1. Renewable Energy Directive Øyvind Vessia Policy Officer European Commission, DG Energy – Renewables and CCS Policy

2. Content The Renewable Energy Directive The biofuel debate The biomass debate (for heating and electricity)

3. Targets for renewable energy have worked Renewable sources accounted for 13% of the EU's energy consumption in 2011 Source: Eurostat

4. German PV

5. Content The Renewable Energy Directive The biofuel debate The biomass debate (for heating and electricity)

6. NREAPs: Technology breakdown in the transport sector towards 2020 Biodiesel Bioethanol

7. What land resources do we have? Other land [31 Mill Km2] Cropland [12 Mill Km2] Pasture [12 Mill Km2] Savannah [31 Mill Km2] Forest [40 Mill Km2] Cropland [12 Mill Km2] IFPRI result: 0.017 Mill Km2 (1.7 Mha), equal to 0.14 % of existing cropland World’s available land: 126 Mill Km2 Biofuels is not the only user of land: Cropland increases 20 times more in the baseline (BAU) than what is caused by the biofuel demand (34 Mha)

8. EU total vegetable oil trade and biodiesel production

9. Source: Figure 18 of IFPRI-report Feedstock specific results Vegetable oils Cereals and sugars

10. Commission's proposal 1) Limit to incentives for 1 st gen biofuels (5%), effectively creating a gap between 5% and 10% 2) Increased incentives for renewable fuels that do not use land for its production (Annex IX) through quadruple accounting (which is flexible) 3) Reporting of ILUC-estimates

11. Content The Renewable Energy Directive The biofuel debate The biomass debate (for heating and electricity)

12. Renewable energy outlook (source: National Renewable Energy Action Plans) Bioenergy: key role to achieve 20% target

13. The forest cycle Thinning Ash recycling Thinning Timber harvest Harvest of residues Regeneration Pre-commercial thinning

14. The forest sector response to bioenergy demand is complex and varying depending on forest properties, existing industrial structure and governance structure. The outcome for forest C stocks is determined by the sum of all changes in management and harvest regime that are introduced. AB A and B denote two possible cases of forest bioenergy accounting. ’Project A’ would clearly appear to be much more favourable for the climate than ‘project B’ in an evaluation that narrowly considers a distinct forest bioenergy project (either A or B) and that uses a relatively short time horizon. Yet, both ‘project A’ and ‘project B’ are components of the same forest management regime that have undisputable net substitution benefits. Closing the bioenergy markets for individual forest operations, due to GHG performance below some threshold level, is problematic since the different operations often presupposes each other. For example, if energetic use of small stems from thinning operations is not possible then forest owners have little incentive to shift to higher density planting and there will in general be reduced incentive for thinning operations improving stand conditions. 14

15. The concept of GHG emission space, which focuses on accumulated emissions up to a given year, is relevant in relation to temperature targets since the peak warming appears to be insensitive to the CO 2 emissions pathway, i.e., timing of emissions or peak emission rate One critical strategic question is how society should use the remaining space for GHG emissions 15

16. Some of the emission space might be required for developing a bioenergy industry capable of providing renewable and climate friendly energy services for the world on a long term Unless they are very high, forest C stock losses do not automatically disqualify bioenergy options from being part of a long term solution to the climate problem Remaining emission space Fill it up with fossil carbon...or use some space for developing alternatives to fossil fuels? Bioenergy development Non-fossil fuel related 16

17. Conclusion The Renewable Energy Directive – a success Biofuel debate on-going with the co-legislators in the Parliament and the Council Complex but emotional Food vs. fuel? GHG savings? Biomass debate on-going Carbon accounting Energy system development

18. Thank you for your attention Oyvind.VESSIA@ec.europa.eu Renewable Energy: http://ec.europa.eu/energy/renewables/index_en.htmhttp://ec.europa.eu/energy/renewables/index_en.htm