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| NEWS |
| 12-01-2006 |
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Renewables group rejects 2007 review for Europe |
BRUSSELS, Belgium: The renewable energy industry in Europe says another report in two years on the sector’s progress, may result in more confusion for the industry, instead of more knowledge about green power.
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The December analysis by the European Commission cites administrative barriers and grid issues as crucial barriers to further development of green power, and it concludes that the EC should “closely monitor the state of play in EU renewable energy policy and, not later then December 2007, review the level of Member States systems for promoting renewables electricity.”
The European Renewable Energy Council called the communication a “profound document with an excellent analysis,” but says it does not understand why another report in two years would provide more knowledge about the industry.
“The Commission now must make clear that this report will not stimulate another debate on whether we should harmonise support mechanisms at a premature stage or not,” says Oliver Schäfer of EREC. “From their own findings, it is clear that this needs much more time, so why do they send out this confusing message? What kind of new findings do they expect within not even two years?”
“The Commission made an analysis of different support mechanisms for renewables electricity in the member states that speaks for itself, but I am really surprised about the conclusion that another report is necessary in 2007 again,” he adds. “We hoped to have clarity on the crucial issue of stability in the political framework. Now the debate could continue and can create confusion in the industry and amongst investors.”
On barriers to renewables, “this is partly a problem of member states that have not fully implemented the directive in its spirit, but only in its letters,” says Schäfer. “We urge the Commission to address these member states and remind them on the targets they accepted and the benefits they can gain by increasing the share of renewables significantly.”
The reduction of administrative barriers and grid issues, as well as the encouragement of technological diversity, are key issues that are fully supported by EREC, he adds.
The EC recommends a coordinated approach based on cooperation between countries and optimization of the impact of national schemes. One of the most important optimization measures is to create increasing legislative stability and thereby reduce the investment risk.
The communication also addressed the establishment of post-2010 targets for renewables but “disappointingly” the process shall be addressed during 2007 and not during 2006, he explained. “A setting of binding targets for 2020, as recently recommended by the European Parliament, would increase investor confidence and sent out a clear and reliable message.”
Due to varying potentials and developments in different countries, harmonization of support mechanisms would be very difficult to achieve in the short- and medium-terms, EREC concedes. Short-term changes to the system might potentially disrupt certain markets and make it more difficult for member states to meet their targets
EREC is an umbrella organization of renewable energy industry, trade and research groups in Europe, addressing photovoltaic, wind, small hydro, biomass, geothermal and solar thermal. The industry has annual revenue of Euro 15 billion and 250,000 employees.
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