report, which will be presented to the Danish Parliament,
a process for the setting of national climate targets.
The Climate Council will prepare recommendations on how to achieve the goal of low-
emmission society by 2050 and evaluate the status of the targets fulfilment. The annual
Climate Policy Report will include an overview of introduced measures together with the
Climate Council’s recommendations.
Apart from that, the Act obliges the Minister for Climate, Energy and Building to set targets
for national greenhouse gas reduction with a ten-year perspective, at least once every 5
years. The government announced to set the first targets once the EU’s 2030 framework for
energy and climate policies is established.
Read more (in English): http://www.kebmin.dk/sites/kebmin.dk/files/climate-energy-and-building-policy/denmark/Climate-
Change-Act/qa_climate_change_act.pdf
Renewable Energy
The Climate, Energy and Building Minister presents a projection of the cost of the energy
agreement
On 6 June 2014, the Climate, Energy and Building Minister presented a projection of the cost
of the 2012 Energy Agreement to Parliament. The projections show that although the overall
costs of the energy agreement will be higher than previously expected (DKK 4.9 billion (€
660 million) instead of DKK 3.4 billion (€ 460 million) by 2020), but that the electricity prices
for both households and enterprises will be lower in 2020 than was predicted when the
Energy Agreement was concluded.
The Energy Agreement costs are covered through the so-called PSO-fee, which is paid by
the energy consumers as a part of their electricity and gas bills. The fee is closely linked to
the price of electricity – when the electricity price decreases, the PSO fee increases.
However, according to the projections, the increase in the fee will be lower than the decrease
in the price of electricity.
Read more (in Danish): http://www.kebmin.dk/nyheder/regeringen-skaber-klarhed-pso-gebyret
Monthly Progress Update – June 2014
12
Estonia
Horizontal Measures
EU Commission rejects the plan for two LNG terminals in Finland and Estonia
On 20 June 2014, the EU Commission announced the rejection of two Liquefied Natural Gas
(LNG) projects in Finland and Estonia. The EU Commission reasoned that a two-terminal
model would not be eligible for EU subsidies. The EU could finance up to 40% of a regional
terminal serving more than one country. In February 2014, Estonia and Finland decided to
develop two regasification terminals on both sides of the Finnish Bay which ought to be
linked with Balticconnector, a submarine pipeline. Negotiations will continue over the next
few months, as a new plan must be submitted to the EU Commission until 19 August 2014.
Read more (in Estonian): http://majandus24.postimees.ee/2832719/euroopa-komisjon-lasi-kahe-lng-terminali-plaani-pohja
Read more (in English): http://www.enerdata.net/enerdatauk/press-and-publication/energy-news-001/eu-commission-rejects-
plans-2-lng-projects-finland-and-estonia_29260.html
Energy Generation
Small island Osmussaar will get renewable energy system
By the end of June 2014, the island Osmussaar, situated in West-Estonia, will finish
installation work of a new energy system. Grants amounting to € 45,000 were received from
the foundation Enterprise Estonia and the Estonian Ministry of the Interior. Currently, 800W
of electricity comes from solar PV and 160W is produced by wind turbines. In addition, a
petrol generator produces electricity if there is a need for more power. The new system will
receive a wind turbine with an output of 3kW, solar panels with an output of 3kW and a diesel
generator with an output of 10kW. Also, a 2000W battery storage will be installed.
Read more (in Estonian): http://online.le.ee/2014/06/16/osmussaar-saab-voimsama-energiapargi/
Estonia’s electricity consumption will increase by 1,2 % next year
On 3 June 2014, Estonia’s TSO Elering announced that Estonia’s annual electricity
consumption will increase by 1.2%. Up to now it was calculated that the electricity
consumption will increase annually by 2.4% on average. Estonia’s TSO Elering has now
corrected this number. Peak consumption has not increased in recent years and has been
between 1500-1500MW. It is expected to amount to 1700MW by 2030. The reason for the
slow increase is that no new large consumers have been attached to the electricity system.
Read more (in Estonian): http://www.tuuleenergia.ee/2014/06/elering-prognoosib-eesti-aastaseks-elektritarbimise-kasvuks-12/
Monthly Progress Update – June 2014
13
Renewable Energy
The Chancellor of Justice suggests to the Ministry of Economic Affairs and Communication
to review the renewable energy subsidies
On 19 June 2014, the Chancellor of Justice, Indrek Teder, sent a memorandum to the
Minister of Economic Affairs and Communications, Urve Palo, in which it is stated that
subsidies for renewable energy production must be reviewed because of the changing
conditions on the electricity market. The Chancellor of Justice has received several
complaints in which he was asked to analyse whether the subsidy scheme is in compliance
with the Constitution. The Chancellor found that the current subsidy scheme is not a tax and
has to meet the EU requirements. However, the memorandum criticizes an unlimited support
of electricity from renewable sources. Currently, a cap to receive the premium tariff is set
only for wind power (with an annual cap of 600 GWh). The subsidy for electricity from other
renewable energy sources is, however, unlimited. According to the Chancellor, such a
scheme exceeds EU requirements and therefore places too high burdens on electricity
consumers. The current subsidy scheme favors renewable electricity producers too much, as
it is not related to the spot price. Since Estonia has already met its 2020 targets, the premium
tariff system and subsidy caps might now be revised.
Read more (in Estonian): http://arileht.delfi.ee/news/uudised/oiguskantsler-soovitab-palol-taastuvenergia-toetuste-maarad-ule-
vaadata.d?id=68917727
Read the memorandum (in Estonian):
http://oiguskantsler.ee/sites/default/files/field_document2/6iguskantsleri_seisukoht_vastuolu_mittetuvastamise_kohta_taastuven
ergia_toetuste_rahastamise_skeem.pdf
Monthly Progress Update – June 2014
14
Finland
Horizontal Measures
EU Commission rejects the plan for two LNG terminals in Finland and Estonia
On 20 June 2014, the EU Commission announced the rejection of two Liquefied Natural Gas
(LNG) projects in Finland and Estonia. The EU Commission reasoned that a two-terminal
model would not be eligible for EU subsidies. The EU could finance up to 40% of a regional
terminal serving more than one country. In February 2014, Estonia and Finland decided to
develop two regasification terminals on both sides of the Finnish Bay which ought to be
linked with Balticconnector, a submarine pipeline. Negotiations will continue over the coming
few months, as the EU Commission has set a deadline for submitting a new plan at 19
August 2014.
Read more (in Estonian): http://majandus24.postimees.ee/2832719/euroopa-komisjon-lasi-kahe-lng-terminali-plaani-pohja
Read more (in English): http://www.enerdata.net/enerdatauk/press-and-publication/energy-news-001/eu-commission-rejects-
plans-2-lng-projects-finland-and-estonia_29260.html
Government approves the Climate Act draft
On 5 June 2014, the Government of Finland approved a draft Climate Act, which foresees an
80% greenhouse gas reduction by 2050. The Act specifies steps to achieving energy
efficiency and sustainability in both the public and the private sector. These steps include, for
example, supporting development of clean technology, creating a planning and monitoring
system for the reduction of emissions, clarifying the division of duties between authorities in
climate policy and strengthening the role of Parliament in climate policy. It will also provide
mid- to long-term plans to achieve the legally binding 80% reduction target. The draft will now
go through readings at the Parliament and is expected to come into force in spring 2015.
Read more (in Finnish): http://www.ym.fi/fi-FI/Ajankohtaista/Tiedotteet/Valtioneuvosto_hyvaksyi_esityksen_ilmast%2829798%29
Renewable Energy
Architecture competition for new biorefineries now open
On 4 June 2014, the Ministry of the Employment and Economy opened an architecture
competition with an aim to speed up innovation in biorefinery sector and to increase the
number of biorefineries in Finland. Refineries that are processing biomass in an efficient
manner and produce different products out of it, such as chemicals or energy play a major
role in developing a sustainable business environment. The idea of the competition is to
receive proposals for new generation biorefineries in Finland. Refineries must be
commercially viable and use new technology, i.e. technology which is not yet in commercial
usage. Eligible are pilot and demonstration projects with a large potential. The prize for the
winner of the competition is € 100,000 and the winner will be announced in February 2015.
The competition deadline is on 4 December 2014.
Read more (in Finnish): http://www.tem.fi/energia/tiedotteet_energia?89519_m=115320
Monthly Progress Update – June 2014
15
Adaptation
New recommended minimum heights for buildings in Finland
On 11 June 2014, the Finnish Environment Institute (Syke) and the Ministry of the
Environment published renewed guidelines recommending new heights for building above
sea level entitled “Preparing for the flood in construction sector” (Tulviin varautuminen
rakentamisessa). The purpose of the guidelines is to minimize the potential damages to
buildings in case of floods and earth erosion. The guidelines were last updated in 1999.
While the recommendations in the updated guidelines do not change much, the risks for
buildings and land-use are clarified and a more detailed overview of the future scenarios is
provided. Moreover, the guidelines contain maps of potential flood areas. The guidelines
indicate that by the year 2100 the Baltic Sea level should be 30cm higher compared to the
current level. The mapped risks are also important for insurance companies which are
expected to widen their service area based on information provided in the new guidelines.
Read the guidelines (in Finnish): https://helda.helsinki.fi/handle/10138/135189
Read more (in Finnish): http://www.ym.fi/fi-FI/Ajankohtaista/Ilmastonmuutos_lisaa_tulvariskeja__alimp%2829906%29
Monthly Progress Update – June 2014
16
France
Horizontal Measures
Presentation of the draft law on energy transition
On 18 June 2014, the Minister of Ecology Ségolène Royal presented the draft law on energy
transition. The draft law foresees measures to modify the energy mix as well as to reduce
energy consumption and greenhouse gas emissions. As planned by president François
Hollande, the law sets a target of 40% reduction of greenhouse gas emissions (compared to
1990 levels) and a share of 32% of renewable energies in the final energy consumption by
2030 (corresponding to 40% of the total electricity production). Moreover, the share of
nuclear energy in the total electricity generation shall decrease from currently 75% to 50% by
2025. However, the law does not specify targets for electricity consumption from nuclear
energy. The most important measures of the draft law are the following:
The trajectories in order to achieve the defined targets will be detailed in a low carbon strategy,
which will cover a time frame of 15 years and will be reviewed every five years. The first low
carbon strategy should be adopted by 15 October 2015 at the latest. A multiannual
programming of energy (“programmation pluriannuelle de l'énergie” - PPE) will specify every 5
years the national objectives in terms of consumption reduction, energy production and storage.
This document shall merge the existing multiannual investment programmes for electricity, gas
and heat. It will also specify the maximum budget to be allocated to achieve the defined
objectives.
The operatorsproducing over a third of the national electricity production, such as the French
utility company EDF, shall submit a plan to the government outlining their strategy to meet the
objectives set in the multi-annual programming of energy. The strategy shall specify the
diversification of electricity generation, the evolution of the electrical facilities, their impact on
the transmission grid and on the security of supply. The monitoring of the plan shall be
submitted annually to the Parliament.
The draft law also provides for a comprehensive review of the support scheme for renewable
energies, in order to accelerate their development. The support schemes will be reformed by
order. In addition to the feed-in tariffs, the draft law introduces a premium for energy producers
directly selling their electricity on the wholesale market. These different types of support will be
available through tenders.
A national fund for energy transition and green growth shall be created with a budget
amounting to € 1.5 billion over three years. It will allow the doubling of the budget of the Heat
Fund, thus amounting to € 400 million for the period 2015-2017. Moreover, the lending volume
of the French public investment bank for renewable energy projects shall be doubled for the
period until 2017, thereby reaching € 800 million per year.
According to the Minister of Ecology, the draft law should be adopted by Parliament before
the end of 2014.
Read more (in French): http://www.actu-environnement.com/ae/news/projet-loi-transition-energetique-mix-nucleaire-enr-
21959.php4
Monthly Progress Update – June 2014
17
Read more (in French): http://www.developpement-durable.gouv.fr/Les-grands-axes-du-nouveau-modele.html
Renewable Energy
Signature of a new order defining the FiT for wind energy plants
Following the preliminary question raised by the State Council on 15 May 2012, the Court of
Justice of the European Union concluded on 19 December 2013 that the French mechanism
of purchase obligation of electricity from wind energy, financed through state resources, was
not notified as a state aid by the French Government. Consequently, the State Council
withdrew the order of 17 November 2008 fixing the purchase conditions of electricity
generated by onshore wind energy plants. Following the withdrawal of the purchase
obligation, the Minister of Energy Ségolène Royal signed on 5 June 2014 a new order with
the same purchase conditions for wind energy installations. The new order was submitted to
the Energy Regulatory Commission and to the Higher Energy Council and is now awaiting
publication in the official journal. The new feed-in tariff shall allow wind energy installations to
benefit from the same profitability as installations under the previous order.
Read more (in French): http://www.actu-environnement.com/ae/news/nouvem-arrete-tarifaire-eolien-recours-menace-
21859.php4
Read more (in French): http://www.developpement-durable.gouv.fr/Soutien-a-l-energie-eolienne,39517.html
Energy Efficiency
Definition of the budget allocated to the National Housing Agency
On 25 May 2014, the Ministries of Housing and Ecology published in the official journal a
circular defining the budget allocated to the National Housing Agency (Agence Nationale de
l’Habitat - Anah) for the year 2014. The Agency was thus granted € 613 million through the
Thermal Renovation Fund (Fonds d'aide à la rénovation thermique). This budget will allow
financing the “Better Living” programme of the Housing Agency, which foresees a financial
support for the energy refurbishment of 38,000 housing units in 2014. The first beneficiaries
of the “Better Living” programme remain households with modest income, which often live in
difficult housing conditions.
Read more (in French): http://www.bulletin-officiel.developpement-
durable.gouv.fr/fiches/BO20149/met_20140009_0100_0031.pdf
Read more (in French): http://www.actu-environnement.com/ae/news/renovation-energetique-financement-anah-2014-
21795.php4
New signatories of the energy efficiency charter
On 28 May 2014, seven companies and one trade union have signed the energy efficiency
charter for public and private commercial buildings introduced by the Sustainable Building
Plan (Plan Bâtiment durable). In total, 62 stakeholders committed to the requirements of the
energy efficiency charter. Launched in October 2013, this voluntary charter is addressed to
stakeholders of the tertiary sector, such as shopping centres, real estate companies, banks,
universities, wishing to improve their energy efficiency. The commitments of the charter
anticipate the implementation before 2020 of the legal requirements provided by the law n°
Monthly Progress Update – June 2014
18
2010-788 of 12 July 2010 on the national commitment to environment, especially regarding
the improvement of energy efficiency in existing buildings for tertiary use or public service.
Read more (in French): http://www.planbatimentdurable.fr/IMG/pdf/140602_Charte_a_jour.pdf
Read more (in French): http://www.actu-environnement.com/ae/news/efficacite-energie-batiments-tertiaire-charte-21802.php4
Monthly Progress Update – June 2014
19
Germany
Taxation
Minister for Economic Affairs plans amendments to the bill to reform the Renewable Energy
Act
According to a confidential letter by the Minister of Economic Affairs Sigmar Gabriel to a
party colleague, that was leaked at the beginning of June, he insists on changes to the bill to
reform the Renewable Energy Act by putting a higher burden on the coal mining industry.
From the perspective of climate protecting the coal and lignite sector should no longer be
exempt from the renewable energy levy. Coal and lignite mine should gradually be required
to pay:
20% of the levy of 6.24Ct/kWh in 2015
35% in 2016 and
50% in 2017.
The minister expects that annually up to €180 million will be raised for supporting electricity
from renewable energy sources.
Furthermore, Gabriel intends to increase the share of the levy, which industrial enterprises
have to pay for electricity from own production to 50%. Currently, the bill foresees that
industrial enterprises pay only 15% of the levy compared to trade and commerce companies
which would have to pay 50% of the levy. Thus, the industrial sector and the other economic
sectors would be treated even. However, the Minister also intends to improve the situation
for some energy intensive branches of the industry by reducing the minimum levy to be paid
from 0.1 Ct/kWh to 0.05 Ct/kWh.
Read more (in German): http://www.rp-online.de/wirtschaft/gabriel-gegen-stromprivileg-fuer-kohle-aid-1.4292635
Read more (in German): http://fazjob.net/ratgeber-und-service/beruf-und-chance/umwelttechnik/124483_Endspurt-um-die-
Oekostromreform.html
Energy Generation
New guidelines for shale gas fracking might be released over the next months
According to the promise of Germany’s ruling parties in their coalition agreement to set a
legal framework for shale gas fracking, the ministry of economic affairs and energy and the
environmental ministry announced on 5 June 2014 their plans to elaborate new guidelines for
shale gas fracking. Hydraulic fracturing is facing wide opposition by the German population.
The environmental minister Hendricks announced strict environmental audits for fracking.
Furthermore, fracking should be banned in water protection areas which make up approx.
14% of the country’s area. The new rules should enter into force in 2015. So far there is no
information whether testing projects will be approved and to what extent. A moratorium for
granting new permits was in place over the last two years raising the need for new
regulations.
Monthly Progress Update – June 2014
20
Read more (in German): http://www.ruhrnachrichten.de/nachrichten/politik/aktuelles_berichte/Gesetzliche-Regelung-Breite-
Protestfront-gegen-Fracking;art29862,2384309
Read more (in English): http://www.reuters.com/article/2014/06/04/us-germany-fracking-idUSKBN0EF1GE20140604
Renewable Energy
More than a quarter of Germany’s electricity consumption covered by renewable energy
sources
According to the German Association of Energy and Water Industries (Bundesverband der
Energie- und Wasserwirtschaft - BDEW), the share of renewable energy sources in
Germany’s electricity consumption reached 27% in the first quarter of 2014. Thus, the share
of RES-E increased by 4% compared to the first quarter of 2013. Renewable electricity
generation increased from 35.7 billion kWh in 2013 to 40.2 billion kWh in 2014. According to
the BDEW, 70% of this increase was determined by PV-installations. Wind power plants
contributed with 19% to this increase. This positive development was due to ongoing
capacity development of renewable energy sources in Germany as well as favourable
weather conditions in the first months of 2014.
Read more (in German): http://www.bmwi-energiewende.de/EWD/Redaktion/Newsletter/2014/19/Meldung/bdew-anteil-der-
erneuerbaren-energien-steigt-im-ersten-quartal-2014.html
Energy Efficiency
Government published third National Energy Efficiency Action Plan
The Federal Cabinet passed the third National Energy Efficiency Action Plan, which had
already been announced in the coalition agreement of the governing parties. The plan
summarises the essential, existing instruments and measures for increasing energy
efficiency in Germany. In addition, the report encompasses an assessment of the
development of energy consumption in Germany by 2020. The National Energy Efficiency
Action Plan also takes into account the objectives of the German energy concept referring to
primary and final energy consumption. Furthermore, the Action Plan provides an overview of
the steadily growing market for energy services in Germany and elaborates on the expected
future developments in this sector.
With the presentation of the Action Plan, the federal government fulfilled its reporting
obligation that is specified in the EU directive on energy efficiency. Aside from a projection of
the country’s cumulated energy saving target by 2020, member states also have to indicate
the energy saving impact of already introduced instruments and measures. The cumulative
energy saving target for the period up to 2020 amounts to 1,758 petajoules (PJ). Of these,
1,476PJ in energy savings are already covered by existing policies and instruments.
Read more (in German):
http://www.bmwi-energiewende.de/EWD/Redaktion/Newsletter/2014/18/Meldung/energieeffizienzrichtlinie-
umsetzungsmitteilung-an-die-eu-kommission.html
Read more (in German):http://www.welt.de/print/die_welt/article128931293/Jetzt-soll-die-Energiewende-sexy-werden.html
Monthly Progress Update – June 2014
21
Energy Networks
Public participation for grid development projects completed
By June 2014, various grid development projects in Germany benefited from broad public
participation. The transmission operator TenneT has completed the first stage of public
participation including information and dialogue events for the SuedLink grid project. The
new grid line is proposed to cover the route corridor from Wilster to Grafenrheinfeld. More
than 2,200 alternative proposals and indications for the grid’s route have been made during
the last months. The proposals and indications will now evaluated by TenneT approval and
planning experts and possibilities. The results will be presented by TenneT in the course of
the summer.
In addition, public consultation for the first draft of the so-called Network Development Plan
(NDP) and the Offshore Network Development Plan (O-NEP) 2014 also ended by the end of
May. Currently the comments are being evaluated. In the NDP and O-NEP, the four
transmission system operators summarise every year their grid development plans for the
next ten years. This coordination aims at securing electricity supply in the long term. The
opinions of citizens and representatives from government, municipalities, government
agencies, businesses and academia are taken into consideration in these plans. The revised
plans are then passed into the second draft to the Federal Network Agency (FNA) for review
and confirmation.
Read more (in German): http://www.bmwi-energiewende.de/EWD/Redaktion/Newsletter/2014/18/Meldung/mitreden-beim-
netzausbau-stellungnahmen-veroeffentlicht.html
Monthly Progress Update – June 2014
22
Greece
Energy
“Small PPC” bill expected to be submitted to the Parliamentary Committee in the end of June
Almost three months after the end of the public consultation the “Small PPC” will be
processed by the Parliamentary Committee of Production and Commerce on 26 June 2014.
The bill contains provisions concerning the sale of a part of the production capacity of the
Public Power Corporation S.A. (PPC S.A.) - the dominant electricity supplier in Greece - to
private investors. “Small PPC’s” portfolio includes thermoelectric power plants, hydroelectric
plants, a natural gas power plant as well as three lignite mines. PPC’s workers union has
already expressed their disagreement against the bill and is scheduling consecutive strikes,
during the time the bill is processed in the Parliamentary Committee.
Read more (in Greek): http://www.kathimerini.gr/772998/article/epikairothta/ellada/voylh-thn-pempth-sthn-koinovoyleytikh-
epitroph-to-nomosxedio-gia-th-mikrh-deh
Energy Networks
12 Interconnection projects approved as “fast track”
The Minister of Development and Competiveness, Mr. Kostis Hadjidakis, announced on 2
July 2014 the characterisation of 12 interconnection projects as “fast track” projects. Under
the current legislative framework i.e. Law No.3894/2010 and Law No.4146/2013, strategic
investments characterised as “fast track” benefit from a favourable legal framework that
facilitates the acceleration of the realisation of such projects. The inclusion of those projects
was proposed by the Minister of Energy, Environment and Climate Change, Mr. Ioannis
Maniatis. All 12 interconnection projects have already been classified as Projects of Common
Interest (PCIs). The projects include interconnections of Greek islands with the main
electricity grid, as well as electricity and gas interconnections with other countries, such as
an interconnection with the Transadriatic Pipeline (TAP) or an interconnection with Israel and
Cyprus. It is estimated that those investments can create up to 17,000 new jobs.
Read more (in Greek): http://energyin.gr/2014/06/02/%CE%B7-
%CE%B5%CE%B9%CF%83%CE%AE%CE%B3%CE%B7%CF%83%CE%B7-
%CE%BC%CE%B1%CE%BD%CE%B9%CE%AC%CF%84%CE%B7-%CF%83%CF%84%CE%B7-
%CE%B4%CE%B5%CF%83%CE%B5/
Read more (in Greek): http://www.energypress.gr/news/Se-fast-track-mpainoyn-12-energeiakes-ependyseis-ypsoys-7-dis.-eyrw
RAE launches public consultation on the Ten Year Development Plan of the Transmission
System (DPA 2014-2024)
The Greek Regulatory Authority on Energy (RAE) launched on 16 June 2014 the public
consultation of the Ten Year Development Plan of the Greek Transmission System (Δεκαετές
Προγράμματος Ανάπτυξης (ΔΠΑ) του Εθνικού Συστήματος Μεταφοράς Ηλεκτρικής Ενέργειας
(ΕΣΜΗΕ). Interested parties are invited to submit their opinion until 18 July 2014 on matters
concerning the timetable of the projected transmission projects, the accessibility of new
Monthly Progress Update – June 2014
23
power plants to the transmission grid, the prospective interconnection with non-
interconnected islands and the island of Crete.
Read more (in Greek): http://www.rae.gr/categories_new/about_rae/activity/global_consultation/current/16062014.csp
Renewable Energy
Inclusion of 6 Wind Energy Projects in the Investment Law
Six big wind energy projects are expected to be approved by the Greek Parliament until the
end of June 2014. Those projects will benefit from their inclusion to the Investment Law (Law
No. 3908/2011) with tax reliefs that amount to € 28.13 million as well as grants of up to € 65
million. The bill that foresees their inclusion is processed by the respective Parliamentary
Committee. All six wind energy project are planned to be installed in the mainland
transmission grid.
Read more (in Greek): http://www.hellenicparliament.gr/Nomothetiko-Ergo/Epexergasia-stis-Epitropes?law_id=8311c3d4-5a8a-
45a3-9904-c451da1f9920
“Development of Small Wind Installations” Programme still on hold
The introduction of the Programme “Development of small wind installations” is expected to
delay more than expected, despite the interest from wind energy related stakeholders, which
have already made necessary initial investments. Law No. 3851/2010, foresaw the
introduction of the Programme for the deployment of small wind until 50kW in households
and commercial buildings; the amendment with Law No.4203/2013 that reviewed the
Programme also introduced a net metering scheme. However, the Ministerial Decree that
would have regulated the details of the programme is not expected to be published until the
end of June 2014, as the law stated. The reason of the delay lies in the fact that the related
feasibility study of the programme has not been carried out and this is why the Ministerial
Decree is estimated to delay up to eight months.
Read more (in Greek): http://www.energypress.gr/news/ananeosimes-phges/Anaballetai-h-Ypoyrgikh-Apofash-gia-tis-mikres-
anemogennhtries
Greek Electricity Market Operator (LAGIE) pays RES producers for the last trimester of 2013
On 20 June 2013, LAGIE announced that it has begun to pay RES producers for the last
trimester of 2013. LAGIE is the authority responsible for paying Greece’s RES Feed-in Tariff
(FiT) to RES producers. LAGIE will pay off initially 7,800 RES plants i.e. 70% of the
aggregate installations.
Read more (in Greek): http://www.lagie.gr/perissoteres-anakoinoseis/anakoinosi/article/899/
Electricity Production
Public consultation on electricity auctions ended in a stalemate
On 19 June 2014, the Greek Regulatory Authority on Energy (RAE) published the results of
the public consultation on the prospective introduction of the new electricity market model, as
Monthly Progress Update – June 2014
24
NOME-type (Nouvelle Organisation du Marché de l'Electricité) auctions, in September 2014,
which is supposed to render the retail electricity market more competitive. 23 stakeholders
took part in the consulation. RAE concludes that the public consulation has resulted in a
stalemate as private electricity companies raise concerns over the way the electricity
produced by the PPC S.A. will be purchased and consequently its price. On the one hand,
PPC S.A. advocates the introduction of an auction scheme, with which its O&M cost can be
fully recovered plus a small profit. This means that the electricity purchase is estimated at
€60/MWh. On the other hand, private suppliers propose a fixed tariff of €30/MWh. In its letter
to the Ministry of Energy, Environment and Climate Change, RAE underlines the dead end of
the public consultation by stating that there is no need for further processing as relevant
stakeholders have completely contrasting opinions and do not conribute constructively to the
discussion. RAE therefore advices the Ministry to clarify the purchase price of electricity and
how will it be calculated.
Read more (in Greek): http://www.naftemporiki.gr/finance/story/824684/rae-adieksodo-sti-diabouleusi-gia-ti-diathesi-energeias
Read more (in Greek):
http://www.rae.gr/categories_new/about_rae/activity/global_consultation/history_new/190614_lix_070514_1.csp
Monthly Progress Update – June 2014
25
Hungary
Horizontal Measures
New Minister of National Development affirms Hungary’s strategy in energy policy
In the aftermath of the parliamentary elections in April 2014, Miklós Seszták was announced
new Minister of National Development on 6 June 2014. The minister will continue to follow
Hungary’s energy political strategy according to the National Energy Strategy and the
National Climate Change Strategy. As outlined in these documents, nuclear power continues
to play a crucial role in securing Hungary’s energy supply. The future energy mix will focus
on nuclear power, coal-fired electricity and energy from renewable energy sources.
Furthermore, Seszták stressed that Hungary’s natural gas supply needs to be secured. To
this end, the cross-border natural gas network with Croatia and Romania will have to be
reinforced and its capacity will have to be increased.
As regards renewable energy sources, the Minister stressed that Hungary is on track to
reach its 2020 renewable energy share of 14.65%. However, the developments in this sector
need to be consolidated and support mechanisms for renewable energy sources will have to
be more effective in the future.
Making energy prices in Hungary affordable is another key issue which the ministry will
continue to push forward. Seszták stressed that besides households the Hungarian industry
also needs to benefit from affordable energy prices in order to increase economic growth and
to maintain the economy’s competitiveness.
Read more (in Hungarian): http://www.kormany.hu/hu/nemzeti-fejlesztesi-miniszterium/hirek/sesztak-miklos-a-hazai-
energiabiztonsaghoz-nelkulozhetetlen-az-atomenergia
Renewable Energy
New subsidy programme for PV-installations planned
On 4 June 2014, drafts for two new subsidy programmes on promoting the construction of
PV-installations have been published by the Ministry of National Development. While one of
the programmes addresses central governmental agencies, the other addresses local
administrations. Both subsidy programmes cover 100% of eligible costs. The subsidy amount
varies between HUF 20-50 million (approx. € 65,000-163,800) for local administrations and
between HUF 100-300 million (approx. € 327,600-983,000) for central governmental
agencies. The programmes’ guidelines were put up for public debate until 14 June 2014. So
far, there is no timeline for officially launching the programmes.
Read more (in Hungarian): http://palyazat.gov.hu/forum_topic_pate/791/filter?offset=0&theme_filter
Read more (in Hungarian): http://palyazat.gov.hu/forum_topic_pate/790/filter?offset=0&theme_filter=
Monthly Progress Update – June 2014
26
Energy Efficiency
Energetic refurbishment should be combined with RES technologies in a new subsidy
programme
On 4 June 2014, the Ministry of National Development published a draft for a subsidy
programme on energetic refurbishment combined with the use of renewable energy sources
in buildings of local administrations and institutions. It is running under the Environmental
and Energy Operative Programme (EEP). According to the draft programme guideline, the
subsidy programme will allocate altogether HUF 5 billion (approx. € 16.39 million) and will
cover 100% of eligible project costs. A subsidy of HUF 30-150 million are granted (approx. €
98,300 – 491,600). Only investments in already existing buildings are eligible. The
programme’s guideline was put up for public debate until 14 June 2014. So far, there is no
timeline for officially launching the programme.
Read more (in Hungarian): http://palyazat.gov.hu/forum_topic_pate/792/filter?offset=0&theme_filter=
Monthly Progress Update – June 2014
27
Ireland
Taxation
New taxation regime for offshore petroleum
On 18 June 2014, the Minister of Communications, Energy and Natural Resources, Mr. Pat
Rabitte, announced that the existing taxation regime for the exploration and exploitation of
offshore petroleum will be revised. The purpose of the revision is that the Government aims
to profit as much as possible from the prospective exploration and discoveries of offshore
petroleum. Taking into account the Wood Mackenzie’s comprehensive report on that matter,
the introduction of a revised tax is proposed. Such a tax will vary according to the profitability
of the field and will be based on net profits and up to 55% (currently 40%). In addition, the tax
should include a minimum of 5% in form of a royalty. For existing licenses, no retroactive
changes are proposed.
Read more (in English):
http://www.dcenr.gov.ie/Press+Releases/2014/RABBITTE+ANNOUNCES+NEW+TAX+REGIME+FOR+OFFSHORE+PETROLE
UM.htm
Energy Policy
SEAI’s new report estimates the value of the sustainable energy technologies and services
sector
On 11 June 2014, the Sustainable Energy Authority of Ireland published its report “Ireland’s
Sustainable Energy Supply Chain Opportunity”. The report carried out in cooperation with a
number of enterprise agencies examines the position of the Irish supply chain so as to take
advantage of new business opportunities arising from expected investment in energy efficient
and renewable energy products and services. Currently, Ireland is spending EUR 1.5 billion
per year on sustainable energy solutions and if the sector can profit from the arising business
opportunities it can be valued as much as EUR 2.5 billion per year by 2020. In other words,
the sector is able to sustain up to 30,000 jobs in comparison with 18,000 already created
jobs. Apart from that, the report considers the fact that the current Irish supply chain with a
diverse and secure energy supply can be considered as a determining factor for the
attraction of more Foreign Direct Investments (FDI) in the future. As Barry O’Leary, Chief
Executive of IDA Ireland has underlined: “[…] Ireland has a great track record in attracting
overseas investment and our strengths in the sustainable energy sector should significantly
add to this.“
Read more (in English):
http://www.seai.ie/Publications/Statistics_Publications/Energy_Modelling_Group_Publications/Ireland%E2%80%99s-
Sustainable-Energy-Supply-Chain-Opportunity.pdf
Monthly Progress Update – June 2014
28
Renewable Energy
Renewable Energy saves €245 million of fossil fuels in 2012
The Sustainable Energy Authority of Ireland announced on 6 May 2014 the results of a study
concerning Ireland’s electricity system in 2012. Renewable electricity has succeeded in
saving over EUR 245 million in fossil fuel imports. In addition, further EUR 15 million, equal
to the value of avoided CO2 emissions (in aggregate 1.94 million tonnes of CO2) should be
taken into consideration. More specifically, wind energy alone accounts for EUR 177 million
in fossil fuel savings and EUR 11 million in avoided CO2 emissions. Interestingly the fossil
fuel generation replaced by renewable energy in Ireland equals to the electricity demand of
almost 780,000 Irish households.
Read more (in English):
http://www.seai.ie/Publications/Statistics_Publications/Energy_Modelling_Group_Publications/Quantifying-
Ireland%E2%80%99s-Fuel-and-CO2-Emissions-Savings-from-Renewable-Electricity-in-2012.pdf
Interconnections
Eirgrid organises open days for Grid West Project
Eirgrid, the Irish TSO, organises in the first 10 days of July open days at a number of venues
in West Ireland. The purpose of the open days is to inform the public on the prospected Grid
West Project. The Grid West Project is part of the GRID25 Project that aims to modernise
Ireland’s transmission system and benefit from electricity generation by renewable energy
sources. More specifically, Grid West is the largest GRID25 project and seeks to develop “a
new high-capacity power connection, linking north Mayo to a strong point on the national
grid”. Launched in 2012, four rounds of public consultation and 22 open days have taken
place so far. During the open days in July 2014, the two options concerning Grid West
(overhead and underground option) as well as further localised amendments will be
discussed. In addition, an Independent Expert Panel appointed by the Minister for
Communications, Energy and Natural Resources, Mr. Pat Rabbitte will assess both Grid
West options later this year.
Read more (in English): http://www.eirgrid.com/media/EirGrid%20news%20release%2023rd%20June.pdf
Read more (in English): http://www.eirgridprojects.com/projects/gridwest/
Monthly Progress Update – June 2014
29
Italy
No important developments identified in June 2014 regarding climate or energy policies.
Monthly Progress Update – June 2014
30
Lithuania
Energy Efficiency
Draft amendments to the Law on Heat approved by the Government
On 4 June 2014, the Ministry of Environment announced that the Government approved draft
amendments to the Law on Heat (Šilumos ūkio įstatymas). According to the proposed
amendments, the National Control Commission for Prices and Energy (NCC) would be
responsible for setting maximum annual heat consumption rates for multifamily houses, flats
and other premises. When setting the rates, energy efficiency targets and objectives
established in the National Energy Strategy would have to be taken into account. Moreover,
municipal executive authorities would be granted the right to oblige managers of multifamily
houses that exceed the maximum annual heat consumption rate by more than 20% to
develop and implement energy consumption reducing measures, at least to the heat
consumption rate established by the NCC.
If the proposed amendments are approved by the Parliament the maximum heat
consumption rates would be applicable from 2015 onwards.
Read more (in Lithuanian): http://www.am.lt/VI/index.php#a/14712
Transport
Agreement on joint venture reached by the “Rail Baltica” task force
As announced by the Ministry of Energy on 18 June 2014, the “Rail Baltica” task force could
finally reach the agreement on the joint venture which will be responsible for implementing
the second part of the "Rail Baltica" project. The three Baltic States agreed that Vilnius will
also be connected to the European railway line and that European funding will be sought for
the line connecting Kaunas and Vilnius, which was initially not envisaged in the “Rail Baltica”
project (see MPU Issues 10/2014, 11/2014 and 13/2014).
Read more (in Lithuanian): http://www.transp.lt/lt/naujienos/13241
Read more (in English): https://www.mkm.ee/en/news/rail-baltic-task-force-reached-agreement-joint-venture
Monthly Progress Update – June 2014
31
Latvia
Transport
In 2014 financial support of EUR 4,234,921.97 for e-mobility
On 13 June 2014, the Ministry of Environmental Protection and Regional Development
announced that in the first tender of the e-mobility subsidy programme “Climate Change
Financial Instrument” 141 projects with an overall budget of EUR 4,234,921.97 were
approved. The amount granted per project ranges from EUR 18,500 to 550,000 and aid
intensity ranges from 35% to 85%. The aim of the tender is to support electric vehicles and
the charging infrastructure in Latvia.
Read more (in Latvian): http://varam.gov.lv/lat/aktual/preses_relizes/?doc=18095
Climate Change
Open call to support research projects and other activities to improve public knowledge about
climate change and its consequences
On 20 June 2014, the State Regional Development Agency announced a new grant
programme to support research projects and other activities to improve public knowledge
about climate change and its consequences. The tender is open for applications until 19
September 2014. The overall budget of the programme is € 1,718,044. Grants per project
range from € 45,000 to € 175,000. Within the tender the following measures can be
supported:
Measures to promote public awareness and knowledge on climate change (e.g. development of
workshops and training modules for study programmes; development of educational projects
and information campaigns);
Capacity building and carrying out studies on climate change.
Read more (in Latvian): http://varam.gov.lv/lat/aktual/preses_relizes/?doc=18118
Read more (in Latvian): http://www.vraa.gov.lv/lv/eez_un_norvegijas_finansu_instruments/eez_finansu_instruments/
Monthly Progress Update – June 2014
32
Luxemburg
Horizontal Measures
Launch of the second edition of the Climate Pact
On 22 May 2014, the Secretary of State for Sustainable Development and Infrastructure,
Camille Gira, inaugurated the second edition of the Climate Pact. The Climate Pact,
launched in January 2013, provides the opportunity for municipalities wishing to improve their
climate policies to seek the support of the State through the signing of an agreement. Each
participating municipality is committed to the implementation of a quality management
system regarding its energy and climate policy (European Energy Award ®). Moreover, the
municipality shall adopt an energy accounting system for its infrastructure and facilities. In
exchange, the State provides financial support and technical assistance to the participating
municipality. Since its launch on 1 January 2013, 87 municipalities joined the Climate Pact in
Luxembourg.
On the same occasion, the Secretary of State Camille Gira also announced that the reform of
the Fund for Environmental Protection will be finalised with the municipalities in the coming
weeks. The reform foresees a modification of the rates and eligibility conditions of the
support scheme regarding the rational use of energy and the promotion of renewable
energies, as set in the law of 31 May 1999 establishing a fund for the protection of the
environment.
Read more (in French): http://www.gouvernement.lu/3740868/23-klimapakt-dag-2014
Read more (in French): http://www.pacteclimat.lu/2-klimapakt-dag/
Monthly Progress Update – June 2014
33
Malta
Transport
Less demand for scrappage scheme in 2013
According to the annual report of Transport Malta, the number of scrapped vehicles
decreased from 10,138 in 2012 to 5,617 in 2013. The main reason for this drop is the low
interest in the latest scrappage scheme, which was in place in 2013 and offered € 500 to car
owners that scrapped their old vehicles in order to buy a new one. Through the two former
scrappage schemes a grant of € 2,000 was offered, leading to higher demand. The annual
report also states a 1 % increase of vehicle registrations compared to 2012.
Read more (in English): http://live.transport.gov.mt/admin/uploads/media-library/files/AnnualReport%202013.pdf
Monthly Progress Update – June 2014
34
The Netherlands
Renewable Energy
TenneT going offshore at sea for energy
On 17 June 2014, the electricity transmission operator TenneT reported that it was selected
by the the Dutch Cabinet to build and operate Netherland’s offshore power grid. TenneT
CEO Mel Kroon stated that ‘‘a coordinated connection of offshore wind farms will lead to
lower social costs and less impact on the environment.’’ According to the Energy Agreement
for Sustainable Growth (Energieakkoord voor duurzame groei), 3,450 MW offshore wind
farms need to be constructed and connected to the grid by 2023. TenneT will face the task of
providing the grid connection in the North Sea. The total output of energy retrieved from
these wind farms will correspond to the annual electricity consumption of one million
households, which is around one seventh of the total number of households in the
Netherlands.
Read more (in Dutch): http://www.tennet.eu/nl/nl/nieuws/article/tennet-ook-netbeheerder-op-zee-in-nederland.html
Read more (in English): http://renewables.seenews.com/news/tennet-to-run-offshore-grid-for-3-5-gw-of-dutch-wind-farms-
426239
Energy Networks
First report for Energy Agreement for Sustainable Growth published
On 20 June 2014, the Netherlands Enterprise Agency (Rijksdienst voor Ondernemend
Nederland) announced that the first annual progress report on the implementation of the
Energy Agreement for Sustainable Growth (Energieakkoord voor duurzame groei), signed by
parties in 2013, has been published. The Energy Agreement for Sustainable Growth aims at
strengthening the economic structure and the dialogue between government, enterprises and
civil society for the Energy and Climate Policy in the Netherlands in order to achieve the
goals for 2020. The report is presented to the Chairman of the Social and Economic Council
of the Netherlands (SER), Wiebe Draijer, by Ed Nijpels on behalf of the Assurance
Committee for the Energy Agreement. The progress report marks a starting point of
cooperation for obtaining reliable, sustainable and affordable energy. The progress report
highlighted the following results:
Positioning for offshore and onshore wind (the main approach is to look for a way to reduce
the cost of offshore wind and expanding wind energy, offshore and onshore. As a result the
structure for the wind energy plan has been established.);
The establishment of the Centre of Excellence for Financing Renewable Energy Projects (the
task of these projects is to ensure that small scale industries benefit from a combined
technical, financial and organizational expertise to standardize renewable energy projects. So
far gathering knowledge and sharing expertise for renewable energy project on local level
can be seen as a result);
Monthly Progress Update – June 2014
35
Association of Dutch Municipalities (VNG) (an established support programme for
municipalities which want to assist in stimulating initiatives for renewable energy on a local
and regional level. As a result more focus will be given to decentralized energy initiatives and
on saving energy in the housing sector.)
Read more (in Dutch): http://www.rvo.nl/actueel/nieuws/energieakkoord-op-stoom
Read more (in Dutch): http://www.rijksoverheid.nl/documenten-en-publicaties/rapporten/2014/06/20/energieakkoord-voor-
duurzame-groei-voortgangsrapportage-2014.html
Monthly Progress Update – June 2014
36
Poland
Horizontal Measures
Parliament adopted an amendment to the law concerning industrial emissions
On 10 June 2014, the Polish Parliament adopted an amendment to the law concerning
industrial emissions (a draft bill to amend the Environmental Protection Act and other laws -
projekt ustawy o zmianie ustawy Prawo ochrony środowiska oraz niektórych innych ustaw).
The new law should limit emissions of pollutants from industrial plants. The amendment will
implement the Directive 2010/75/EU of the European Parliament and of the Council of
24 November 2010 on industrial emissions (integrated pollution prevention and control).
According to the Directive, from 1 January 2016 more stringent emission standards for gases
such as sulfur dioxide, nitrogen oxides and dust from large industrial plants will be
introduced.
In Poland, some industrial plants will be covered by a Transitional National Plan (Przejściowy
Plan Krajowy), which postpones the introduction of these stricter standards until mid-2020. In
accordance with the adopted amendment, these plants will receive a joint emission
allocation, which will be gradually reduced until 2020 to reach the level required by the
Directive.
The amendment provides also that heating plants up to 200 MW will be exempted from
compliance with the new emission standards until the end of 2022, provided that 50 % of the
produced heat will be feed into the district heating network.
The Act will now need to pass the Senate.
Read more (in Polish):
http://www.mos.gov.pl/artykul/7_aktualnosci/22840_sejm_znowelizowal_ustawe_dot_emisji_przemyslowych.html
Energy Generation
Parliament adopted an amendment to the law concerning shale gas
On 11 June 2014, the Polish Parliament adopted an amendment to the Geological and
Mining Law (Prawo geologiczne i górnicze). The Act regulates among others the exploration
and extraction of shale gas in Poland.
The adopted amendment, inter alia, provides for the simplification of the procedures for
granting concessions for exploration and extraction of shale gas. This concession will be
granted based on a tender procedure and will be valid for 10-30 years.
The Act will now need to pass the Senate.
Read more (in Polish):
http://www.mos.gov.pl/artykul/7_aktualnosci/22839_nowelizacja_ustawy_dot_gazu_lupkowego_przyjeta_przez_sejm.html
Monthly Progress Update – June 2014
37
Portugal
Transport
Decree-Law 90/2014 introduces changes to the regulation on electric mobility in Portugal
The changes to the regulation on electric mobility that were approved on 10 April 20014 by
the Council of Ministers (see MPU Issue 13/2014) came into force on 12 June 2014 through
Decree-Law 90/2014. The new regulation amends Decree-Law 39/2010 and aims to facilitate
the integration of charging points in private areas, such as condominiums, as well as to
introduce competition in the activities related to the trading of electricity and management of
charging stations. It is also foreseen to maintain the existing charging points for a minimum
period of six years and expand them to the autonomous regions of Açores and Madeira.
Read more (in Portuguese): http://dre.pt/pdf1sdip/2014/06/11100/0309603121.pdf
Energy
Renewables are still the main source of electricity consumption in Portugal
According to the Portuguese Association for Renewable Energy - APREN, until May 2014,
renewable sources accounted for 82% of the total electricity consumption, distributed as
follows: 43% came from hydropower and 39% from wind, solar, biomass and small hydro
plants. Wind energy accounted for approximately 28% of the national consumption and there
was an increase on photovoltaic in the past months.
Read more (in Portuguese): http://economico.sapo.pt/noticias/renovaveis-mantem-lideranca-na-producao-de-
electricidade_195364.html
Read more (in Portuguese): http://www.noticiasaominuto.com/economia/234529/um-quinto-da-eletricidade-consumida-em-
portugal-vem-do-vento
Monthly Progress Update – June 2014
38
Romania
Taxation
Legislation passed exemting industry from renewable energy levy
On 11 June 2014, the Romanian government passed a governmental decision on
establishing a state aid scheme exempting come categories of final consumers from falling
under law no. 220/2008 on promoting energy generation from renewable energy sources
(Hotararea pentru instituirea unei scheme de ajutor de stat priving exceptarea unor categorii
de consumatori finali de la aplicarea Legii no. 220/2008 pentru stabilirea sistemului de
promovare a producerii energiei din surse regenerabile de energie). Energy intensive
companies are exempted from the levy on renewable energy sources emerging from the
Green Certificates Scheme
by 85% if electricity intensity is above 20%
60% if electricity intensity is 10-20%
40% if electricity intensity is 5-10%.
Eligibility period amounts to 10 years and the state aid scheme will enter into force on 1
August 2014. However, the scheme has to be approved by the European Commission.
Companies benefiting from reduced renewable energy levy will have to improve their energy
efficiency by an energy audit. Furthermore, companies commit to maintain workplaces over
the whole eligibility period. The Ministry of Economic Affairs is responsible for this scheme.
The ministry expects that approx. 300 companies will benefit from the state aid scheme.
Read more (in Romanian): http://www.minind.ro/presa_2014/iunie/11_iunie_comunicat_schema_de_sprijin.pdf
Waste
Campaign launched on recycling waste from electrical and electronic equipment
On 3 June 2014, the Minister of the Environment and Climate Change, Attila Korodi,
launched a campaign to increase public awareness for recycling waste from electrical and
electronic equipment. The “ECOBANCA” project will take place from 5 June to 15 September
2014. During this period, six mobile collection points will be placed in and around Bucharest
in highly frequented public places in order to facilitate the collection of waste from electrical
and electronic equipment. The Minister stated that an important barrier for increasing
recycling rates for waste from electrical and electronic equipment in Romania is the little
number of free-of-charge return points. In 2013, this project gathered 12 tons of waste from
electrical and electronic equipment from more than 1000 participants during a three month
period.
Read more (in Romanian): http://mmediu.ro/new/wp-content/uploads/2014/06/2014-06-03_CP_Attila-
Korodi_a_lansat_Ecobanca.pdf
Monthly Progress Update – June 2014
39
Slovakia
Horizontal Measures
EBRD supports sustainable energy measures in Slovakia with a € 20 million loan
On 13 June 2014, the European Bank for Reconstruction and Development (EBRD)
announced that it would support renewable energy projects and energy efficiency measures
in Slovakia with a € 20 million loan to Slovenská sporiteľňa, a.s. The loan is granted under
the third phase of the Sustainable Energy Finance Facility in Slovakia (SlovSEFF) which so
far has supported around 700 sustainable energy investments worth over € 190 million. The
budget for SlovSEFF III will be complemented by additional funds from a carbon credit
transaction between Slovakia and Spain, reaching an expected total amount for phase III of €
40 million. These funds will be lent out to private companies.
Read more (in English): http://www.ebrd.com/english/pages/news/press/2014/140613.shtml
Monthly Progress Update – June 2014
40
Slovenia
Horizontal Measures
The new Regional Development Programme (RDP) 2014-2020
The Government took note of the new RDP 2014-2020 at its session on 6 June 2014
prepared by the Ministry for Agriculture and the Environment in 2013/14. The implementation
of the RDP 2014-2020 will amount to € 1.1 billion in public funds, of which the largest share
of funding will be given to the environmental component (52%). Based on the experience of
the previous programming period 2007-2013, greater emphasis will be given to achieving
greater effectiveness of the proposed measures and inter alia promotion of synergetic effects
between the proposed measures. These are therefore designed more in a more complex and
intertwined way. The RDP gives pronounced emphasis to the following measures:
measures promoting knowledge transfer, consultation efforts and participation actions;
in the field of investments more targeted investments that relate to overall horizontal objectives
(cleaner environment, innovation and climate change);
an update of the agricultural-environment-climate payments, where entry conditions will be
used in individual set of requirements instead of the (current) package approach;
in the forestry sector a newly added measure intended for the rehabilitation of forests caused
by the blizzard in the beginning of 2014 (see MPU Issues 11/2014 and 12/2014).
Read more (in Slovene):
http://www.mko.gov.si/si/medijsko_sredisce/novica/browse/1/select/sporocilo_za_javnost/article/12447/7470/2c4888bcb6abdf2d
20623163dfdda74c/?tx_ttnews[year]=2014&tx_ttnews[month]=06
Conference on the future of RES and EE in Slovenia by 2030
On 16 June 2014, the Slovenian Biomass Organization held a regular annual conference
entitled “Renewables and Energy Efficiency in Slovenia by 2030”. The theme of this year’s
conference was centered on the new Energy Act (EZ-1) adopted at the beginning of this year
and the associated preparation of the new Energy Concept of Slovenia – an important
energy strategic document that is currently being drafted.
The attendees generally welcomed the new Energy Act as an important piece of legislation
that further strengthens the position of RES and EE. The Director of ELES Ltd. (the
Electricity TSO in Slovenia) Alexander Mervar highlighted some of the key factors that will
influence the final price of electricity in Slovenia in the future and stressed that we can expect
a further rise in prices. Mr Mervar also noted that Slovenia made a fatal error in the support
scheme for RES in 2010 and 2013 - one that caused a gap in the amount of available
financial resources and the financial resources needed for the funding of the support
scheme, something that will further increase in the coming years.
Among other important points that the attendees addressed was the lack of clarity of the
Energy Act as to what exactly is low or non-carbon, the lack of connection between the new
Act and the already established action plans (such as the NREAP) and a number of missing
bylaws that reduce the overall operative nature of the Energy Act. The attendees also
Monthly Progress Update – June 2014
41
addressed the introduction of smart grids. According to ELES officials, the next year will see
a national pilot project in which the implementation of smart grids will be tested.
Read more (in Slovene):
http://www.nas-stik.si/1/Novice/Clanki/tabid/208/ID/2429/OVE-in-URE-za-Slovenijo-do-leta-2030.aspx#.U6fU-Cje82U
Renewable Energy
The Renovation of the biggest Hydro Power Plant (HPP) in Slovenia is completed
In a symbolic ceremony held on 18 June 2014 the renovation of the HPP Zlatolicje, costing
more than € 62 million, officially ended. The execution took place between the years 2006
and 2013, and was completed within the planned financial frameworks.
The HPP Zlatolicje was the first channel HPP in Slovenia and has operated safely and
reliably since 1969. However, after nearly 40 years of operation the primary equipment
showed signs of depletion - especially the two generators and turbines. Given the importance
of Zlatolicje HPP, which produces more than one-fifth of the electricity of the company Drava
Powerplants Maribor (an important supplier of RES energy in Slovenia), the decision was
made in 2003 to initiate renovation in 2006. The project included the renovation of the HPP,
the renovation of the dam Melje and the construction of a new small HPP Melje. The
renovation increased the mean annual production to 34 GWh for the HPP Melje and an
additional 4.5 GWh for the newly constructed small HPP. The installed capacity of the HPP
was also increased by 12 MW and now stands at 126 MW.
The general director of the Holding of Slovenian Powerplants (HSE) Blaž Košorok said that
with the completion of the renovation of the biggest Slovenian HPP the focus within the
Drava Powerplants Maribor will now fall on the last in line of the HPP on the Drava river, the
HPP Formin, as well as the construction of new HPP.
Read more (in Slovene): http://www.energetika-portal.si/novica/n/projekt-prenove-hidroelektrarne-zlatolicje-jezu-melje-in-
izgradnje-male-hidroelektrarne-melje-je-z/
The opening of the first CNG charging station in Maribor
On 10 June 2014, the second biggest city in Slovenia, Maribor, opened its first CNG
(Compressed Natural gas) charging station. Based on the Decree on air quality (issued last
year by the Government) the modernization of urban transport lines in the Municipality of
Maribor was planned. The latter included a project to introduce natural gas in public
transport. The charging station is thereby primarily intended for buses and public companies
vehicles but is also open to other legal and natural persons in Maribor and should help
improve the air quality not only in the Styrian region, but also at the national level by
promoting sustainable mobility. “The transport sector is the second biggest source of PM10
particles and is therefore on the top of our priority list,” said Uros Vajgl from the Directorate
for the Environment of the Ministry for Agriculture and Environment, who attended the
opening.
Read more (in Slovene):
http://www.mko.gov.si/si/medijsko_sredisce/novica/browse/2/select/sporocilo_za_javnost/article/12447/7463/feabe3216a4d7b8a
c4acf62201e69cfa/?tx_ttnews[year]=2014&tx_ttnews[month]=06
Monthly Progress Update – June 2014
42
Energy Efficiency
2 new public tenders for energy saving measures
On 13 June 2014 the State owned company Elektro Celje launched a public tender (ECE-
URE 2014) for the awarding of grants for financial incentives for two measures: the
installation of heat pumps for heat production (Measure A) and the implementation of energy
audits (Measure B).
A similar tender was also issued by the state owned company E3 (E3URE-2014-3) on 20
June 2014. The tender provides financial incentives for projects that aim at providing energy
savings among final customers in the territory of the Republic of Slovenia for one of the
following actions:
the replacement of boilers of all types with new biomass boilers (measure J.1);
the replacement of boilers using fuel oil and gas with new boilers using natural gas with high
efficiency (measure J.2);
the replacement of old combustion plants with a new thermal stations for district heating
(Measure J.3);
an efficient update of heating or cooling, including heat stations (Measure G);
systems for operational monitoring and energy management for consumers (Measure O);
and the installation of energy-efficient electric drives (Measure C).
The addressees in both tenders are all companies organized as corporations incorporated under the Companies Act (ZGD-1), or entrepreneurs who are based in the Republic of Slovenia. The Deadline for the first tender is 30 June 2014 while the deadline for the second is 24 June 2014.
Read more (in Slovene): http://www.energetika-portal.si/javne-objave/objava/r/javni-razpis-za-nepovratne-financne-spodbude-
za-ukrepe-zagotavljanja-prihrankov-1008/
Read more (in Slovene): http://www.energetika-portal.si/javne-objave/objava/r/javni-razpis-za-nepovratne-financne-spodbude-
za-ukrepe-zagotavljanja-prihrankov-1009/
Agriculture
New strategy for the development of the Agriculture and Food Industry by 2020
On 12 June 2014, the Government adopted a new Strategy for the Slovenian agriculture and
food industry by 2020 proposed by the Ministry of Agriculture and the Environment.
The Strategy is the implementing document of the Resolution on Strategic Guidelines for the
Development of the Slovenian agriculture and food industry by 2020 under the headline
"Ensuring our food for tomorrow" (published in the Official Gazette, No. 25/11) and provides
mechanisms and instruments to achieve the strategic objectives set out in the Resolution.
The objectives are: ensuring food security through stable production of safe, quality and
affordable food for the consumer; increasing the competitiveness of the agriculture and food
industry; as well as the sustainable use of agricultural production potential and ensuring
agriculture-related public goods, while at the same time ensuring a coherent and socially
sustainable rural development.
Monthly Progress Update – June 2014
43
These will be implemented through seven programme guidelines, which are centered
around:
ensuring stable production and economic conditions for agriculture via restructuring and
increasing the competitiveness of agriculture and related industries;
the conservation of soil fertility and production potential of agricultural land;
more efficient market organization of agriculture;
enhancing food chains and improving the marketing of domestic products;
enhancing the function of agriculture as a way of protecting the environment and and
preserving the cultural landscape;
promotion of socially sustainable and balanced development of rural areas; and
increasing the effective use of existing knowledge and its effective transfer.
Mechanisms for implementing these program guidelines and achieving the set goals are laid
down in the Rural Development Programme (RDP) 2014-2020 (mentioned above).
Read more (in Slovene): Read more (in Slovene):
http://www.mko.gov.si/si/medijsko_sredisce/novica/browse/1/select/sporocilo_za_javnost/article/12447/7470/2c4888bcb6abdf2d
20623163dfdda74c/?tx_ttnews[year]=2014&tx_ttnews[month]=06
12th Regional Conference on the implementation of the principle of short chains in the
system of public procurement of food in public institutions
The Ministry of Agriculture and the Environment in co-organization with the Agriculture and
Forestry Institute of Nova Gorica, the Agricultural advisory services of Koper, the Regional
Development Centre of Koper and the Koper Municipality organized the 12th regional
conference on local self-sufficiency and the application of the principle of short chains in the
procurement of food in public institutions.
During the conference held on 11 June 2014 in the town of Koper 15 lectures were held on
the topic “Recommendations for the procurement of food in public institutions”, with various
supply options and good practices introduced. Among the participants were mostly public
institutions who strongly emphasized the (too) complex procedure in public procurement of
food despite the already published Recommendations for procurement of food by the
Ministry and numerous similar regional conferences.
During the debate a discussion developed around the issue of food discardment. Despite the
fact that the minimization of discarded food is an integral part in the education process of
children, this issue will remain important in the future. The attendees therefore proposed that
the problem be reevaluated and conclusions published in the form of guidelines and
recommendations by the Ministry.
Read more (in Slovene): Read more (in Slovene):
http://www.mko.gov.si/si/medijsko_sredisce/novica/browse/2/select/sporocilo_za_javnost/article/12447/7483/b5172d7c7988e7c
70696ba00f398cb78/?tx_ttnews[year]=2014&tx_ttnews[month]=06
Monthly Progress Update – June 2014
44
Energy Networks
The repair of the 400 and 220 kV network line is finished
The Slovenian TSO ELES Ltd. informed on 10 June 2014 that the 220 kV network Kleče-
Divača is back in regular operation. On the above mentioned transmission line heavy
damage occurred in February this year (see MPU Issues 11/2014 and 12/2014). In order to
bring the network back into operation 23 steel columns needed to be replaced. Additionally,
the company ELES replaced a number of pylons between Kleče-Divača, adding up to around
1000 kg of steel structures.
By switching on the 220 kV transmission line Kleče-Divača the rehabilitation of the 400 and
220 kV electricity transmission network line was completed. By the end of June works on the
110 kV line Cerkno-Idrija is projected to finish. With that the 7 crucial electric power paths will
have been repaired before the deadline. The rehabilitation of the 52 km lines of the electricity
transmission paths are crucial to the operation of the overall electricity system in Slovenia.
Read more (in Slovene): http://www.energetika-portal.si/novica/arhiv/2014/06/n/zakljucena-sanacija-400-in-220-kv-omrezja-po-
zimski-ujmi-8952/
The Public consultation on the 10-year development plan of the gas transmission system for
the period 2015-2024
The Energy Agency launched a public consultation on the 10-year development plan of the
gas transmission system for the period 2015-2024 on 17 June 2014.
In accordance with the new Energy Act, to adopt and submit for approval to the Agency the
10-year network development plan the independent TSO needs to perform a consultation
with all relevant stakeholders. In preparing the development plan the TSO (in SL the
company “Plinovodi” Ltd.) needs to take into account the existing and planned supply and
demand of gas. The development plan must therefore also include effective measures to
ensure the adequacy of the system and the security of supply.
The Agency will announce the answers and a summary of responses to the consultation at
the end of the process. If necessary, the Agency will organize a public hearing on the
responses received and will ask the TSO to supplement or amend the development plan and
then to submit an updated version of the development plan.
The deadline for submitting responses to the consultation paper ends on 15 July 2014.
Read more (in Slovene): http://www.energetika-portal.si/novica/n/javno-posvetovanje-o-10-letnem-razvojnem-nacrtu-
prenosnega-plinovodnega-sistema-za-obdobje-2015-2/
Monthly Progress Update – June 2014
45
Spain
Energy Efficiency
New Energy Efficiency Fund announced
The National Energy Efficiency Fund (Fondo Nacional de Eficiencia Energética – FNEE) has
been announced on 9 June 2014. Although no official source of this plan has been found, the
news has been reported by a number of information websites. This plan will have a budget of
€ 350 million and will be managed by IDEA (Institute for Diversification and Saving of
Energy). It will be co-financed by the central government from EU structural funds with 35%
of the total budget. The fund will be dedicated to financing energy efficiency investments in
the building, transport, industry, services and agriculture sector, for example investments in
building renovations, heating systems, and boiler efficiency. In total, the plan intends to
mobilize investments for the equivalent of € 892 million per year. The plan will be
complemented with 200 million € provided by the Housing Plan (Plan de Vivienda) 2013-
2016 devoted to investments on building refurbishment for energy efficiency.
Read more (in Spanish): http://www.asefave.org/novedades/fondo-nacional-de-eficiencia-energetica
Monthly Progress Update – June 2014
46
Sweden
No important developments identified in June 2014 regarding climate or energy policies.
Monthly Progress Update – June 2014
47
United Kingdom
Horizontal Measures
Scotland missed its climate change target for 2012
As disclosed by the Scottish 2012 greenhouse gas (GHG) emissions statistics published on
10 June 2014, Scotland succeeded to reduce its emissions from six key GHGs by 29.9%
between 1990 and 2012. For the same period England has seen a reduction of 23.9%,
Wales of 17.7% and Northern Ireland of 15%. However, Scotland missed its 2012 emission
target of 24.2% (compared to 2008 levels) (equal to 53.226 MtCO2e), which is established in
the Climate Change (Annual Targets) (Scotland) Order 2010. In 2012, Scotland’s GHG
emissions amounted to 55.6 MtCO2e and thus missed the set target by around 2.4 MtCO2e.
One explanation provided for this failure is poor weather leading to increased emissions in
the residential and the energy sector.
Read more (in English): http://news.scotland.gov.uk/Speeches-Briefings/Climate-change-statement-d72.aspx
Read more (in English): http://news.scotland.gov.uk/News/Scottish-Greenhouse-Gas-Emissions-rise-in-2012-d62.aspx
Read more (in English): http://www.theguardian.com/environment/2014/jun/10/scotland-misses-carbon-targets-for-third-year-in-
a-row
Read more (in English): http://www.legislation.gov.uk/ssi/2010/359/pdfs/ssi_20100359_en.pdf
China could invest in and to construct nuclear power plants in the UK
On 17 June 2014, the Department of Energy and Climate Change (DECC) announced that
the UK and Chinese governments have signed an agreement enabling China to invest in and
to construct nuclear power plants in the UK. Chinese companies could invest in the
development of Hinkley Point C (3,200 MW) on the Somerset coast, the first in a new
generation of UK nuclear power stations. In October 2013, an agreement between the UK
government and the French energy company EDF Group on the key conditions of investment
contract for the construction of the Hinkley Point C had been reached (see MPU Issue
7/2013). The DECC now announced that China General Nuclear (CGN) and China National
Nuclear Corporation (CNNC) could take 30% to 40% of this project.
In addition, both countries have agreed a joint statement, affirming their commitment
increase efforts to build the global consensus necessary to adopt a global climate change
agreement in Paris in 2015.
Read more (in English): http://www.enerdata.net/
Read more in (English): https://www.gov.uk/government/news/multimillion-boost-to-uk-economy-as-china-and-uk-government-
sign-civil-nuclear-agreement-and-sign-agreement-to-deepen-cooperation-on-climate-change
Read more (in English):
https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/320983/joint_statement_uk_china_nuclear_coope
ration.pdf
Monthly Progress Update – June 2014
48
Renewable Energy
First contracts under Electricity Market Reforms awarded
On 5 June 2014, the Department of Energy and Climate Change (DECC) announced that
eight major renewable electricity projects including offshore windfarms, coal to biomass
conversion plants and dedicated biomass plants with combined heat and power have now
signed the first contracts under the Government’s Electricity Market Reforms (EMR). All
together they will generate additional renewables capacity of around 4.5 GW and around 15
TWh (14%) of renewable electricity by 2020. Moreover, when implemented they should
annually reduce emissions from the UK power sector by around 10MtCO2 compared to fossil
fuel generation. The projects are expected to provide up to £12 billion (approx. €15 billion) of
private sector investment and to support 8,500 jobs by 2020.
Read more (in English): https://www.gov.uk/government/speeches/new-energy-investments
Construction of the East Anglia One offshore wind farmapproved by the Government
On 17 June 2014, the construction of the East Anglia One offshore wind farm, one of the
largest wind farms in the world, has been given the consent from the Government. Currently,
240 wind turbines are planned to be installed which would generate enough electricity for
approx. 820,000 households. The construction of the East Anglia One offshore wind farm is
expected to start in 2017, and power generation in 2019. Once built, the wind farm could
support approx. 1,800 local jobs and provide more than £500 million (approx. €625.7 million)
into the region’s economy.
Read more (in English): https://www.gov.uk/government/news/government-gives-green-light-to-offshore-wind-farm-supporting-
almost-2900-jobs
Approval rate for renewable energy projects all-time lowest in the UK
According to an article published in The Independent on 10 June 2014, only 33% of new
onshore wind farm applications were approved by local authorities in England in 2014. The
approval rate for renewable energy projects is all-time lowest in the UK. According to
RenewableUK, a trade association for wind, wave and tidal power industries, around 164
projects have been put on halt across the UK since January 2014 as a result of local public
opposition. The industry fears that this may lead to a situation where UK’s national carbon-
reduction targets will be missed. Opponents of a further expansion of wind energy, on the
other hand, claim that currently operating 4,417 and additionally planned 3,000 wind turbines
across the UK are already sufficient to meet the UK’s target of 30% RES-E share by 2020.
Read more (in English): http://www.independent.co.uk/environment/wind-farm-approval-rate-drops-to-alltime-low-9523496.html
Energy Efficiency
1,736 applications received to offset the cost of energy efficiency improvements under the
the Green Deal Home Improvement Fund
On 17 June 2014, the DECC announced that from the beginning of June, when the Green
Deal Home Improvement Fund (GDHIF) was launched, 1,736 applications have been
Monthly Progress Update – June 2014
49
received from applicants in England and Wales willing to offset the cost of energy efficiency
improvements on their home. Funds are available for installing certain measures from the
approved list (e.g. condensing gas boiler (on mains gas), double glazing (replacing single
glazing), etc.), installing solid wall insulation or carrying out the Green Deal Assessment (see
MPU Issue 14/2014).
Read more (in English): https://www.gov.uk/government/news/more-than-26-million-issued-for-new-green-deal-home-
improvement-fund-in-first-week
Transport
£5 million funding to reduce the pollution from local bus fleets and other vehicles
On 2 June 2014, Transport Minister Baroness Kramer announced a £5 million (approx. €6.2
million) funding from the Clean Vehicle Technology Fund available to local authorities and
other public bodies across England willing to make improvements to local bus fleets and
other vehicles to reduce the pollution. Authorities will be able to receive up to £500,000
(€625,680) to fit pollution-busting technology treating exhaust fumes or converting vehicles to
run on cleaner fuels. Last year £7.3 million (approx. €9.1 million) have been awarded from
the Clean Bus Technology Fund to 26 local authorities and supported them in modifying over
500 buses.
Read more (in English): https://www.gov.uk/government/news/5-million-to-cut-vehicle-pollution