CEER’s Annual Conference underlined that competitive markets are key to safeguarding Europe’s security of supply. Highlights of this event include an IEA presentation on the impact of the COP21 pledges on gas security, and interesting debates on renewables and integrated grids. Our conference was also the occasion to announce the appointment of Andrew Ebrill as CEER’s new Secretary General.
2016 is a major year for EU energy legislative proposals. We responded to two European Commission consultations (on energy efficiency and renewables) and published a report on renewable energy sources (RES). The feature is on markets fit for RES, and RES fit for the market.
We also published our new LNG report which analyses the global market, the role that markets can play in attracting LNG, and the role LNG can play in preventing and mitigating a gas supply emergency.
Registration is open for a range of training courses (see Training Section below)
The deadline to submit your article or Women in Energy story to the ICER Chronicle is extended until 29 February (see the International section).
Feature: Markets fit for RES, and RES fit for the market
CEER’s new RES report and our response to the European Commission RES consultation are key inputs in the future European energy system where RES will play a key role in the transition towards a low-carbon energy system. CEER believes that the future electricity market design must be fit RES, and that RES must be integrated into the market with an obligation of bearing the same risk and same access rules as other generation.
What’s in CEER’s RES Report? • Detailed analysis of RES support schemes (administrative, competitive, quotas) across the EU • Recommendations on how to adapt national RES support schemes to meet the requirements for greater cost efficiency and deeper market integration • Recommendations for bringing RES into the market • Case studies from countries having already adapted their national support schemes in line with the EU’s State Aid Guidelines for Environmental protection and Energy (EEAG).
National RES support schemes have played an important role in RES deployment. RES support will remain a reality, at least in the medium term. However, CEER considers that support for RES could be phased out more quickly with an effective EU Emissions Trading Scheme (ETS). Hence, CEER calls for a commitment to creating a robust carbon price as a priority.
National RES support schemes need to adapt: CEER’ advocates 2 major changes: • Market integration of RES: Introducing balancing responsibilities for RES producers • Cost efficiency: Competitive procedures for setting the levels of RES support
CEER believes there should be a gradual alignment of national policies but not fully harmonised national support schemes.
Bringing RES into the market: • Market arrangements should be non-discriminatory, reflect marginal costs where appropriate, and should not incentivise market-distorting behaviour. RES generators should be exposed to short-term market price signals. • Market integration can be achieved under both Feed-In Premiums (FIPs) and Quota schemes, while Feed-in Tariff (FIT) schemes bear only a very limited potential for market integration. • A strong ETS system should be the main driver for the future.
Regulators actively contribute to making RES fit for the market and the market fit for RES. CEER is working on self-consumption under our 2016 work programme, where we will look at overall market design (including support schemes), balancing, all system costs, metering and tariffs.
• CEER analysis on the role of LNG to improve Security of Supply • CEER Report on key support elements for Renewables (RES) in Europe: moving towards market integration • CEER Response to EC Consultation on the Renewables Directive • CEER Response to EC Consultation on the Energy Efficiency Directive
Press Release: Regulators see competitive markets as key to safeguarding Europe’s security of supply.
Call for Articles and for Women in Energy stories for the ICER Chronicle. Deadline: 29 February.