Status quo on alternative measures across EU-countries, sectors & eligible policy measures

Similar documents
EU-28 RECOVERED PAPER STATISTICS. Mr. Giampiero MAGNAGHI On behalf of EuRIC

European Advertising Business Climate Index Q4 2016/Q #AdIndex2017

Lessons from Implementation of the Energy Efficiency Obligations (Art. 7 EED) and the role of evaluations

How are Member States implementing Articles 7 and 8 of the Energy Efficiency Directive? Anna-Liisa Kaar and Rebecca Turner 7 September 2017

PUBLIC PROCUREMENT INDICATORS 2011, Brussels, 5 December 2012

REPORT FROM THE COMMISSION TO THE EUROPEAN PARLIAMENT, THE COUNCIL, THE EUROPEAN ECONOMIC AND SOCIAL COMMITTEE AND THE COMMITTEE OF THE REGIONS

Live Long and Prosper? Demographic Change and Europe s Pensions Crisis. Dr. Jochen Pimpertz Brussels, 10 November 2015

Energy efficiency policies under the EED and the rebound effect

EU BUDGET AND NATIONAL BUDGETS

European ESCO Market Survey 2018

Fiscal rules in Lithuania

Electricity & Gas Prices in Ireland. Annex Business Electricity Prices per kwh 2 nd Semester (July December) 2016

Approach to Employment Injury (EI) compensation benefits in the EU and OECD

Report Penalties and measures imposed under the UCITS Directive in 2016 and 2017

Key Trends of Energy Transition in the EU-28 Region

2017 Figures summary 1

CANADA EUROPEAN UNION

Content. Allocation: Free allocation and auctioning. Experiences from the EU

Implementing the EU Energy Efficiency Directive: Analysis of Article 7 Member States reports

A. INTRODUCTION AND FINANCING OF THE GENERAL BUDGET. EXPENDITURE Description Budget Budget Change (%)

NOTE. for the Interparliamentary Meeting of the Committee on Budgets

Presentation of the ENSPOL Project

The Energy Efficiency Watch Survey

Prospects for the review of the EU 2020 Strategy, the Juncker Plan and Cohesion Policy after 2020

RENEWABLE ELECTRICTY SUPPORT IN THE EU WHAT LESSONS CAN BE LEARNED?

SELECTED MAJOR SOCIAL SECURITY PENSION REFORMS IN EUROPE, Source: ISSA Databases

EMPLOYMENT RATE IN EU-COUNTRIES 2000 Employed/Working age population (15-64 years)

EU State aid: Guidelines on State aid for environmental protection and energy making of -

23 January Special Report No 16/2017. Rural Development Programming: less complexity and more focus on results needed

DG TAXUD. STAT/11/100 1 July 2011

THE IMPACT OF THE PUBLIC DEBT STRUCTURE IN THE EUROPEAN UNION MEMBER COUNTRIES ON THE POSSIBILITY OF DEBT OVERHANG

Spain France. England Netherlands. Wales Ukraine. Republic of Ireland Czech Republic. Romania Albania. Serbia Israel. FYR Macedonia Latvia

LENDING FACILITIES Hire Purchase (HP) 1% % on a case by case basis (fee set by AgriFinance Ltd)

How to complete a payment application form (NI)

Assessing financial inclusion in Portugal from the central bank s perspective

Introduction 283,602,000,000 ( 284 billion ) 71 billion 10.71%

COMMISSION OF THE EUROPEAN COMMUNITIES COMMISSION STAFF WORKING DOCUMENT. Annex to the

Technical report on macroeconomic Member State results of the EUCO policy scenarios

EUROPA - Press Releases - Taxation trends in the European Union EU27 tax...of GDP in 2008 Steady decline in top corporate income tax rate since 2000

VALUE ADDED TAX COMMITTEE (ARTICLE 398 OF DIRECTIVE 2006/112/EC) WORKING PAPER NO 924

Statistics: Fair taxation of the digital economy

Lithuania: in a wind of change. Robertas Dargis President of the Lithuanian Confederation of Industrialists

EIOPA Statistics - Accompanying note

ETS SUPPORT FACILITY COSTS BREAKDOWN

RES in SEERMAP financing aspects

EIOPA Statistics - Accompanying note

Fiscal competitiveness issues in Romania

Dividends from the EU to the US: The S-Corp and its Q-Sub. Peter Kirpensteijn 23 September 2016

LENDING FACILITIES Hire Purchase (HP) 1% % on a case by case basis (fee set by AgriFinance Ltd)

Communication on the future of the CAP

Lowest implicit tax rates on labour in Malta, on consumption in Spain and on capital in Lithuania

Quarterly Financial Accounts Household net worth reaches new peak in Q Irish Household Net Worth

11 th Economic Trends Survey of the Impact of Economic Downturn

DPD CLASSIC (Slovenia) Slovenia 6,00 7,00 10,00 11,00 12,00 13,00 14,00 16,00 18,00 DPD CLASSIC - PARCEL DELIVERY TO THE EU

UPSTREAM SECURITY IN EUROPE. A concise overview of the issues arising in connection with the granting and taking of Upstream Security in Europe

EMPLOYMENT RATE Employed/Working age population (15-64 years)

AIMA/PwC Global Distribution Survey 2017/ Contact Details

Raising the retirement age is the labour market ready for active ageing: evidence from EB and Eurofound research

Burden of Taxation: International Comparisons

EU KLEMS Growth and Productivity Accounts March 2011 Update of the November 2009 release

Tax Survey Effective tax ratesof employees with different income levels in 25countries. Ivan Fučík. Fučík & partners, Prague, Czech Republic

Quarterly Gross Domestic Product of Montenegro 3 rd quarter 2017

Gender pension gap economic perspective

SETTING THE TARGETS. Figure 2 Guidebook Overview Map: Objectives and targets. Coalition for Energy Savings

Investment and Investment Finance. the EU and the Polish story. Debora Revoltella

Borderline cases for salary, social contribution and tax

Post Compliance with the Energy Efficiency Directive

Youth Integration into the labour market Barcelona, July 2011 Jan Hendeliowitz Director, Employment Region Copenhagen & Zealand Ministry of

EMPLOYMENT RATE Employed/Working age population (15 64 years)

FSMA_2017_05-01 of 24/02/2017

CFA Institute Member Poll: Euro zone Stability Bonds

Investment in Germany and the EU

STAT/09/56 22 April 2009

Preliminary Findings From CEER Report On Network Losses. Ognjen Radovic

Macroeconomic scenarios for skill demand and supply projections, including dealing with the recession

June 2014 Euro area international trade in goods surplus 16.8 bn 2.9 bn surplus for EU28

Households capital available for renovation

Growth, competitiveness and jobs: priorities for the European Semester 2013 Presentation of J.M. Barroso,

Cross-border mergers and divisions

RULES FOR THE REIMBURSEMENT OF TRAVEL AND SUBSISTENCE EXPENSES FOR EXCHANGE OF OFFICIALS

EIOPA Statistics - Accompanying note

DATA SET ON INVESTMENT FUNDS (IVF) Naming Conventions

Measuring financial protection: an approach for the WHO European Region

COMMUNICATION FROM THE COMMISSION

Greek Parliamentary Budget Office Public Financial Management financial transparency and accountability

Calculation of investment and returns in passive house and retrofit projects

The Eureka Eurostars Programme

EIB Financing for Social and Affordable Housing

The Architectural Profession in Europe 2012

FCCC/SBI/2010/10/Add.1

Definition of Public Interest Entities (PIEs) in Europe

Courthouse News Service

Fee Information Document

Ireland, one of the best places in the world to do business. Q Key Marketplace Messages

Consumer Credit. Introduction. June, the 6th (2013)

DRAFT AMENDING BUDGET N 6 TO THE GENERAL BUDGET 2014 GENERAL STATEMENT OF REVENUE

WP4: 2030 (RES) targets & effort sharing

Fee Information Document

BRIEFING ON THE FUND FOR EUROPEAN AID FOR THE MOST DEPRIVED ( FEAD )

Audit guidelines Mini One-Stop Shop for telecom, broadcasting and electronic services

Transcription:

Energy Saving Policies and Energy Efficiency Obligation Scheme Status quo on alternative measures across EU-countries, sectors & eligible policy measures 5th of February 2015 Niki-Artemis Spyridaki, Danai Manoli, Flamos Alexandros University of Piraeus Department of Industrial Management & Technology

Status quo on alternative measures across EUcountries, sectors & eligible policy measures Outline 1. Overview of MS options to comply with Article 7 requirements (EU-28) 2. Classification of alternative measures adopted (2 slides) 3. Technology focus of alternative measures Is there a regular fit of measures supported by alternatives? (1/1 slide) 4. Technical issues: verification, calculation methods. (1/1 slide) 5. Additionality interpretations and double counting considerations (2 slides) 6. Key messages, conclusions (3 slides)

1. Overview of MS options to comply with Article 7 requirements (1/2) Compliance with Article 7 requirements is proposed through either: - ΕΕΟ scheme (4 countries: Bulgaria, Denmark, Luxembourg, Poland) - Combination of EEO schemes & Alternative measures (14 countries: Austria, Belgium, Croatia, Estonia, France, Ireland, Italy, Latvia, Lithuania, Malta, Slovenia, Spain, UK, Hungary) or - Alternative measures (10 countries: Chez Rep., Cyprus, Finland, Germany, Greece, Netherlands, Portugal, Romania, Slovakia, Sweden). Alternative measures Combination (EEO schemes & Alternatives Measures) EEO schemes

1. Overview of MS options to comply with Article 7 requirements (2/2) 100,00% 90,00% 80,00% Contribution of alternatives & EEOs EEOs & Alternatives contribution (%) to the total energy saving target. 70,00% 60,00% 50,00% 40,00% 30,00% 20,00% 10,00% 0,00% Over 75% EEO contribution 88,00% 75,87% 70% < EEO contribution < 40% 65,27% 62,00% 50,09% 40,84% 33,93% Less than 40% < EEO share 17,03% 8,40% 3. Alternatives EEOs No certificates 2. EEOs No Trading 1. EEOs White Certificates

2. Classification of alternative measures adopted by EU MS countries under Article 7 requirements (1/3) 30 25 20 15 7. National Energy Efficiency Funds 6. Training and education programmes 5. Energy labelling schemes 10 5 0 Hungary Poland Denmark Luxembourg Bulgaria France **Lithuania *Austria Latvia Spain Italy **Slovenia Ireland Croatia UK **Malta **Estonia *Czech Republic Belgium Cyprus Germany **Slovakia **Romania Greece Netherlands Finland Sweden Portugal * Lack of information about certain measures ** Lack of information about the majority of the measures for those countries 4. Standards and norms for efficiency products (beyond existing EU legislation) 3. Regulations or voluntary agreements 2. Financing/ fiscal schemes 1. Energy/CO2 taxes - Financial/Fiscal schemes dominate (59,4% of all measures). Cases of Cyprus, Croatia, Greece and Portugal, Netherlands, (all countries opting solely for alternative measures) and the UK. - Next are regulations and agreements (e.g. 21,5% out of the total measures proposed by MS countries.) - Finally support for the human agency (i.e. Training and Education programmes) are present in most country plans opting for alternatives.

2. Classification of alternative measures adopted by EU MS countries under Article 7 requirements (2/3) Measures promoting access to finance* 25 10. Regulations or voluntary agreements 9. Market Based (WhC) 20 15 10 5 0 8. Market Based (FIT) 7. Direct Investment (RD&D) 6. Direct Investment (Public infrastructure investment) 5. Direct Investment (Public procurement) 4. Financial (Partial guarantee (incl. 3rd party financing)) 3. Financial (Grants as a form of equity or to subsidize loans) 2. Financial (Loans) 1. Fiscal ( Tax-reliefs) Less utilized measures are direct investments in the form of public procurements, 3 rd party financing and direct investments for Research, Development and Demonstration. *EE funds and energy taxes are excluded

2. Classification of alternative measures adopted by EU MS countries under Article 7 requirements (3/3) Share of sectors in total saving target 100,00% 90,00% 80,00% 29,88% Sectors' contribution (%) to total energy savings' target 10,54% 10,73% 8,44% 7. Argiculture 6. Transport 70,00% 60,00% 50,00% 40,00% 87,58% 62,05% EEO 71,73% 60,34% 60,70% 35,02% 5. Cross-cutting 4. Commercial Tertiary 30,00% 20,00% 10,00% 0,00% 62,35% EEO & 6 alternatives EEO EEO 47,80% 35,86% UK France Italy Austria Sweden Germany Greece Netherlands 3. Public 2. Industry 1. Residential Existing EEOs & Alternative measures Planned EEOs & Alternative measures Alternative measures

3. Technology focus of alternative measures Is there a regular fit of measures supported by alternatives? Residential sector Public sector Cross-cutting (general) Existing buildings: - Building envelope measures - Heating systems (boilers, heat-pumps solar thermal) (>>) New builds: construction material - Building envelope measures, - Lighting, heating systems, - Facilities, estate management, - Rationalization and smart energy planning - Automation and smart management systems - RES, CHP units, (>>) District heating & cooling (>)Industrial sector - BEMS and energy audits, - Improvement of equipment and process technology (BAT) (>>) Heat recovery/waste heat utilization systems (>)Transport sector - Urban sustainable mobility, - Low emission vehicles: electric, natural gas and hydrogen vehicles (i.e. switching of fuel vehicles) Grants, Soft-loans, tax-reliefs Grants, Regulation, Behavioral measures Grants, loans, regulation, direct infrastructure investments Tax increases (tolls), regulation, direct infrastructure investments

5. Technical issues: verification& control over measures, calculation method savings (1/1) Pre-existing or New Policy? Majority of measures proposed are an extension of existing measures. New measures (e.g. Greece, France) at an early implementation stage continuous monitoring. Limited information on costs, usually expressed as total incentive costs. Benefits expressed as total savings of measures. Monitoring & Verification? Most popular calculation method adopted by MS: ex-ante (deemed) savings Deemed savings risk of poor additionality when: - baselines do not adapt to tech. developments or - measures are not revised following the evolution of the market. Existing/ New Policy Countries 1. Existing 2. New TOTAL 1 Greece 6 12 18 2 France 4 4 8 3 UK 14 6 20 4 Austria 8 1 9 5 Netherlands 22 5 27 6 Italy 2 0 2 7 Germany 11 0 11 8 Sweden 11 0 11 Calculation method savings Countries 1. Deemed 2. Metered 3. Scaled 4. Surveyed 1 Greece X X 2 France X X 3 UK X X 4 Austria X X 5 Netherlands X X 6 Italy X 7 Germany X X 8 Sweden

5. Additionality interpretations and double counting considerations (1/2) Countries Austria Additionality is ensured by the choice of baseline: Requirement on achieved standards to be higher that applicable national and EU regulations. Common Additionality interpretations Periodic updated of list of eligible measures. Periodic updated of taxreduction percentages. Removal of (part Lack of of) savings demonstratio happening as a n of result of additionality overlapping in the report. policies in its modeling of uptake of options. France Germany Greece Italy Sweden The Netherlands UK Common non-additional/eligible measures: energy taxes, fuel substitution subsidies, RES, CHP and supply side measures. Best case approach: Austria provides Tailored Materiality/Additionality provisions per measure.

5. Additionality interpretations and double counting considerations (2/2) Countries Double-counting provision described in the notification reports. Austria France Germany Greece Italy Sweden The Netherlands UK Refurb. Subsidies: applied by separate federal states at their own territory. Domestic support: allocated based on data provided by a centralized database. Tax on oil: only measure from the traffic sector. El.Tax and N. gas Tax: estimates are based on short term elasticities Green el. support: counting only the state el. support might hedge double counting. No double-counting considerations. Verification and control doesn't account for energy savings. Formulas and methodological parameters for calculating the final energy savings resulting from policy measures or combinations thereof. Implementation of EE interventions in different buildings. Documental and spot-onsite verification. Penalty of 10 years exclusion from any national support programme. Total target savings consider only the impact of taxes. Policy packages instead of individual instruments (the impact of individual actions are not aggregated on a bottom-up basis no double counting of policy impacts). Policy ranking to adjust pre-policy demand for lower ranked policies in the merit order to avoid double-counting.

6. National implementation barriers reported thus far and main risks (1/1) Past energy efficiency market activity focused on low hanging fruits (i.e. rapidly implementing measures with short payback periods)need for innovation. High public cost associated with fiscal measures. High cost measures Insufficient fundability from end users, ESCOs and difficulty in access to finance Low technical capability of municipalities and banks technical staff. One off, complex and infrastructure projects (e.g. district heating, public transport) technical constraints leading to delays and budget deficit. Administrative complexity, high transaction costs and delays associated with large number of policies adopted. Lack of awareness, motivation from public entities, households for participation Need for non-technical change.

Conclusions (1/2) General points Almost all EU MS countries (apart from 5) have adopted alternative measures to comply with Article 7 requirements. New builds, products and early stage technology less promoted. Countries relying wholly on EEOs Only one country of the five planning to rely entirely on EEOs has long and successful experience of this policy (Denmark). It may be a risky strategy for the other three.

Conclusions (2/2) Countries relying partly or wholly on alternative measures New measures at very early implementation stage meaning some risk attaches to certainty of savings. In most countries, some of the alternative measures adopted appear to be either non-eligible or non-additional. This implies additional policy actions in terms of:. (i) monitoring and verification, (ii) work with energy efficiency stakeholders to mobilize capacities and (iii) identify and better understand best practices. Combination of policy measures Most countries have decided that alternative policies outside the remit of utilities are necessary (e.g. standards, taxation and support for infrastructure and human systems) to meet energy savings target. Their relative roles need further analysis (and will be undertaken later in the project).

Discussion points What do governments aim to achieve when opting solely for: - EEOs - Alternative measures or - a combination thereof, What has been the main reason(s) for countries opting to comply solely based on alternative measures? Can alternative measures be compared to EEOs in terms of cost-effectiveness?

Contact Details Thank you for your attention