E.ON on the Romanian Energy Market ZF Power Summit Bucharest, February 27, 2013 Frank Hajdinjak CEO E.ON România.

Slides:



Advertisements
Similar presentations
Adapting to a Changing Energy Environment Russ Girling, President and CEO, TransCanada Corporation May 15, 2012 STRIKING A BALANCE IN THE MIDST OF CHANGE.
Advertisements

A 2030 framework for climate and energy policies Energy.
Donors’ Conference on Sustainable Energy for Kosovo
Energy Technologies and Environmental Protection April 3 rd, 2006, Bucharest.
1 ENERGY STRATEGY AND PROJECTS OF ENERGY COMMUNITY INTEREST Future water use and the challenge of hydropower development in the Western Balkans
SAUDI ELECTRICITY COMPANY (SEC)
EBRD Support for Renewable Energy and Energy Efficiency projects Ian Brown Power & Energy Utilities Team Pristina, 14 May 2013.
1 A Review of Potential Gains from Reforms ECRA Workshop 6 November 2006 Dr Brian Wharmby Independent Consultant, former Technical Director of Ofgem
EStorage First Annual Workshop Arnhem, NL 30, Oct Olivier Teller.
Russia in global energy context Remarks at the 11th Annual Global Energy Forum by Yevgeny Zvedre, Science & Technology Attaché Embassy of the Russian Federation.
Business Portfolio Adding Value to Investors Luiz Fernando Rolla CFO October, 2008.
World Forum on Energy Regulation IV Athens, Greece October , 2009 Regulatory challenge of Russian energy sector reform Dominique Fache, General.
FUTURE IN ENERGY. The biggest co-generation high efficiency power plant in Romania, built in Suceava Investment value: over EUR 90 mil Used fuels: natural.
Energy Tom Howes DG Energy European Commission Europe's renewable energy strategy.
Exploring Energy Opportunities In India NABC Conference June 29, 2006.
VSE a.s Page 1 Východoslovenská energetika a.s. We invest in the region Košice, October 19, 2010.
SUSTAINABLE ENERGY REGULATION AND POLICY-MAKING FOR AFRICA Module 13 Energy Efficiency Module 13: SUPPLY-SIDE MANAGEMENT.
An Overview of Our Regulatory Proposal
RENEWABLE ENERGY POLICY. Renewable energy is energy that comes from resources which are continually replenished such as sunlight, wind, rain, tides, waves.
Renewable Energy: Legal and Policy Issues Frank Prager Vice President, Environmental Policy Xcel Energy November 20, 2009 Frank Prager Vice President,
FY Preliminary AssessmentQuick Wins by 2015 National Sector Strategy ● Need the mid- to long-term Power M/P based on demand forecast.
Electric Generation Reliability Remarks Before the Pennsylvania Public Utility Commission 2011 Summer Reliability Assessment Meeting June.
LOGO Ho Chi Minh - November Developments in Energy Sector And Target I. Power Development Plan (Master Plan VII) approved by Vietnam.
March 2012 © European Bank for Reconstruction and Development 2010 | Financing and investment in Russian power industry European Bank for.
POWER SECTOR POLICY OVERVIEW ASSOCIATION FOR POWER UTILITIES OF AFRICA (APUA) SCIENTIFIC COMMITTEE CONFERENCE Presentation by Mr. M. Mulasikwanda Department.
24 Jan What is Energy Policy?ECONOMICS ENVIRONMENT ENERGY SECURITY.
The Opportunities for Green Investment. Role Mission: “ To stimulate, facilitate, and promote investment opportunities for foreign and local investors.
Panel on Water, Food and Energy Overview of the Water & Energy issues and their linkages with food Richard Taylor, Executive Director, International Hydropower.
Infrastructure & Cities Sector – Smart Grid Division © Siemens AG All rights reserved. October 2012Page 1 The Smart Grid by Siemens Constant energy.
Andrea Ricci - ISIS Brussels, 12 April 2012 Smart Grids: Overview of the study and main challenges 1.
ENERGY MIX IN SENEGAL WHICH ONE TO CHOOSE? General Directorate APUA CONGRESS. LUANDA 2014 Safiétou DIALLO Technical Adviser.
Ideas for liberty The Energy Challenge for Europe – and Lithuania Vilnius, 21 October 2008 Carlo Stagnaro Director, Research & Studies Istituto Bruno Leoni.
RENEWABLE ENERY & BIOMASS COGENERATION TRAINING – KENYA BY LEWIS B. MHANGO.
1 1 CURRENT ENERGY POLICY CHALLENGES. THE 2030 ENERGY AND CLIMATE FRAMEWORK DG Energy, European Commission.
Dr. Ion LUNGU AFEER President. DRIVERS FOR INVESTMENTS Demand; Fuel availability; Market signals; Production costs; Energy mix; Environmental concerns;
Effective liberalization: an investor's perspective Matteo Codazzi Country Manager and CEO ENEL Romania “Sectorul eniergei electrice” Bucharest – 2007,
Impact of Liberalization of the Electricity Market on Energy Efficiency, Quality of Supply and Environmental Performance Eric BONNEVILLE ECI Webconference.
Key Industry Challenges Regulatory Perspective Michael G. Tutty Chairman Commission for Energy Regulation 13 October
The Smart Grid: A Brief Introduction Qinran Hu Ph.D. Candidate Jun 12 th, 2014 Knoxville, Tennessee.
Consumer Empowerment Consumer Empowerment May 15, 2012 Presented by: Alparslan Bayraktar Commissioner Energy Market Regulatory Authority of Turkey (EPDK)
Ensuring the delivery of secure low carbon energy David Green Chief Executive, UKBCSE.
FOR SIXTY YEARS WE HAVE BEEN TAKING THE POWER FROM WATER AND HANDING IT OVER TO NATIONS LINKING THE DOTS Bucharest, February 20, 2014.
1 The Regulatory Authority for electricity and gas: an overview of the legislation The Regulatory Authority for electricity and gas: an overview of the.
Wind & Transmission: The Clean Energy Superhighway Mark Lauby Manager, Reliability Assessments, NERC.
The strategy for improved electricity distribution maintenance 9 June 2008.
THE LONG-TERM ENERGY SUPPLY AND DEMAND OUTLOOK IN TAIWAN ENERGY COMMISSION MINISTRY OF ECONOMIC AFFAIRS AUGUST 2001 MOEA -15-
UPDATES ON THE LATEST DEVELOPMENTS IN LITHUANIA Aistija Zubaviciute National Control Commission for Prices and Energy 3 April 2007, Riga.
A Brave New World Cathy Woollums, SVP, Environmental and Chief Environmental Counsel NASUCA Mid-Year Meeting – June 2, 2014.
DISTRIBUTED GENERATION, RENEWABLE ENERGY AND SUSTAINABILITY. IMPACT ON POWER QUALITY AND NETWORK PLANNING “Inauguration of the 6th Framework Programme”
Secondary legislation on renewable today and tomorrow Nicolae Opris Vicepresident, ANRE ANRE ROMANIAN ENERGY REGULATORY AUTHORITY.
Limiting Global Climate Change to 2 °Celsius The way ahead for 2020 and beyond Jos Delbeke DG ENV Director Climate Change & Air Energy for a changing world.
The global energy landscape and its impact on Bangladesh Dr. Boris Gehring TÜV SÜD Slide 1 13/10/15‘Safe Future Now’ Summit on Power and Energy in Bangladesh.
Energy Transition: Reforms, Investment and the Post-Paris Agenda Dr. Robert Ichord CEO, ICHORD VENTURES, LLC February 4, 2016.
HIGH LEVEL FORUM “SECURITY OF ELECTRICITY SUPPLY IN KOSOVO” ENERGY POLICY FRAMEWORK IN KOSOVO LUAN MORINA, HEAD OF DEPARTMENT FOR ENERGY PRISHTINA, MARCH,01,2016.
M-WERC Overview 3/14/16 Alan Perlstein Executive Director & CEO Midwest Energy Research Consortium.
India Development Strategy (FY2012–FY2016) ADB India’s Country Partnership Strategy (2013 – 2017) ADB’s Long-Term Strategic Framework (Strategy 2020)
9 June, 2016 Energy policy in Germany – Towards a policy for sustainable and independent energy Eszter Pászti - Márkus Science and Technology Attachée.
Turin Final Conference 25 September 2014 Work Group 1 Cordelia Koenig Ministry of Urban Development and Environment Hamburg Turin Final Conference 25 September.
ROMANIA NATIONAL NATURAL GAS REGULATORY AUTHORITY Public Service Obligations in Romanian Gas Sector Ligia Medrea General Manager – Authorizing, Licensing,
RENEWABLE ENERGY REGULATION IN KENYA KENYA-SPAIN MULTILATERAL PARTNERSHIP MEETING HELD AT CROWNE PLAZA Presented by Caroline Kimathi Asst Manager, Licensing.
CARILEC. An Association of Electric Utilities CARILEC An Association of Electric Utilities The Caribbean Electric Utility Service Corporation (CARILEC)
© 2016 Global Market Insights, Inc. USA. All Rights Reserved Ring Main Unit Market trends research and projections for 2017 – 2024.
Comparison between Wind Energy Public Policies in Brazil and Colombia
South East Europe Regional Consultation Meeting Bucharest, Romania 6 – 7 October 2016 Session II: Opportunities and Challenges in RE Deployment in the.
Chairman of the Board and CEO,
State Electricity Regulatory Commission BOSNIA AND HERZEGOVINA
REFLECTED IN JAMAICA’S ENERGY POLICY
Overview on Renewable energy in Bulgaria
ERERA AND ECOWAS ELECTRICITY MARKET DEVELOPMENT AND REGULATION
ROMANIA 2019 NEEDS IDENTIFICATION ROMANIA 2019.
Presentation transcript:

E.ON on the Romanian Energy Market ZF Power Summit Bucharest, February 27, 2013 Frank Hajdinjak CEO E.ON România

Challenges Going Forward Natural Gas and Power Supply Liberalization of the energy market and transparency; Increase of tariffs and proper management of impact on vulnerable customers; Consolidation and increase of competition; Security and development of current customer portfolio; Improvement of energy efficiency. 2

Challenges Going Forward Natural Gas Distribution Legal/regulatory framework of support and incentives for long-term investments and continuous improvement; Grid upgrade and grid losses reduction; Rehabilitation of pipelines and connections; Security of the network and reliable services for our customers; Implementation of innovative solutions and latest available technologies, grid automation (e.g. SCADA, Smart Metering); Uncertainty regarding application of tariff methodology in the gas distribution for the third regulatory period ( ). 3

Challenges Going Forward Power Distribution Legal/regulatory framework of support and incentives for long-term investments and continuous improvement; Improvement of distribution service quality; Grid upgrade and of grid losses reduction; Integration in the grid of significant production capacities of intermittent renewable energy sources (wind and solar); Significant growth of distributed energy production share (renewable resources and low-power cogeneration) connected to the distribution network; Innovative solutions and latest technologies (e.g. Smart Grid, Demand Response, Virtual Power Plant, Generation Integrated Weather Forecast) to ensure an optimal integration of intermittent renewable sources, and safety of the national energy system. 4

Energy Market Overview  80% of thermal power plants in Romania are too old, being installed in the 70’s - 80’s.  65% of electricity distribution networks and 40% of gas distribution networks (RED) are aged.  70% of the natural gas transportation networks are too old. Source: Updated Romanian Energy Strategy for the period

Energy Market Overview  More than half of electricity produced in 2012 stems from traditional power plants, especially based on coal;  Most of the thermal power plants don’t have high tech equipment to reduce pollution and risk being closed starting with 2014;  Power plants have to bear costs of hundreds of millions of Euros, to upgrade existent capacities according to European Environmental Standards, to modernize electricity generation capacities and to increase energy efficiency. Source: Updated Romanian Energy Strategy for the period 2011 – 2020, INB6

Energy Market Overview  Needed investments for the next ten years are estimated to ca. Euro Billion. More than half of it should be directed towards new electricity generation capacities ;  Foreign investors operating in the energy sector have invested over Euro 16 Billion in Romania since 2002;  The investments made so far by the foreign companies represent only a part of the overall financial effort required to modernize the energy sector;  Foreign direct investments are the most important source for the following years. Source: Updated Romanian Energy Strategy for the period 2011 – 2020,, CIB7

Conditions to be Achieved General conditions:  Stability, Predictability, Transparency, Fair and Non-discriminatory Treatment for the operators. Specific conditions:  Adapting methodologies taking into account the technical economic requirements for the transformation of the energetic system;  Ensuring the independence of the regulator;  Consulting and involving relevant operators in the process of adapting the regulatory framework;  The operators activity should be stimulated and encouraged for further streamlining (sharing efficient earnings);  Ensuring a favorable climate for investments;  Promoting investments in innovative solutions and new technologies;  Minimize risk investments, especially those related to regulatory framework by avoiding uncertainties. 8

E.ON Investments in Romania  Investments were directed to an area of high importance: gas and electricity network rehabilitation and modernization;  Last year, the investments exceeded Euro 85 Mil. and for this year, the targeted investments are around Euro 87 Mil.;  Since it entered on the Romanian energy market in 2005, E.ON has invested about Euro 1 Billion. 9 During , E.ON has rehabilitated and upgraded approximately 4,840 km of gas network, more than the total length of Romania’s borders. Investment in electricity distribution have focused on the modernization works in over 110 transformation stations and replacement of over 1,260 km of power lines.

E.ON Group in Romania 10 Key figures Volumes* (TWh) Gas262730*** Power333.8*** Investments (Mio. RON) ** Length of the gas distribution network (Km) 19,68719,90020,000 Length of the power distribution network (Km) 79,40279,80080,100 * Trade volumes ** 2012 Statutory Reporting (estimated figures) *** 2012 IFRS Group Reporting (final figures)

Supply – E.ON Energie România  Improved market positioning on Romanian energy market, to build on potential generation options;  Stabilization of regulated sales segment and targeted eligible sales expansion;  Offer better services (focus on implementation of Continuous Customer Centric Culture) and products (e.g. dual fuel plus value added services, such as energy efficiency services). Distribution – E.ON Gaz Distribuţie and E.ON Moldova Distribuţie  Continue sustainable level of network investments;  Increase safety for our customers and employees;  Focus on operational excellence, especially via continuous efficiency improvement (including lean management and grid automation). E.ON Romania - Strategic Directions 11

Thank you for your attention!