1. Financing the Energy Transition Between austerity and the Juncker Plan
Panel 3
Financing the Energy Transition
Between austerity and the Juncker Plan
Ulrich Samm, Member EESC / German Research Organisations
Monica Peña Sastre, European Investment Bank
Ben Vorhoorst, European Network of Transmission System Operators for Electricity
Kai Schlegelmilch, Green Budget Europe, market-oriented eco-fiscal policy
European Energy Dialogue Event, Brussels EESC 7 July 2017

2. Clean energy for all Europeans
10 opinions on the “clean energy package”
The EESC welcomes the "clean energy" package, which aims to accelerate, transform and consolidate the EU economy's clean energy transition, while retaining the important goals of economic growth and job creation
Challenges:
large investments needed (power systems, buildings, transport)
citizens at the heart of energy transition (consumers, prices, energy communities)
concerns about implementation in Member States (EEU)
reflection of the risks and obstacles needed

3. GDP Energy Intensity EU-28 Energy Efficiency Target for 2030
Index 100=2010
Energy Intensity
kg of oil equivalent per EUR GDP
increase 1.3 % per year since 2009
decrease 3.5 % per year
Eurostat
energy savings % per year since 2009
Energy Efficiency Target for 2030
EU objectives
Extrapolation of trend
energy consumption
30 % less
36 % less
energy intensity
32 % less
38% less

4. Greenhouse Gas Emissions
EU-28
Greenhouse Gas Emissions
including international aviation, indirect CO2 and excluding LULUCF
decrease 1.0 % per year
decrease 2.5 % per year since 2008
Eurostat
GHG Targets (level rel. to 1990)
EU objectives
Extrapolation of trend
2030
60 %
53 %
2040
40 %
41 %
2050
20 %
32 %

5. Share of renewable energy in gross final energy consumption
EU-28
Share of renewable energy in gross final energy consumption
increase of 0.75% per year
Share of RES
EU objectives
Extrapolation of trend
2020
20 %
2030
27 %
28 %
EUROSTAT

6. Can this trend be maintained ?
What are the main drivers?
Guidance
Law making (efficiency standards, labelling, fiscal policies, …)
Awareness raising about energy issues
Realisation
Investments for modernisation (explicit and implicit for energy)
Future developments
Modernisation based on existing rules. Challenge to MS.
How many new directives and regulations do we need?
European Energy Dialogue

7. EU-28
Investments needed until (annual average values)
bn €
Investments EUCO30
1115
energy related only, SWD (2016) 405
additional to REF2016
177
to meet new targets
Budgets available
EU budget
155
annual ( )
EU energy funding 17
EFSI, ESIF, CEF, ..
GDP EU-28
14693
2015
10% of GDP
1469
estimate for Member States budget
Total investments
2400
Scaled-up from numbers from D
The money has to come mainly from private sources in MS

8. Clean Energy for Europe - Perspectives and Challenges
EU objectives on energy efficiency and GHG reduction are realistic provided investments and innovation do not fall below the efforts of recent years
Efforts for clean energy are driven successfully by a combination of law making and awareness raising (energy dialogue)
Investments for general modernisation are besides explicit clean energy projects the main driver for energy efficiency improvements
Money will come mainly from private sources while EU instruments provide guidance and motivation
Risks
Economic growth is key for investments
Long pay-off time of investments (energy poverty)
Rebound effects (living standards, absolute versus relative figures)