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EU Energy Council Meeting Covers Energy Security, Technology, Efficiency, Int'l Relations

December 5, 2008 // Published as a news service by IHS

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Topics for the European Union (EU) Energy Council meeting on Dec. 8 include the proposed Renewable Energy Directive, Eco-design Directive, European Strategic Energy Technology (SET) Plan and the second Strategic Energy Review.

The European Commission (EC) will also inform EU member states of recent developments in international energy policy, such as the visit by Andris Piebalgs, EC energy commissioner, to the countries of the southern gas corridor.

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In addition, the EC recently announced two related energy developments - one on electric cars and one on incandescent light bulbs.

Electric cars
The Renewable Energy Directive considers renewable electricity for electric cars as one of the ways that member states can use to reach the 10% target of renewable energy for transport (which do not only include biofuels).

Piebalgs will travel from the EC to the Energy Council meeting in an electric car provided by the European electricity association (EURELECTRIC) to express his support for electric cars.

Incandescent light bulbs
A decision on the phase-out of incandescent light bulbs is expected to be taken at the same time as the Energy Council discussions. There will be a meeting of the regulatory committee of the Eco-design Directive to approve new measures on this energy efficiency issue.

Two lighting panels have been prepared that will allow meeting participants to compare the electricity consumption of incandescent light bulbs and new, state-of-the-art models.

Energy and climate change
The EU Presidency is currently discussing the EC's climate change and energy package, which was proposed in January 2008, with the European Parliament, European Council and the EC in informal trialogue meetings.

The proposed Renewable Energy Directive is a key element of that package. Once adopted, it will set the long-term objectives and framework for the development of renewable energy in the EU.

Energy efficiency
The Presidency wants to give the Eco-design process a higher profile and add political momentum, especially in the context of the expected endorsement by the regulatory committee of the eco-design measure on household lighting, which will take place the same day of the Energy Council.

This was reflected in the Transport, Energy & Environment Council conclusion of Oct. 10, 2008, which welcomed the ongoing implementation and invited the EC to "submit in 2008 a draft regulation that will launch a gradual process of phasing out until incandescent lamps and all the worst performing lights are banned," which has been done.

This follows the request from the European Council in March 2007, which launched the procedure for the phase-out of incandescent light bulbs.

The EC will update member states on the latest and upcoming developments as regards the Eco-design Directive, also in the light of the Recovery Plan for Europe, where energy efficiency has a large role to play.

Modification of Eco-design Directive
In addition, the EC adopted a revision to the Eco-design Directive that would enlarge its scope from just energy-using devices to energy-related products, meaning goods that havean impact on energy consumption during use.

Establishing a single framework for the eco-design of products will ensure efficiency and consistency by using a common methodology for setting requirements for products at the EU level. It will thus avoid the risk of overlapping national and European Community initiatives.

In principle, EU member states welcomed the EC proposal. Although they had reservations on several points, these were accommodated in the text tabled by the Presidency.

The EC will welcome the quick agreement on a text and underline the importance of adopting this directive. The European Parliament will need to agree as well, and the hope is that this can be adopted in an agreed-upon first reading before the end of the legislature.

Second Strategic Energy Review
The second Strategic Energy Review (SER) was adopted by the EC on Nov. 12 as part of a package of proposals and reports. An energy efficiency package was adopted at the same time.

The focus of the upcoming review is mainly on energy security, which is clearly a matter of common EU concern.

The review will also take the first steps towards the next stage of an European energy policy, starting a process of defining the EU response to longer-term challenges likely to be met between 2020 and 2050.

The EC put forward a number of concrete actions, in its recent five-point EU Energy Security and Solidarity Action Plan:

  1. Infrastructure needs and the diversification of energy supplies.
    • Proposal of six energy security priorities for the EU (Baltic interconnection plan, southern gas corridor, LNG action plan, Mediterranean energy ring, north-south interconnections within Central and South-East Europe, North Sea offshore grid).
    • Public consultation launched with energy networks green paper.
  2. External energy relations.
  3. Oil and gas stocks and crisis response mechanisms.
  4. Energy efficiency, including a separate 2008 energy efficiency package.
  5. EU's indigenous energy resources, including proposals to make better use of renewable, fossil fuel and nuclear energy resources.

The EC will present the second Strategic Energy Review to energy ministers and sound out their reactions. The objective is to prepare the ground for positive conclusions at the February 2009 Energy Council meeting, with a view to reaching council conclusions for the European Council in March 2009, echoing the key themes of the SER: infrastructure and investment, energy efficiency, external energy policy and common voice, emergency mechanisms and indigenous energy reserves and leading to a new energy action plan.

International relations
The EC will brief EU member states on the latest developments in international energy relations. The EC has intensified energy cooperation with third countries, in line with the member states' call for strengthening dialogues and partnerships with producer, transit and consumer countries.

Major developments have occurred on the state of implementation of the external priorities outlined in the Energy Policy for Europe Action Plan 2007-2009. Examples include:

  • The Russia Permanent Partnership Council on Energy (PPC) of Oct. 8 confirmed EU and Russia commitment to an effective energy dialogue and to progress on the Early Warning Mechanism.
  • The opening of negotiations with Ukraine and Moldova upon accession to the Energy Community. The next Ministerial Council will take place in Tirana on Dec. 11, 2008.
  • The increasingly important EU relations with Central Asia and the Caucasus, underscored by recent events in Georgia. The EC has been focusing its efforts in the region, inter alia, on the establishment of a "southern corridor." The EC will provide updates on recent meetings in the region, including its participation at the Energy Summit organized under the auspices of the "Krakovie energy security initiative" in Baku on Nov. 14.

The EC has also progressed in the implementation of the memorandum of understanding on strategic energy partnerships with the Ukraine, Turkmenistan and Azerbaijan.

In addition, the EC signed a memorandum of understanding on energy with Egypt on Dec 3. Preparations are underway for the investment conference on the rehabilitation and modernization of Ukraine's gas transit system, currently planned for March 23, 2009.

The EC will report on main decisions made at the Energy Charter annual conference held in Athens on Nov. 28.

It will also report on the launching of the Mediterranean Solar Plan and the major steps taken with the African Union EC for accelerating the implementation of the EU-Africa Energy Partnership.

The EC also reported it is close to an agreement on the terms of association for the International Partnership for Energy Efficiency Cooperation, together with the G8 countries and the emerging economies - China, India, Brazil, South Africa and Mexico.

European Strategic Energy Technology plan
The EC will update the Energy Council on the implementation progress of the SET Plan, which was adopted by the EC on Nov. 22, 2007. It forms an integral part of the climate and energy package that the EC has been putting in place in 2007 and 2008.

The EC calls for actions should be taken in a short-term horizon for the development and increased performance of the low-carbon technologies to have a significant impact before or by 2020 in terms of cost competitiveness with other supply sources.

The SET Plan has put in place a process to rationalize and render more effective current efforts by the EU and its member states, plus industry, research and financing communities.

Increased effectiveness of the use of financial resources and new investment are needed to boost the employment opportunities and to ensure the global leadership of EU industry.

Source: European Commission.

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