European European PoliciesPolicies forfor Energy Energy and and EnvironmentEnvironment

Marco Canton

WhyWhy the European Union the European Union dealsdeals withwith

Energy and Energy and EnvironmentEnvironment??

WhatWhat are the are the mostmost interestinginteresting

opportunitiesopportunities for for

LocalLocal AuthoritiesAuthorities?? Tirano, 11 June 2010

IndexIndex

•• Just 1 minute of Brainstorming…Just 1 minute of Brainstorming…

•• LetLet’s ’s havehave a look at the a look at the figuresfigures!!

•• Energy and Energy and EnvironmentEnvironment on the on the LisbonLisbon TreatyTreaty

•• The The evolutionevolution of Energy of Energy PoliciesPolicies

•• The European The European Programmes Programmes

and and InitiativesInitiatives

TryingTrying toto understandunderstand……

•• WhyWhy EU EU dealsdeals with with

Energy Energy PoliciesPolicies??

•• Are Are EnvironmentEnvironment and Energy and Energy

the the samesame thingthing??

•• WhatWhat’s ’s happenedhappened in the last 2 in the last 2 years years

in Energy in Energy PoliciesPolicies??

•• WhatWhat is itis it supposed tosupposed to bebe improvedimproved in in EuropeEurope??

Some basic Some basic notionnotion……

•• The EU The EU aimsaims at at implementingimplementing whatwhat was was establishedestablished byby the the TreatyTreaty ((signedsigned and and acceptedaccepted in in allall their partstheir parts byby the the member member StatesStates). ).

•• FollowingFollowing the the Principles Principles

containedcontained on the on the TreatyTreaty, ,

the EU the EU worksworks out legislative out legislative bills bills

and and financingfinancing ProgrammesProgrammes

… … moreovermoreover……

•• The The EnvironmentalEnvironmental policiespolicies waswas alreadyalready presentpresent on on

the the previousprevious EU EU TreatiesTreaties. Energy . Energy isis considered considered

anan European Policy European Policy onlyonly withwith the the LisbonLisbon TreatyTreaty. .

•• The “The “ClimateClimate Action” (Action” (decdec. 2008) . 2008) couldcould bebe consideredconsidered the the

first legislative first legislative frameworkframework forfor Energy in Energy in EuropeEurope..

•• The “The “ClimateClimate Action” Action” containscontains severalseveral objectivesobjectives sharedshared byby

membermember StatesStates..

•• The European The European CommissionCommission preparesprepares and and proposesproposes

legislative legislative textstexts toto bebe presentedpresented toto the European the European ParliamentParliament and and toto the the CouncilCouncil..

((CodecisionCodecision procedure).procedure).

Some Some figuresfigures……

•• EU EU representsrepresents the 16% of the 16% of energyenergy consums consums

byby a a populationpopulation thatthat isis the 7,2% the 7,2%

of the global of the global population population

•• EU EU producesproduces the 20% of the 20% of globalglobal GDPGDP

•• EU EU isis the the biggestbiggest importerimporter forfor oil (19%) and oil (19%) and forfor gas (16%)gas (16%)

•• ProPro--capita capita consumconsum isis doubledouble of global of global averageaverage. . WeWe produce 3 produce 3 timestimes the global the global averageaverage..

Energy Energy consumesconsumes

••33% 33% LostLost duringduring the the transformationtransformation phasephase

••19 %19 % TransportsTransports

••17% 17% IndustryIndustry

••16% 16% BuildingsBuildings

••9% 9% ServicesServices

••6% 6% OtherOther

Power Power sourcessources

WhoWho reallyreally controls controls power power sourcessources ??

CNPC (China)Repsol

Petronas (Indonesia)ENI

Petrobras (Brazil)Total

Gazprom (Russia)Shell

PDVSA (Petrolio from Venezuela)BP

NIOC (Iran) National Iranian Oil Company

Chevron

Aramco (Saudi Arabia)Exxon

About 90% of stocksabout 10% of stocks

PotentialPotential savingsaving

•• ManifacturingManifacturing IndustryIndustry 25% 25% byby 20202020

•• TransportsTransports 26% 26% byby 20202020

•• BuildingsBuildings 27% 27% byby 20202020

•• Commercial Commercial BuildingsBuildings 30% 30% byby 20202020

EstimatesEstimates

•• WithoutWithout a a radicalradical changechange byby 2030 the EU 2030 the EU willwilldependdepend on on otherother StatesStates 90% 90% forfor oil and 70% oil and 70% forfor gas.gas.

•• The scarse The scarse stocksstocks presentpresent on EU are on EU are alreadyalreadyrunningrunning out out failfail. . Costs forCosts for oil and gas oil and gas miningminingare are alreadyalready increasingincreasing..

•• EU EU hashas a low power on the a low power on the

energyenergy price price determinationdetermination..

WhatWhat isis changedchanged with with LisbonLisbon TreatyTreaty??

Art. 4 Art. 4 paragraphparagraph 22

SharedShared competencecompetence betweenbetween the Union and the the Union and the MemberMember StatesStatesappliesapplies in the in the followingfollowing principalprincipal areasareas::

•• (a) (a) internalinternal market;market;•• (b) social policy, (b) social policy, forfor the the aspectsaspects defineddefined in in thisthis TreatyTreaty;;•• (c) (c) economiceconomic, social and , social and territorialterritorial cohesioncohesion;;•• (d) (d) agricultureagriculture and and fisheriesfisheries, , excluding excluding

the the conservationconservation of marine of marine biologicalbiological resourcesresources;;•• (e) (e) environmentenvironment;;•• (f) consumer (f) consumer protectionprotection;;•• (g) (g) transporttransport;;•• (h) (h) transtrans--EuropeanEuropean networksnetworks;;•• (i) (i) energyenergy..

WhatWhat isis changedchanged with with LisbonLisbon TreatyTreaty?(2)?(2)

Art. 2 Art. 2 ParagraphParagraph 22

WhenWhen the the TreatiesTreaties conferconfer on the Union a on the Union a competencecompetence sharedsharedwithwith the the MemberMember StatesStates in ain a

specificspecific area, the Union and the area, the Union and the MemberMember StatesStates maymay legislatelegislateand and adoptadopt legallylegally bindingbinding actsacts in in thatthat area.area.

The The MemberMember StatesStates shallshall exerciseexercise theirtheir competencecompetence toto the the extentextent thatthat the Union the Union hashas notnot exercisedexercised itsits

competencecompetence..

The The MemberMember StatesStates shallshall againagain exerciseexercise theirtheir competencecompetence toto the the extentextent thatthat the Union the Union hashas

decideddecided toto ceasecease exercisingexercising itsits competencecompetence..

WhatWhat isis changedchanged with with LisbonLisbon TreatyTreaty?(3)?(3)ENERGYENERGY

Art 194Art 194

In the In the contextcontext of the establishment and of the establishment and functioningfunctioning of the of the internalinternalmarket and market and withwith regardregard forfor the the needneed toto preservepreserve and and improveimprove the the environmentenvironment, Union policy on , Union policy on energyenergy shallshall aimaim, in a , in a spiritspirit ofofsolidaritysolidarity betweenbetween MemberMember StatesStates, , toto::

(a) (a) ensureensure the the functioningfunctioning of the of the energyenergy market;market;(b) (b) ensureensure security of security of energyenergy supplysupply in the Union;in the Union;(c) (c) promotepromote energyenergy efficiencyefficiency and and energyenergy savingsaving and the and the

developmentdevelopment of new and of new and renewablerenewable formsforms ofofenergyenergy; ;

(d) (d) promotepromote the interconnection of the interconnection of energyenergy networksnetworks..

Ordinary Legislative procedure: CODECISIONOrdinary Legislative procedure: CODECISION

WhatWhat isis changedchanged withwithLisbonLisbon TreatyTreaty (4)(4)

Art 194 Art 194 ParagraphParagraph 22

SuchSuch measuresmeasures shallshall notnot affectaffect a a MemberMember State's right State's right

toto determinedetermine the the conditionsconditions forfor exploitingexploiting itsits energyenergy

resourcesresources, ,

itsits choicechoice betweenbetween different different

energyenergy sourcessources and the and the

generalgeneral structurestructure of of its its

energyenergy supplysupply……

WhatWhat isis changedchanged withwithLisbonLisbon TreatyTreaty (5)(5)

Art. 192 Art. 192 ParagraphParagraph 33

GeneralGeneral action action programmesprogrammes settingsetting out out prioritypriorityobjectivesobjectives toto bebe attainedattained shallshall bebe adoptedadopted byby thethe

European European ParliamentParliament and the and the CouncilCouncil, , actingacting in in

accordanceaccordance withwith the ordinary legislative procedure the ordinary legislative procedure and after and after

consultingconsulting the the Economic Economic

and Social and Social CommitteeCommittee and and

the the Committee Committee

of the of the RegionsRegions..

The The evolutionevolution of of Energy Policy in Energy Policy in EuropeEurope

•• The The European European CoalCoal and Steel Community (ECSC)and Steel Community (ECSC) 1951 1951

and and EURATOMEURATOM 1957;1957;

•• The The InternalInternal MarketMarket waswas the the tooltool usedused byby ECC ECC totodevelopdevelop the Common Energy Policy;the Common Energy Policy;

•• The The 1973 oil 1973 oil crisiscrisis influenced influenced

the Common the Common approachapproach of the of the

energyenergy sectorsector..

The Common The Common approachapproach fromfrom ECSC ECSC totothe ‘90sthe ‘90s

•• ToTo reduce the ECC reduce the ECC reliancereliance onon

importedimported Energy;Energy;

•• SecureSecure and and durabledurable SupplyingSupplying ;;

•• Positive Positive EconomicEconomic conditionsconditions ;;

•• EnvironmentEnvironment..

ResolutionResolution of the European of the European CouncilCouncil 1974 “a new 1974 “a new strategystrategy forfor the ECC Energy the ECC Energy Policy” Policy”

(The (The guidelinesguidelines of the of the ResolutionResolution waswas notnot bindingbinding at at allall))

The The otherother stepssteps

•• 19951995 Green Green PaperPaper ((InternalInternal Energy Market, Energy Market, Energy free Energy free movementmovement…)…)

•• CommissionCommission failed failed the the introduction introduction of the of the Energy Policy in the Amsterdam Energy Policy in the Amsterdam TreatyTreaty 1997.1997.

3 3 DirectivesDirectives::

•• LiberalizationLiberalization of of electricelectric market (1996)market (1996)

•• LiberalizationLiberalization of of researchresearch forfor oil and gas oil and gas miningmining (1997)(1997)

•• LiberalizationLiberalization of gas market (1998)of gas market (1998)

Last Last YearsYears

•• Green Green PaperPaper 20002000 ““TowardsTowards a European a European StrategyStrategy forfor the the security of security of energyenergy supplysupply ” ”

TheThe APPROACH APPROACH isis CHANGED. CHANGED. The The intentintent isis toto actact on the on the Energy Energy DemandDemand. The new . The new ApproachApproach wantswants toto guide the guide the consumersconsumers towardstowards a a sustainablesustainable behaviourbehaviour on Energy on Energy SavingSaving in Building and in Building and TransportsTransports..

Green Green PaperPaper 20052005 ““DoingDoing More More withwith LessLess ””

Green Green PaperPaper 20062006 “A European “A European StrategyStrategy forfor SustainableSustainable, ,

Competitive and Competitive and SecureSecure Energy”Energy”

National National StrategiesStrategies are are establishedestablished byby National National GovernmentsGovernments and are and are differentdifferent State State byby StateState

ExampleExample: The : The DirectiveDirective on the on the energyenergyperformance of performance of buildingsbuildings

•• The The objectiveobjective of of thisthis DirectiveDirective isis toto promotepromote the the improvementimprovement of the of the energyenergyperformance of performance of buildingsbuildings withinwithin the Community, the Community, takingtaking intointo account outdoor account outdoor climaticclimatic and and locallocal conditionsconditions, , asas wellwell asas indoor indoor climateclimate requirementsrequirements and and costcost--effectivenesseffectiveness..

The The DirectiveDirective layslays down down requirementsrequirements asas regardsregards::

•• the the generalgeneral frameworkframework forfor a a methodologymethodology of of calculationcalculation of the of the integratedintegrated energyenergy performance of performance of buildingsbuildings;;

•• the the applicationapplication of minimum of minimum requirementsrequirements on the on the energyenergyperformance of new performance of new buildingsbuildings;;

•• the the applicationapplication of minimum of minimum requirementsrequirements on the on the energyenergyperformance of performance of largelarge existingexisting buildingsbuildings thatthat are are subjectsubject toto major major renovationrenovation;;

•• energyenergy certificationcertification of of buildingsbuildings;;•• regular regular inspectioninspection of of boilersboilers and of airand of air--conditioningconditioning systemssystems in in

buildingsbuildings and in and in additionaddition anan assessmentassessment of the of the heatingheating installationinstallationin in whichwhich the the boilersboilers are more are more thanthan 15 15 yearsyears old.old.

The “The “ClimateClimate Action”Action”

Il 20Il 20--2020--20 by 202020 by 2020On 23 On 23 JanuaryJanuary 2008 the European 2008 the European CommissionCommission put put forthforth anan integratedintegrated proposalproposalforfor ClimateClimate Action. Action. ThisThis package of package of proposalsproposals demonstratesdemonstrates thatthat the EU’s the EU’s climateclimate changechange targetstargets, , whichwhich werewere agreedagreed byby EU EU leadersleaders in 2007, are in 2007, are notnot onlyonlyattainableattainable butbut representrepresent a major a major economiceconomic opportunityopportunity forfor EuropeEurope. The . The documentdocument layslays out a out a strategystrategy byby whichwhich MemberMember StatesStates willwill bebe ableable toto slashslash theirtheircollectivecollective greenhousegreenhouse gas gas emissionsemissions byby at at leastleast 20% and 20% and boostboost the share of the share of renewablerenewable energyenergy toto 20% of total 20% of total consumptionconsumption byby 2020. 2020.

•• Reduction of 20% CO2 emissions Reduction of 20% CO2 emissions (compared to 1990)(compared to 1990)–– Unilateral commitmentUnilateral commitment

–– Reduction of 30% CO2 emissions in case of an International Reduction of 30% CO2 emissions in case of an International Agreement. Agreement.

•• 20% Energy Saving20% Energy Saving•• 20% 20% of of useuse of of energyenergy fromfrom renewablerenewable sourcessources..

•• 10% on Transports:10% on Transports:–– BiofuelsBiofuels

In concrete In concrete termsterms1 1 RegulationRegulation, 4 , 4 DirectivesDirectives e 1 e 1 DecisionDecision::Agreement on the promotion of the Agreement on the promotion of the useuse of of energyenergy fromfrom

renewablerenewable sourcessources

DirectiveDirective establishesestablishes a common a common frameworkframework forfor the promotion of the promotion of energyenergy fromfrom renewablerenewable sourcessources. . ItIt setssets mandatorymandatory nationalnational targetstargets(Italy 17%) (Italy 17%) forfor the the overalloverall share of share of energyenergy fromfrom renewablerenewable sourcessources in in grossgross final final consumptionconsumption of of energyenergy and and forfor the share of the share of energyenergy fromfromrenewablerenewable sourcessources in in transporttransport. . ItIt layslays down down rulesrules relatingrelating totostatisticalstatistical transferstransfers betweenbetween MemberMember StatesStates, joint , joint projectsprojectsbetweenbetween MemberMember StatesStates and and withwith thirdthird countriescountries, , guaranteesguarantees of of originorigin, , administrativeadministrative proceduresprocedures, information and training, and , information and training, and access access toto the the electricityelectricity gridgrid forfor energyenergy fromfrom renewablerenewable sourcessources. .

ItIt establishesestablishes sustainabilitysustainability criteriacriteria

forfor biofuelsbiofuels and and bioliquidsbioliquids..

The EU The EU ProgrammesProgrammesProgrammesProgrammes–– IEE IEE

–– Life+ Life+

��EuropeanEuropean Energy Energy ProgrammeProgramme forfor RecoveryRecovery

��ELENA ELENA -- IEBIEB

•• NetworksNetworks (ERRIN) Network (ERRIN) Network forfor European European RegionsRegions

•• OtherOther InitiativesInitiatives ((CovenantCovenant of of MayorsMayors))

NO – Infrastructures/hardware;

Demonstrations;

Research.

3 sub-programmes: SAVE – ALTENER – STEER

Integrated Initiatives: Regional Energy Agencies – Creation of local Networks

Up to 75%Average Budget: About 800.000 – 1 million Euro

27 MS + Norway, Liechtenstein, Iceland, Croatia, Turkey

Public or Private Bodies and International OrganisationNO natural person.

YES – Analysis for market development; Policies analysis;

Making aware campaigns; best practices/knoledge/tools exchange; development of new methodologies

Promotion of use of energy from renewable sources, energy efficiency, energysaving and biofuels.

IntelligentIntelligent EnergyEnergy--EuropeEurope ProgrammeProgramme

NO – research – Infrastructures –

Projects not in line with national priorities.

3 Components: Nature and Biodiversity - Politics and Governance - Information and

Communication

Partnership is admitted.

It is necessary a justification in case of projects with more than 5 partners

2 steps of evaluation: Environmental Ministry and European Commission

It is important to present project in line with national priorities.

For projects concerning priority species and habitat up to 75%.

Up to 50% for all other projects.

Budget for project: 1 million Euro (Average)

27 SM + Norway, Iceland, Switzerland, Liechtenstein + Croatia, Turkey, Macedonia + Serbia,

Montenegro, Albania, Bosnia Herzegovina, Kosovo

Public or Private Bodies and International OrganisationNO natural person.

SI – good practices exchange; dissemination

campaigns; innovation actions; support to

the legislation; management of Nature 2000;

…

Environmental Protection and Biodiversity Promotion. Preservation of natural resources,

integration of environmental Policies, Information Campaigns

LIFE Plus LIFE Plus

EuropeanEuropean Energy Energy ProgrammeProgrammeforfor RecoveryRecovery

43 major 43 major energyenergy projectsprojects whichwhich willwill significantlysignificantlycontributecontribute toto the the economiceconomic recoveryrecovery in the EU, in the EU, whilewhile increasingincreasing ourour security of security of energyenergy supplysupply bybycreatingcreating crosscross--borderborder infrastructureinfrastructure..

•• willwill help help toto speedspeed up and up and securesecure investmentsinvestments on on infrastructureinfrastructure and and technologytechnology projectsprojects in the in the energyenergy sector sector

•• willwill help help toto improveimprove the security of the security of supplysupply of the of the MemberMemberStates States

•• willwill help help toto speedspeed up the up the implementationimplementation of the 20/20/20 of the 20/20/20 objectivesobjectives forfor 20202020

ELENA ELENA EEuropean uropean LLocalocal ENENergyergy AAssistancessistance

ManyMany EU EU citiescities and and regionsregions havehave recentlyrecently startedstarted toto prepareprepare or are or are initiatinginitiating largelarge energyenergy efficiencyefficiency and and renewablerenewable energyenergy proposalsproposals tototackle tackle energyenergy and and climateclimate changechange challengeschallenges. .

HoweverHowever, , mostmost of of themthem are are stillstill at the at the conceptualconceptual stage and stage and theirtheirimplementationimplementation isis provingproving difficultdifficult becausebecause manymany regionsregions and and citiescities, , particularlyparticularly medium medium toto smallsmall onesones, , oftenoften do do notnot havehave the the technicaltechnical capacitycapacity toto developdevelop largelarge programmesprogrammes in in thisthis area. area.

ELENA ELENA helpshelps public public entitiesentities toto solve solve suchsuch problemsproblems byby offeringoffering specificspecificsupportsupport forfor the the implementationimplementation of the investment of the investment programmesprogrammesand and projectsprojects suchsuch asas retrofitting retrofitting of public and private of public and private buildingsbuildings, , sustainablesustainable building, building, energyenergy--efficientefficient districtdistrict heatingheating and and coolingcoolingnetworksnetworks, or , or environmentallyenvironmentally--friendlyfriendly transporttransport etc. etc.

ELENA ELENA EEuropean uropean LLocalocal ENENergyergy AAssistancessistance

FinancedFinanced through the through the IntelligentIntelligent EnergyEnergy--EuropeEurope ProgrammeProgramme..

ELENA ELENA supportsupport coverscovers a share of the a share of the costcost forfor technicaltechnicalsupportsupport thatthat isis necessarynecessary toto prepareprepare, , implementimplement and and finance the investment finance the investment programmeprogramme, , suchsuch asas::

•• feasibilityfeasibility and market and market studiesstudies;;•• structuringstructuring of of programmesprogrammes;;•• business business plansplans, , energyenergy auditsaudits;;•• preparationpreparation forfor tenderingtendering procedures procedures

-- in short, in short, everythingeverything necessarynecessary toto makemake citiescities' and ' and regionsregions' ' sustainablesustainable energyenergy projectsprojects readyready forfor EIB EIB fundingfunding..

OtherOther InitiativeInitiative : : Covenant of MayorsCovenant of Mayors

The The CovenantCovenant of of MayorsMayors isis anan initiativeinitiative toto bringbringtogethertogether the the mayorsmayors of of EuropeEurope’s ’s mostmost pioneeringpioneeringcitiescities toto exchangeexchange and and applyapply goodgood practicepractice totoimproveimprove theirtheir energyenergy efficiencyefficiency and and promotepromote low low carboncarbon business and business and economiceconomic developmentdevelopment..

•• The The CovenantCovenant of of MayorsMayors isis a a formalformal commitmentcommitment toto go go

beyondbeyond the EU the EU objectivesobjectives in in termsterms of of reducingreducing CO2 CO2 emissionsemissions..

OtherOther InitiativeInitiative : : Covenant of MayorsCovenant of MayorsSigningSigning the the CovenantCovenant commitscommits the the signatorysignatory toto ::

► ► PreparePrepare a a baselinebaseline emissionsemissions inventoryinventory

► ► SubmitSubmit a a SustainableSustainable Energy Action Plan (SEAP), 1st Energy Action Plan (SEAP), 1st anniversaryanniversary of the of the CoMCoM

signaturesignature

► ► SubmitSubmit anan implementationimplementation report report everyevery 2 2 yearsyears after after thatthat

► ► AttendAttend the the annualannual CovenantCovenant of of MayorsMayors conferenceconference

► Share ► Share experienceexperience withwith otherother areasareas, and , and promotepromote the the CovenantCovenant

► ► OrganiseOrganise energyenergy DaysDays

OtherOther InitiativeInitiative : : Covenant of MayorsCovenant of Mayors

WhyWhy join the join the CovenantCovenant of of MayorsMayors??

•• MakeMake a public statement of extra a public statement of extra commitmentcommitment totocarboncarbon reductionreduction

•• Create or Create or reinforcereinforce the the dynamicdynamic on on carboncarbon reductionreduction inin

youryour territoryterritory•• Benefit Benefit fromfrom encouragementencouragement and and exampleexample of of otherother

pioneerspioneers•• Share the expertise Share the expertise developeddeveloped in in youryour ownown territoryterritory

withwith othersothers

•• MakeMake youryour territoryterritory knownknown asas a a pioneerpioneer•• PublicisePublicise youryour achievementsachievements

OtherOther InitiativeInitiative : : Covenant of MayorsCovenant of Mayors

WhoWho can join the can join the CovenantCovenant of of MayorsMayors??

The The covenantcovenant isis aimedaimed primarilyprimarily at at CitiesCities, , becausebecause::•• Over Over halfhalf of of greenhousegreenhouse gasesgases are are createdcreated in and in and byby

urbanurban areasareas..

•• 80% of the 80% of the populationpopulation liveslives and and worksworks in in urbanurban areasareas

•• Up Up toto 80% of 80% of energyenergy isis consumedconsumed in in urbanurban areasareas

In In practicepractice, , toto signsign the the CovenantCovenant youyou needneed toto bebe the the leader of a leader of a locallocal authority: authority: thisthis maymay bebe anan urbanurban or or ruralruralauthority, and of authority, and of anyany sizesize..

ThankThank youyou for for youryour AttentionAttention..

AnyAny QuestionQuestion??

Marco CantonMarco Canton

cantonmarco@hotmail.comcantonmarco@hotmail.com