1. Magyarország célba ér RES Policy in Hungary Huba Bence Energy Center Budapest 29. 11. 2007

2. Magyarország célba ér 1.About the Energy Centre 2.Present Situation 3.Hungarian Energy Policy 4.Energy efficiency 5.Development RES 6.Support scheme 7.Conclusions

3. Magyarország célba ér Energy Centre Department for Grants Department for Strategy and Environment Department for Statistics Energy Efficiency, Environment and Energy Information Agency Non-Profit Company

4. Magyarország célba ér Activities - Statistics Data collection and analysis for national and international goals in the full scale of the energetics  national Statistics (Hungarian Statistical Office, Ministries, Government)  EU Statistics (Eurostat)  International Statistics (IEA – Internationale Energie Agentur) Data collection and analysis for national and international goals in the full scale of the energetics  national Statistics (Hungarian Statistical Office, Ministries, Government)  EU Statistics (Eurostat)  International Statistics (IEA – Internationale Energie Agentur)

5. Magyarország célba ér Activities – Granting programs Coordination all grants in Hungary concerning energy efficiency and RES  National grants (for the residental sector, RES&EE)  EU grants  EIOP (Environment und Infrastructure)  EEOP (Environment and Energy) 2007-13  EE 150 Mio. Euro  RES250 Mio. Euro Coordination all grants in Hungary concerning energy efficiency and RES  National grants (for the residental sector, RES&EE)  EU grants  EIOP (Environment und Infrastructure)  EEOP (Environment and Energy) 2007-13  EE 150 Mio. Euro  RES250 Mio. Euro

6. Magyarország célba ér Activities – Strategical Dep. Supporting the Hungarian government by the preparation and implementation all decisions concerning:  Energy efficiency  Renewable energies Supporting the Hungarian government by the preparation and implementation all decisions concerning:  Energy efficiency  Renewable energies

7. Magyarország célba ér Hungarian Energy Strategy 2008-2020 Reliability reducing the import dependency RES&EE(Mix opt, diversif., storage, infrastr.) Competitivness cost reduction RES&EE(Liberalisation, real prices, R&D) Sustainabilty environmental protection RES&EE(climate change)

8. Magyarország célba ér Actual questions of the Hungarian energy politics The govenmental decision is prepared:  RES Strategical Development Plan  Energy efficiency strategy and action plan  National climate change strategy  Changes in the legislation  Electricity law  Gas law The govenmental decision is prepared:  RES Strategical Development Plan  Energy efficiency strategy and action plan  National climate change strategy  Changes in the legislation  Electricity law  Gas law

9. Magyarország célba ér Final energy consumption 1994-2005 (1.000 toe)

10. Magyarország célba ér Trends of the energy consumption 2005201020152020 Total primer energy consumption PJ1 153,21 1801 235 Ktoe27 54428 18429 497 Total electricity consumption GW h 41 98245 54048 91452 289 Transport sectorPJ164182189196

11. Magyarország célba ér Energy intensity [PP corrected GDP, in EU%] Energy consumption [PJ TPES/capita]

12. Magyarország célba ér National energy efficiency action plan Obilgation as EU Member State Target 2016 (2006/32/EK ) 9 years 1%/year (sum 63 PJ/year, financed by EEOP 11 PJ/year (estimated)) EU Target 2020 20 % Final consumption (without ETS) 695 PJ/year Difficulty: 2016-2020 next 11 % reduction Obilgation as EU Member State Target 2016 (2006/32/EK ) 9 years 1%/year (sum 63 PJ/year, financed by EEOP 11 PJ/year (estimated)) EU Target 2020 20 % Final consumption (without ETS) 695 PJ/year Difficulty: 2016-2020 next 11 % reduction

13. Magyarország célba ér Support of RES&EE Feed-in Tarif Grants EHA since 1991 (functioning) PHARE (2008 will closed) EHP programs (1997-1999) SZTEN-NEP (2000-2005) EU EIOP (2004-2006) Sum of the past activities in EE (1991-2007) 76 Mio. Euro grant 100 Mio. Euro special credit 17,23 PJ/year (1,5 %) EU EEOP 2007-2015 Feed-in Tarif Grants EHA since 1991 (functioning) PHARE (2008 will closed) EHP programs (1997-1999) SZTEN-NEP (2000-2005) EU EIOP (2004-2006) Sum of the past activities in EE (1991-2007) 76 Mio. Euro grant 100 Mio. Euro special credit 17,23 PJ/year (1,5 %) EU EEOP 2007-2015

14. Magyarország célba ér RES targets for 2010 were set comfortable

15. Magyarország célba ér Electricity and gas prices Electricity, non residental [HUF/kWh] Electricity, residental [HUF/kWh] Gas, residental [HUF/m 3 ] Gas, non residental [HUF/m 3 ]

16. Magyarország célba ér Energy mix in Hungary (TPES) RES Other Coal Nuclear Gas Oil Import dependency (67,3%) 78,5 %

17. Magyarország célba ér Distribution of RES 2006 Wood Solar Wind Biogas Hydro Biofuel Geotermal Other biomass Municipal waste

18. Magyarország célba ér RES by consumption areas PJ Biofuel RES-H RES-E

19. Magyarország célba ér Proportion of RES-E The Hungarian elecricity consumption and RES-E proportion Target for 2010

20. Magyarország célba ér Sum of feed-in costs

21. Magyarország célba ér The development of the RES-E production Other biomass Mun. waste Hydro Wood PV Wind Biogas

22. Magyarország célba ér The development of the RES-E by sources HydroWindM.wasteBiomassBiogas Installed RES-E capacity

23. Magyarország célba ér Fuel mix - heating Decentralised heat market 2005 District heating 2005

24. Magyarország célba ér RES-H fuel mix 2006 (37,5 PJ) Solar 0,2% Wood 37,8% Forestry waste and other biomass 49,0% Biomass 89,7% M. waste 2,4% Biogas 0,5% Geothermal 10,1%

25. Magyarország célba ér Targets for the increase of RES until 2020 RES Electricity form RES PJ GWh BAU POLICY BAU POLICY (2020%) (11%) (15%) (14,5%) (18%) 2005 55 55 1570 1570 2015 115 149 6070 7120 2020 136 186 7560 9470 Increase until 2015 60 94 4500 5550 EEOP (estimated) 41 1170 Increase until 2020 81 131 5990 7900 RES Electricity form RES PJ GWh BAU POLICY BAU POLICY (2020%) (11%) (15%) (14,5%) (18%) 2005 55 55 1570 1570 2015 115 149 6070 7120 2020 136 186 7560 9470 Increase until 2015 60 94 4500 5550 EEOP (estimated) 41 1170 Increase until 2020 81 131 5990 7900

26. Magyarország célba ér Potential of RES RES Type Estimation of the HAS (PJ) Used in 2006 (PJ) solar18380,1 hydro14,40,7 geothermal63,53,6 biomass203-32849,2 wind532,80,16 Sum-total2600-270053,8 HAS – Hungarian Academy of Scieneces

27. Magyarország célba ér Biomass potential estimated by the Ministry of Agriculture (5/2007) Biomass for energetic use Biofuels Bioethanol1330 kt/year = 36 PJ Biodiesel250 kt/year = 9,5 PJ Solid biomass (combustion)188,26 PJ Biogas25 PJ Total sum~260 PJ EEA estimation for the Hungarian biomass potential 145 PJ (sustainable use)

28. Magyarország célba ér Analysis of the renewable energy sources’ evolution up to 2020 Source: Forres

29. Magyarország célba ér Estimated development of RES-E factprognosis

30. Magyarország célba ér Estimated use of RES in 2020 PJ Biofuels RES-H RES-E

31. Magyarország célba ér Planed mix of RES in 2020 (policy)

32. Magyarország célba ér Future RES-E development by energy sources waste biogas biomass geothermal solar wind hydro

33. Magyarország célba ér Planed RES-H mix in 2020 Solar (thermal) Geothermal Biogas Biomass, wood Waste

34. Magyarország célba ér Estimated production from RES in 2020 RES-E2005201020152020 TotalGWh1,8034,0236,9129,470 HydroGWh202196219243 WindGWh105601,1221,700 Solar (PV)GWh0.10.30.40.5 GeothermalGWh0128370656 BiomassGWh1,5062,8094,5796,011 BiogasGWh25229500717 WasteGWh59100121142 RES-H2005201020152020 TotalPJ28.3050.1570.9587.05 Solar (thermal)PJ0.080.531.101.66 GeothermalPJ3.635.147.079.00 Biogas + biometanPJ0.071.844.566.12 Wood, biomassPJ23.9441.5856.9568.79 WastePJ0.571.051.271.49

35. Utilisation of renewable energy sources KEOP-2007-4.1Production of heat and/or electricity from renewable energy sources The improvement of energy efficiency KEOP-2007-5.1 The increase of energetical efficiency KEOP-2007-5.2 Third party financing The operational program for environment and energetics KEOP 2007-2013

36. Heat and/or electric power production from RES Aim:utilisation of RES Electricity Heat Sum of the available support: 2007-2008 13,3 billion HUF (ca. 53 Mio. Euro) 2007-2013 (2015) 63,4 billion HUF (ca. 253 Mio HUF)

37. Supported fields Biomass Biogas Geothermal Heat pump Solar thermal PV Wind (not connected to the grid) Hydro

38. Support of RES The applicants: companies, budget organisation and their institution and their majority ownership enterprises, and non-profit organisations The percentage of the support: between 10% and 50% according to the profitableness max. 500 Mio. HUF (ca. 2 Mio. Euro) / project (special case 800 Mio HUF) Minimum project size 10 Mio. HUF (ca. 40.000 Euro)

39. Energy Efficiency Aim:improvement of energy efficiency Sum of the available support: 2007-2008 8,8 + 1,8 billion HUF (ca. 64 Mio. Euro) 2007-2013 (2015) 42,3 billion HUF (ca. 169 Mio HUF)

40. Supported fields EE Buildings –Heating system –Lighting system and elecrtical Public lighting, District heating systems (primery side) Combination with RES

41. Support of EE The applicants: Companies (only for buildings), budget organisation and their institution and their majority ownership enterprises, and non-profit organisations The percentage of the support: between 10% and 50% according to the profitableness 14,5% for heating systems 10% for lighting and electrical systems max. 500 Mio. HUF (ca. 2 Mio. Euro) / project Minimum project size 10 Mio. HUF (40.000 Euro)

42. Third party financing Aim: modernisation of public institutions (heating and lighting) Sum of support: 2007-2008 1,84 billion HUF (7,4 Mio Euro) 2007-2013 15 billion HUF (60 Mio Euro) The applicants: ESCO companies

43. Magyarország célba ér National Energy Efficiency Program National support for the residental sector Energy efficiency Renewable energy sources 15% grant and 85% credit possible

44. Magyarország célba ér Energy Centre 1092 Budapest, Ráday u. 42-44. Energy Centre 1092 Budapest, Ráday u. 42-44. Tel: Fax: E-mail: Web: +36 1 456-43-02 +36 1 456-43-01 bence.huba@energycentre.hu www.energycentre.hu La ringrazio molto per la vostra attenzione! La ringrazio molto per la vostra attenzione! Thank you for your attention!