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The BETTER project

The BETTER project. Andreas Tuerk, Dorian Frieden. PROJECT PRESENTATION (1/2). BETTER: Bringing Europe and Third countries closer together through renewable Energies (BETTER); Intelligent Energy for Europe Programme , managed by the Executive Agency for Competitiveness and Innovation (EACI);

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The BETTER project

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  1. The BETTER project Andreas Tuerk, Dorian Frieden

  2. PROJECT PRESENTATION (1/2) • BETTER: Bringing Europe and Third countries closer together through renewable Energies (BETTER); • Intelligent Energy for Europe Programme, managed by the Executive Agency for Competitiveness and Innovation (EACI); • Started: 1st July 2012; • Expected Completion Date: 1st January 2015; • Coordinator: CIEMAT, Madrid • http://better-project.net

  3. PROJECT PRESENTATION (2/2) • CIEMAT (Spain)Centro de Invest. Energ. Mediamb. Tecn • DLR (Germany) Deutsches Zentrum Für Luft-und raumfahrt e.V • ECN (Netherlands)Energy Research Centre of the Netherlands • JOANNEUM (Austria) Forshungsgesellschaft Mbh • NTUA (Greece) National Technical University of Athens • OME (France) Observatoire Méditerranéen de l’Energie • PIK (Germany) Postdam Institute for Climate Impact Research • TUWIEN (Austria) Vienna University of Technology • UNDP (International) United Nations Development Programme Who we are

  4. BACKGROUND • RES-Directive 2009/28/EC binding targets: • 20 % RES gross final consumption by 2020; • Nat. targets: flat rate approach adjusted to GDP. • Cooperation mechanisms • allow MS topartiallymeettheirnational targets with RE fromothercountries • May reduce theoverallcoststomeet RES 20% European target • Statistical Transfers (Art 6) • Jointprojects within MS (Art 7) and with3rdcountries(Art 9) • Joint support schemes (Art. 11)

  5. OBJECTIVES Assess, through case studies, stakeholders involvement and integrated analysis: • to what extent cooperation with third countries can help Europe achieve its RES targets in 2020 and beyond • trigger the deployment of RES electricity projects in third countries and • create synergies and win-win circumstances for all involved parties.

  6. Case Studies Early movers?

  7. METHODOLOGICAL FRAMEWORK (Green-X, HIREPs Models)

  8. Modeling resultsinclude: • required power system and transmission grid adaptations and related costs • changes in the regional power prices and the daily power price profile due feed-in of the volatile wind and solar power • changes in the power system stability and supply security. consequences of the combined volatility of wind, solar and hydropower and the conventional power plants in the “EU plus third countries” region. • Evaluation of the benefits due to the increased flexibility and capability of the whole power system because of the added assets such as: • increased hydro power storage capacity, wind and solar from Turkey • North Africa offering anti-cyclic wind compared to Europe as well as solar thermal power plants which flexible and base load generation • The Balkan countries with their untapped RES potentials (incl. biomass, wind, solar, hydro) where an increased linkage to the EU may serve to close some of existing bottlenecks in forming an integrated European electricity market • Increased stability of power supply from wind and solar due to the enlarged regional coverage (“EU plus third countries”)

  9. SWOT analysesforeachcountry/region Macroeconomic Effects Swot analysis 2020 RES Szenarios Green-X: Costs Ecologic- co-effects HiREPs Design options, potentials, barriers

  10. Specific aims Identify cooperation potential with Third countries on macro-economic level, identify specific design options and business cases, give practical recommendations for implementation, develop an action plan to foster RES energy production, transfer and use in the EU and third countries through cooperation mechanisms, BETTER is a results/ action oriented project with a strong focus on stakeholder involvement

  11. STAKEHOLDER INVOLVEMENT and AB Financial actors KfW, EBRD Policy makers DG-Ener officials Private Investors and Project developers SHE Consulting, EEA, HEP, Suntrace Industry associations DII,, Estela, Protermosolar, etc Stakeholder’s Networks Multilateral initatives Desertec, Medgrid, Medrec, GTZ; UfM International Organization IRENA Utilities Iberdrola, Verbund, EnerjiSA, etc NGO´s and civil society Renewables Grid Initiative National Authorities I.D.A.E, German Federal Ministry of Economics and Technology,etc Energy Regulators MEDREG TSO operators REE So far, more than 20 LoS have been received from different stakeholder categories

  12. BETTER: applying a multi-level framework Macrolevel (prospectsfor international cooperation) Microlevel (businesscases) Acceptancelevel

  13. Adoption of RES directiveand RES targets in the West Balkan countries • The countries covered by the West Balkan case study will be eligible to make use of • Statistical transfers • Joint support schemes • Joint projects between EU Member States and third countries requiring the physical transfer of the involved electricity.

  14. Exploring the strategic options for West Balkan countries • EE vs. RES expansion • Likelysurplusorshortfall? • Domestictargetachievementvstrade (Based on modelresultsand qualitative assessments) • Interim tradingand/ortargetachievment • Trading withthe EU orwithintheregion? • Possibleroleand design of different cooperationmechanismwith different prosandcons • …

  15. Embedding coop.mechanisms in the national framework Regulatory context • Network regulations • State aid provisions • Institutional context Existing or planned support framework • Feed-In tariffs, subsidies… • CDM • Nationally Appropriate Mitigation Actions (NAMAs) ->Which technologies should be exploited by which instrument?

  16. Developing design options: Importantissues • FIT, Market access, currency and yield risk • Institutional capacities, public acceptance • Cost-sharing and price considerations incl. grid expansion, energy sharing?, employment, environment…) • Delivery risk, timing

  17. Developing design options: Importantissues • Possible funding and implementation approaches selection of implementing company • Regulatory, legal and institutional aspects (monitoring, authorisation, verification, compensation…), oversight • tec transfer • transit compensation, grid access • Investment support

  18. Combination with the CDM • Several renewable energy projects in the West Balkan countries are registered as CDM-projects • The combination of the CDM with the cooperation mechanisms for the same projects/investments may be limited due to specific requirements of the CDM, namely: • the additionally of the investment; • double counting More on our webpage: D2.3: Design options of the Cooperation Mechanisms and their Complementarity with different financing schemes http://better-project.net

  19. Stakehodolerdialogue 2014 2013

  20. Stakehodolerdialogue • Bilateral meetingswithgvts, investors, financinginstitutions, power companies, TSOs, NGOs… • Summer school in Foijnica, Bosnia • Workshop earlynextyeardiscussingdraftresults

  21. Outlook • Modeling results by autumn 2013 • Final results of the West Balkan case study in spring 2014

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