Reference Document on Renewable Energy Sources Policy and Potential

Transcription

1 Project no: EIE/06/170/SI RES2020 Monitoring and Evaluation of the RES directives implementation in EU27 and policy recommendations for 2020 Reference Document on Renewable Energy Sources Policy and Potential Deliverables D.2.2 and D.2.3

2 Table of Contents 1. INTRODUCTION AUSTRIA BELGIUM BULGARIA CYPRUS CZECH REPUBLIC GERMANY DENMARK ESTONIA SPAIN FINLAND FRANCE GREECE HUNGARY IRELAND ITALY LITHUANIA LUXEMBOURG LATVIA MALTA NETHERLANDS NORWAY POLAND PORTUGAL ROMANIA SWEDEN SLOVENIA SLOVAKIA UNITED KINGDOM REFERENCES

3 1. INTRODUCTION 3

4 The project RES2020 aims at analysing the present situation in the RES implementation, defining future options for policies and measures, calculating concrete targets for the RES contribution that can be achieved by the implementation of these options and finally examining the implications of the achievement of these targets to the European Economy.. A number of future options for policies and measures will be defined and they will be studied with the use of the TIMES energy systems analysis model, in order to analyze the quantitative effects on the RES development. The results will be combined to provide recommendations of optimal mix scenarios for policy measures, in order to ensure the achievement of the targets. In this context the present document is the analysis of the present situation, and an attempt to approach the technological potential of Renewable Energy Sources in the EU27. The renewable energy sector is changing rapidly, especially in the sector of policies and measures in the European countries. Therefore this document will be updated continuously during the project and a new version is expected to be published at the end of the project in the spring of The data are presented per country in the following pages. A small introduction is given for each country together with key figures on the existing situation. A description of policies and targets follows. Finally a critique on the progress towards the targets is presented and the set of support instruments that exist in the country. The Annexes present the potential data for electricity production and the data for bioenergy potentials that have been collected in the framework of RES2020 for each country. The electricity potential table presents the data that have been collected Through EREC and its Members Through a revision of previous EU funded projects and reports (GreenX, OPTRES) Through the partners of the project The data have been discussed in the framework of the REWG of the EnR with the country experts. The table present an estimation of the technical potential that could be utilized as an upper bound by 2010, 2015, 2020 and As technical potential we are considering: the future installed capacity of wind turbines without taking in mind financial issues at a "reasonable" wind speed as a possible upper limit in the development of the installed capacity over time. the future installed capacity of hydro considering technical issues only and a possible upper limit in the development of the installed capacity over time. For some technologies potential may be unlimited (e.g. photovoltaics), so we are using upper bound limits within the relevant time frames. The data on bioenergy potentials and costs originate from the European IEE project REFUEL. In the REFUEL project three scenarios are considered. A reference scenario ( baseline ) that describes most likely developments under current policy settings. Baseline essentially reflects effects of ongoing trends in food consumption patterns on the one hand and technological progress in food production on the other hand, and it assumes a continuation of current self-reliance levels in Europe s aggregate food and feed commodities. An extended description of the assumptions driving the Baseline scenario can be fined in (Refuel D6, IIASA). In the other two scenarios, the focus is more on difference in land area becoming available in the future for bio-fuel feedstock production (scenario high and scenario low ). Agricultural production intensity, depends on agricultural and environmental policies as well as technological progress, and may vary significantly in different scenarios. In first instance the potentials from the Baseline scenario will be used. Potentials of the high and low scenario can be used for the scenario analysis in workpackage4 of the RES2020 project. 4

5 Land availability Competing land use requirements for Europe s food and livestock sector as well as land use conversion from agriculture to other uses, in particular built-up and associated land areas, will determine future availability of land for energy crop production. Future food and feed area requirements are the result of developments in food demand combined with changes in production intensity and trade of agricultural products. (Refuel D6, IIASA) Moreover, areas of high nature conservation value are excluded from the potential biofuel crop area. Potentials When for a region the land available for energy production is known, the potential for each crop type can be determined. The total potential per region however, is much smaller than the sum of the potentials since there competition of available land. This one obviously wants to take into when taking up bio-energy crops in the energy system. When modeling potentials, one should adopt a constraint to avoid double use of land. Assuming the potentials of the crops are homogenously distributed over the region the following constraint should be satisfied: U 1 /P 1 + U 2 /P 2 + U i /P i Where P i is the potential of the i-th crop and U i is the real utilization of the i-th crop. For example, if 30% of the woody crop potential is actually used, the homogenous distribution of the potential implies that 30% of the land is used for woody crops and 70% is still available for the cultivation of other energy-crop types. However, in general potentials of crops will not be distributed homogenously within a region. Some sub-regions will be more suitable for the growing of specific energy crops than for others, but also the yield of a crop type will be better (and thus have a higher potential) in one sub-region than it will be in another sub-region. So in general, the constraint (equation..) can not avoid that there will be double use of land within a region. The impact of double counting is higher when the potential is less homogenously distributed, which is more likely for a large region. When the region is small enough, the error becomes acceptable. However, splitting a region (for example a country) in very small sub-regions like 1 by 1 km will make your database much too detailed for the scope of the RES2020 project. Therefore regions have to be defined that give an acceptable balance between the level of detail of the model and possible unwanted double use of land. For the REFUEL project, potentials are considered on NUTS2 level. Some (smaller) countries have just one region (Denmark), other (large) countries are split up in a lot of NUTS2 regions (41 regions). For each NUTS2 region, the potential of a crop and average cost are given. Costs and energy use As written above, the costs of a crop include costs for growing, harvesting and cost for truck transport of the energy crops to either a conversion plant or an export unit. In REFUEL, it is assumed that the costs of crop growing and harvesting decline between 0,5% and 2,5% per year depending on crop and year in each NUTS2 region. However, due to the aggregation of the regions done for RES2020 it is possible that the costs on country level increase in time. This is due to the fact that we are using weighted average costs. When the potential in a NUTS 2 region with higher costs increases faster in time than the potential in a region with lower costs, the weighted average cost can increase. This, will however be minimal. Costs for transport are based on transport by truck over a average distance of 100 km. The costs for transport are lower for Eastern European countries but will increase till the more or less stable cost level of Western European countries. Energy use for growing, harvesting or transportation are not taken into account. We assume these are included in demand agriculture or transport sector. Same holds for energy use for production fertilizer, it is assumed that this is included in the chemical industry. Same holds also for the CO 2 related to the energy use for growing, harvesting, transportation and fertilizer production. 5

6 2. AUSTRIA 6

7 Austrian energy policy has focused for decades on securing a sustainable and socially-balanced supply of energy. The permanent promotion of renewable energy sources (RES), accompanied by the enhancement of a rational utilisation of energy, is a key strategic aspect of this policy. This long-term energy policy has resulted in a mix of energy sources characterised by a significant importance of RES. With 66% of electricity consumed by RES, Austria is the European leader on RES contribution to gross electricity consumption. The most significant source of renewable energy is hydropower, followed by biomass. With 46% of the Austrian territory being covered by forests, the share of woodland is one of the highest in Europe. Consequently, the use of biomass has been extensive in Austria. Logwood and industrial timber are used in district heating plants, while pellets are increasingly being used primarily in household heating systems. At the same time Austria is one the European leader in Solar Thermal per capita together with Cyprus and Greece. On November the 5th, 1978 the Austrian voted with 50.47% against the use of nuclear power for electricity production in Austria. The use of nuclear power is therefore prohibited by law. KEY FIGURES The share of RES in total primary energy consumption was of 22.4 % in With a share of 42.2%, oil remains the most important energy source, followed by RES, natural gas with a share of 21.9% and coal (11.8%). The share of RES in the gross final energy consumption was 23.3 % in The share of RES in the gross electricity production was 57% in Most of the renewable electricity (RES-E) is produced by hydropower plants (2/3), followed by solid biomass and wind power. The share of biofuels in the transport in 2006 was 3.54%. Austria energy dependence on imports amounts to 54.5% in 2005 Source: Austrian Energy Agency 7

8 RES POLICY The Austrian Green Electricity Act of 2002 was amended in 2006, leading to revised subsidy conditions for new RES power plants. Whereas pre-established statutory provisions still apply to the existing plants, the new law applies to the following power plants: Small scale hydro power plants (maximum capacity up to 10 MW): Generated (fed-in) electricity with purchase obligation. Other green power plants such as wind-, solar-, geothermal-, biomass-, and high bio share of waste-, landfill gas-, sewage gas- and biogas-: Generated (fed-in) electricity with purchase obligation. Heat tariff (combined support of electricity and heat) for solid biomass power plants that receive tariffs according to the feed-in tariff of Existing or refurbished combined heat and power plants for public district heating supply: support tariff (when refurbishment investment amounts to 50% of the value of a new plant of the total capacity after refurbishment). Subsidies for investments in medium scale hydro power plants (maximum capacity over 10 up to including 20 MW). Subsidies for investments in new fossil combined heat and power plants. RES TARGETS Mandatory targets set by the newly proposed RES Framework Directive from % share of RES on the final consumption of energy in At least 10% share of biofuels of final consumption of energy in transport in that Member State in Indicative Target set by the RES- electricity European Directive from % Share of RES on gross electricity consumption by Indicative Target set by the European Biofuels Directive from Biofuels consumption of 5.75% of petrol and diesel use for transport in National commitments At least 25 % of RES in primary energy consumption by % in 2010 and 85 % in 2020 of RES-E in gross electricity consumption. According to the Ökostromgesetz from 2002, and from 2006, 4% and 10% of all electricity delivered to end-consumers by the public distribution network in the year 2008, 2010 respectively, should be produced from indigenous biomass combustion and digestion, liquid biomass (i.e. plant oils, except black liquor and sewage), wind, solar and geothermal sources. Besides this target, there is an indicative minimum quota for small hydro (< 10 MWel) of 9% in the Ökostromgesetz Proposal for a Directive of the European Parliament and the Council on the promotion of the use of energy from renewable sources from January 2008(the targets agreed but the directive is on legislative process) 2 Directive 2007/71/EC on the promotion of electricity produced from renewable energy sources in the internal electricity market. Currently in force, sets targets up to Directive 2003/30/EC on the promotion of the use of biofuels or other renewable fuels for transport currently in force, sets targets up to 2010, with indicative targets by

9 At national level, indicative targets for biofuels have been set at 2.5% in 2005, 4.3% in 2007 and 5.75% in (The goverment program goes even further: 10 % alternative fuels in 2010 and 20 % in 2020). There is no national target/commitment for heating and cooling. Technology roadmap Targets per Technology are planned for the upcoming Ökostromgesetz 2008, but still in negotiation: In the electricity sector, it foresees +700 MW of wind, +700 MW for small hydro, +100 MW for biomass by According to government program ( ) a target of 5% cars with alternative powertrains (e85, methane, and hybrid) for the yearly new licenced cars (from around 300,000 p.a.) by 2010 has been announced. Progress towards the Targets In 2006, the share of renewable energy in gross electricity consumption decreased to 57% compared to 70% in 1997, mainly due to the increase in total electricity consumption. According to the Austrian Energy Agency, 8% of RES electricity (not taking into account small and large hydro) will be reached in 2008). The 10% 2010 target from Ökostromgesetz 2006 probably won t be reached any more because of stop and go policy (Ökostromgesetz 2006 was no success compared to 2002) The new target discussed for 2015 is therefore 15% including small hydro (the 9% target for small hydro theoretically is reached already - but many small hydro plants opted for market conditions as tariffs became lower than market prices and went out of the Ökostromgesetz framework). A 17% share of RES in national electricity would be achieved in 2015 if the electricity consumption would stay constant from but in Austria electricity consumption is rising sharply i.e. about 2-3 % per year. (RES-e share would shrink if no new capacity would be built). Large scale blending of all (nearly 95%) fossil diesel started in October % of all gasoline and diesel was substituted - the EU target was 2% by the end of In 2006 large scale biodiesel blending (4.7% of the volume-) went on (288,500 to biodiesel for blend and 32,500 to for fleets), further 10,000 plant oil were used by fleets and tractors - 3,54 biogenic energy % contributed to all gasoline and diesel in transport. From October 2007 onwards 4.7 vol.-% bioethanol were blended to gasoline however no official data available yet. Support for RES Electricity Feed in tariff with purchase obligation for electricity Small scale hydro power plants (maximum capacity up to 10 MW), wind-, solar-, geothermal-, biomass-, high biogenous share of waste-, landfill gas-, sewage gas- and bio gas generated (feedin) electricity with purchase obligation. Support level Feed-in tariff or Resource Technology [ cents/ kwh] premium? Duration [years that an investor is entitled to support] hydro small 3,8-6,3 feed-in tariff 13 wind onshore 7,8 feed-in tariff 13 biomass gasification (biogas) feed-in tariff 10 years +2 years with a reduced tariff (in the 11th year: 75%, in the 12th year 50% of the fixed tariff.) PV feed-in tariff 12 Geothermal 7,30 c/kwh 10 years +2 years with a reduced tariff (in the 11th year: 75%, in the 12th year 50% of the fixed tariff.) See annex for more detailed info. Tariffs valid from 2007-onwards 9

10 The Austrian Green Electricity Act of 2002 was amended in 2006, leading to revised subsidy conditions for new RES power plants. Key amendments to the old law: The duration of the guaranteed feed-in tariff depends on the type of installation, but does not exceed 13 years from the start of the installation s operation. Almost all types of installation will benefit from a purchase obligation at market price minus balancing costs for a further period of 12 years. Change in the funding system: From 1 January 2007, the former fee on consumption is replaced by a metering fee expressed as a lump sum per metering point, which consumers have to pay per metering point ( Zählpunktpauschale ). The amount of the fee depends on the grid level to which the consumer is connected but is independent of his actual consumption. The fee is fixed by law and amounts to per annum for connection to the high voltage net levels 1 to 4, 3300 to level 5, 300 to level 6 and 15 to level 7. Change in the organisational structure of the support mechanism: The purchase and selling of green electricity will be carried out in accordance with a licence to be granted by the Ministry for economic affairs and labour. The now single Centre ( formerly there were 3 bodies engaged) will be subject to the control of the national court of auditors. The new law maintains the current level of the feed-in tariffs for different types of installations installed/substantially modernised or for installations for which administrative approval was granted at the latest by certain cut-off dates (administrative approval by for all technologies (except small hydro) and which went online by i.e. wind, PV. (except for plants with liquid, gaseous and solid biomass, for which deadline was set for ). The law newly introduces that prices must be oriented on installations of best available technique and must have in mind the support of installations at the most efficient locations (this was valid for Ökostromgesetz 2002 too). The prices will be fixed for 2006, and reduced subsequently on an annual basis. Investments Subsidies For medium scale hydro power plants (maximum capacity over 10 up to including 20 MW). For newly erected fossil combined heat and power plants. Support for Heating and Cooling Feed in tariff for Heat Heat tariff (combined support of electric energy and heat) for solid biomass power plants that receive tariffs according to the feed-in tariff legal regulations of Support tariff for existing or refurbished combined heat and power plants for public district heating supply. Investment subsidies: Federal/regional/local schemes on RES-H/C (for private houses mainly by the provincial housing subsidy systems, for private companies mainly by the federal Umweltförderung im Inland which is handled by kommunalkredit public consulting (Kpc) Geothermal: % of the total costs of investment for private investors Solar Thermal grants up to 30% of the investment costs. Federal level support for companies. Support is given to private households at province level. 10

11 Resource Support level [%/total investment] Comments Geothermal % of the total costs of investment For private investors Solar Thermal Grants up to 30% of the investment costs. Federal level support for companies. Support is given to private households at province level. Private households benefit from grants between 600 and 1700 for systems used for domestic hot water needs (dependent on the province). Installations aiming at space heating benefit from grants between 1100 and The federal government supports buildings in the private sector (eg. Hotels) with grants up to 30% of the investment costs. The KlimActive programme managed by the Federal Ministry of Environment counts with partnerships in the regions, the industry and the Austrian Energy Agency. The objectives of the programme are to promote RES technologies and Energy Efficiency. It has an important RES-H component to cover also information campaigns, education and training for installers, certification measures. Support to specific projects is implemented at regional level with the support of the Austrian Energy Agency. Support for Biofuels Tax exemption Biodiesel are exempted from the tax on petroleum products (mineral oil tax Mineralölsteuer ), if used pure there is no VAT reduction. Biodiesel with a minimum blend of 4.4 Vol.% mineral oil tax reduction by 2.8 ct/l fuel-mix compare to pure fossil fuel (part of this exemption is for desulphurization) - no VAT reduction (stays at 20%). Bioethanol with a minimum blend of 4.4 Vol.% mineral oil tax reduction by 3.3 ct/l fuel-mix compare to pure fossil fuel (part of this exemption is for desulphurization) - no VAT reduction (stays at 20%). Resource Total support level (= tax exemption incl. reduction of VAT to be paid) [ cents/litre] start year Biodiesel Exempted from the tax on petroleum products if used pure 80ies Biodiesel Bioethanol with a minimum blend of 4.4 Vol.% mineral oil tax reduction by 2.8 ct/l fuelmix compared to pure fossil fuel with a minimum blend of 4.4 Vol.% mineral oil tax reduction by 3.3 ct/l fuelmix compared to pure fossil fuel 7/1/ /1/2007 Quota Obligations The European Biofuels Directive was transposed into Austrian law by an amendment to the Fuel Order (Kraftstoffverordnung) in November Since 1 October 2005, in accordance with Austrian legislation, those subject to the substitution requirement have had to ensure that biofuels replace 2.5% (calculated on the basis of energy content) of all petrol and diesel fuels placed on the market. This will increase to 4.3% on 1 October 2007 and to 5.75% on 1 October

12 Resource Technology Quota in % (per year) Comments free choice free choice 4.3% in October % in October 2008 mineral oil companies and distributors are obliged to fullfill the targets Annex I Key Aspects of the Green Electricity Act Amended in 2006 Annex II. Overview of Feed in Tariffs for electricity Annex III. Austrian Electricity Potentials Annex IV. Austrian Bioenergy Potentials Sources: European Commission Factsheets by Country Member States Reports in the framework of the Directive 2001/77/EC on renewable electricity Member States Reports in the framework of the Directive 2003/30/EC on biofuels Austrian Energy agency In the framework of the EU co funded project: RES 2020: Monitoring and Evaluation of the RES Directives implementation in EU27 and policy recommendations to 2020 The sole responsibility for the content of this Publication lies with the authors. It does not represent the opinion of the Community. The European Commission is not responsible for any use that may be made of the information contained therein. Drafted in March

13 Annex I Key Aspects of the Green Electricity Act Amended in 2006 The amended Green Electricity Act of 2006 contains several new aspects. The most important ones are summarised below: The amendment constitutes new basic conditions from 2006 to For small scale hydro power plants the subsidizing system stays basically unmodified, also the 9 %-target for 2008 stays upright. For existing plants, which have been approved before and have not been refurbished since then, the feed-in tariffs expire at the end of However, for the plant segment up to 1 MW the purchase obligation at the market tariff (minus compensation of expenses for control energy) will persist for further 12 years. Also for other green power plants the subsidy mechanism, with a purchase obligation according to guaranteed feed-in tariffs for a particular duration, still remains upright. However, the subsidy volume to be allocated every year, is limited: In the years 2007 until 2011 an additional support volume of 17 Mio. EUR will be available, the budget for 2006 is 8,5 Mio. EUR. For this reason green power plants with a yearly support demand in the mentioned amounts can receive a new purchase contract. The support volume is distributed in the following way: 30% for solid biomass (that means 5,1 Mio. EUR yearly, 2006: 2,55 Mio. EUR) 30% for biogas (that means 5,1 Mio. EUR yearly, 2006: 2,55 Mio. EUR) 30% for wind power (that means 5,1 Mio. EUR yearly, 2006: 2,55 Mio. EUR) 10% for photovoltaics and others such as liquid biomass, hybrid firing and cofiring plants, and others (that means 1,7 Mio. EUR yearly, 2006: 0,85 Mio. EUR) With this budget the share of other green power, related to the power consumption of end-users connected to the public grid, should be increased up to 10 % in the year 2010 (according to the legal target). The purchase agreements are being allocated according to a first-come-first-served mechanism through the newly created green power settlement center (OeMAG, in charge since : It replaces the three green power balance group representatives. For each plant segment purchase agreements will be assigned until the additional yearly feed-in tariff volume is exploited. Further the OeMAG has to publicize the still remaining feed-in tariff volume each day. The available feed-in tariff volume will therefore be derived from the support volume: annual support volume + Market value of the contractive green electricity Expenses of the green electricity settlement center (aliquot share) Expenses for balance energy (unscheduled elc. flows) (aliquot share) Technology subsidies of the federal states (aliquot share of 7 Mio. EUR yearly) = available feed-in tariff volume If the feed-in tariff volume, to be allocated in a particular category, is exploited, the application is postponed to the following calendar year. However if the available funds in a particular category can not be allocated in a specific year, the remaining funds are carried forward into the following year and distributed to the single technology categories according to the key above. After conclusion of the contract, the green power plant has to be put into operation within 24 months, after this time limit feed-in tariffs can be claimed namely tariffs valid at the date on which the contract with the green power electricity settlement center was concluded: from the beginning of operation for the duration of 10 years; in the 11th year 75% respectively in the 12th year 50% of these tariffs will be compensated, at least the market price according to 20 of the Green Electricity Act 13th till 24th year: Purchase guarantee to the market tariff according to 20 of the Green Electricity Act minus expenses for control energy (separate depending on wind energy or other energy sources). 13

14 The feed-in tariffs themselves were re-defined for the year 2006 and 2007 by ordinance and are consequently to be configured degressively. Hereby a total fuel efficiency of at least 60 % is necessary for combined heat and power processes (solid, liquid, biomass, waste with a high biogenous share, biogas, cofiring plants). For photovoltaic plants 50 % of the expenses, which are necessary for the purchase of the energy (i.e. the subsidy volume p.a.), have to be paid by the federal state in which the plant will be erected. For green power plants based on solid biomass, which receive tariffs according to the Green Electricity Act of 2002, the amendment enables a combined support of electric energy and heat. The subsidy mechanism of the amended Green Electricity Act 2006 came into effect on 1. October The feed-in tariffs themselves are set by ordinance. Currently the following tariffs are in force: Ordinance on feed-in tariffs amendment 2005 (these was an extension of the time by which plants had to be online to get the 2002 tariffs, was done because plant engineering and construction market was overheated because of approval flood by the end of 2004) (valid for plants approved in 2003 and 2004) Ordinance on feed-in tariffs 2006 (valid for plants contracted in 2006 and 2007) Because of the amendment of the law and the new ordinance, there are currently different schemes in place. The following tables provide an overview of which conditions apply to which plant segment within the small hydro power plants- and other green power plants sector. 14

15 Annex II. Overview of Feed in Tariffs General Conditions for Small Scale Hydro Power Plants Type of Plant Period of Tariff Validity Tariff Amount Existing (approved ) plants before until Tariffs according to BGBl. II Nr. 508/2002, amended BGBl. II Nr. 254/2005 (ordinance of the feed-in tariffs amendment 2005) For plants up to 1 MW: 12 years from onwards Market price according to sect. 20 of the Green Electricity Act minus expenses for control energy (separate for wind energy and other energy sources) in the last calendar year Recent erection or refurbishment before years after (Restart-)or initial operation of newly erected plants or for +50% RAV, 13 years for +15% RAV 12 years after expiry of the above mentioned tariffs (only plants up to 1 MW EPL) Tariffs according to BGBl. II Nr. 508/2002, amended BGBl. II Nr. 254/2005 (ordinance of the feed-in tariff amendment 2005) Market price according to sect. 20 of the Green Electricity Act minus expenses for control energy (separate for wind energy and other energy sources) in the last calendar year Recent erection or refurbishment after Guarantee period according to the new legal regulations (min. 10 years) Tariffs according to ordinance that have to be enacted before 2008 For plants up to 1 MW: 12 years after expiry of the above mentioned tariffs Market price according to sect. 20 of the Green Electricity Act minus expenses for control energy (separate for wind energy and other energy sources) in the last calendar year 15

16 General Conditions for Other RES Power Plants Type of Plant Period of Tariff Validity Tariff Amount Old plants (approved before ) 10 years after start of operation, respectively period of validity according to the legal regulations of the respective federal state Tariffs according to the legal regulations of the respective federal state) Power plants, which have been approved by to 2003 or 2004 at first instance and have gone on line (started operation) by (except solid-, liquid biomass, biogas: Operation by ) Plants, that have been approved after the at first instance, or respectively that will go on line by the dates mentioned above and that have concluded an agreement by years after expiry of the above mentioned tariffs 13 years after start of operation 12 years after expiry of the above mentioned tariffs 10 years after start of operation. In the 11 th years 75%, in the 12 th year 50% of the feed-in tariff 12 years after expiry of the above mentioned tariffs Market price according to sect. 20 of the Green Electricity Act minus expenses for control energy (separate for wind energy and other energy sources) in the last calendar year Tariffs according to BGBl. II Nr. 508/2002, amended BGBl. II Nr. 254/2005 (ordinance of the feed-in tariff amendment 2005) Solid biomass: Combined support for electric energy and heat possible Market price according to sect. 20 of the Green Electricity Act minus expenses for control energy (separate for wind energy and other energy sources) in the last calendar year Tariffs according to BGBl. II Nr. 401/2006 (ordinance of the feed-in tariff 2006). In the 11. and 12. year at least market price according to the Green Electricity Act sect. 20 Market price according to sect. 20 of the Green Electricity Act minus expenses for control energy (separate for wind energy and other energy sources) in the last calendar year 16

17 Feed-In Tariffs for RES Power Plants Energy Cource / Conditions Tariffs in Tariffs in technology Cent/kWh Cent/kWh according to according to ordinance BGBl II Nr. 401/2008 ordinance BGBl II Nr. 508/2002 Contracting 2006 (2007) 2003, 2004 Guarantee period years 13 years Wind Energy 7,65 (7,55) 7,80 Solid Biomass up to 2 MW 15,70 (15,85) 16,00 (such as wood 2 to 5 MW 15,00 (14,95) 15,00 chips from the 5 to 10 MW 13,40 (13,30) 13,00 forrest, straw) above 10 MW 11,30 (11,10) 10,20 Waste with a high biogenous proportion Hybrid Plants Firing Cofiring in caloric plants Materials according to SN 17 in table 2 of the annex, e.g. bark, saw dust Materials according to SN 17, in table 1 of the annex, e.g. chip board waste Materials according to other 5-digit SN in table 1 and 2 of the annex Solid biomass (wood chips from the forrest, straw) Materials according to SN 17 in table 2 of the annex, e.g. bark, saw dust Materials according to SN 17, in table 1 of the annex, e.g. chip board waste Materials according to other 5-digit SN in table 1 and 2 of the annex minus 25 % of tariff above minus 40 % of tariff above 5,00 (4,90) 2,70 proportional 6,40 (6,30) 6,50 minus 25 % 5,00 minus 40 % 4,00 minus 50 % 3,00 minus 20 % of tariff above minus 35 % of tariff above proportional Hybrid firing plants proportional proportional vegetable oils, cold-pressed 13,00 (up to biogenous oils, biodiesel; up to ,00 (12,50) 200kW) kw Liquid biomass Biogas from agricultural production (such as sweete corn, liquid manure) Biogas from cofermentation of waste material Sewage- Landfill Gas and Vegetable oils, cold-pressed biogenous oils, biodiesel; above 300 kw 10,00 (9,50) other liquid biogenous fuels 6,50 (6,00) up to 100 kw 17,00 (16,95) 16, to 250 kw 15,20 (15,15) 14, to 500 kw 14,10 (14,00) 14, to 1000 kw 12,60 (12,40) 12,50 above 1000 kw 11,50 (11,30) 10,30 minus 30 % of tariff above sewage gas 6,00 (5,95) landfill gas 4,10 (4,05) 10,00 (above 200kW) minus 25 % of tariff above 3,00 (up to 1 MW) 6,00 (above 1 MW) 17

18 Geothermal Energy 7,40 (7,30) 7,00 up to 5 kw p 49,00 (48,00) 60 (up to 20 kw p ) Photovoltaics 47 (above 20 5 kw p to 10 kw p 42,00 (40,00) kw p ) above 10 kw p 32,00 (30,00) Small Scale Hydro Power Plants Tariffs in cent/kwh accoring toordinance BGBl II Nr. 508/2002 (erection/refurbishment until ) a) existing old plants (tariff valid until , phases out without subsitution) b) after refurbishment with at least 15 % electric power a) output progression b) c) c) new buildings, respectively refurbishment with at least 50 % electric power output progression first kwh 5,68 5,96 6,25 following kwh 4,36 4,58 5,01 following kwh 3,63 3,81 4,17 following kwh 3,28 3,44 3,94 surmounting kwh 3,15 3,31 3,78 Combined heat and power funding of old biomass plants (approved ) thermal support tariff (WT) possible WT=ET/4,4-WP whereas ET = Feed-in tariff accoring to BGBl Nr. 508/2002; WP = 2,6 Cent/kWh (th) for plants up to 10 MW (el); WP = 1,8 Cent/kWh (th) for plants greater than 10 MW (el) 18

19 Annex III. Austrian Electricity Potentials Description Unit Total Wind MW Maximum Wind onshore MW Maximum Wind offshore MW Maximum solar PV TWh Maximum solar thermal MW Total Hydro MW Maximum conventional hydro MW of which Maximum run of river MW Maximum Pumped Storage and mixed hydro MW Maximum Wave power plants TWh Maximum tide power plants TWh Maximum geothermal Total Twh Maximum geothermal dry steam & flash power plants (>180 C) MW Maximum geothermal binary power plants (180 C<x<85 C) MW Maximum geothermal EGS power plants MW Maximum biomass power plants (conventional+chp) TWh Maximum biogas power plants (conventional+chp) TWh Maximum bio waste power plants (CHP) TWh The previous table present the data that have been gathered in the framework of the RES2020 project in order to be used in the modelling. The data have been collected Through EREC and its Members Through a revision of previous EU funded projects and reports (GreenX, OPTRES) Through the partners of the project The data have been discussed in the framework of the REWG of the EnR with the country experts. The tables present an estimation of the technical potential that could be utilized as an upper bound by 2010, 2015, 2020 and As technical potential we are considering: the future installed capacity of wind turbines without taking in mind financial issues at a "reasonable" wind speed as a possible upper limit in the development of the installed capacity over time. the future installed capacity of hydro considering technical issues only and a possible upper limit in the development of the installed capacity over time. For some technologies potential may be unlimited (e.g. photovoltaics), so we are using upper bound limits within the relevant time frames. 19

20 Annex IV. Austrian Bioenergy Potentials TABLE 1 Potentials agricultural bioenergy Description Unit LimType Source Sugar crops: sugar beet Step 1 Potential [PJ/a] or [Ha] UP 13,0 13,0 13,0 19,0 24,0 29,0 33,0 38,0 9,1 9,1 9,1 8,8 8,54 8,32 8,12 7,95 Step 2 Potential [PJ/a] or [Ha] UP Step 3 Potential [PJ/a] or [Ha] UP Step 4 Potential [PJ/a] or [Ha] UP Starch crops: rye, oats, maize, wheat, barley, etc Step 1 Potential [PJ/a] or [Ha] UP 10,0 10,0 10,0 15,0 19,0 23,0 26,0 30,0 8,7 8,7 8,7 8,19 7,79 7,45 7,16 6,91 Step 2 Potential [PJ/a] or [Ha] UP Step 3 Potential [PJ/a] or [Ha] UP Step 4 Potential [PJ/a] or [Ha] UP Grassy crops: switchgrass, miscanthus, sweet sorghum, etc Step 1 Potential [PJ/a] or [Ha] UP 32,0 32,0 32, ,0 6,0 6,0 6,0 5,8 5,6 5,5 5,3 Step 2 Potential [PJ/a] or [Ha] UP Step 3 Potential [PJ/a] or [Ha] UP Step 4 Potential [PJ/a] or [Ha] UP Woody crops: willow, poplar Step 1 Potential [PJ/a] or [Ha] UP 29,0 29,0 29,0 44,0 56,0 68,0 80,0 92,0 4,5 4,5 4,5 4,44 4,29 4,14 4,03 3,92 Step 2 Potential [PJ/a] or [Ha] UP Step 3 Potential [PJ/a] or [Ha] UP Step 4 Potential [PJ/a] or [Ha] UP Oil crops: sunflower, rapeseed Step 1 Potential [PJ/a] or [Ha] UP 8,0 8,0 8,0 12,0 15,0 18,0 21,0 24,0 9,8 9,8 9,8 9,5 9,3 9,0 8,8 8,6 Step 2 Potential [PJ/a] or [Ha] UP Step 3 Potential [PJ/a] or [Ha] UP Step 4 Potential [PJ/a] or [Ha] UP 20

21 TABLE 2 Potentials bioenergy from wastes Description Unit LimType Source Agricultural waste EEA Report Potential [PJ/a] UP according to Wörgetter, M., et al. (2003): Bioenergy in Austria: Potential, Strategies, Success Stories. BLT Wieselburg, Austrian Biomass Association and Austrian Energy Agency, Vienna, Austria, Forestry residues Potential [PJ/a] UP according to Wörgetter, M., et al. (2003): Bioenergy in Austria: Potential, Strategies, Success Stories. BLT Wieselburg, Austrian Biomass Association and Austrian Energy Agency, Vienna, Austria, Wood processing residues EEA Report Potential [PJ/a] UP according to Wörgetter, M., et al. (2003): Bioenergy in Austria: Potential, Strategies, Success Stories. BLT Wieselburg, Austrian Biomass Association and Austrian Energy Agency, Vienna, Austria, Municipal solid waste EEA Report Potential [PJ/a] UP according to Wörgetter, M., et al. (2003): Bioenergy in Austria: Potential, Strategies, Success Stories. BLT Wieselburg, Austrian Biomass Association and Austrian Energy Agency, Vienna, Austria, Wet manures EEA Report Potential [PJ/a] UP according to Wörgetter, M., et al. (2003): Bioenergy in Austria: Potential, Strategies, Success Stories. BLT Wieselburg, Austrian Biomass Association and Austrian Energy Agency, Vienna, Austria, Black liquor EEA Report Potential [PJ/a] UP according to Wörgetter, M., et al. (2003): Bioenergy in Austria: Potential, Strategies, Success Stories. BLT Wieselburg, Austrian Biomass Association and Austrian Energy Agency, Vienna, Austria, Sewage sludge EEA Report Potential [PJ/a] UP 1 according to Wörgetter, M., et al. (2003): Bioenergy in Austria: Potential, Strategies, Success Stories. BLT Wieselburg, Austrian Biomass Association and Austrian Energy Agency, Vienna, Austria, Other waste wood households Potential [PJ/a] UP packageing Potential [PJ/a] UP EEA Report EEA Report demolition Potential [PJ/a] UP according to Dry manures Potential [PJ/a] UP Wörgetter, M., et al. (2003): Bioenergy in Austria: Potential, Strategies, Success Stories. BLT Wieselburg, Austrian Biomass Association and Austrian Energy Agency, Vienna, Austria,

22 3. BELGIUM 22

23 In Belgium, 77% of the primary energy comes from fossil fuels (petroleum, natural gas and coal), 21% from nuclear. The main renewable energy sources (RES) are hydropower and biomass, nevertheless the hydropower potential is relatively limited. Belgium green certificate system aims at giving enough incentives for a further development of renewable energy, however due to the low penalty rates; currently it is more favorable to pay penalties, than to use the certificates. Little trading has taken place so far and Belgium is still far form it RES targets. However, onshore wind generation has grown in recent years: the building of the largest onshore wind farm in Belgium has been recently announced, and the turbines will enter in operation gradually from Once the wind farm is complete it will produce GWh annually. KEY FIGURES The share of RES in total primary energy consumption was of 2.11 % in The share of RES in the gross final energy consumption was 2.2 % in The share of RES in the gross electricity production was 2.98% in The share of biofuels in the transport sector in 2006 was 0.01%. Belgium energy dependence on imports amounts to 80% in Technology Specific Figures For the Walloon region, present biomass resources are estimated at about toe. The current utilisation reaches toe, principally by incineration of waste, utilisation of by-products in wood industries and space heating with wood logs in domestic stoves. Wind energy represents only 0.3% national electricity production, but the Belgium Government plans to supply 3% of national electricity needs by wind energy by RES POLICY Targets differ between the three regions of the country (Flanders, Wallonia, and Brussels) and national energy policies are implemented separately, leading to differing supporting conditions and separate regional markets for green certificates. RES TARGETS Mandatory targets set by the newly proposed RES Framework Directive from Proposal for a Directive of the European Parliament and the Council on the promotion of the use of energy from renewable sources from January 2008(the targets agreed but the directive is on legislative process) 23

24 13% share of RES on the final consumption of energy in At least 10% share of biofuels of final consumption of energy in transport in that Member State in Indicative Target set by the RES- electricity European Directive from % Share of RES on gross electricity consumption by 2010 Indicative Target set by the European Biofuels Directive from Biofuels consumption of 5.75% of petrol and diesel use for transport in National commitments The target for renewable electricity is 7% by 2007 in the Walloon region, 6% by 2010 in Flanders and 2.5% by 2006 in Brussels. There is no national target/commitment for heating and cooling. Technology Roadmap The Walloon Region aims at reaching a production of GWh heat from wood by Regarding bio-methanization, the Walloon region aims at an energy production of 100 GWh to 225 GWh of heat production by the year The Walloon region aims at reaching a production of electricity from wind of 370 GWh (approximately 150 windmills) by 2010 (of windmills installed on the Walloon territory). Flanders region aims at a production capacity of electricity from wind of about 1,000 GWh by A memorandum of the Flemish government has been published in May 2006 aiming to reach this objective through accelerating measures. Progress towards the targets With an RES-e share of 2.98% in 2006 the national target of 6% is still far away. MAIN POLICY INSTRUMENTS Support to RES Electricity 3 sets of measures are key to the Belgian approach to RES-e: Quota obligations Quotas have been set (obligation for all electricity suppliers to supply a specific proportion of RESe) and guaranteed minimum prices or fall back prices have been foreseen. In all three regions, a separate market for green certificates has been created. Due to the low penalty rates which will increase over time, currently it is more favorable to pay penalties, than to use the certificates. Little trading has taken place so far. 5 Directive 2007/71/EC on the promotion of electricity produced from renewable energy sources in the internal electricity market. Currently in force, sets targets up to Directive 2003/30/EC on the promotion of the use of biofuels or other renewable fuels for transport currently in force, sets targets up to 2010, with indicative targets by