Is the EU’s current approach to renewables fit for purpose post 2020?
In CEER’s input to the European Commission public consultation on the Renewable Energy Strategy, we welcome the Commission’s aim to assess whether the current approach to promote renewables for a period – post-2020 – is fit for purpose. But, several of the issues raised in the Commission’s consultation document are also relevant now (per 2020) during the current ongoing process of integration, coordination and harmonisation of national rules and regime e.g. ACER’s current work on Framework Guidelines on Electricity Balancing.
Market based support schemes
CEER is currently analysing the responses of its consultation on the implications of the lack of a non-harmonised RES support schemes. Unsurprisingly, preliminary findings show that different support schemes impact on investment decisions. CEER calls for future support schemes to be more market based, and for comparative information on support schemes to be published and benchmarked. CEER supports the idea that renewable energy should be exposed to prices risks as is conventional energy.
Integrated approach to renewables
With implementation of the 3rd Energy Package, CEER foresees substantial progress before 2020 in dealing with national difference on many grid issues such as connection rules, balancing and market access and network charges. Thus, CEER sees the case or priority rules for renewables in these areas becoming less necessary (see CEER conclusion paper on the regulatory aspects of the integration of wind generation in the EU electricity market). Issues such as cross-border capacity allocation, short gate-closure times and balancing arrangements are currently being addressed in ACER’s draft Framework Guidelines on Electricity Balancing.
International report on Renewables and Distributed Generation
An ICER-CEER workshop on 20th June during Sustainable Energy Week will showcase some international case studies on renewables. The soon to be published report by the International Confederation of Energy Regulators demonstrates, through case studies, how energy regulators are rethinking traditional regulatory models and tools (e.g. planning criteria, cost allocation procedures etc.) to support large-scale deployment of renewable generation and distributed generation. CEER is a member of ICER and chairs Climate Change working group which drafted the ICER report.