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CLEAN ENERGY FOR ALL EUROPEANS
Energy Union Governance:
state of play and next
steps
Paula Pinho
DG Energy, Unit A1
CLEAN ENERGY FOR ALL EUROPEANS
PURPOSE AND SCOPE OF THE PROPOSAL
A ROBUST GOVERNANCE TO MEET 4 OBJECTIVES
Meet Energy Union objectives (notably the 2030 targets)
Allow for investor certainty and predictability
Ensure Better Regulation and reduce administrative burden
Synchronise planning and reporting cycles with Paris Agreement
CLEAN ENERGY FOR ALL EUROPEANS
Governance negotiations - Key results -
Co-legislators confirmed the proposed architecture of the
Governance allowing its objectives to be met through:
1) Governance process (dialogue Member States- COM,
Member States- stakeholders and among Member States )
based on the:
2) National energy and climate plans (NECPs) covering
national targets and objectives as well as planned policies
and measures to achieve these, across al 5 dimensions of
the Energy Union
CLEAN ENERGY FOR ALL EUROPEANS
Governance negotiations results- Main novelties -
Formula for calculation RES contributions in case of an ambition gap
Gap filler for interconnection target
Strengthened Long Term Strategy
Strenghtened role of the Council and European Parliament in the political monitoring
Multilevel climate- and energy dialogue
Strategic plan for methane as part of EU LTS
•
CLEAN ENERGY FOR ALL EUROPEANS
National Integrated Energy and Climate Plans (2021 to 2030)
(preparation well before 2020)
National progress reports(from 2023, every two years)
European Commission monitoring(State of the Energy Union)
1 Plan1 Report1 Monitoring
Streamlining:
GOVERNANCE PROCESS – reporting & monitoring
MAIN ELEMENTS OF THE ENERGY UNION GOVERNANCE
CLEAN ENERGY FOR ALL EUROPEANS
Integrating planning, reporting and monitoring obligations for Member States
Security of energy supplydirective
Security of gas supplyregulation
LULUCF regulation
Energy Efficiency Directive
Renewable Energy Directive
Electricity regulation
Gas / Electricity directive
EU Monitoring MechanismRegulation
Paris Agreement
SET plans
Governance regulation
ACER regulation
Gas Regulation
Decarbonisation Internal market
Energy efficiency
Security of supply
Research, innovation and competitiveness
Energy Performance of Buildings Directive
CLEAN ENERGY FOR ALL EUROPEANS
INTEGRATION OF THE MONITORING MECHANISM REGULATION
The Governance proposal fully integrates the provisions of the existing MMR which will
allow the EU to comply with its reporting obligations under the UNFCCC and the Paris
Agreement
Robust transparency framework for GHG laid down in the MMR is continued
Modifications to the MMR text have been performed in order to:
• Bring it in line with the provisions of the Paris Agreement
• Delete references to the Kyoto Protocol and Articles deriving from its implementation
• Adapt the text to the specific needs arising from the ESR and LULUCF Regulations
• Streamline the text with the energy acquis
• Drafting changes deriving from the integration in a bigger framework
MMR is repealed from 1 January 2021 onwards
CLEAN ENERGY FOR ALL EUROPEANS
National Energy and Climate Plan (NECP) - Structure and content -
Binding template and 10 year planning cycle
Section A
NATIONAL PLAN
Section B
ANALYTICAL BASIS
1. Overview and Process for Establishing the Plan
2. NationalObjectives
and Targets
3. Policies and Measures
4. Current Situation
and Reference Projections
5. Impact Assessment of Policies and Measures
Decarbonisation
Energy efficiency
Internal market
R&I and Competitiveness
Energy security
ENERGY UNION DIMENSIONS
CLEAN ENERGY FOR ALL EUROPEANS
National Energy and Climate Plan - Content -
• Annex I – Mandatory template for draft and final plans
• Five dimensions of the Energy Union allow theCommission to assess both the level of nationalambition and contributions to the EU leveltargets.
• Analytical basis
CLEAN ENERGY FOR ALL EUROPEANS
National Energy and Climate Plan - Assessment -
• Deadline for MS submission of draft plans for evaluation by COM: 31 December 2018
• COM early assessment (RES) by mid- April 2019
• COM issues recommendations 6 months beforedeadline for submission of final plans
CLEAN ENERGY FOR ALL EUROPEANS
A RELIABLE GOVERNANCE PROCESS FOR ACHIEVEMENT OF ENERGY UNION OBJECTIVES AND 2030 TARGETS
GOVERNANCE PROCESS - target achievement
Draft National Plans
(and their updates)
Implementation
of National Plans
(Progress Reports)
Final National Plans
(and their updates)
Recommendations
(2019 and 2023)
MS
COM
Recommendations (2021-2030)
Union measures
(2019 and 2024)Union measures
(checks in 2022; 2025 and 2027)
National measures
for RES
Closing "Delivery gap"Closing "Ambition gap"
Cooperation with MS on
interconenctions (2025)
CLEAN ENERGY FOR ALL EUROPEANS
National Energy and Climate Plan- Finalisation -
• Member States take utmost account of COMrecommendations and consider comments from otherMember States
• Deadline for the submission of the final plans: 31.December 2019
• If insufficient ambition of national contributions to reachEU 2030 RES and EE targets, the Commission can takemeasures at EU level to close ambition gaps
CLEAN ENERGY FOR ALL EUROPEANS
National Energy and Climate Plan – Assessment- Gap fillers (“What if…?”)
RES ambition
gap
EE ambition
gap
EE Delivery
gap
RES Delivery
gap
• 3 reference points: 18% in 2022; 43% in 2025 and 65% in 2027
• National additional measures only in case of collective gap
• MS should illustrate additional measures to cover their gap
• 2020 baseline confirmed: 2 Years to cover gap
• RES financing mechanisms by 2021
• 3 reference points in 2022; 2025 and 2027.
• No role for national measures.
• If progress towards EU target are insufficient COM shall propose measures
• COM shall assume national contributions for those MS not submitting their draft NECP in time
• If an ambition gap exists, COM shall propose EU measures
• Indicative formula (new Annex) is introduced to inform COM assessment if there is an EU level ambition gap
• COM shall assume national contributions for those MS not submitting their draft
NECP in time taking into account modelling exercises and other complementary analysis.• If an ambition gap exists,
COM shall propose EU measures
CLEAN ENERGY FOR ALL EUROPEANS
National Energy and Climate Plans – Implementation and reporting -
• Member State implement plans and submit an integrated progress report every two years, starting2023 (2021)
• The Commission assesses the reports and issuesrecommendations to Member States
• Biennial integrated Commission monitoring to be reported to Council and Parliament
• Updates every 5 years in line with Paris Agreement review cycle
CLEAN ENERGY FOR ALL EUROPEANS
Integrated reporting across all 5 Energy Union dimensions
Biennial reporting as main rule
Annual reporting continued when needed due to EU's international climate commitments (and for certain energy-related reporting)
Establishment of e-reporting Platform
INTEGRATED REPORTING (1)
Key considerations
CLEAN ENERGY FOR ALL EUROPEANS
By 15 March 2023 and every two years thereafter: Integrated Reporting on the status of implementation of the National Plans across all 5 Energy Union dimensions: Decarbonisation including renewables; Energy efficiency; Internal energy market, Security of supply; Research, innovation and competitiveness
Reporting on progress
Policies and measures and Projections
Information on how the recommendations of the Commission have been addressed
On decarbonisation (GHG) specifically:
Information on adaptation planning and strategies
Copies of biennial UNFCCC reports or National Communications
Estimates on improved air quality and emissions reductions of air pollutants
INTEGRATED REPORTING (2)
Biennial reporting
CLEAN ENERGY FOR ALL EUROPEANS
By 15 March 2021 and every year thereafter, reporting on:
Greenhouse gas inventories
Approximated greenhouse gas inventories (31 July)
Reporting on support to developing countries
Reporting on EU ETS auctioning revenues
Summary copy of a register of emergency crude oil stocks; information on offshore oil and gas installations
E-reporting platform
EC to establish a reporting platform for biennial progress reports and annual reporting
Facilitates communication between COM and MS
INTEGRATED REPORTING (3)Annual reporting
E-reporting
CLEAN ENERGY FOR ALL EUROPEANS
THANK YOU!
Paula Pinho
DG Energy, Unit A1
CLEAN ENERGY FOR ALL EUROPEANS
NEXT STEPS TO FOLLOW
June
September
August
JulyJanuary
October December
November
4th Trilogue
(conclusive)Legal linguist revision and translation
(check of consistency & cross reference
EP plenary debate &
vote
Signature
19/20
CRP (debrief &
endorsement; letter to EP)
29 10
EP Joint Committee
(confirmation of agreement)
CRP approval of EP position
(I point)
Council formal
adoption (A point)
OJ publication
& entry into force
2018 2019
DDL draft NECPs
CLEAN ENERGY FOR ALL EUROPEANS
2018 202120202019 203020292022 20242023 20262025 2027 2028
Draft Plans
(Dec '18)
Final Plans(Dec'19)
Assessment 2020 RES and
EE targets
Draft update of 2030 Plan
(June '23)
Final updateof 2030 Plan
(June '24)
Draft Plans(Jan '28)
Final Plansof 2031-2040
(Jan '29)
Biannual Commission assessment and recommendations Regional cooperation
TIMELINE
Member States
LTS(Jan '20)
Member States LTS
(Jan '30)
2031 2032 2033 2034
Draft Final Plans
(Jan '34)
Draft update(Jan '33)
Progress report
Progress report
Progress report
Progress report
Progress report
Progress report
COM recommendations 6 months before DDL final NECPs
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