monthly progress update - ec.europa.eu · model refurbishments: 13 projects will be awarded € 3.2...
TRANSCRIPT
Monthly Progress Update
Issue 09/2013
01 December – 31 December
Part of the project “Assessment of climate
change policies in the context of the EU
Semester”
08 January 2014
Monthly Progress Update – December 2013
1
Table of Content
Austria ................................................................................................... 5
Horizontal Measures .......................................................................................... 5
Belgium .................................................................................................. 6
Horizontal Measures .......................................................................................... 6
Renewable Energy ............................................................................................. 6
Waste ................................................................................................................... 7
Bulgaria ................................................................................................. 8
Energy Generation ............................................................................................. 8
Renewable Energy ............................................................................................. 8
Croatia ................................................................................................. 10
Energy Efficiency ............................................................................................. 10
Transport .......................................................................................................... 10
Cyprus ................................................................................................. 11
Taxation ............................................................................................................ 11
Czech Republic ................................................................................... 12
Energy efficiency .............................................................................................. 12
Denmark............................................................................................... 13
Taxation ............................................................................................................ 13
Renewable Energy ........................................................................................... 13
Estonia ................................................................................................. 14
Taxation ............................................................................................................ 14
Renewable Energy ........................................................................................... 14
Energy Efficiency ............................................................................................. 15
Waste ................................................................................................................. 15
Finland ................................................................................................. 16
Horizontal Measures ........................................................................................ 16
Monthly Progress Update – December 2013
2
Taxation ............................................................................................................ 16
Renewable Energy ........................................................................................... 17
Energy Efficiency ............................................................................................. 17
Transport .......................................................................................................... 18
France .................................................................................................. 19
Horizontal Measures ........................................................................................ 19
Renewable Energy ........................................................................................... 20
Energy Efficiency ............................................................................................. 20
Germany .............................................................................................. 22
Renewable Energy ........................................................................................... 22
Energy Efficiency ............................................................................................. 23
Land use, land use change and forestry ........................................................ 23
Greece .................................................................................................. 24
Taxation ............................................................................................................ 24
Energy Generation ........................................................................................... 24
Energy Efficiency ............................................................................................. 24
Hungary ............................................................................................... 27
Renewable Energy ........................................................................................... 27
Transport .......................................................................................................... 27
Agriculture ........................................................................................................ 28
Land use, land use change and forestry ........................................................ 29
Adaptation ........................................................................................................ 29
Ireland .................................................................................................. 30
Renewable Energy ........................................................................................... 30
Energy Efficiency ............................................................................................. 30
Energy Efficiency/ Renewable Energy ........................................................... 30
Italy 32
Renewable Energy ........................................................................................... 32
Energy Efficiency ............................................................................................. 32
Monthly Progress Update – December 2013
3
Lithuania .............................................................................................. 33
Energy Efficiency ............................................................................................. 33
Energy Networks .............................................................................................. 33
Transport .......................................................................................................... 33
Latvia ................................................................................................... 35
Luxemburg .......................................................................................... 36
Horizontal Measures ........................................................................................ 36
Transport .......................................................................................................... 36
Malta ..................................................................................................... 37
Energy Networks .............................................................................................. 37
The Netherlands .................................................................................. 38
Horizontal Measures ........................................................................................ 38
Energy Generation ........................................................................................... 38
Poland .................................................................................................. 39
Renewable Energy ........................................................................................... 39
Portugal ............................................................................................... 40
Horizontal Measures ........................................................................................ 40
Renewable Energy ........................................................................................... 40
Taxation ............................................................................................................ 41
Transport .......................................................................................................... 41
Romania ............................................................................................... 42
Horizontal Measures ........................................................................................ 42
Energy Generation ........................................................................................... 42
Waste ................................................................................................................. 42
Renewable Energy ........................................................................................... 43
Land use, land use change and forestry ........................................................ 43
Slovakia ............................................................................................... 45
Renewable Energy ................................................................................................ 45
Monthly Progress Update – December 2013
4
Slovenia ............................................................................................... 46
Horizontal Measures ........................................................................................ 46
Renewable Energy ........................................................................................... 47
Energy Efficiency ............................................................................................. 48
Transport .......................................................................................................... 48
Spain .................................................................................................... 49
Horizontal Measures ........................................................................................ 49
Sweden ................................................................................................ 50
Renewable Energy ........................................................................................... 50
Transport .......................................................................................................... 50
United Kingdom .................................................................................. 51
Horizontal Measures ........................................................................................ 51
Energy Generation ........................................................................................... 53
Renewable Energy ........................................................................................... 53
Energy Efficiency ............................................................................................. 55
Waste ................................................................................................................. 56
Monthly Progress Update – December 2013
5
Austria
Horizontal Measures
Climate and Energy Fund’s budget determined for 2014
On 18 December 2013, the Climate and Energy Fund announced that the 2014 budget
would be € 24.2 million. This Fund aims to have a long-term impact on the sustainable
development of the Austrian mobility and energy system, as the funded projects have an
estimated investment volume of € 60 million. Projects in the following fields will be granted
funding:
Austrian Climate Research Programme (ACRP): 22 projects will be funded through
approximately € 6.27 million. The ACRP aims at investigating national characteristics
and consequences of climate change.
Large-scale solar plants: € 4.5 million will be allocated to 37 projects.
Climate and energy model regions: The number of Climate and Energy model regions
will increase by 12, which means that about 2.7 million inhabitants from 1,186
communities are included.
Model refurbishments: 13 projects will be awarded € 3.2 million. This programme
supports implementation of best-practice examples in the field of thermal
modernization of buildings in order to set trends for future-oriented refurbishment
standards.
E-mobility model regions: 11 projects will be funded with € 867.000. This programme
aims at a further integration of the eight existing model regions. For example, an
express charging system for electric vehicles will be installed on the highway between
Vienna and Graz.
Klima:aktiv mobil: The budget for this programme amounts to € 7.2 million.
Read more (in German): http://www.klimafonds.gv.at/assets/Uploads/Presseaussendungen/20121218-Frderentscheidung-
Marktfinal.pdf
Monthly Progress Update – December 2013
6
Belgium
Horizontal Measures
Expanding SME portfolio in Flanders
On 16 December 2013, Agentschap Ondernemen (Enterprise Flanders) reported that the
SME portfolio of its work will be expanded with support for coaching for the implementation of
energy saving measures in SMEs. Requests for support from SME portfolio can be made via
an online portal. The main aim of this measure is to give aid to SMEs in the form of training,
advice, coaching. Financial support of up to € 15,000 can be provided for training, consulting,
technology exploration and advice for international businesses. In addition, subsidies of up to
€ 25,000 can be requested for strategic advice and coaching. One of the programmes the
SME portfolio is used for is the KEEP (SME energy efficiency plan) of the Flemish
Government.
Read more (in Dutch): http://www.agentschapondernemen.be/nieuws/uitbreiding-kmo-portefeuille-met-coaching-bij-de-
implementatie-van-energiebesparende
Renewable Energy
Adoption of the qualiwatt support scheme for photovoltaic systems
On 12 December 2012, the Walloon Government adopted at final reading the decree
introducing the new support scheme Qualiwatt. The support mechanism is addressed to
households installing a photovoltaic system of maximum 10 kW. It ensures a full refund of
the installation within 8 years and a return on investment of 5% over the life of the system (at
least 20 years). Qualiwatt also provides a quality guarantee for photovoltaic systems. A set of
criteria is defined in order to ensure the skilled installation of high quality panels. The support
system Qualiwatt will apply to new installations commissioned from 1 March 2014.
Read more (in French): http://nollet.wallonie.be/le-d-cret-qualiwatt-d-finitivement-adopt-au-gouvernement-wallon
Read more (in French): http://www.cwape.be/?dir=6.2.01
Renewable energy federation Edora asks the Walloon Government for emergency measures
On 4 December 2013, the renewable energy federation Edora issued a statement asking the
Walloon Government to take emergency measures in order to support the renewable energy
sector. According to the federation, the sector is in a state of a "de facto moratorium", as a
direct consequence of the current unstable regulatory situation regarding renewable energy
in Wallonia. Edora suggests several measures, including a modification of the method
determining which green certificate system applies to stakeholders willing to develop
projects. In addition, the federation requires several concrete measures to reassure the wind
energy sector, particularly regarding the clarification of the criteria for environmental impact
assessment and more legal security regarding acoustic criteria.
Read more (in French): http://www.edora.org/2012/doc/menu_226/131204-cp-mesures-urgence-er.pdf
Monthly Progress Update – December 2013
7
Heat Generation from RES
On 5 December 2013, the official website of Flemish Minister for Energy announced a call by
Flemish Minister for Energy Freya Van den Bossche. The call is referred to companies for a
project initiative to generate heat from renewable energy sources. The intention behind the
initiative is to give support to companies which intend to generate heat from renewable
energy sources or want to develop a system to reuse waste in order to generate heat. They
can now get premiums for the Flemish Government. A budget of € 6.3 million is made
available for those companies that can guarantee the largest energy gain at the lowest cost.
Companies can submit proposals until 5 February 2014. Also in 2014 there will be two calls
under the same project initiative which together account for 4.5 million euros. "Green heat,
which heat is generated from renewable sources, (can be) up to 15 times cheaper than
green energy," says Van den Bossche. "With minimal support, we can help companies to
realise the great potential of environmentally friendly energy."
Read more (in Dutch): http://www.freyavandenbossche.be/articles/energie/steun-voor-groene-warmte
Waste
Conclusion of an environment - employment alliance in the resource and waste sector
The Brussels government and competent stakeholders concluded a new environment -
employment alliance devoted to the resource and waste sector. This new alliance follows
those concluded in the sector of sustainable construction in 2010 and the water sector in
2012. The objective of such alliances is to create employment opportunities. Therefore, the
government of the Brussels-Capital region brought together all stakeholders of the resources
and waste sector, such as social partners, professional associations, public environmental
actors, waste management, employment or training stakeholders. Together, they identified
barriers to their development and elaborated concrete proposals to meet the challenges of
education, research, business support, integration, etc. As a result, 43 measures were
formulated by the environment - employment alliance for the resource and waste sector.
Read more (in French): http://www.aee-rbc.be/wp-content/uploads/2013/07/AEE-RD_Charte_FR_130705_vfinale.pdf
Read more (in French): http://www.bruxellesenvironnement.be/Templates/news.aspx?id=38929
Monthly Progress Update – December 2013
8
Bulgaria
Energy Generation
BEH and Westinghouse sign agreement on the construction of new unit at Kozloduy NPP
On 11 December 2013, the Bulgarian Government approved the report of the Ministry of
Economy and Energy on the construction of a new unit at the nuclear power plant
“Kozloduy”. On 12 December, the Bulgarian Energy Holding (BEH) and the US energy
company Westinghouse signed an agreement which sets a deadline of 9 months for
preparatory work concerning the technical, financial and economic aspects of the project.
The plan to build a new unit at Kozloduy was brought forward after the construction of a new
nuclear power plant using Russian technology in Belene was stopped by the previous center-
right government due to exploding costs. At the same time, the incumbent Bulgarian
Government is also trying to extend the lifetime of units 5 and 6 at Kozloduy NPP, whose
licenses will expire in 2017 and 2019.
Read more (in English): http://www.novinite.com/articles/156338
Read more (in English): http://www.novinite.com/view_news.php?id=156372
Renewable Energy
Bulgarian Parliament approves controversial 20% Renewable Energy Fee
On 5 December 2013, the Bulgarian Parliament approved a proposal to introduce a new 20%
fee on the revenues of photovoltaic plants and wind farms by amending the Renewable
Energy Sources Act, which will come into effect from 1 January 2014. The proposal was
initially presented as a tax, but subsequently revised to "fee".
However, on 12 December 2013, the Bulgarian President Rosen Plevneliev decided to notify
the Constitutional Court about the renewable energy fee stating that it had been adopted
“amid a lack of transparency” and that it would have a “dramatic impact on the business
climate in Bulgaria”. Meanwhile, representatives of the renewable energy industry are
protesting against the new measure.
Read more (in English): http://www.novinite.com/view_news.php?id=156065
Read more (in English): http://www.novinite.com/view_news.php?id=156244
Bulgarian renewable energy companies will regain grid access fees
On 12 December 2013, the State Commission for Energy and Water Regulation (DKEVR)
announced that renewable energy companies will receive a refund of the sums they paid to
the three power distributors (CEZ, EVN and Energo Pro) and the Electricity System
Operator (ESO) in form of a grid access fee. According to DKEVR, the total sum of grid
access fees amounted to over BGN 400 million (approx. € 200 million). Furthermore, the
Commission stated that it was “essential to wrap up the separation of the National Electric
Company (NEK) from the Electricity System Operator (ESO) and secure the balancing
Monthly Progress Update – December 2013
9
market launch”. These measures are planned to be introduced at the beginning of 2014. The
grid access fee was originally introduced by DKEVR in September 2013, but was rejected by
Bulgaria's Supreme Administrative Court.
Read more (in English): http://www.novinite.com/view_news.php?id=156387
Monthly Progress Update – December 2013
10
Croatia
Energy Efficiency
Conference on energy-efficient lighting was held
The first "Conference on energy-efficient lighting" was organized by Energetika Marketing
(EM) and took place in Zagreb on 4 December 2013. Hundreds of experts in the field of
energy-efficient lighting and energy efficiency in general, including producers of equipment
and lighting systems, representatives of municipalities and private contractors, gathered in
Hotel Antunović in order to discuss their experiences and the challenges concerning energy-
efficient lighting.
Besides giving best practice examples, the conference showed that there are many
problems, when it comes to carrying out projects of energy-efficient lighting in cities and
municipalities. Dr. Damir Juričić, director of the Agency for Public-Private Partnerships
(Agencija za javno privatno partnerstvo), pointed out that the technical challenges of such
projects (calculation, building, installation, running, maintaining) can be overcome without
much difficulty, but the biggest remaining problem is the poor financing and the desolate
financial situation of many municipalities. Beyond that, according to the lawyer Kristina Alija
Hrastinski the Law on municipal economy (Zakon o komunalnom gospodarstvu, NN 36/1995)
as such and its poor application by public servants produces administrative barriers for the
contractor. But despite these obstacles, all over Croatia projects are successfully realized,
not least because regional energy agencies (e.g. Regionalna Energetska Agencija
Sjeverozapadne Hrvratske) or specialised associations (e.g. Udruga CEZAR) offer their help.
The next conference will take place on 4 December 2014.
Read more (in Croatian): http://www.jutarnji.hr/konferencija-o-energetski-ucinkovitoj-rasvjeti/1143018/
Read more (in Croatian): http://www.energetika-net.com/vijesti/energetsko-gospodarstvo/projekte-energetski-ucinkovite-javne-
rasvjete-otezavaju-brojni-problemi-17950
Read more (in Croatian): http://www.em.com.hr/ucinkovita_rasvjeta/naslovna
Transport
Rijeka fosters use of biogas
In the passed year the City of Rijeka has made considerable efforts to fulfil their CO2
emission goals that are set out in the Plan for a sustainable energy development of the City
of Rijeka (Akcijski Plan Energetski Održivog Razvitka Grada Rijeke, 2010). The local public
transport fleet was endorsed by 21 busses that use biogas and the city has built the first
public biogas filling station, which is so far the only one in Croatia.
This filling station was used during the tourist season by more than 1,500 tourists, which
indicates a high demand also from abroad. The mayor of Rijeka, Vojko Obersnel, expressed
his satisfaction and announced that the City will pursue to fulfil the 20-20-20 goals also by
replacing the car pool of the municipality through less polluting alternatives.
Read more (in Croatian): http://www.croenergo.eu/U-Rijeci-se-ocekuje-jos-vise-autobusa-na-plin-19136.aspx
Read more (in Croatian): http://helpdesk.eumayors.eu/docs/seap/240_1322232434.pdf
Monthly Progress Update – December 2013
11
Cyprus
Taxation
Excise duty on fuels increased in 2014
The excise duty on fuels is foreseen to be increased from the beginning of 2014. The
increase amounts to €0.05 per liter for all fuels and consists part of the fiscal measures that
Cyprus is obliged to introduce in 2014 as part of the Memorandum of Understanding on
Specific Economic Policy Conditionality for the country’s economic adjustment programme at
the end of 2012. The aggregate sum of all fiscal measures is estimated at €270 million and it
is expected that these could reduce the country’s primary deficit at 3.1% of its GDP.
Read more (in Greek): http://www.imerisia.gr/article.asp?catid=26517&subid=2&pubid=113192564
Read more (in English): http://www.mof.gov.cy/mof/mof.nsf/final%20MOUf.pdf
Proposal for the exemption of biofuels from the excise duty
On 6 December 2013 the Parliamentary Committee on Environment has suggested the
exemption of biofuels from the excise duty. Such an exemption is expected to have multiple
economic and environmental benefits. The Committee has met with the Pedagogical Institute
of Cyprus and with AKTI Project and Research Centre who jointly realize an ambitious
programme of used fried oil collection from 200 schools in Cyprus. The Committee argued
that an exemption from the excise duty could create a revenue source for those schools to
realize further environmental friendly actions, such as the installation of PV. The current
legislative framework does not favour the development of biofuels in Cyprus. Most of the
used fried oil collectors prefer to export to Greece. The only biofuel processing plant on the
island lacks raw material input.
Read more (in Greek): http://www.sigmalive.com/inbusiness/news/financials/81067
Monthly Progress Update – December 2013
12
Czech Republic
Energy efficiency
Ministry of Industry and Trade launches EFEKT programme
On 6 December 2013, the Ministry of Industry and Trade launched a new round of the state
programme “EFEKT” (“Státní program na podporu úspor energie a využití obnovitelných a
druhotných zdrojů energie 2014”), to promote energy savings and the use of renewable and
secondary energy sources in 2014. Project applications can be submitted until 28 February
2014.
Read more (in Czech): http://www.mpo.cz/dokument145218.html
Ministry of Environment to launch new call for household boilers in Moravian-Silesia
On 11 December 2013, the Czech Minister of the Environment approved the fourth call for
applications for a grant under a joint regional programme to support the replacement of old
boilers. The total budget of 60 million CZK (approx. € 2.2 million) will be provided in equal
shares by the Ministry and the Region of Moravian-Silesia. Applicants may receive a
maximum subsidy of CZK 60,000 (approx. € 2,200) for the replacement of old household
boilers with new eco-friendly ones with automatic stoking, gasification furnaces or boilers for
gaseous fuels. The call will be launched in early January 2014. The amount of the subsidy
varies depending on the type of the installation.
Read more (in Czech): http://www.mzp.cz/cz/news_MSK_v%C3%BDm%C4%9Bna_kotl%C5%AF_60_milion%C5%AF_korun
Monthly Progress Update – December 2013
13
Denmark
Taxation
Denmark introduces taxes on heating
The Danish government plans to introduce a new tax on heating, including district heating
and biomass combustion from 1 January 2014. The tax is part of the country's energy
agreement aiming at phasing out fossil fuels in the electricity and heating sectors.
The decision to tax all heating technologies is motivated by the lower income from levies on
fossil fuels, which are less and less used. The tax, not covering heating from electricity,
supports usage of heating pumps and undermines the attractiveness of district heating for
new houses.
Read more (in English): http://www.endseurope.com/34080/denmark-to-tax-all-heating-from-1-january
Renewable Energy
Horns Rev 3 offshore wind farm is being tendered
On 6 December 2013, the Energy Agency published a tender notice for the upcoming Horns
Rev 3 offshore wind farm of 400 MW. The park is the first park that is being offered as a
result of the Energy Agreement of March 2012.
Read more (in Danish): http://www.kebmin.dk/nyheder/horns-rev-3-havmoellepark-sendt-udbud
Monthly Progress Update – December 2013
14
Estonia
Taxation
Supreme Court ruled sudden environmental tax raise to be unlawful
In October 2009, the government adopted a bylaw No. 171 regulating environmental tax for
special water usage ("Vee erikasutusõiguse tasumäärad veevõtu eest veekogust või
põhjaveekihist") and a bylaw No. 172 regulating cost of mining state-owned mineral
resources ("Riigile kuuluva maavaravaru kaevandamisõiguse tasumäärad"). The goal of the
bylaws was to protect and ensure a more sustainable use of resources and water and to
motivate the entrepreneurs to invest in the recycling of oil-shale waste. They regulated
environmental taxes from 2010 until 2015. However, in October 2012 both bylaws were
amended by the government. The amendments came into force in January 2013. Changes
foresaw an increase in charge rates imposed on the mining of natural resources and water
used for that matter. Additionally, the tax imposed on oil-shale waste disposal was increased
by 20%. Because of these sudden increases in environmental taxes mining professional
associations made a complaint to the Chancellor of Justice who challenged the legality of the
bylaws in Supreme Court of Estonia. On 16 December 2013, the Supreme Court ruled that
the sudden amendment of the tax regime violated the principle of legal certainty and
therefore was unconstitutional. The judgment does not forbid raising environmental taxes in
general, however, this has to be done after 2015, when current tax regime ends.
Read more (in Estonian): http://www.k6k.ee/uudiskiri/2013/detsember/keskkonnatasud
Read more (in Estonian): http://www.riigikohus.ee/?id=11&tekst=RK/3-4-1-27-13
Renewable Energy
City of Tartu received a report about possibilities using renewable energy in Tartu
The City of Tartu ordered a research report titled, "Usage of Wind and Solar energy in Tartu"
(Tuule- ja päikeseenergia kasutamine Tartu linnas) from Hea Uus Linn Ltd. The report was
handed over on 9 December 2013 and mainly focuses on possibilities for Tartu to start using
wind and solar energy and the associated environmental impacts. The report emphasizes
that Tartu's special conditions for heritage conservation make it difficult to apply rapid
changes in the city center. On the other hand, the outskirts of Tartu have greater potential
and the report suggests reasonable possibilities of applying more renewable energy sources
there.
Read the report (in Estonian):
http://www.tartu.ee/?page_id=58&lang_id=1&menu_id=6&lotus_url=/uurimused.nsf/Web/teemad/DFE85EF5E585A0AFC2257C
2F00290BD7
Monthly Progress Update – December 2013
15
Energy Efficiency
Environmental Investment Center distributed € 14,1 million of subsidies in the second half of
the year 2013
As announced on 16 December 2013, Environmental Investment Center provided aid to 307
projects in the second half of 2013. Substantial financial support was distributed to water
management companies and environmental protection projects. 23 companies operating in
water management were granted aid totaling € 3.28 million. The majority of the supported
projects included awareness raising in the field of the environmental protection. In 2013, the
Environmental Investment Center distributed a total of € 35.9 million to 821 projects.
Read more (in Estonian): http://www.bioneer.ee/bioneer/kohalik/aid-16340/Keskkonnaprojektid-said-KIKist-14-miljonit-eurot-
toetust
Waste
Environmental Investment Center is waiting subsidy applications for waste renewal projects
The Environmental Investment Center is awaiting subsidy applications for projects which are
aimed at recycling and reusing waste. The total sum of the subsidy is € 2 million. The
deadline for the submission of applications is 14 February 2014. Funding of € 1.6 million will
be used by private companies registered in Estonia for projects concerning construction
waste management and recycling as well as recycling of biowaste and waste containing
glass, paper, metal and used car tires. Companies can also apply for subsidies for waste
disposal in the manufacturing process and oil-shale ash processing technology development
projects.
Companies owned by local governments may apply for subsidies for the opening of the new
waste disposal sites. For that purpose subsidy program foresees € 0.4 million.
Read more (in Estonian): http://kik.ee/et/uudised/kik-avas-jaatmete-taaskasutamise-projektide-rahastamiseks-uue-taotlusvooru
Monthly Progress Update – December 2013
16
Finland
Horizontal Measures
Government approved proposal for the new Environmental Protection Act
On 12 December 2013, the Ministry of Environment submitted a draft of the new
Environmental Protection Act (Ympäristönsuojelulaki) to the government. The draft act will
implement the European Industrial Emissions Directive. It foresees higher standards for
environmental protection and stricter requirements and inspections for the permission
procedures. The Minister of Environment, Ville Niinistö hopes that the new Environmental
Protection Act will set up a good legal basis for the environmentally friendly, sustainable and
"cleantech" business environment. The new law will require using the most environmental
friendly techniques and machines in the environmental sector. Further, it will introduce an
inspection fee for companies involved in environmentally dangerous activities. Finally, stricter
rules for peat manufactures are foreseen. The law is expected to enter into force in June
2014.
Read more (in Finnish): http://www.ym.fi/fi-FI/Ajankohtaista/Valtioneuvosto_hyvaksyi_esityksen_uudeks(27789)
Read more (in Finnish): http://www.ym.fi/download/noname/%7B537330EA-1642-4362-9F51-225E2B5FDE5E%7D/95460
New Energy Agency will be formed to deal with energy efficiency and renewable energy
development issues
The Energy Market Authority (Energiamarkkinavirasto) will be transformed into the Energy
Agency (Energiavirasto) on 1 January 2014. The new Agency will be responsible for the
promotion of energy efficiency and renewable energy development issues. The Energy
Agency will maintain responsibilities of Energy Market Authority. In addition, it will carry out
some assignments that used to belong the responsibility of the Ministry of Labour and
Economy (Työ- ja elinkeinoministeriö). These cover energy efficiency contracts as well as
coordination and monitoring of energy auditing.
Read more (in Finnish): http://www.tem.fi/yritykset/tiedotteet_yritykset?89508_m=112732
Taxation
Ministry of Transport and Communication is considering kilometer tax on vehicles
On 16 December 2013, a workgroup within the Ministry of Transport and Communication
handed over a report to the Minister Merja Kyllonen, introducing possibilities of setting up a
kilometer tax. Discussions about another tax on vehicles are mainly driven by the EU energy
policy for 2050, which foresees very strict requirements for CO2 emissions. A decision on
whether a kilometer tax will be introduced has not yet been made.
Read more (in Finnish): http://www.lvm.fi/tiedote/4374205/ministeri-kyllonen-liikenteen-verotuksesta-uskallettava-keskustella
Monthly Progress Update – December 2013
17
Renewable Energy
Renewable energy percentage in the overall energy production reached 35 %
In 2013 Finland renewable energy production grew reaching 35 % of total energy production.
The European Union’s target for Finland for the year 2020 is 38 %. Finland is confident in
reaching 38 per cent renewable energy production target, as several wind energy parks are
in planning phase and many are in construction. 80 % of the renewable energy is produced
from wood and wood chips. The fastest growing energy sources are solar power and wind
energy. Greatest investments in renewable energy sector concern biofuel refinery factory in
Lappeenranta which will be completed in summer 2014. Biggest research areas at the
moment in production are ethanol, biogas and wood-to-diesel projects.
Read more (in Finnish): http://www.tem.fi/yritykset/tiedotteet_yritykset?89508_m=112732
New workgroup will find solutions for developing small-scale energy production
On 16 December 2013, the Ministry of Labour and Economics announced the formation of a
new workgroup to find solutions to develop small-scale electricity production and thus make
housing more energy efficient. Small-scale electricity production will play a role in decreasing
consumers’ electricity expenses and will build up a clean and CO2 free society. In addition,
the small scale electricity production workgroup will investigate possibilities to decrease
expenses through innovative dispersed small scale electricity production solutions. Main
issues concern accessibility to the network and cooperation with other electricity market
players in order to sell the electricity to the network. It will start by mapping and comparing
adequate legal regulations in different EU member states. The aim of the workgroup is to
introduce possibilities for cleantech society. The workgroup shall produce a report due to be
published in the beginning of 2015.
Read more (in Finnish): http://www.tem.fi/energia/tiedotteet_energia?89519_m=113018
Energy Efficiency
Energy efficiency contracts will have major role in fulfilling the Energy Efficiency Directive
On 5 December 2013, Finland sent the European Commission an action plan, indicating a
target for decreased energy consumption in light of voluntary energy efficiency contracts.
The action plan is based on article 7 of the Energy Efficiency Directive, allowing every
member state to freely decide on suitable measures to ensure annual energy consumption
savings of 1.5% between 2014 and 2020. From 2009 to 2013 voluntary energy efficiency
contracts have shown an energy consumption savings of 53 Twh in Finland. This exceeds
expectations and ensures that requirements from the Energy Efficiency Directive will be
achieved for period of 2014-2020.
Read more (in Finnish): http://www.tem.fi/energia/tiedotteet_energia?89519_m=112924
Greenhouse gas emissions in 2012 were record low
Monthly Progress Update – December 2013
18
On 12 December 2013, Statistics Finland published a preliminary report saying that in 2012,
Finland's greenhouse gas emissions amounted to 60.9 million tonnes of CO2. That marks a
decline of 5.9 million CO2 tonnes from the year 2011, falling below the annual average
commitment level of the first commitment period of the Kyoto Protocol by around 14%.
Revised emission data will be released on 15 April 2014. The emissions decreased in all
sectors compared to the previous year. The largest decrease could be observed in the
energy sector, where it was around 10% (around 5.5 million tonnes of CO2). One of the main
reasons for the decrease results from the replacement of fossil fuels and peat with electricity
imports, wood and domestic hydropower. The use of fossil fuels and peat also decreased in
manufacturing.
Read more (in English): http://tilastokeskus.fi/til/khki/2012/khki_2012_2013-12-12_tie_001_en.html
Transport
Finland’s new Transport Environmental Strategy will focus on technology development
In December 2013 the Ministry of Transport and Communication (Liikenne- ja
viestiministeriö) published a Transport Environmental Strategy 2013-2020 (Liikenteen
Ympäristöstrategia 2013-2020). The Transport Environmental Strategy focuses on the
effects of climate change. Finland hopes to decrease CO2 emissions by 15% by 2020
compared to 2005. This means that in 2020 Finland will emit 11.2 million tonnes of CO2. The
transport sector has the largest potential to decrease CO2 emissions and the Ministry of
Transport and Communication will make efforts to map moving routes of people to make the
transport sector more cost-effective. Also new technology must be used that emits less
greenhouse gases.
Read more (in Finnish): http://www.lvm.fi/c/document_library/get_file?folderId=2497121&name=DLFE-22550.pdf&title=Faktalehti 9-2013 - Liikenteen ympäristöstrategia toimenpiteet
Read more (in Finnish): http://www.lvm.fi/c/document_library/get_file?folderId=2497123&name=DLFE-
22545.pdf&title=Julkaisuja 43-2013 Ymparistostrategia
Monthly Progress Update – December 2013
19
France
Horizontal Measures
Draft budget act 2014 definitively adopted by National Assembly
On 19 December 2013, the National Assembly finally adopted the draft budget act for 2014.
The draft budget act had been sent to the National Assembly on 25 September 2013. It
modifies among others the granting conditions of the tax credit for sustainable development
(Crédit d’impôt développement durable - CIDD). From 1 January 2014, the tax credit only
consists of two rates, instead of ten until then. It either amounts to 15% of the hardware costs
in case of a single installation/refurbishment work or to 25% of the hardware costs in case of
several installation/refurbishment works. Moreover, an order issued on 29 December 2013
complements the provisions of the budget act 2014. This order tightens the eligibility criteria
for boilers, condensing boilers as well as heat pumps dedicated to the production of hot
water. In addition, however, installations producing electricity from solar energy are no longer
eligible for the tax credit.
Read more (in French):
http://www.legifrance.gouv.fr/affichTexte.do?cidTexte=JORFTEXT000028410529&dateTexte=&categorieLien=id
Read more (in French): http://www.assemblee-nationale.fr/14/dossiers/loi_finances_2014.asp
Read more (in French): http://www.actu-environnement.com/ae/news/renovation-thermique-logements-credit-impot-
developepment-durable-CIDD-20131.php4
Government presented main propositions of the future planning law on energy transition
On 10 December 2013, the Department of Ecology presented the main building blocks of the
future planning law on energy transition to the National Council of Energy Transition (Conseil
national de la transition énergétique - CNTE). Among the proposed measures, the
government wants to implement "carbon budgets" to set emission limits for France.
Regarding the financing of the energy transition, the government plans to use part of the
revenues from carbon taxation. Profits from the nuclear power sector should also contribute
to the financing of the energy transition. In addition, a separate third funding mechanism is
also foreseen. After the notice is given by the National Council of Energy Transition, CNTE,
the draft measures will be referred to the Economic, Social and Environmental Council
(Conseil économique, social et environnemental - CESE) and to the State Council. According
to the government, the law will be presented in spring, discussed during summer and
concluded by the end of 2014.
Read more (in French): http://www.actu-environnement.com/ae/news/loi-programmation-transition-energetique-se-dessine-
20202.php4
Read more (in French): http://www.developpement-durable.gouv.fr/Projet-de-loi-de-programmation-sur,36221.html
Monthly Progress Update – December 2013
20
Renewable Energy
Launch of a consultation on the revision of support mechanisms for renewable energy
On 12 December 2013, the Minister of Ecology Philippe Martin announced the launch of a
consultation on the revision of support mechanisms for renewable energy. The consultation,
organized by the Directorate General for Energy and Climate, will be held until 28 February
2014 and is open to all stakeholders involved in the development of renewable energies. The
aim of the consultation is to adapt support mechanisms for renewable energies in order to
ensure their long-term development and improve their integration into the power grid and
electricity market. The agreed legislative amendments could be incorporated into the future
planning law on energy transition, which is expected by the end of 2014.
Read more (in French): http://www.enr.fr/docs/2013121221_CPOuverturedelaconsultation.pdf
Read more (in French): http://www.developpement-durable.gouv.fr/Philippe-MARTIN-lance-une.html
French utility company EDF charged a penalty for anticompetitive practices in the PV sector
On 17 December 2013, the Competition Authority charged the French utility company EDF a
penalty amounting to €13.5 million for anticompetitive practices in the domestic PV
installation market. The company is held responsible for having favoured its subsidiary
company EDF ENR by making its branding as well as its customer database available.
According to the Competition Authority, "EDF has created confusion in the minds of
consumers between its public service activity of electricity supply and the photovoltaic activity
of its subsidiary company EDF ENR."
Read more (in French): http://www.lemonde.fr/economie/article/2013/12/17/photovoltaique-edf-condamnee-pour-abus-de-
position-dominante_4335990_3234.html
Read more (in French): http://www.autoritedelaconcurrence.fr/user/standard.php?id_rub=482&id_article=2281
Energy Efficiency
Publication of a decree introducing the obligation of energy audits for certain companies
On 7 December, a decree was published setting limits beyond which companies are required
to conduct an energy audit of their activities before 5 December 2015. The companies
concerned are those whose workforce exceeds 250 persons, or whose turnover exceeds €
50 million or whose total assets exceed € 43 million. This obligation arises from the Directive
of 25 October 2012 on energy efficiency. A second application decree is expected to define
the terms of recognition of qualifications, the terms of independence of auditors as well as
the transmission procedures of audit data to the competent administration.
Read more (in French):
http://www.legifrance.gouv.fr/affichTexte.do?cidTexte=JORFTEXT000028279710&dateTexte=&categorieLien=id
Read more (in French): http://www.actu-environnement.com/ae/news/audit-energetique-grandes-entreprises-seuils-2015-
20166.php4
Government announces energy saving targets for 2015-2017
On 10 December 2013 the Minister of Energy Philippe Martin announced the energy saving
targets for the third period of energy saving certificates (certificats d'économies d'énergie -
Monthly Progress Update – December 2013
21
EEC) from 1 January 2015 to 31 December 2017. The objective is set at 220 TWh of
cumulative energy savings per year, corresponding to a total of 660 TWh of cumulative
energy savings by 2017. The first period (2006-2009) set a target of 54 TWh for electricity,
gas, fuel oil or liquefied petroleum gas (LPG) suppliers. Eventually, the first period achieved
65 TWh of cumulative energy savings. For the second period, initially covering the period
from 2011 to 2013 and extended until the end of 2014, the goal was set at 345 TWh of
cumulative energy savings.
The technical implementation details of the third period will be specified in the coming
months. According to the Minister of Energy, all regulatory texts regarding the third period of
energy saving certificates shall be published by summer 2014.
Read more (in French): http://www.developpement-durable.gouv.fr/Modalites-de-la-troisieme-periode.html
Monthly Progress Update – December 2013
22
Germany
Renewable Energy
European Commission will launch in-depth inquiry into Germany’s Renewable Energy
Sources Act
On 18 December 2013, the European Commission announced to launch an inquiry on state
aid in connection with Germany’s exemptions for energy intensive enterprises from the levy
for renewable energy sources. Sigmar Gabriel, Federal Minister for Economics and Energy
denied that these exemptions qualify as state aid, so that the German Renewable Energy
Sources Act would be compatible with EU law. However, the German government stressed
that it favours a fast reform of this act paying special attention to the “special compensation
arrangement”, which exempts energy intensive companies from the RES levy. According to
the Ministry, “the government will scrutinise the decision carefully as soon as it is available
and comment on it within a month”.
Read more (in German): http://www.bmwi.de/DE/Presse/pressemitteilungen,did=612958.html
Read more (in German): http://www.bmwi.de/BMWi/Redaktion/PDF/E/eeg-pruefverfahren-
kommissionsbrief,property=pdf,bereich=bmwi2012,sprache=de,rwb=true.pdf
Agency for On-shore Wind Power has started working
On 3 December 2013, the Agency for On-shore Wind Power (Fachagentur Windenergie an
Land) has started operating. The Agency had been initiated in April 2013 by the federal and
federal states governments, municipal associations, and environmental organisations. The
Agency aims at mediating between the different stakeholders in the wind power sector and
thus enhancing the concerted development of wind power in Germany. To this end, the
Agency will provide information on wind power and will consult, for example, municipalities
and planning authorities in order to harmonise diverging interests of local residents, climate
protection, nature conservation and project development costs.
Read more (in German): http://www.erneuerbare-energien.de/unser-service/presse/detailansicht/artikel/katherina-reiche-
buergerbeteiligung-beim-windkraftausbau-verbessern/?tx_ttnews[backPid]=74&cHash=e16cd9bee9f5e52fd34e1aca104073ec
Environmental Ministry increases protection of porpoises near off-shore wind parks
On 1 December 2013, the noise control concept for porpoises entered into force. The
concept aims at protecting porpoises during the breeding season from construction noise of
off-shore wind power plants. When ramming the base of offshore wind power plants into the
sea ground it needs to be considered that porpoises still have enough space to avoid the
source of noise. Furthermore, the concept defines threshold values for noise in Natura 2000
sites. The noise control concept applies to the economically explored part of the North Sea
and will be taken into consideration during the authorisation procedure of off-shore wind
parks.
Read more (in German): http://www.erneuerbare-energien.de/unser-service/presse/detailansicht/artikel/schallschutzkonzept-
fuer-schweinswale-in-der-nordsee-tritt-in-kraft/?tx_ttnews[backPid]=74&cHash=bcbb71fa7b9c70cab02c8a31cb73c6ea
Monthly Progress Update – December 2013
23
Energy Efficiency
New financing guidelines for energy efficiency measures in air-conditioning and refrigerating
plants
On 16 December 2013, the Ministry for the Environment, Nature Conservation, Building and
Nuclear Safety (BMU) announced the modification of the financing guidelines for Energy
Efficiency Measures in Air-conditioning and Refrigerating Plants (Förderung für
Effizienzmaßnahmen an Klima- und Kälteanlagen). The application procedure is simplified
and the range of eligible plants is extended by the new financing guidelines. Eligible plants
are now defined by their installed capacity. Before, applicants had to determine their
electricity consumption. Defining the plants energy efficiency has also been simplified. The
new rules will apply from 1 January 2014. The programme is financed by the BMU and the
Federal Office of Economics and Export Control (BAFA).
Read more (in German): http://www.bmu.de/bmu/presse-reden/pressemitteilungen/pm/artikel/bessere-foerderung-fuer-
gewerbliche-kaelteanlagen/?tx_ttnews[backPid]=103&cHash=00034d8d20906890167b7eef004a7b26
Read more (in German): http://www.bafa.de/bafa/de/presse/pressemitteilungen/2013/36_kki.html
Land use, land use change and forestry
Forest Climate Fund is operating successfully since its launch in summer 2013
The Ministry for the Environment, Nature Conservation, Building and Nuclear Safety (BMU)
took stock of the first six months of the Forest Climate Fund, which had been launched in
July 2013. The fund provides financial support to projects that contribute to maintaining and
enhancing the CO2-sequestration function of German forests. So far, 52 applications for
financial support have been submitted amounting to approx. € 24 million. According to the
Ministry, the demand for financial support by silviculture and forestry industry has exceeded
the Ministry’s expectations.
Read more (in German): http://www.bmu.de/bmu/presse-reden/pressemitteilungen/pm/artikel/waldklimafonds-erfolgreich-
gestartet/?tx_ttnews[backPid]=82
Read more (in German): http://www.waldklimafonds.de/
Monthly Progress Update – December 2013
24
Greece
Taxation
Increase of the Special Levy for the Reduction of GHGs by March 2014
The Greek Regulatory Authority for Energy (RAE) decided on 30 December 2013 to increase
the Special Levy for the Reduction of GHGs (Ειδικό Τέλος Μείωσης Εκπομπών Αερίων
Ρύπων – ΕΤΜΕΑΡ) applied to all electricity bills for the first semester of 2014. Nevertheless,
the increase will enter into force in March 2014. RAE’s decision was based its obligation to
define the amount of ETMEAP so as the deficit of the Special Account for RES and CHP
(currently estimated at € 560 million) is nullified by the end of 2014. In addition, the Greek
Deputy Minister for Environment, Energy and Climate Change, Mr. Makis Papageorgiou
mentioned in his written response about the estimation of the Special Account’s deficit in
2014 that a new deal on PV is already on track (see MPU Issue 8/2013) and is expected to
enter into force at the end of January 2014. On average ΕΤΜΕΑΡ will increase by 97%, from
€ 14.96 to € 29.5 (Decision No. 663/2013). For domestic consumers the increase is
approximately 90%, from € 20.8 to € 38.61. The raise will come into force in March 2014, two
months later than foreseen initially.
Read more (in Greek): http://www.rae.gr/site/file/categories_new/about_rae/factsheets/2013/major/02012014?p=file&i=0
Energy Generation
Increase of the Wind Energy Installed Capacity in the second semester of 2013
According to HWEA (Hellenic Wind Energy Association) in its latest statistical report, the
cumulative installed capacity of wind energy in Greece has reached 1,864 MW at the end of
2013. Specifically, 71.15 MW were installed during the period of July to December 2013,
nearly twice as much as in the previous semester (44 MW during January to June 2013) and
seven times more than in the second semester of 2012 (10.35 MW). On average, the
increase of the aggregate installed capacity is estimated at 7%. HWEA expressed its
satisfaction on the development of the wind energy sector in Greece, despite the current
unfavourable environment for the realization of such investments.
Read more (in Greek): http://www.energypress.gr/news/ananeosimes-phges/Me-8-etrexe-h-aiolikh-energeia-sto-deytero-
examhno-toy-2013
Energy Efficiency
Increased heating oil tax causes smog in Greek cities
Toxic smog coming from the fireplaces in Greek cities alarmed the authorities to take drastic
measures for its reduction. With an increased heating oil tax since 2012 many households
could not bear the costs of purchasing heating oil and opted for burning wood as a cheaper
alternative solution. During Christmas time, measurements in Thessaloniki, in Athens, as well
Monthly Progress Update – December 2013
25
as in other Greek cities showed alarmingly high concentration of particulate matters, in some
cases 316 mg/m3. In affected areas authorities recommended that the citizens should avoid
using their fireplaces and heating oil- or natural gas-fired central heating systems should
have their thermostats set to 18 Celsius. Local authorities also consider switching off heating
systems in most public buildings, a reduction of industrial activity and a ban of diesel-
powered cars and trucks from the roads.
Apart from that, during a ministerial council in 31 December between the Finance and
Economics Minister, Giannis Stournaras, the MEEC Minister, Mr. Ioannis Maniatis, their
respective Deputy Ministers, Mr. Christos Staikouras, Mr. Georgios Mavragannis, Mr. Makis
Papageorgiou and the Chairman and CEO of the Greek Public Power Corporation, Mr.
Arthouros Zervos, communicated the possibility of offering reduced electricity prices, during
days of high concentration of particulate matters (above 150 mg/m3), as any proposal on the
reduction of the heating oil tax is rejected.
Read more (in English): http://www.ekathimerini.com/4dcgi/_w_articles_wsite1_1_26/12/2013_533814
Read more (in Greek): http://www.energypress.gr/news/reuma/Me-gennaies-ekptwseis-sto-reyma-epiheirei-na-apanthsei-h-
kybernhsh-sthn-aithalomihlh
MEEC’s report on energy efficiency measures underlines the importance of the increased
heating oil tax
The Energy Efficiency Directive (2012/27/EC) obliges Member States to report by 5
December 2013 the energy efficiency policies and measures so as to attain their energy
efficiency target. MEEC’s (Ministry of Environment, Energy and Climate Change) report
includes all related policies and measures on that field. Beginning with an analysis of the
current situation, a downwards trend of final energy consumption can be observed. Based on
calculations, a cumulative reduction of 3,301 ktoe should be realized for the period of 2014 to
2020 (1.5% of the average final energy consumption of the period 2010-2012). Afterwards,
MEEC describes the various policies, based on which the final energy consumption can be
achieved. According to the report, MEEC considers the increase of the heating oil tax to be
the main vehicle for the reduction of energy consumption (225ktoe), while measures such as
energy upgrading of residential buildings (176.5ktoe) and the introduction of smart metering
systems follow.
Greenpeace has strongly criticised the report and mentioned that the report foresees that
only 230,000 residential building will be upgraded by 2020 while approximately one million
homes remain without basic insulation. According to Greenpeace, MEEC’s stance
aggravates the problem of energy efficiency, as it rejects changes of the heating oil tax and
at the same time refuses to launch an extensive programme of energy efficiency upgrading
of residential buildings, thus leaving many households without heating this winter.
Read more (in Greek): http://ec.europa.eu/energy/efficiency/eed/doc/article7/2013_el_eed_article7_el.pdf
Read more (in Greek): http://www.greenpeace.org/greece/el/news/2013/dekemvrios/ypeka-koinotiki/
Energy Efficiency Programme for school buildings in Central and Northern Greece
In 12 December 2013, MEEC issued the call for a support programme of energy efficiency
measures and the development of RES in school buildings. The programme has a budget of
€7 million. Beneficiaries are public administration authorities (school buildings) located in the
central and northern part of Greece. The programme is basically orientated at the energy
Monthly Progress Update – December 2013
26
upgrading of school buildings in the coldest regions of Greece (thermal insulation,
replacement of air conditioning systems, passive lighting, green roofs, introduction of energy
management systems, interventions in the existing heating infrastructure). The installation of
RES remains as a second priority. The programme is included in the Operational Programme
“Environment and Sustainable Development” funded by the EU Cohesion Fund.
Read more (in Greek): http://www.epperaa.gr/Lists/Proclamations/Attachments/2660/periv_131216_Prosklisi_Sxol.pdf
Monthly Progress Update – December 2013
27
Hungary
Renewable Energy
Subsidy programme on developing the use of geothermal intallations in Hungary
On 2 December 2013, the Ministry of National Development announced a new subsidy
programme on promoting geothermal installations. The programme is launched under the
EEA and Norway Grants – a financial mechanism set up by Norway, Iceland and
Liechtenstein helping to reduce economic gaps between members of the European
Economic Area (EEA) and the central and Eastern European members of the EU. The
subsidy programme focuses on replacing the energy source of already existing district
heating installations with geothermal energy. The programme’s budget amounts to more than
€ 9 million. Eligible parties are enterprises, municipalities, colleges, foundations, non-profit
organisations and natural persons. A draft of the tender documents has been put up for
public debate until 8 December 2013. The programme will be administered by the National
Environmental and Energy Centre (Nemzeti Környezetvedelmi es Energia Központ Nonprofit
Kft. – NKEK).
Read more (in Hungarian): http://www.kormany.hu/hu/nemzeti-fejlesztesi-miniszterium/fejlesztes-es-klimapolitikaert-valamint-
kiemelt-kozszolgaltatasokert-felelos-allamtitkarsag/hirek/kihirdettek-az-egt-finanszirozasi-mechanizmus-megujulo-energia-
palyazatait
Read more (in Hungarian): http://www.norvegalap.hu/megujulo-energia
New feed-in tariffs for 2014 have been published
On 9 December 2014, the Hungarian Energy and Public Utility Regulatory Authority (MEKH)
published the annual feed-in tariffs for electricity from renewable energy sources and
municipal waste for the year 2014. As legally foreseen, the feed-in tariffs were adjusted by
the mean consumer price index of the January-October 2013. The new tariffs will enter into
force on 1 January 2014 and can be downloaded on the Authority’s website.
Read more (in Hungarian): http://www.mekh.hu/adatok-statisztikak-2/sajto/sajtokozlemenyek-2/791-tajekoztato-a-kotelezo-
atveteli-arak-valtozasarol.html
Read more (in Hungarian): http://www.mekh.hu/hatosagi-arak-2/villamos-energia/kotelezo-atvetel.html
Transport
Modernisation of Hungary’s railway system is ongoing
In the middle of December 2013, the Ministry of National Development announced a number
of improvements to Hungary’s railway system including improved intermodal mobility. The
first phase of railway modernisation has been finalised on one of Hungary’s most frequented
railway routes connecting Budapest with the suburbs and the town of Esztergom. Some
32.7km of the railway has been refurbished and train stations along this route have been
modernised. The trains’ speed on this route increased from maximum 60km/h to 70-100km/h
thus reducing travelling time. Refurbishment of the whole Budapest-Esztergom route is
expected to be finalised by the end of 2014 including the construction Park and Ride facilities
Monthly Progress Update – December 2013
28
for cars and bicycles on 11 sites. Daily, approximately 14,000 passengers travel on this
route.
Another railway route under modernisation is the connection between Sopron, Szombathely
and Szentgotthárd. Beside the refurbishment of 116 km of rails, railway stations have also
been modernised, e.g. in the small town Körmend. Constructing parking spaces for cars and
bicycles has also improved intermodal transport along this railway route.
Reducing travelling times also applies to the railway route between Budapest and
Székesfehérvár, which will be implemented by the new railway time schedules from 15
December 2013. Refurbishment of this route was finalised in summer 2013 allowing for an
extended and faster train service between the two cities.
Read more (in Hungarian): http://www.kormany.hu/hu/nemzeti-fejlesztesi-miniszterium/infrastrukturaert-elelos-
allamtitkarsag/hirek/elkeszultek-a-gysev-fejlesztesei-a-szombathely-szentgotthard-vasutvonal-tersegeben
Read more (in Hungarian): http://www.kormany.hu/hu/nemzeti-fejlesztesi-miniszterium/infrastrukturaert-elelos-
allamtitkarsag/hirek/a-felujitott-vasuti-palyan-ujraindul-a-szemelyszallitas-esztergom-es-pilisvorosvar-kozott
Read more (in Hungarian): http://www.kormany.hu/hu/nemzeti-fejlesztesi-miniszterium/infrastrukturaert-elelos-
allamtitkarsag/hirek/szazezrek-szamara-kedvezo-valtozasokat-hoz-az-uj-vasuti-menetrend
Intercity bus service has been extended
Starting on 15 December 2013, new time-tables and new bus routes for the Volán intercity
bus services enter into force. While some routes will become faster due to a reduced number
of stops on the respective routes, other bus lines are extended to new stops. The extension
of intercity bus routes focuses on those areas where no parallel railway line exists.
Furthermore, the new time-tables also take into account the time schedule of local
connecting buses in order to increase travelling comfort for bus passengers.
Read more (in Hungarian): http://www.kormany.hu/hu/nemzeti-fejlesztesi-miniszterium/infrastrukturaert-elelos-
allamtitkarsag/hirek/az-uj-menetrenddel-az-autobuszos-kinalat-is-bovul
Agriculture
HUF 60 billion support for modernising stock breeding and food processing machinery
On 16 December 2013, the Ministry of Rural Development launched a subsidy programme
supporting the purchase of machinery for agricultural production or stock breeding. The
programme’s budget amounts to HUF 60 billion (approx. € 200.3 million) of which HUF 35
billion (approx. € 116.9 million) are foreseen for modernising stock breeding equipment and
HUF 25 billion (approx. € 83.5 million) for modernising agricultural machinery. Farmers can
acquire a maximum of HUF 250 million (approx. € 834,700) for high value machinery and a
maximum of HUF 15 million (approx. € 50,000) for low cost machinery. The call for projects
will be open until funds are available or latest until 31 January 2014.
Read more (in Hungarian): http://www.kormany.hu/hu/videkfejlesztesi-miniszterium/videkfejlesztesert-felelos-
allamtitkarsag/hirek/hatvanmilliard-forintos-palyazat-indul-hetfon
Read more (in Hungarian):http://magyarkozlony.hu/dokumentumok/00ef02fa994eb8d24651b0d8de5158edad9f63f2/megtekintes
Monthly Progress Update – December 2013
29
Land use, land use change and forestry
Subsidy for forest owners on Natura 2000 sites
The Ministry of Rural Development announced on 12 December 2013 that HUF 700 million
(approx. € 2.3 million) of financial support will be assigned to forest owners until the end of
December. The support refers to forests in Natura 2000 sites, on which forestry use is
constricted. The subsidy grants € 40-230 per hectare depending on the forest’s natural value,
the forest species and the trees’ age. According to the Ministry, 2127 parties handed in
requests for financial support in 2013.
Read more (in Hungarian): http://www.kormany.hu/hu/videkfejlesztesi-miniszterium/videkfejlesztesert-felelos-
allamtitkarsag/hirek/erdogazdalkodok-kapnak-tamogatast
Adaptation
Payout for maintaining genetic diversity of farm animals has started
On 9 December 2013, the Ministry of Rural Development has started to assign more than
HUF 170 million (approx. € 568,000) to approximately 200 farmers owning native,
endangered farm animals. The financial support aims at maintaining the genetic diversity of
farm animals by preserving native, traditional species of farm animals. The genetic diversity
of farm animals facilitates adapting stock breeding to changing environmental conditions
such as climate change.
Read more (in Hungarian): http://www.kormany.hu/hu/videkfejlesztesi-miniszterium/videkfejlesztesert-felelos-
allamtitkarsag/hirek/elindult-a-vedett-es-a-veszelyeztetett-mezogazdasagi-allatfajtak-genetikai-allomanyanak-megorzesere-
nyujtando-tamogatasok-kifizetese
Monthly Progress Update – December 2013
30
Ireland
Renewable Energy
Public consultation on Wind Energy Development Guidelines begins
On 12 December 2013, the Minister of Housing and Planning, Jan O’Sullivan TD, initiated
the public consultation on the revision of the 2006 Wind Energy Development Guidelines.
The revised provisions are mainly related to noise and shadow flicker and there is a more
stringent obligation about the installation i.e. minimum distance from residence areas as well
as the operation of wind farms i.e. stricter noise limits are included. The design of the
guidelines was based on the interest of the local communities as well as the need for the
development of wind energy. Submissions are open until 21 February 2013.
Read more (in English):
http://www.environ.ie/en/DevelopmentHousing/PlanningDevelopment/Planning/News/MainBody,34777,en.html
Energy Efficiency
Report on the Implementation of Article 7(9) of the Energy Efficiency Directive in Ireland:
Focus on the Supplier Obligation Target
On 5 December 2013, Ireland published its report on the implementation of Article 7(9) of the
Energy Efficiency Directive. Ireland opts to achieve its energy efficiency target (1.5% of
annual energy sales to final consumers), as stipulated in Article 7 of the Energy Efficiency
Directive, with a bundle of alternative measures. In aggregate, 31.958 GWh of cumulative
savings are expected to be realized during the period 2014- 2020. The main measure is the
introduction of an obligation scheme to energy suppliers capped at 550GWh. The scheme
was initiated as a voluntary scheme will be obligatory as of 2014. Further measures such as
the implementation of the provisions of the Building regulations along with the continuation of
the Large Industry Network will also contribute to the achievement of the Energy Efficiency
Target.
Read more (in English): http://ec.europa.eu/energy/efficiency/eed/doc/article7/2013_ie_eed_article7_en.pdf
Energy Efficiency/ Renewable Energy
Energy use decrease accompanied with modest growth in 2012
On the 17 of December 2013 the Sustainable Energy Authority of Ireland (SEAI) launched
the report “Energy in Ireland 2013”. The main finding of the report is that in line with a
relatively low rate of growth in 2012, energy use fell by 4.6%. Most striking is the fact that
almost 20% of Irish electricity comes from RES, estimated to have saved €300 million in
imported fossil fuels in 2012. In addition, energy use fell in almost all sectors since 2007
(transport 27%, industry 13% and buildings 16%). Finally, since 2007, Ireland’s economic
Monthly Progress Update – December 2013
31
contraction was 7.3% while energy demand decreased by 19% and GHG emissions fell by
21%.
Read more (in English): http://www.seai.ie/Publications/Statistics_Publications/Energy_in_Ireland/Energy-in-Ireland-1990-
2012.pdf
Monthly Progress Update – December 2013
32
Italy
Renewable Energy
New incentive scheme for biogas
The Ministerial Decree from 5 December 2013 entered into force on 17 December (the day it
was published in the official bulletin) and established a new incentive scheme for biogas that
takes different forms according to the use of this energy source.
In the case that biogas is fed into the grid, the producer has the right to receive a premium
tariff for 20 years which equals to the price of natural gas in 2012 multiplied by 2. Some
further adjustments are available for smaller plants (an extra increase of 10% of the premium
for plants producing up to 500 m3 of biogas) and for larger plants (10% reduction of the
premium for plants producing more than 1000 m3 of biogas).
Biogas used for transport, instead, may benefit of the existing quota scheme for biofuels, as
laid out by Decree 110/08. The scheme aims at having a quota of biofuels equal to 5% of
total consumed fuel for transport in 2014.
Thirdly, plants using biomethane for cogeneration may benefit of the premium tariff
established by Ministerial Decree of 6 July 2012. Specifically, biomethane cogeneration may
access such incentives without having to participate in the bidding scheme established by
said Decree.
Read more (in Italian):
http://www.gazzettaufficiale.it/atto/serie_generale/caricaDettaglioAtto/originario?atto.dataPubblicazioneGazzetta=2013-12-
17&atto.codiceRedazionale=13A10169&elenco30giorni=false
Energy Efficiency
Tax deduction levels confirmed
The current tax deduction levels for energy efficiency measures (65% of expenses related to
refurbishment of existing buildings, renovations aimed to increase efficient use of energy of
buildings and installation of RES-H technologies, 50% in the case of the installation of PV
panels) have been confirmed by Art. 139 of Law 137/2013 of 27 December 2013. These tax
deductions will maintain their level for 2014 and be lowered from 65% to 50% and from 50%
to 40% in 2015.
Read more (in Italian): http://www.gazzettaufficiale.it/eli/id/2013/12/27/13G00191/sg
Monthly Progress Update – December 2013
33
Lithuania
Energy Efficiency
Uptake of renovation of multifamily buildings
According to the current Vice-minister of Environment, Daiva Matoniene 2013 was a
“breakthrough year” with regards to the renovation process. The introduction of the new
model for renovation of multifamily buildings in January 2013 improved the legal environment
for renovation and introduced new financial instruments, which triggered the increase in
renovation processes across the country (see MPU Issues 1/2013, 2/2013, 3/2013, 4/2013).
The Ministry of Environment announced in December 2013 that since the beginning of 2013
residents of 868 multifamily buildings agreed upon renovation; renovation of 166 houses had
already been started; procurement procedures were currently running with regards to 125
buildings; and 162 multifamily houses had received financing for renovation from banks.
From 2009 to 2012 only 233 houses were renovated under the old Programme for
Renovation of Multifamily Buildings (Daugiabučių namų atnaujinimo programa).
Read more (in Lithuanian): http://www.am.lt/VI/index.php#a/13990
Energy Networks
Permission for the construction of the constant current insert near Alytus city obtained by
Litgrid
On 23 December 2013, Lithuanian transmission system operator (TSO) Litgrid announced
that the design stage of the LitPo Link, electricity link between Lithuania and Poland, is now
completed. Moreover, Litgrid successfully obtained permission for the construction of the
constant current insert near Alytus city, which is the biggest and most expensive element of
the LitPo Link interconnection. The constant current insert will be built by the technology
company ABB, the winner of the tendering procedure in February 2013, and will allow
transfer of electricity from Lithuania to Poland or from Poland to Lithuania. Construction work
will be launched in the beginning of 2014 and will cost 288 million LTL (approx. €83 million).
The preliminary value of the LitPol Link project being implemented by Lithuania and Poland
is LTL 1.2 billion (approx. €346 billion) (see MPU Issue 1/2013).
Read more (in Lithuanian): http://www.litgrid.eu/index.php/naujienos-ir-ivykiai/naujienos/gautas-statybos-leidimas-svarbiausiam-
litpol-link-jungties-irenginiui/2204
Transport
19 environment-friendly buses for the city of Vilnius
In December 2013, public transport fleet of the city of Vilnius has been supplemented by 19
environment-friendly Solaris Urbino 12 CNG buses that can be powered by compressed
natural gas or biogas. This was the second public transport fleet renewal this year. In March,
Monthly Progress Update – December 2013
34
18 Solaris Urbino 12 CNG buses have been already acquired. In 2014, the public transport
fleet renewal shall be completed with 41 clean buses in total. The new buses meet Euro 5
and EEV (Enhanced Environmentally Friendly Vehicle) emission requirements. Their noise
level does not exceed 80 dB.
Read more (in Lithuanian): http://grynas.delfi.lt/gyvenimas/vilniui-dar-19-nauju-ekologisku-autobusu.d?id=63514996
Monthly Progress Update – December 2013
35
Latvia
There are no identified updates for this month.
Monthly Progress Update – December 2013
36
Luxemburg
Horizontal Measures
Composition of the new government of Luxembourg
After the elections on 20 October 2013, the new government of the Grand-Duchy of
Luxembourg took office on 4 December 2013. Among the appointed ministers, three belong
to the green party Déi Gréng, including the Minister of Sustainable Development and
Transport François Bausch and the minister of Environment, Water and Climate protection
Carole Dieschbourg. The Luxembourg government is composed of a coalition between the
Democratic Party, the Luxembourg Socialist Workers' Party and the Green Party (Déi
Gréng). Aside from the announcement regarding the abolition of the bonus for electric cars
from 2015 (see transport section below), the government has not formulated particular
objectives for climate protection yet.
Read more (in French): http://www.gouvernement.lu/3311168/04-assermentation?context=519177
Read more (in French): http://www.lessentiel.lu/fr/news/dossier/negociations/story/30575535
Transport
Bonus for electric cars to be abolished in 2015
On 13 December 2013, the Luxembourgish government announced the removal of the Car-e
bonus for owners of electric cars from 1 January 2015. According to the government,
emphasis should be placed on the e-mobility in public transport rather than for private
vehicles. Secretary of State for Sustainable Development Camille Gira (Déi Gréng) also
stated that the supply of electric vehicles in Luxembourg increases and therefore prices are
falling. The premium for the purchase of an electric car emitting maximum 60g per km
currently amounts to € 5,000. The CAR-e bonus is the only premium addressed to vehicle
owners, since the abolition of the premium for vehicles with low emission rates in January
2013. Read more (in French): http://infogreen.lu/article/bye-bye-car-e
Read more (in French): http://www.gouvernement.lu/3361988/13-prime-care?context=3305631
Monthly Progress Update – December 2013
37
Malta
Energy Networks
Cable-laying works on Malta-Sicily Interconnector started
In December 2013, the laying of the submarine cable which will connect Malta to Sicily has
commenced. Thus, approximately 1 km of cable was pulled towards the Maghtab terminal
station by a specialized ship. The laying of the rest of the cable – round about 100 km – will
be carried out in two stages of 50 km each. The project is expected to be completed in the
first quarter of 2014. According to the Environmental Impact Assessment carried out on the
planned gas-fired power station in Delimara, it is possible for Malta to reach its emission
targets under the assumption of “extensive use” of the Malta-Sicily electricity interconnector.
The interconnector will allow Malta to import clean electricity instead of generating it from
imported oil.
Read more (in English): http://www.timesofmalta.com/articles/view/20131228/local/laying-of-interconnecgtor-
starts.500572#.Usq0XhD5Uz4
Read more (in English): http://www.mepa.org.mt/EIACMS/documents/Delimara/A04_CCGT-
LNG_DPS_EIS_CoorAssVol4_NTS_A4_Duplex.pdf
Monthly Progress Update – December 2013
38
The Netherlands
Horizontal Measures
Agentschap NL and Dienst Regelingen merged in one
On 31 December 2013, it was announced that Agentschap NL (Agency NL) and Dienst
Regelingen (National Services) started to work under one name, the National Office for
Entrepreneurial Netherlands. By merging the two executives together the Durch Government
wants to provide a compact and efficient civil service. From now on the entrepreneurs have
to go only to one office in order to handle their business related to sustainability, agriculture,
innovation or international business. The National Office for Entrepreneurial Netherlands
strives to optimize service quality.
Read more (in Dutch): http://www.rvo.nl/actueel/nieuws/agentschap-nl-en-dienst-regelingen-gaan-samen
Read more (in Dutch): http://www.rvo.nl/
Cooperation Agreement signed
On 20 December 2013, Agentschap NL (Agency NL) (which is now merged into the National
Office for Entrepreneurial Netherlands) and VNP (the Royal Dutch Association of Paper and
Board) entered a partnership agreement. The main aim of this agreement is to improve
sustainability in energy. The agreement covers not only the paper sector but also cross-
sectors such as printing, food and beverage. The reason for signing the cooperation
agreement is to contribute to a number of chain projects which already provide sustainable
energy. Improvement shall result in more efficiency and a more durable end product.
Read more (in Dutch): http://www.rvo.nl/actueel/nieuws/agentschap-nl-en-vnp-tekenen-samenwerkingsovereenkomst
Energy Generation
Impact of the Energy Agreement on Industry to be seen in 2014
On 13 December 2013, Agentschap NL (Agency NL) (which is now merged into the National
Office for Entrepreneurial Netherlands) stated that the Energy Agreement for Sustainable
Growth is a great opportunity to achieve the goals for 2020. The agreement unites divergent
interests and brings together more than forty organisations and is based on ‘’the awareness
that a long-term perspective means placing the common good far above the separate
interests of either individuals or organisations and that it also means a growth path defined
by energy and climate objectives as well as by feasible and necessary gains in
competitiveness, employment, and exports.’’ The Dutch Government will have to take on
one-on-one meetings with the energy-intensive enterprises under the European CO2
emissions system in order to make concrete arrangements.
Read more (in Dutch): http://www.rvo.nl/actueel/nieuws/industrie-merkt-vanaf-2014-gevolgen-van-energieakkoord
Read more (in English): http://www.ser.nl/en/publications/publications/2013/energy-agreement-sustainable-growth.aspx
Monthly Progress Update – December 2013
39
Poland
Renewable Energy
The draft law on renewable energy passed to the Prime Minister's Chancellery
On 31 December 2013, the Minister of Economy handed a draft law on renewable energy
sources to the Prime Minister’ Chancellery with a request for its urgent consideration at the
next meeting of the Standing Committee of the Council of Ministers.
On the basis of received public comments small amendments have been introduced to the
bill of which some are mentioned in the following:
An amended to definition of the installation of renewable energy sources, which
removed a fragment relating to devices for the production of agricultural biogas. Such
devices are now covered by a separate concept for agricultural biogas plants.
A change in the definition of “dedicated multi-fuel plants”. Only installations
commissioned before 30 June 2014 will be able to qualify to this group.
Changes to the regulations relating to certificates of origin for the installation, which
will begin energy production before the entry into force of the RES-Act, or will be
upgraded after the entry into force of this Act.
Deletion of the controversial article forbidding issuing certificates of origin for the
energy, which will be sold at a price excessing 105 % of a price equivalent to the
average sales price of electricity on the competitive market.
Exclusion of provisions on "automatic meter reading", while the previous version
introduced an obligation to install them in 80 % of households until 2020.
Changes to the date the provisions relating to the new support scheme for renewable
energy enter into force. The new scheme will apply from the first day of the month
following the expiration of 12 months from the date of the positive decision of the
European Commission on the compliance with the EU state aid.
Read more (in Polish): http://www.mg.gov.pl/node/19783
Read more (in Polish): http://legislacja.rcl.gov.pl/lista/2/projekt/19349
Monthly Progress Update – December 2013
40
Portugal
Horizontal Measures
Major Planning Options for 2014 approved
Law 83-B of 31 December 2013 approved the Major Planning Options for 2014 (Grandes
Opções do Plano para 2014), which is part of the fiscal consolidation measures and the
strategy to develop the Portuguese economy as outlined in the current governmental
program and the Major Planning Options from previous years. With regards to environmental
policies, the plan foresees the development of a new program (Programa de Ação ‘Investe
Verde’) to boost green growth in Portugal, create green jobs, promote a more efficient use of
natural resources and reduce greenhouse gas emissions, ensuring a low carbon trajectory to
the economy in the next years. In the field of climate change, the implementation of the
National Programme for Climate Change - PNAC 2020 (Programa Nacional para as
Alterações Climáticas) is listed as a priority, as well as the review of the Portuguese Fund on
Carbon (Fundo Português de Carbono). As of December 2013, the PNAC for the period
2013-2020 has not been published.
Read more (in Portuguese): (State Budget for 2014) http://dre.pt/pdf1sdip/2013/12/25301/0005800295.pdf
Portuguese Fund on Carbon to continue financing mitigation and adaptation measures
Based on the provisions of the State Budget for 2014 (Article 145 of Law 83-C of 31
December 2013), the government is authorized to finance projects, studies or other national
initiatives related to mitigation and adaptation measures through revenues from the
Portuguese Fund on Carbon (Fundo Português de Carbono) that were not used in 2013.
Read more (in Portuguese): (State Budget for 2014) http://dre.pt/pdf1sdip/2013/12/25301/0005800295.pdf
Read more (in Portuguese): http://dre.pt/pdf1sdip/2006/03/060A00/22092210.pdf
Renewable Energy
New reference tariffs for micro and mini production units in 2014 published by DGEG
The Directorate General for Energy and Geology (DGEG) at the Portuguese Ministry of
Economy, Innovation and Development published new reference tariffs for electricity
generated from micro and mini production units for the year 2014. For micro production units,
the reference tariff for all technologies (except PV) is € 218/MWh for the first period of eight
years and € 115/MWh for the second period of seven years. For PV units, the reference tariff
is € 66/MWh for the first period of eight years and € 145/MWh for the second period of seven
years (Circular DGEG of 26 December 2013). For mini production units, the reference tariff is
€ 106/MWh for PV and € 159/MWh for all other technologies (Circular DGEG of 26
December 2013).
Read more (in Portuguese): www.dgeg.pt
Monthly Progress Update – December 2013
41
Taxation
Extraordinary levy on the energy sector introduced by the State Budget for 2014
The Portuguese government announced last October (see MPU Issues 7/2013 and 8/2013)
the intention to introduce an extraordinary levy on the energy sector (contribuição especial
sobre o setor energético) starting on 1 January 2014. The levy was approved by the State
Budget for 2014 (Article 228 of Law 83-C of 31 December 2013) and aims at financing
mechanisms to promote the sustainability of the sector through a fund to contribute to the
reduction of the tariff debt and to finance social and environmental policies in the energy
sector. Natural and legal persons are liable to pay the levy, which covers:
production, transport, distribution or commercialization of electricity;
transport, distribution, storage or commercialization of natural gas;
refining, processing, storage, transport, distribution or commercialization of petroleum
and its products.
The levy does not apply among others to electricity produced from renewable sources, from
mini and micro generation units, and from CHP units with an installed capacity under 20MW.
Generally, the rate is 0.85% and the incidence is on tangible fixed assets and intangible
assets of the liable persons.
Read more (in Portuguese): (State Budget for 2014) http://dre.pt/pdf1sdip/2013/12/25301/0005800295.pdf
Transport
Increase on the Single Circulation Tax in 2014
The State Budget for 2014 foresees an increase on the Single Circulation Tax (Imposto
Único de Circulação - IUC) for the year 2014 (Article 201 of Law 83-C of 31 December
2013). The new taxes for vehicles (category B) are:
€ 57.76 for vehicles with CO2 emissions up to 120g/km;
€ 86.55 for vehicles with CO2 emissions with more than 120g/km and up to 180g/km;
€ 187.96 for vehicles with CO2 emissions with more than 180g/km and up to 250g/km;
€ 321.99 for vehicles with CO2 emissions with more than 250g/km.
Read more (in Portuguese): (State Budget for 2014) http://dre.pt/pdf1sdip/2013/12/25301/0005800295.pdf
Monthly Progress Update – December 2013
42
Romania
Horizontal Measures
Romania signed a joint statement with the United Kingdom on fostering Green Growth
On 4 December 2013, the Romanian Minster of the Environment and Climate Change,
Rovana Plumb, and the British Environmental Minister, Eduard Davey, signed a Joint
Statement on Green Growth. The declaration aims at identifying the most suitable measures
for creating green jobs and a low carbon economy. Both parties committed to setting up a
UK-Romania Low Carbon Economy Dialogue focusing, for example, on a bilateral exchange
of best practices for creating green jobs, improving general conditions for low carbon growth
and green business opportunities for British and Romanian companies.
Read more (in Romanian): http://mmediu.ro/new/?p=731
Read more (in English): http://mmediu.ro/new/wp-content/uploads/2013/12/JOINT_STATEMENT_ON_GREEN_GROWTH.pdf
Energy Generation
Referendum on prospecting and exploitation measures for shale gas planned for January
2014
In December 2013, the Local Council of the municipality Sinmartin in Bihor County has
scheduled a referendum on prospecting and exploiting shale gas for 26 January 2014. Prior
to this, the Romanian Government had approved prospecting activities and exploitation of
shale gas in that region. Approximately 7,800 inhabitants have a right to vote in favour or
against prospecting activities and exploitation of shale in the region. For the referendum to
be valid, at least 50% +1 of the voters need to participate. In the past, the public debate on
shale gas and its exploitation in Romania has been extremely controversial. Prospecting
licenses issued to Chevron for Valui County and regions near the Black Sea were followed
by ongoing protests against shale gas exploration and exploitation across the country.
Read more (in Romanian): http://www.dcnews.ro/2013/12/referendum-pentru-gaze-de-sist-in-romania-cand-va-avea-loc/
Waste
Construction of incineration plant in Timisoara
On 12 December 2013, a contract for projecting and constructing an incineration plant in
Timisoara was signed by the Romanian company Romelectro. The incineration plant will
produce electricity and heat energy by incinerating municipal waste. This is the first
incineration plant of this kind in Romania. The project value amounts to € 59.85 million and
construction time will last two years. As stated by Romelectro, it is foreseen to include mainly
Romanian subcontractors for constructing and maintaining the power plant.
Read more (in Romanian): http://www.zf.ro/companii/romelectro-castiga-un-proiect-de-energie-de-60-mil-euro-la-timisoara-
11774274
Monthly Progress Update – December 2013
43
Read more (in Romanian): http://www.zf.ro/zf-24/romelectro-va-construi-o-centrala-de-ardere-a-deseurilor-combustibile-la-
timisoara-pentru-66-mil-euro-11761391
Renewable Energy
Romanian Government decided on additional cuts of Green Certificates for renewable
energy sources
On 16 December 2013 a new modification of Romania’s Renewable Energy Law No.
220/2008 were published in Romania’s official Law Gazette cutting the number of Green
Certificates (GC) for wind power, PV installations and small hydro power. Governmental
Decision No. 994/2013 on approving the reduction of Green Certificates as foreseen by
Renewable Energy Law No. 220/2013 (Hotararea Guvernului privind aprobarea masurilor de
reducere a numarului de certificate verzi in situatiile prevazute la art. 6 alin. (2) lit. a), c) si f)
din Legea nr. 220/2008 pentru stabilirea sistemului de promovare a producerii energiei din
surse regenerabile de energie) foresees a reduction of Green Certificates
for wind power from 2 to 1.5 GCs from 2014 on and to 1.25 GCs from 2018 on
for PV installations from 6 to 3 GCs
for small hydro power installations up to 10 MW installed capacity from 3 to 2.3 GCs.
These modifications should contribute to reducing electricity prices for private households
and industrial consumers. The Governmental Decision entered into force on 1 January 2014
and refers to power plants connecting to the grid after 1 January 2014. These modifications
are a permanent reduction of Green Certificates for these three technologies and add to the
suspension of half of the Green Certificates for wind, hydro and PV installations until 2017
and 2018 respectively as decided by the Romanian Government in summer 2013. However,
the Governmental Emergency Ordinance No. 57/2013 regulating the suspension of Green
Certificates still needs to be confirmed by the Romanian Parliament. On 9 December 2013,
the parliamentary Commission for Industry and Services added some modifications to the
legislation draft adopting the Emergency Ordinance (see MPU Issue 3/2013).
Read more (in German): http://www.econet-romania.com/ge/article/541/becker-consult-weitere-krzungen-fr-grne-zertifikate-ab-
2014
Read more (in Romanian): http://lege5.ro/Gratuit/gm4dmobtgy/hotararea-nr-994-2013-privind-aprobarea-masurilor-de-reducere-
a-numarului-de-certificate-verzi-in-situatiile-prevazute-la-art-6-alin-2-lit-a-c-si-f-din-legea-nr-220-2008-pentru-stabilirea-
sistemului-d
Read more (in Romanian): http://gov.ro/fisiere/subpagini_fisiere/NF_HG_994-2013.pdf
Read more (in German): http://www.econet-romania.com/ge/article/542/noerr-jahresberblick-wie-grn-war-2013-fr-die-
erneuerbare-energiebranche-und-was-steht-fr-2014-vor-der-tr
Land use, land use change and forestry
Increased focus on silviculture foreseen during the EAFRD programme financing period
2014-2020
According to the Ministry of Agriculture and Rural Development, the new financing period
2014-2020 of the European Agricultural Fund for Rural Development (EAFRD) will also
support the silviculture sector. This includes measures and investments in order to improve
the infrastructure in this sector developing and modernising Romania’s silviculture.
Monthly Progress Update – December 2013
44
Furthermore, measures financed by EAFRD should create incentives for afforestation and
reforestation. The European fund is implemented on national level by the National Plan for
Rural Development 2014-2020 (Planul National de Dezvoltare Rurale – PNDR 2014-2020).
The PNDR also focuses on modernising the agricultural sector, e.g. by utilising renewable
energy sources, increasing the sector’s productivity while decreasing the sector’s
environmental impacts, for example by promoting organic farming or other environmental
friendly agricultural practices.
Read more (in Romanian): http://www.madr.ro/ro/comunicare/850-comunicat-de-presa.html
Read more (in Romanian): http://www.madr.ro/ro/comunicare/879-ziua-media-pndr-2014-2020.html
Monthly Progress Update – December 2013
45
Slovakia
Renewable Energy
Amendment of Renewable Energy Act came into effect
From the 1 January 2014, changes in the promotion of renewable energy came into effect.
Renewable energy producers (except wind power plants) are now entitled to receive the
preferential feed-in tariffs for the first 5 MW (rather than 10 MW) of electricity supplied to the
grid. Furthermore, the new law also simplifies the connection process for small renewable
energy installations up to 10 kW. These producers shall be guaranteed a free connection to
the distribution grid at existing delivery points. In addition, distribution system operators shall
provide for the free installation of a bi-directional meter measuring the amount of electricity
taken from and fed into the grid.
Read more (in Slovak): http://www.energia.sk/spravodajstvo/obnovitelne-zdroje/od-januara-platia-zmeny-v-podpore-
obnovitelnych-zdrojov-energie/12108/
Monthly Progress Update – December 2013
46
Slovenia
Horizontal Measures
The Slovenian Government accepted new positions to the EU Emissions Trading Scheme
The Slovenian Government has taken new positions regarding the EU ETS on its sessions
on 5 and 12 December 2013. The Government welcomed the new amendments to the
Regulation of maritime emissions and its monitoring system, as well as the reporting and
verifying process as the first step in the process of integration of future emissions of maritime
transport in the EU's commitment to reduce GHG emissions.
Slovenia also believes that the EU by its conduct must not jeopardize the long-term goal of
establishing a global system of emissions trading for international aviation. In the meantime,
it is necessary to provide an adequate contribution of the aviation sector while it is important
that all flights on the same route are treated in the same way.
The opinion of the Government of Slovenia is also that the proposal provides insufficient time
for the single countries for the reception and transmission of changes to the directive.
Read more (in Slovene):
http://www.mko.gov.si/si/medijsko_sredisce/novica/browse/2/select/sporocilo_za_javnost/article/12447/7008/bf48e789e57dc11c
59f34f3597da4bfe/?tx_ttnews%5Byear%5D=2013&tx_ttnews%5Bmonth%5D=12
Read more (in Slovene):
http://www.mko.gov.si/si/medijsko_sredisce/novica/browse/4/select/sporocilo_za_javnost/article/12447/6986/c6c25f6003817c61
4cf8654343f15e1a/?tx_ttnews%5Byear%5D=2013&tx_ttnews%5Bmonth%5D=12
Proposal of the new Energy Act passed another hurdle in the parliament
Following the public hearing in November and the first reading, which brought a number of
questions - the intensive coordination from the Ministry for Infrastructure and Spatial
Planning and other stakeholders has brought some results with regards to the new Energy
Act. Most of the amendments were largely taken into account and confirmed on the second
reading on 13 December 2013. Consequently, the Act should have no trouble passing the
third and final reading in January 2014.
Most of the debate was devoted to the following topics: permissions for production capacity;
conditions for the implementation of activities of the electricity distribution operator; energy
performance certificates for buildings; review of air-conditioning systems; inspection of
heating systems; licensing of independent experts and the composition and functioning of the
Council of the Energy Agency.
Read more (in Slovene): http://www.energetika-portal.si/novica/n/predlog-energetskega-zakona-ez-1-prestal-2-obravnavo-v-
drzavnem-zboru-rs-8664/
Monthly Progress Update – December 2013
47
Renewable Energy
Unofficial pricing of the RES-E support scheme published
The Operational contractor for the support scheme for RES (Borzen Ltd.) has published an
unofficial calculus of the level of support schemes for RES for the year 2014.
The amount of support to subsidize the production of electricity from RES and CHP is
determined in accordance with the decision of support issued by the Public Agency for
Energy. Calculations of the level of support for the year 2014 indicate that due to the decline
of the reference price of electricity in 2014 to about 7 €/MWh, operating support for the RES
in 2014 will be higher than in 2013. In the event that the legislator does not change the
support system the guaranteed purchase price (feed-ins) for micro solar power installed on
rooftops will drop below the 100 €/MWh Mark in September 2014. On the other hand, the fall
of the reference price for natural gas for about a quarter results in a reduced level of support
for CHP plants using fossil fuels in 2014.
Read more (in Slovene): http://www.energetika-portal.si/novica/n/objavljen-neuradni-cenik-podporne-sheme-ove-in-spte-za-leto-
2014-8653/
Guidelines for the implementation of support schemes for electricity production from RES
and CHP
On 29 July 2013 the Ministry of Infrastructure and Spatial Planning was ordered by the
government to draw up clear guidelines for the implementation of support schemes for
electricity production from RES and CHP for future years that would also provide the
adequate resources needed for the implementation. Most of the guidelines foresee the
implementation of the new Energy Act. The Government took note of these on its session on
5 December 2013.
Three possible scenarios were evaluated so that the measures set out by the Action Plan for
RES up to 2020 and the Action Plan for Energy Efficiency would not be diminished or
diminished as little as possible. The Ministry of Infrastructure and Spatial Planning suggests
that in the next period the volume of resources needed would be growing at 10 million per
year up until 2019 while at the same time staying within the total amount of state support
authorized by the European Commission.
According to the coalition agreement, the guidelines also propose that the RES levy paid by
the final consumers of electricity would not be raised in the next medium-term period. The
necessary additional funds should be provided from new sources, such as the ones
introduced by the proposed Energy Law and new financial contributions coming from users
of fossil fuels and warmth.
Read more (in Slovene):
http://www.vlada.si/medijsko_sredisce/sporocila_za_javnost/sporocilo_za_javnost/article/36_redna_seja_vlade_rs_43269/
The public tender for co-financing of district biomass heating (DOLB 3) has been extended
The public tender DOLB 3 foreseen for the period from 2011 to 2015 in the framework of the
Operational Programme of Environmental and Transport Infrastructure Development for
2007 - 2013 was extended. The planned funds for the tender for the years 2014 and 2015
Monthly Progress Update – December 2013
48
are still available and there is a great interest of applicants. The decision was communicated
by the Ministry of Infrastructure and Spatial Planning on 13 December 2013.
Read more (in Slovene): http://www.energetika-portal.si/javne-objave/objava/r/javni-razpis-za-sofinanciranje-daljinskega-
ogrevanja-na-lesno-biomaso-za-obdobje-905/
Energy Efficiency
Another public tender from GEN-I
The company GEN-I opened another tender on 14 December 2013 on grants for measures
increasing energy efficiency (published on 16 December 2013). Legal persons and
entrepreneurs that provide energy savings to the final customers in Slovenia were eligible for
support for new investments. The overall amount of tendered funds was €100,000. The
tender closed on 19 December 2013.
Read more (in Slovene): http://www.energetika-portal.si/javne-objave/objava/r/javni-razpis-za-nepovratne-financne-spodbude-
za-ukrepe-v-vecjo-energijsko-ucin-988/
Transport
Decision to draw up a national spatial plan for the railway line trieste - Divača
The Slovenian Government has adopted a decision on the preparation of the national spatial
plan for the railway line Trieste-Divača (Slovenian part of the section) and appointed a
working group for it on 5 December 2013. Planned is a new double-track electrified railway
line for high-speed trains and mixed transport (freight and passengers). The Slovenian part
of the section is 12 km long. The spatial plan will be accompanied by all arrangements
(documents) including measures to mitigate impacts on the environment. The transportation
by train between the Italy and Slovenia has been in decline in the past years while with this
new line the tide may change.
Read more (in Slovene):
http://www.vlada.si/medijsko_sredisce/sporocila_za_javnost/sporocilo_za_javnost/article/36_redna_seja_vlade_rs_43269/
Monthly Progress Update – December 2013
49
Spain
Horizontal Measures
New Law of the Electricity Sector
Law 24/2013 of the Electric sector (Ley 24/2013 del Sector Eléctrico) has been published on
the 26th of December 2013, repealing Law 54/1997, which was previously regulating the
sector.
According to the preamble of the law, the main driver for the law’s contents has been the
tariff deficit of the electricity sector in recent years, i.e. the unbalance between costs and
revenues generated by the system. The deficit was no longer sustainable and created an
unstable legal framework and was thus aimed to be reduced.
As regards renewable energies, a new support scheme has been envisioned and will be
designed in detail in the future. This system will be based on the direct participation of
renewable energy sources in the market, allowing them to compete evenly with traditional
sources. More specifically, the scheme will allow renewable energies to recover costs that
could not be recovered by selling energy on the market. The evaluation of such costs will be
based on a theoretical renewable plant and on the average costs incurred by a well-
managed company running said installation. The law further specifies that for such
calculation, only administrative costs that are uniform at national level will be considered, in
other words, administrative costs at regional level are not considered in the framework of the
law. The law allows also for additional support schemes, in case these would be necessary
for achieving European goals.
With respect to grid access and grid use, renewables are granted priority connection and
priority dispatch – provided that these do not constitute a danger for the grid itself.
Lastly, the law regulates the economic framework for self-production-and-consumption of
electricity, a topic that had been in debate for months between different stakeholders. The
final provision states that entities that consume the energy they produce would still need to
contribute to the financing of costs and services of the grid in the same amount as
consumers that take the electricity directly from the grid. This point had been at the centre of
the debate and was strongly opposed by renewable energy associations as in their opinion it
would have created strong barriers for consumers to install their own renewable generating
system.
Read more (in Spanish): http://www.boe.es/boe/dias/2013/12/27/pdfs/BOE-A-2013-13645.pdf
Monthly Progress Update – December 2013
50
Sweden
Renewable Energy
Sweden already achieved 2020 RES goals
Sweden, has already achieved its 2020 RES-goals, both in terms of the overall share of
renewable energy in the whole energy system and the proportion of renewables in transport.
According to preliminary statistics, the share of renewable energy in Sweden in 2012 was
51%. It exceeds both the Swedish EU commitment for 2020 according to the Renewable
Energy Directive of 49%, and the nationally determined RES goal of 50% renewable energy
in 2020. The share of renewable energy in the transport sector in 2012 was 12.6%, which is
higher than the EU target of 10% by 2020.
In the heat sector biomass accounts for the highest share of renewable energy provisison,
followed by heat pumps. In the electricity sector hydropower is in first place, followed by
biomass-based electricity generation and wind power.
Read more (in Swedish): http://www.regeringen.se/sb/d/18109/a/231264
Transport
Plans for a fossil fuel-free vehicle fleet
On 16 December 2013, the Swedish Ministry of Industry has published a Government Official
Report “Fossil Freedom on the road” (SOU 2013:84 - Fossilfrihet på väg). Its goal was to
identify possible options for action and identify possible measures how Sweden will reach a
fossilfuel-free vehicle fleet. Sweden aims at achieving a vehicle fleet independent of fossil
fuels in 2030.
The study anticipates that the transition requires significant efforts in the following five areas
for action:
plan and develop attractive and accessible cities that reduce transport demand and
increase transport efficiency;
infrastructure measures and the replacement of traffic;
more efficient vehicles and more efficient driving;
biofuels;
road-powered electric vehicles.
Read more (in Swedish): http://www.regeringen.se/sb/d/17075/a/230739
Read more (in Swedish): http://www.regeringen.se/content/1/c6/23/07/39/1591b3dd.pdf
Read more (in Swedish): http://www.regeringen.se/content/1/c6/23/07/39/6048e8ad.pdf
Monthly Progress Update – December 2013
51
United Kingdom
Horizontal Measures
Climate Change Committee publishes “Fourth Carbon Budget Review”
On 11 December 2013, the Committee on Climate Change (CCC), an independent statutory
body established to advise UK and devolved administrations on carbon budgets, published a
study called the “Fourth Carbon Budget Review”. The study suggests that there is no
justification for revising UK’s fourth carbon budget that covers 2023-2027 and limits UK’s
emissions to 1,950 MtCO2e. According to CCC, to subsidise low-carbon energy industry and
households will have to spend less than £200 (approx. €239) annually by 2020 and around
£220 (approx. €263) by 2030. However, these expenditures are necessary since they will
save money in the long run by reducing the UK’s dependence on expensive imported gas.
The study was carried out on behalf of the Chancellor of the Exchequer George Osborne. In
his opinion, carbon cuts constitute a burden on businesses and may let the UK lose a
competitive advantage compared to other countries. However, Lord Deben, chairman of the
CCC, said that there is no evidence that businesses are reluctant to invest in a country’s
economy because of stringent national carbon reduction policies.
The Climate Change Act (2008) allows the government to challenge the findings of the
CCC’s review report, however, only in case it can submit contradicting evidence. Any attempt
to evade the committee’s recommendations would be subject to judicial review.
Read more (in English): http://www.theguardian.com/environment/2013/dec/11/uk-carbon-budget-emissions
Read more (in English): http://www.theccc.org.uk/publication/fourth-carbon-budget-review-part-1/
Read more (in English): http://www.theccc.org.uk/publication/fourth-carbon-budget-review/
Energy Bill received Royal Assent on 18 December 2013
On 18 December 2013, the Energy Bill received Royal Assent and became law – known as
the Energy Act 2013. The Act is meant to establish a legislative framework for delivering low-
carbon but also secure and affordable energy. It covers provisions on decarbonisation,
Electricity Market Reform (EMR), nuclear regulation, government pipe-line and storage
system, etc.
With regards to decarbonisation, the Energy Act 2013 enables the Secretary of State to set a
2030 decarbonisation target range for the power sector. The respective decision shall be
taken when the Committee on Climate Change has provided advice on the 5th Carbon
Budget (2028-2032), and the government has established this budget, which is due to take
place in 2016.
A key element of the Energy Act 2013 is the long-awaited reform of the electricity market.
The Act contains number of measures aimed to attract investment totalling £110 billion
(approx. €131.7 billion), needed to replace current generating capacity, upgrade the power
grid by 2020, and to deal with a growing demand for electricity. They are expected to support
up to a 250,000 jobs, 200,000 of which are ‘green’ jobs in the renewable energy sector.
Among such measures are the long-term Contracts for Difference (CFD) to provide stable
Monthly Progress Update – December 2013
52
and predictable incentives for businesses to encourage them to invest in low-carbon
electricity generation; a Capacity Market (CM), which shall ensure a secure supply of
electricity; long-term Investment Contracts, which shall enable early investment in advance of
the CFD regime, which is due to come into force in 2014. Moreover, Emissions Performance
Standard (EPS) will limit CO2 emissions from new fossil fuel power stations; and Power
Purchase Agreements (PPAs) will ensure availability of long-term contracts for independent
generators of renewable electricity.
In addition, the Energy Act 2013 allows the Feed-In Tariffs scheme to include community
energy projects of up to 10MW capacity (currently only of up to 5MW).
On 19 December 2013, the Electricity Market Reform (EMR) Delivery Plan was published by
the government alongside supporting documents. The Delivery Plan sets out strike prices (a
variable top-up between the market price and a fixed price level) for renewable
technologies for the period 2014/15-2018/19; an outlook to 2030 with different
decarbonisation scenarios; mechanism for managing strike prices within the Levy Control
Framework; and reliability standard to be used in the Capacity Market. The Delivery Plan will
be published every five years.
Read more (in English): https://www.gov.uk/government/collections/energy-bill
Read more (in English): http://www.legislation.gov.uk/ukpga/2013/32/contents/enacted
Read more (in English): https://www.gov.uk/government/speeches/publication-of-electricity-market-reform-delivery-plan
Read more (in English): https://www.gov.uk/government/speeches/electricity-market-reform-update-investment-in-renewables
Read more (in English): https://www.gov.uk/government/publications/electricity-market-reform-delivery-plan
Read more (in English): https://www.gov.uk/government/news/new-energy-reforms-to-support-250000-jobs-keep-bills-down-
and-produce-cleaner-energy
Autumn Statement 2013 delivered on 5 December 2013
On 5 December 2013, the Chancellor of the Exchequer, George Osborne, delivered the 2013
Autumn Statement to the House of Commons. The Autumn Statement provides an update on
the government's plans for the UK economy and is based on the latest forecasts from the
Office for Budget Responsibility (OBR).
As indicated in the Autumn Statement 2013, OBR has upgraded its forecast with regards to
GDP growth: from 0.6% to 1.4% in 2013 and from 1.8% to 2.4% in 2014. The employment in
the UK is expected to reach 31.2 million by 2018. OBR also forecasts that the rate of inflation
will slow between 2013 and 2016, returning to the 2% target in the second half of 2016.
The key commitments of the government that are set in the Autumn Statement 2013 cover
inter alia commitments to:
Deliver an average saving of £50 (approx. €60) in household bills by reducing the
impact of government policies on energy bills.
Cancel the petrol tax rise of 2p (approx. €ct 2) per litre that was planned for 2014.
The cancelled raise of the tax shall save the average motorist £11 (approx. €13)
every time when filling the tank by 2015-16.
Introduce a new tax relief for shale gas with the aim to encourage investment in the
shale gas industry. As a result, companies will receive an allowance equal to 75% of
their capital spend on shale gas projects.
Read more (in English):
https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/263942/35062_Autumn_Statement_2013.pdf
Monthly Progress Update – December 2013
53
Read more (in English): http://www.theguardian.com/public-leaders-network/2013/dec/05/autumn-statement-2013-public-
leaders
Read more (in English): https://www.gov.uk/government/news/autumn-statement-2013-key-announcements
Energy Generation
Regulatory roadmap for shale oil and gas developers
In order to provide certainty to investors and local communities, the UK government
published a regulatory roadmap for shale oil and gas developers on 17 December 2013 . The
roadmap explains what kinds of permits and permissions developers need to obtain prior to
drilling for onshore oil and gas. In addition, a Strategic Environmental Assessment (SEA)
report has been published for public consultation. The SEA report indicates potential
economic and environmental effects of further oil and gas activity in Great Britain, including
shale oil and gas production. It compares two scenarios - a “low activity” and “high activity”
scenario. The public consultation will be open until 28 March 2014.
Read more (in English): https://www.gov.uk/government/news/next-steps-for-shale-gas-production
Read more (in English): https://www.gov.uk/government/publications/regulatory-roadmap-onshore-oil-and-gas-exploration-in-
the-uk-regulation-and-best-practice
Read more (in English): https://www.gov.uk/government/consultations/environmental-report-for-further-onshore-oil-and-gas-
licensing
Renewable Energy
Sixteen renewable generation projects reached the next stage of the Final Investment
Decision Enabling for Renewables process
On 4 December 2013, DECC announced that sixteen renewable electricity generation
projects reached the next stage of the Final Investment Decision Enabling for Renewables
(FIDeR) process. These projects will further be supported either through investment
contracts or Contracts for Difference (CfD). An investment contract is an early form of CfDs,
where renewable electricity generators receive a fixed strike price for the produced
electricity. The final selection process will be carried out by DECC in spring 2014.
Currently, operational renewable capacity in the UK amounts to over 20GW. As a result of
the current governmental reforms, this figure is expected to double by 2020. If all projects
under FIDeR are implemented (their total installed capacity amounts to 8GW) they could
contribute around 30% of the new renewable generation that UK needs to reach its 2020
targets.
According to DECC, the UK is currently on track to meet its 2020 RES target, and will have
doubled the amount of renewable electricity from 15% to over 30% by 2020.
Read more (in English): https://www.gov.uk/government/news/record-investments-of-40-billion-in-renewable-electricity-to-bring-
green-jobs-and-growth-to-the-uk
Read more (in English): https://www.gov.uk/government/publications/investing-in-renewable-technologies-cfd-contract-terms-
and-strike-prices
Monthly Progress Update – December 2013
54
Britain’s largest coal-fired power station became one of Europe’s biggest renewable
electricity generators
On 9 December 2013, the Secretary of State for Energy and Climate Change, Edward
Davey, opened the Drax coal-to-biomass conversion plant. The plant plans to transform itself
into a predominantly biomass-fuelled electricity generator and burn sustainable biomass
(wood pellets) instead of coal. In April 2013, Drax already finished converting one of its
generating units to biomass. Further two units shall be converted by 2016.
The planned conversion project will cost £700 million (approx. €837 million) and is expected
to reduce carbon emissions by 80% compared to using coal. Drax will provide low-carbon
electricity to around 1 million households and will maintain 1,200 jobs.
The government also announced its intention to award a multi-million pound contract for
detailed design and planning (FEED study) to Capture Power Limited for the White Rose
CCS Project. Within this project a new state-of-the-art 426MWe (gross) clean coal power
plant with full CCS shall be constructed. The plant shall provide 630,000 households with
clean electricity and annually capture around 2 million tonnes of CO2.
Read more (in English): https://www.gov.uk/government/news/drax
Government response document “Non-Domestic Renewable Heat Incentive: Improving
support, increasing uptake” published
On 4 December 2013, DECC published a government response document called “Non-
Domestic Renewable Heat Incentive: Improving support, increasing uptake”. The document
responds to the consultations “Expanding the non-domestic scheme”, “Air to Water Heat
Pumps and Energy from Waste” and “Non Domestic Scheme Early Tariff Review”. Moreover,
it addresses the outcome of four calls for evidence with regards to bio-propane, large
biomass, ground source heat pumps and landfill gas. Government response document
establishes number of improvements to the non-domestic Renewable Heat Incentive (RHI)
and increases support under the scheme. The non-domestic RHI scheme had been open for
consultation in the autumn of 2012.
The key changes to the non-domestic RHI scheme include:
Increased support for large biomass boilers (over 1MW) from 1 p/kWh to 2 p/kWh
(approx. 1 €ct/kWh to 2 €ct/kWh); small ground source heat pumps (up to 100kW)
from 4.8 p/kWh to 8.7 p/kWh (approx. from 5.8 €ct/kWh to 10.5 €ct/kWh) on the initial
heat generated for an eligible purpose (Tier 1) and 2.6 p/kWh (approx. 3 €ct/kWh) on
the remaining heat generated (Tier 2); large ground source heat pumps (100kW and
above) from 3.5 p/kWh to 8.7 p/kWh (approx. from 4.2 €ct/kWh to 10.5 €ct/kWh) on
the initial heat generated for an eligible purpose (Tier 1) and 2.6 p/kWh (approx. 3
€ct/kWh) on the remaining heat generated (Tier 2); solar thermal (up to 200kW) from
9.2 p/kWh to 10 p/kWh (approx. from 11.1 €ct/kWh to 12 €ct/kWh).
Introduction of a new support for biomass CHP (4.1 p/kWh (approx. 5 €ct/kWh));
biogas >200kW (5.9 p/kWh (approx. 7.1 €ct/kWh) for installations with a thermal
capacity of between 200 to 600kWth and 2.2 pkWh (approx. 2.7 €ct/kWh) for those
greater than 600kWth); deep geothermal (5 p/kWh (approx. 6 €ct/kWh)); and air water
heat pumps (2.5 p/kWh (approx. 3.1 €ct/kWh)).
Improvements to budget management policy.
Monthly Progress Update – December 2013
55
DECC estimates that these amendments could encourage around 5,000 non-domestic
installations and an additional renewable heat of 6.4TWh by the end of 2015/16.
In addition, further details of the domestic RHI have been published by DECC on 4
December. They mainly relate to budget management policy and phasing of legacy
applications. Also the tariff for solar thermal has been confirmed (19.2 p/kWh (approx. 23.2
€ct/kWh)).
These changes to the non-domestic as well as domestic RHI schemes are subject to
Parliamentary and State aid approvals and are expected to come into force in spring 2014.
Read more (in English): https://www.gov.uk/government/speeches/increased-support-for-renewable-heat
Read more (in English): https://www.gov.uk/government/policies/increasing-the-use-of-low-carbon-technologies/supporting-
pages/renewable-heat-incentive-rhi
Read more (in English): https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/265855/Non-
Domestic_Renewable_Heat_Incentive_-_Improving_Support_Increasing_Uptake_-_PUBLISHED.pdf
Read more (in English):
https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/265853/Summary_of_changes_to_the_non-
domestic_RHI_-_December_2013.pdf
Energy Efficiency
Energy Efficiency Strategy: 2013 Update published
On 16 December 2013, the government published the 2013 Update of the Energy Efficiency
Strategy, which was published in November 2012. The 2013 Update has its focus on the
progress made over the preceding 12 months. Thus for example it mentions introduction of
the Green Deal and the Energy Company Obligation (ECO) in January 2013. Both schemes
extended support for households with regards to energy efficiency measures and they are
steadily gaining momentum. On 2 December 2013, the UK government announced a number
of further intiatives in this area, such as: to extend ECO to 2017; to increase funding for the
Green Deal Communities scheme; and to provide people buying a house with support for
energy efficiency improvements: up to £1,000 (approx. €1,196) for significant energy-saving
measures, or up to £4,000 (approx. € 4,787) for particularly expensive energy efficiency
measures. The Energy Saving Advice Service, providing impartial advice to households, has
been established.
Moreover, overlaps between the EU ETS, the CRC Energy Efficiency Scheme, and Climate
Change Agreements have been removed. The Mandatory Greenhouse Gas Reporting
Scheme, allow investors to see which companies are effectively managing the long-term
costs of GHG emissions, is brought forward. Further, the government plans to introduce the
new Energy Savings Opportunity Scheme (ESOS) in 2014 to help companies to save money
on their bills by identifying cost-effective energy efficiency opportunities.
The introduction of the UK Green Investment Bank established in October 2012 has
mobilised investment in the green economy. The Bank has been active in supporting projects
in the field of energy efficiency over the last twelve months. In addition, support available
through public sector finance schemes, like Salix, has been increased. The government also
announced plans to annually invest an additional £30 million (approx. €35.9 million) over
three years in public sector renovation.
Monthly Progress Update – December 2013
56
According to the 2013 Update, the UK’s energy consumption fell by nearly 1% over the last
12 months and has fallen for seven of the last eight years.
Read more (in English): https://www.gov.uk/government/speeches/energy-efficiency-strategy-2013-update
Read more (in English):
https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/266187/2901415_EnergyEfficiencyStrategy_acc.
pdf#page=1&zoom=auto,0,842
Improvements to the Green Deal
On 2 December 2013, DECC announced that the Green Deal will be streamlined and
improved in order to increase the uptake of energy efficiency measures. The planned
amendments are designed to make the scheme simpler and less time-consuming for those
willing to improve their homes. In this context, a new on-line tool will be launched that will
provide consumers with straightforward advice on the steps to be taken to improve the
energy efficiency of their homes. The Green Deal Advice Report will be improved. It shall be
clearer and easier to understand, as well as better indicate the range of available support.
Further, through the Energy Saving Advice Service and the GOV.UK website consumers will
be given better signposting to the companies providing particular energy efficiency related
services.
The Green Deal scheme shall also be made easier to use for the companies operating in the
market, specifically in three ways. First, through accessing Energy Performance Certificate
data that will enable companies to more easily identify properties having greatest potential
for energy efficiency improvements. Second, more measures will be added to the list of those
eligible for support under the Green Deal scheme to allow more flexibility over the exact
specification of measures to be installed. Finally, through cooperation with industry ways to
reduce the cost of insurance requirements attached to Green Deal measures shall be
identified.
Some of these changes will take place already in January 2014. Most of them, however, are
planned for the first half of 2014.
Read more (in English): https://www.gov.uk/government/news/streamlining-and-improving-the-green-deal
Waste
New Waste Prevention Programme for England launched
The new Waste Prevention Programme for England was launched by the Resource
Management Minister Dan Rogerson on 11 December 2013. The Programme envisages
ways in which companies and individuals may achieve savings by reducing waste, better
resources management as well as passing on items they no longer want for others to use
instead of throwing them out. According to the research, annual savings amounting to £18
billion (approx. €21.7 billion) can be achieved by businesses by producing less waste.
Further £1 billion (approx. €1.2 billion) can be saved by reusing products like household
appliances and furniture.
As part of the new Programme, a new Sustainable Electrical Action Plan will be developed to
incentivise companies to design products that last longer and contain fewer hazardous parts.
A new £800,000 (€966,534) Community Partnership Fund will support local authorities,
Monthly Progress Update – December 2013
57
businesses and civil society organisations, taking action on waste prevention. A new
postcode locator will enable to find out where things can be repaired or can be passed on for
others to buy.
“Preventing waste from being produced in the first place is not only good for the environment,
but for the economy and household budgets too. That’s why we are making it easier for
people to find out where they can get things repaired or pass on things they no longer use”,
the Resource Management Minister Dan Rogerson said.
Read more (in English): https://www.gov.uk/government/news/plan-to-reduce-wasted-goods-and-save-businesses-billions
Read more (in English): https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/265022/pb14091-waste-
prevention-20131211.pdf