European Strategic Energy Technology Plan (SET-Plan)
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1 European Strategic Energy Technology Plan (SET-Plan) Wiktor RALDOW European Commission Bern - May 6 th, 2009 A complex policy jigsaw Taxation Targets ETS Global Cap&Trade External Energy Policy Development Policy Internal Market Technology State Aid Competition SET-Plan 1
2 Why we need a SET-Plan (1) Technology is vital to achieve our policy objectives Today we are falling short not on a pathway to meet our policy objectives lack of innovation drivers for the industry insufficient energy research budgets in the EU Intrinsic weakness in energy innovation long lead times, incumbent technologies, system inertia no natural market appetite for new energy technologies social acceptance issues and up-front integration costs Why we need a SET-Plan (2) Europe should lead the world growing international competition MSs working alone will struggle mastery of technology vital to competitiveness Time is of the essence decisions taken now will have lasting consequences cost of inaction will be much higher in the long run We need to use the ambition and the targets of the Energy Policy for Europe to create a new European policy for energy technology 2
3 Possible, in theory Technologies that can reduce global CO2 emissions from energy combustion Mt CO Energy savings Fossil fuel switch Renewable energies Nuclear energy 5000 Carbon sequestration 0 Emission of reduction case avoided emissions Source: JRC-IPTS Investment trends Aggregated public R&D budgets (Mio Euros 2007) R&D to non-nuclear SET-P priority technologies Other non-nuclear energy R&D Nuclear energy R&D Source data: IEA 2007 (Gap filled) 6% 7% H2/FC 30% PV 9% Wind Transport biofuels 11% Smartgrids CCS CSP 15% 22% 3% 2% Energy efficiency 7% Fossil fuels (excl. 31% CCS) RES (excl. PV, 17% CSP, wind, biofuels) Other energy R&D Electric power conversion Energy system analysis 18% Energy storage 22% 33% Nuclear fission Nuclear fusion 67% 3
4 Potential of technologies Key EU technology challenges for the next 10 years nd generation biofuels Commercialisation CCS Larger wind turbines Large scale PV and CSP Enable a single, smart grid Market energy efficiency devices Long-term waste management 2050 Next generation of renewables Breakthroughs in energy storage Hydrogen fuel cell vehicles Gen-IV Complete ITER Alternative vision TEN-E and systems Breakthroughs in materials, nano-science, ICT, bio-science, 4
5 Not starting from zero! EU RTD Framework Programmes (EC and EURATOM) energy research and demonstration Intelligent Energy-Europe (part of the Competitiveness and Innovation Programme) European Technology Platforms bringing stakeholders together on research agendas ERA-Net scheme encouraging MSs to coordinate R&D programmes Networks of Excellence giving research centres the opportunity to work together Art. 171 (JTIs) and Art. 169 initiatives SET-Plan measures Joint strategic planning Steering Group and information system Effective implementation: European Industrial Initiatives: strategic technology alliances European Energy Research Alliance Trans-European Energy Networks and Systems of the Future transition planning Increase in resources, both financial and human Reinforce international cooperation 5
6 STEERING GROUP Technology Summit Joint Programming EIIs International Cooperation Alliance Energy systems The SET-Plan SETIS Resources EIT SET-Plan Steering Group Joint strategic planning Steering Group Progress The Steering Group was established in June 2008 The SG agreed to press ahead with the proposed 2009 Work Plan The SG emphasised the need to rationalise coordination efforts in energy research: Mirror Groups and ERA-Nets The SG agreed on working modalities on EIIs: workshops will be organised to engage Member States in the definition and development of the EIIs based on variable geometry 6
7 Today (without CHP in industry) Towards Sustainable Energy System 44. PL-Sitzung European energy innovation the new institutional landscape (UK) European Institute of Technology (Europroject aiming to emulate MIT) ERA-NETs (collaborative research networks) UKERC UK research organisations & companies Mirror groups Likely to be phased out Policy input European Technology Platforms (eg zero emissions fossil fuel, biofuels, wind, PV) Some form of link likely Superseded by Represent UK on Potentially participate Participate Sit alongside Fuel Cell & Hydrogen Joint Technology Initiative (carved out of FP7 to widen scope & industry participation -has many advisory committees) European Energy Research Alliance (CEOs of national research institutes ) Board (John Loughhead, UKERC) Sherpa group (Jonathan Radcliffe, ERP) Joint research to support work of 7+ European Industrial Initiatives (bioenergy, CCS, grids, fission, solar, wind) Industry-led Avoid overlap likely to influence Expects to influence Supply information Evidence base Supply info Advise UK applicants to Framework Programme 7 (collaborative R&D grants EU s flagship grant scheme, Energy is one key theme) SET steering group (national policy officials) Steering group (Jeanie Cruickshank, DECC) Sherpa group (Steve Martin, DECC) Secretariat (commission) Evidence base SETIS information system (EU technology database, aims to support SET work) Led by the EU s JRC Advise UK applicants Steer energy calls Policy input Expects to influence Advice Supply information Energie helpline (funded by DECC) Energy Advisory Committee (selected experts, steer FP7 programmes in a personal capacity) Framework Programme Energy Committee (national policy officials, consulted on FP7 programmes) Key to colours Domestic New Advice UK Expert advisory group (invited experts support DECC policy development) Wholly/partially superseded Continuing David Curran DECC 16 Jan 08 Market Information Information system - SETIS Common Assessment Framework 700 Annual Avoided CO 2 Emissions, Mt CO 2 HI(2020) HI(2030) 600 LO(2020) LO(2030) SET-Plan Information System -SETIS- 100 Hydropower Cogeneration Ocean Wave Power Wind Power Concentrated Solar Power Solar Photovoltaic Power Geothermal Heat Power CCS Power Nuclear Fission Power Biofuels Hydrogen Solar Heating/Cooling Geothermal Heating Carbon Capture & Storage Hydrogen Cars Fusion Fission Concentrated Solar Power Wave Roadmapping & Implementation Wind Hydropower Energy Efficiency in Buildings Energy Efficiency in Industry Biofuels Energy Efficiency in Transport Cogeneration st 1 WAVE Geothermal Power Solar Photovoltaics Geothermal Heating Time Horizon Solar Heating & Cooling 2 nd WAVE Demand side technologies Transport 3 rd WAVE Supply side technologies BAU (lighter pie) vs. additional SETP energy potential (darker pie) Knowledge for Decision Making 7
8 Energy Technology Summit Building on the Paris SET-Plan conference last October under FR Presidency in the Autumn 2009 under SW Presidency to take stock, to engage industry, researchers and international partners to launch EIIs and EERA joint programmes European Industrial Initiatives Fuel cells and hydrogen (JTI on-going) Fusion (ITER on-going) new European Industrial Initiatives: European Wind Initiative Solar Europe Initiative Bio-energy Europe Initiative European Electricity Grid Initiative European CO2 capture, transport and storage initiative Sustainable fission initiative (Gen IV) 8
9 EII workflow Objectives Activities Resources Structure First decide on the objectives and activities Finance & structure based on the objectives and activities Monitoring the progress Key Performance Indicators No single, pre-determined model and structure of implementation Timeline for setting up the initiative: 1 2 years EII process Industry proposal developed by Technology Platforms with the aid of the EC Workshop with Member States agree objectives and main activities Decisions on MS participation and modalities: concept of Joint Programming Definition of model and structure of implementation 9
10 EERA key objectives : EU Energy Research Alliance To conceive and implement Joint Programmes of research in support of the SET-Plan priorities. To work towards a long term, durable integration of excellent but dispersed research capacities across the EU. To develop links and sustained partnerships with industry. To develop training, education and outreach activities. EERA Positioning SET Steering Committee Member States EC EERA Steering Committee EERA secretariat Fundamental Research (EC, MS) KIC s EERA Programme level. Industry Initiatives JTI s 10
11 EERA progress EERA Progress: Signature of a Declaration of Intent by 10 leading institutes on the 27 October 2008 (CEA, CIEMAT, CRES, ECN, ENEA, INETI, Juelich, UK ERC, RISOE, VTT) supported by EUA and EUROHORCS and facilitated by EC Nomination of a Speaker of the EERA : Ton Hoff from ECN Creation of an EERA secretariat (CEA, ECN, ENEA, Juelich, RISOE) for the organisation of EERA meetings and EERA workshops EERA progress (2) EERA Progress: Key areas identified (CCS,Wind Solar PV and solar thermal, Second generation bio fuels, Materials for nuclear, Fuel cells, Smart grids, Geothermal power, Marine applications, More to follow.) for future JPs First pilot workshops organised on CCS, CSP, Wind, geothermal energy to test the methodology and explore the potential to work together... Next step : Definition of a clear governance structure (a two level structure is favoured: a Founding members Group of up to 15 members to drive the process and a Programme Level which will be open to any participant) 11
12 Future energy systems Trans-European Energy Networks and Systems of the Future Multidisciplinary approach Plan and develop future infrastructures and policies e.g. electricity, CO2 transport and hydrogen distribution 1st phase Coordination Action under FP7 currently under negotiation Increase in resources Better use of available resources through joint strategic planning and European initiatives Communication on financing low carbon technologies [announced for end 2008] Address resource needs and sources Possibility of a new European mechanism/fund for (e.g.) industrial-scale demonstration Human resources vital to build capacity (cannot just throw money at the problem) 12
13 Recent developments Recovery Plan: 2.4b for gas and electricity interconnections; 1.05b for CCS; 565m for offshore wind Also, 3 news PPPs on clean cars, energy in buildings and future manufacturing systems 300m EUAs from ETS New Entrants Reserve for demonstration of CCS and RES (potentially 6-9b ) MSs commitment to use 50% of auctioning allowances for transition to a low carbon economy incl. R&D Council (Copenhagen process): doubling of global energyrelated RD&D by 2012 and increasing it to four times its current level by 2020 Communication now for June? International cooperation Developed countries safety, public acceptance, longer-term frontier research Developing and emerging economies helping sustainable development and creating opportunities for EU industry EIIs and EERA will help rationalise our INCO activities EU speaks with one voice in international fora 13
14 Thank you for your attention 14
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