Policy Updates 19/07/22

European Parliament ITRE Committee adopted its position on REDIII and EED

On the 13 July, the European Parliament's Committee on Industry, Research and Energy (ITRE) reached a new milestone with the adoption of its position for two key files of the Fit for 55 Package: the Renewable Energy Directive (REDIII) and the Energy Efficiency Directive (EED).

The process on these two files will continue after the summer break, with the adoption of the European Parliament’s final position on 12-15 September. Once the report is adopted in Plenary, trilogue negotiations will start with the European Council and Commission to agree on a final text. The Czech Presidency is expected to lead the work towards finalisation of the process.

Renewable Energy Directive: ITRE raising the bar

The report led by Rapporteur Markus Pieper (EPP, Germany) was adopted with 54 votes, 14 against and 6 abstentions. Most of the compromise amendments were approved.

  • Support for district heating based on renewables and waste heat and more ambitious sectoral sub target with wide acknowledgment on the role of waste heat
  • More ambitious renewable targets: 45% renewable in 2030
  • Greater focus on energy storage
  • Forest biomass: cascading principle will be further clarified in an implementing act

Energy Efficiency Directive: higher efficiency targets and emphasis on heat planning

The draft report led by Rapporteur Niels Fuglsang (S&D, Denmark) was adopted with 50 votes in favour, 7 against and 13 abstentions.

  • Setting higher efficiency targets both in primary and final energy consumption
  • Strengthening the target for heat planning: under article 23 municipalities of at least 35.000 are encouraged to run local heating and cooling plans
  • Positive outcome for the definition of efficient DHC and high efficiency CHP
  • Financing DHC: under article 28, additional points for the financial support scheme for energy; efficiency improvements for new built or substantially refurbished DHC.

Parliament website: https://www.europarl.europa.eu/news/en/press-room/20220712IPR35201/renewable-energy-and-energy-efficiency-directives-press-conference

For more information, please contact Pauline Lucas [email protected]  or Giulia Forgnone [email protected]

EHP member of the Investors Dialogue on Energy

Euroheat & Power was selected as a member of the newly established initiative “Investors Dialogue on Energy” set up by the European Commission. This initiative is a multi-level stakeholder platform bringing together experts from energy and finance sectors in all EU countries to assess and upgrade financing schemes to mobilise financing in the context of the European Green Deal. It aims to provide a platform for discussion and to gather expertise on the role of different EU financing policies and instruments that support energy investments and the achievement of the EU’s 2030 climate and energy targets. 

EHP will be part of WG on Heating & Cooling and engage its members in:​ 

  • assessing existing energy financing schemes ​ 
  • proposing upgrades for these. ​ 
  • developing proposals for pilot financial instruments, programmes or investment products, ​ 
  • steering technical assistance ​ 
  • preparing suggestions for possible modifications to financial or other rules affecting investment in energy at EU and national levels.​ 
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If interested, please write to Gabriele Pesce [email protected]  

Local authorities to be funded on renewable energy initiatives - 4th EUCF call

To reach the European climate goals, municipalities and local authorities are crucial actors. Supporting them in the green transition is the central issue of the European City Facility (EUCF) initiative. The objective of the EUCF is to build a substantial pipeline of sustainable energy investment projects across municipalities/local authorities (or their groupings) in Europe.

Requirements to apply:

Municipalities must prove the existence of Sustainable Energy Action Plans (SEAP), Sustainable Energy and Climate Action Plans (SECAP) developed within the Covenant of Mayors for Climate & Energy initiative or plans of similar ambition.

More information here about the eligibility criteria and the link to apply.

Deadline for application: 30 September 2022

Click here to discover more local initiatives.

For more information, please contact Pauline Lucas – [email protected]

Creation of a new working group on renewables and waste heat: EHP thought leadership for the heat transition

In the context of a stronger push for decarbonisation and security of supply at EU level (Fit for 55, REPower EU), the EHP Board of Directors greenlighted the creation of a new working group dedicated to renewable energy and waste heat.

It will be launched in the fall and be a permanent forum for EHP members to reflect the growing importance of renewable and waste heat for our sector, as the two spearheads of DHC transition.

The group should work on the development of business intelligence (fact sheets, case studies…) on renewables and waste heat business models for DHC. The Working group will report into the Energy Policy Committee, which will discuss its scope and mandate. It will function in symbiosis with other EHP strategic activities: policy, EU projects, market intelligence…

It will contribute reinforcing the image of district heating & cooling as an indispensable technology to deliver climate-neutral economy by 2050.

For more information and if you are interested in taking part in this group, please contact Pauline Lucas – [email protected]

Czech presidency of the Council of the European Union – Rethink, Rebuild, Repower

The presidency of the Council of the European Union rotates every six months among the EU member states. During the next six months , the Czech Republic will chair meetings at every level in the Council, helping to ensure the continuity of the EU’s work in the Council. It will last until the 31st December 2022 and after that, the Council will be led by Sweden.

The Czech Republic will focus on five priority areas:

  1. Managing the refugee crisis and Ukraine’s post-war recovery, as a matter of fact, the Russian aggression has caused the most massive refugee crisis since World War II;
  2. Energy security: Czech Republic will focus on through implementation of the main short term objective e.g. remove dependence on Russian fossil fuels, at the same time it will deal with energy efficiency and the use of renewable energy and also with the role of nuclear energy in ensuring the EU energy security;
  3. Strengthening Europe’s defense capabilities and cyberspace security; it will invest in reducing technological dependence and to ensure the resilience of critical value chains needed for this technologies. Simultaneously, it will address cyber threats and particular attention to the cybersecurity of European institutions;
  4. Strategic resilience of the European economy: EU should become independent not only from Russian fossil fuels but also from other raw materials crucial for the European industry;
  5. Resilience of democratic institutions.

This presidency will work to speed up the decarbonization of the EU industry, the transition from natural gas to hydrogen and the implementation of an ambitious plan for the development of hydrogen infrastructure, storage and terminals. Discussions on the Gas package have already started. Moreover, it aims to push the agenda as fast as possible to accelerate the work on the Fit for 55 package. Indeed, one of the goal is to reach a general approach on the EPBD.

Josef Síkela, the Czech Minister of Industry and Trade, stated that RED and CBAM are two other priority files and the main issue remains energy savings.

Exceptional Energy Council meeting on 26th July, in where it will be discussed the current situation of the energy sector.

For more information please contact Pauline Lucas – [email protected]

Heat transition in Ireland: a lead role for district heating

Last February, Ireland published its National Heat Strategy, it highlights decarbonisation pathways for the country, in the perspective of carbon neutrality by 2050. The study shows excessive dependence on fossil fuels for heating as emissions continue to rise. It underlines the urgency to deliver climate targets for heating which requires the fast deployment of existing technologies such as district heating and heat pumps in homes, businesses, and industry.

Complementary to the strategy, the Irish energy ministry has also published a study on the potential of District Heating. It foresees that 50% of the building stock could be connected to district heating, in line with the Heat Roadmap Europe scenario for 2050.

In June, the Region of Dublin has also unveiled its energy masterplan which highlights that 87% of Dublin’s heat could be supplied by district heating by 2050. The first large scale district heating network ever in Ireland – Tallaght District Heating Scheme (TDHS) in South Dublin – is currently in test phase and could be operational as of this fall. This innovative project, during normal operation, will cover 100% of the heat demand with waste heat from the nearby Amazon data centre.

This highlights the complementarity of national heat strategy going hand in hand with local energy masterplans. Another example of good practice to feature during the upcoming negotiations on th eFit for 55 Package.

Find out more about the recent developments of DHC in in Ireland attending the Irish District Energy Association's Annual Conference on Thursday, 1st September 2022.

Register: https://t.co/Nb0vMTzAVw

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