EU Energy Efficiency: Latest developments
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1 EURIMA 18 EU Energy Efficiency: Latest developments Luc Werring Regulatory policy, promotion of new energy sources and demand management DG TREN European Commission, Directorate-General for Energy and Transport n 1
2 Overview of key legislation Directive on the Energy Performance of Buildings: latest developments Proposal for a Directive on Energy end-use Efficiency and Energy Services European Commission, Directorate-General for Energy and Transport n 2
3 Policy context THE EU needs to promote energy savings Security of supply: external dependence 70% in 2030 if no measures taken Environment: Energy production and use creates 94% of CO2 emissions Limited influence on supply: The EU can promote savings in energy European Commission, Directorate-General for Energy and Transport n 3
4 Buildings Directive Directive on the Energy Performance of Buildings European Commission, Directorate-General for Energy and Transport n 4
5 History of the Directive Adoption of the Directive: - Adoption by Commission 11 May Adoption of Common Position 7 June Adoption (final & formal) European Parliament and Council 16 Dec Published in OJ (entry into in force) 4 Jan Member States deadline for implementation 4 Jan 2006 European Commission, Directorate-General for Energy and Transport n 5
6 The Directive Objectives Promoting the improvement of energy performance of buildings within the EU through cost-effective measures Convergence of building standards towards those of Member States which already have ambitious levels The measures Methodology for integrated buildings energy performance standards Application of these standards on new and large existing buildings Certification schemes for all buildings Inspection & assessment of boilers/heating and cooling installations European Commission, Directorate-General for Energy and Transport n 6
7 Responsibility of Member States In principle, the following is left to Member States or Regions: - details of methodology, - actual levels of performance, - details and format of certification systems, - details of boiler/ac inspection/assessment schemes; and - details of the qualification and/or certification of inspectors. European Commission, Directorate-General for Energy and Transport n 7
8 Transposition and Committee The Directive allows for: 3 years for transposition (Jan. 2006) A regulatory committee (Energy Demand Management or EDM, established by Article 14 ): - to update Technical Annex (qualified majority); - to evaluate Directive & make new proposals (advisory); - for exchange of experience/harmonisation (voluntary). Three meetings held. Established 2 subgroups CEN and Certification of the Commission s headquarters European Commission, Directorate-General for Energy and Transport n 8
9 EU-level Activities Industry & Member States support harmonisation of methodology using existing & new European Norms (ENs). Also support for common energy performance certification protocol and format. Support for common protocol for inspection/assessment of heating/cooling. Challenging deadlines. Member State legislative process starts end Standardisation work is being accelerated. European Commission, Directorate-General for Energy and Transport n 9
10 Standardisation Activities Funding for ENs approved. Mandate to CEN approved by Standardisation Committee (98/34) Jan Contract in place. Agreement with CEN to deliver detailed list of approx 30 draft prens (of which 10 new) by summer Drafts for public consultation end Agreement on Stage 64 (approved by MS) by 2006/07 European Commission, Directorate-General for Energy and Transport n 10
11 EU-level Activities Better Buildings leaflet in languages EPBD Platform (help desks, workshops, etc). To co-ordinate and inform Member States and EU on implementation Intelligent Energy-Europe Programme Multiplying success in buildings, including Concerted Action with Member States. 70 proposals received on buildings. 6 th RTD FW Programme: Eco-Buildings & Concerto (Demonstration of advanced solutions going beyond the Directive & benchmarking) ManagEnergy -Training workshops & exchange of experience among agencies & other local actors. European Commission, Directorate-General for Energy and Transport n 11
12 Proposal for a Directive on energy end-use efficiency and energy services European Commission, Directorate-General for Energy and Transport n 12
13 Objectives To promote cost-effective energy efficiency using targets, mechanisms, incentives and institutional, financial and legal frameworks to remove market barriers and imperfections. To develop and transform energy efficiency measures into a commercially viable and self-sustaining market. To develop a market for integrated energy services (energy + technology). European Commission, Directorate-General for Energy and Transport n 13
14 Scope All major energy suppliers (distributors and/or retailers) of: electricity, gas, district heating and cooling, heating oil, coal, lignite, transport fuels, forestry and agricultural energy products and waste (MS may exclude small companies). End-use sectors include: -domestic, agricultural, public and tertiary sector -non-energy intensive industries -transport (excl. aviation and foreign shipping) European Commission, Directorate-General for Energy and Transport n 14
15 Content: Part 1 1 % annual overall target for each MS (Article 4): - cumulative 2006 to 2012, maximum of 6 years 1,5 % annual public sector target (Article 5): - to increase the demand for EE products and energy services through public procurement Obligation for energy distribution and/or retail energy sales companies (Article 6): - to ensure the active offering and promotion of energy services to customers - concerns (only) electricity, gas, district heating and heating oil European Commission, Directorate-General for Energy and Transport n 15
16 Content: Part 2 Financial instruments (Article 9): - provides for the availability of third-party financing and shared savings Tariffs and regulations for net-bound energy (Article 10): - requires regulating authorities of monopoly segments of distribution networks to ensure that tariffs do not encourage increased volume Provision for Member State s funds and financing mechanisms (Article 11): - allows for funding if open to all qualified providers of energy efficiency measures European Commission, Directorate-General for Energy and Transport n 16
17 Content: Part 3 Metering and informative billing of energy consumption (Article 13): - requires MS to ensure accurate metering of net-bound energy, reflecting time of use and actual consumption Reporting (Article 14): - sets reporting requirements for Member States not later than 2 years after adoption of the Directive and every 3 years thereafter up to 2012 Transposition (Article 16): - transposition by Member States of this Directive into national laws and provisions by June 2006 European Commission, Directorate-General for Energy and Transport n 17
18 The way forward First Reading in Council (Progress Report in June) & Working Document in European Parliament (April). Rapporteur in EP/ITRE: Mechtild Rothe. First reading in Parliament & Political Agreement in Council expected in November Final adoption summer (Lux or UK?). European Commission, Directorate-General for Energy and Transport n 18
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