AgendaESHA Governing Board

Brussels, 03.02.2006, 10.00 – 16.00New Renewable Energy House

Participants:Bernhard Pelikan ESHA PresidentChrister Söderberg SEROChristine Lins ESHADavid Miller IHPADavid Williams BHAGhislain Weisrock GPAEHubert Zimmer Renewables for Development – RforDHugues Albanel GPAEJacques Fonkenell SCPTHJanusz Steller Polish Academy of ScienceJean-Pierre Corbet SCPTHJørgen KrogsgaardMaría Laguna ESHAMaurice Morello Syndicat EcowattNino Frosio Studio FrosioPeter Schubert Kleinkraftwerk ÖsterreichPetras Punys Lithuanian Hydropower AssociationPhilippe Beutin ADEMESara Gollessi APERSreten Škuletic University of MontenegroVeit Welsch Bundesverband Deutscher WasserkraftwerkeVincent Denis MHyLabWendy Lakin ESHA

Bernhard Pelikan welcomed the Board Members and especially welcomed a new Board Member David Williams, new CEO for BHA, as well as Mr. Sreten Skuletic from the University of Montenegro and Ms. Sara Gollessi from APER in Italy.

The following points of the agenda were discussed.

1. Presentation of new REH

a) Energy ConceptFor the first time, the ESHA Governing Board met in the new Renewable Energy House in Brussels, to which ESHA moved in early January. Christine gave a short overview of the

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REH and the energy concept and mentioned that it was different to the previous house on several grounds.

Firstly, this REH now houses all the associations’ members of EREC. Indeed, EPIA (photovoltaic), EGEC (Geothermal), and EUBIA & AEBIOM (Biomass) have joined the already housed members. Secondly, it also differs as it uses renewables for heating and cooling. There is a pellet heater in the basement, which heats the main house, and a geothermal heat pump for the back building. There are solar thermal panels, which will be used for the absorption cooling system in the summer, and PV technology is also present on the roof and façades. Only two renewable energy technologies (SHP and wind) are not directly represented in the building with concrete installations, however they will be showcased in the courtyard.

The house has recently been visited by the Belgian Prime Minister Guy Verhofstadt, who will also participate in the REH inauguration ceremony on 22 March along with Prince Laurent and Andris Piebalgs, Energy Commissioner, which will greatly help spread the message for renewables. There are plans to find a green electricity supplier for the REH so that it can claim 100 % renewable energy supply.

The renting contract is of a fifteen-year duration. It was initially thought that some areas of the house could be rented out, but finally the house is full. In the future it may also be possible to rent the house next door, currently occupied by the EPP political party.

Christer reiterated the fact that without the Prince’s interest in renewables, the house may not have been. Christine added that he already has other projects in mind, with which the REH could also help.

b) Inauguration CeremonyThe official inauguration ceremony is planned for the 22 March 2006, the day before the Spring Council meeting, which will discuss among other things security of energy supply and is therefore a great date strategically.

The ceremony will be attended by both Prince Laurent and Guy Verhofstadt, and will include a press conference, a ribbon-cutting ceremony, a workshop on energy concept, and a gala reception for 200-250 people. Each association will have a limited quota for participation, which Christine will communicate to ESHA in due course. The programme of the inauguration is expected to be finalised by mid February.

2. Budget & Workplan 2006

Budget:Christine explained the main figures of the operating statement and balance sheet 2005 to the members and showed that the result was slightly negative overall, due to the decline in membership fees.

Bernhard indicated that the membership fees still only brought in less than 40% to the budget, and as such ESHA is still highly dependent on projects partly financed by the Commission. ESHA is still manageable, but using some of its reserves. Spending is what was expected. The 2006 budget holds a considerable increase due to the new model for fees (representation by installed capacity per country) that was adopted in the previous Governing Board.

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As ESHA space in the new building is larger, the rent has increased, however ESHA will also be saving money by being able to use the meeting rooms available nowadays.

2 major contracts will be starting this year (RESTMAC & Technology@Work) which will bring in funding, and two other proposals have been submitted earlier this year and ESHA is confident at least one will be accepted which will furnish ESHA with a stable source of financing for two years from 2007 onwards. The RESTMAC project will partly fund Hidroenergia2006.

Janusz asked about the new membership fee allocation, and Christine promised to send him all the information he requested.

Regarding ESHA staff, María will continue on as Project Manager. She performed an excellent job on the TNSHP and new projects are on their way.

Workplan:

1. WFD versus RES-e :Bernhard began by stating that the workplan was drawn up to represent what ESHA should be doing for the next year, what is necessary, but also to convince the national associations of what ESHA’s plans are for 2006 together with a status report. Bernhard followed by a short explanation and pointed out the importance of the WFD and hydromorphology, as the costs of their measures are important.

Ghislain Weistrock remarked the importance of addressing 2 ecological objectives: on the one hand good ecological status and on the other than CO2 emission reduction.

David Miller brought up that the recently created working group on WFD and hydro morphology under the Strategic Coordination Group (SCG) for the implementation of the WFD and ESHA’s inclusion in it should push for a concession in the implementation of the directive.

Hugues Albanel brought up the lack of support for SHP from DG TREN. Christine answered that B. Yordi who is in charge of renewables is active, but overburdened at the moment to deal with WFD and the Electricity Directive. Christine expressed the importance that the working group on the WFD of ESHA come up with a position paper that can be use in the recently created working group on WFD and hydro morphology under the Strategic Coordination Group (SCG) for the implementation of the WFD. This working group has been formed, as a request of ESHA to the Water Directors and should deliver the information in the course of 2006.

Peter Schubert stated that the WFD cannot be erased, and that the main point of the working group should be to convince the national governments to use the space for interpretation that exist in the directive.

Two meetings of the ESHA Working group on WFD were arranged:- 1st Meeting – Brussels, 21 March 2006 from 10.00- 2nd Meeting – Munich, April/May 2006.

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This WG is composed by: Petras Punys (LHA), David Williams (BHA), Hugues Albanel/Ghislain Weisrock (GPAE), Manuel Bustos (APPA), Veit Welsch (BDW) and Bernhard Pelikan.

2. Image of SHP:It is important to continue the work on SHP image. Projects such as the TNSHP and resulting brochures are to be continued to convince the general public as well as the political spectrum, so also need to continue contracts with the Commission.

The image should also be more than just figures, however, correct figures from each country represented in the Governing Board should be given, both for Hydropower as a whole but also more specifically for SHP.

Christine mentioned that ESHA needs to come up with a position regarding the IHA Sustainability Guidelines by ESHA. Bernhard explained that he tried to get and student working on this issue. Bernhard will keep on trying with this and ESHA will discuss this topic in Crieff. Christine underlined the importance of this since most probably ESHA will be asked by the IHA to take a position on this in the following months.

3. Contribution to discussion on RES contribution to security of energy supply:

ESHA will work together with EREC on a position on the future green paper on security of energy supply that it’s planned to be lunched by the EC by 8th March.

GPAE suggested to form a working group on Support Systems, APER, SERO will joint this group. KÖ most probably, APPA needs to be asked.

4. Promotion of R&D for all renewables incl. SHP – FP7 :A Dinner Debate has been organised on 7th February with the other REH associations for the RES lobby under FP7, the main points that will be underlined are to have:

a. Single budget line for RESb. 250€ million per year for RESc. to include all RES technologies

The TNSHP produced a very good document, which will contribute to the dinner debate.

Philippe Beutin stated that a Network of SHP research actor in Europe should be formed. ESHA is already working on this within the SHAPES project proposal (see further down).Nino added a two-part comment –

(i) ESHA needs to send out a political message that Small Hydro is part of the future, and that

(ii) SHP is more of a demonstration topic than a research topic, i.e. that the plant should be more supported than the university.

Bernhard answered that ideally it should be a mixture of both.

Bernhard put forward to the Board that he would like to start up a Scientific Group with external specialists to serve as an advisory group to the Governing Board, and asked the members if they thought it was a good idea, and how it could be formed.

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Nino added that including someone of legal background would also be helpful, as well as a journalist or someone dealing in public relations.

Janusz warned to take care when establishing new bodies, to not end up with something formal and passive.

Christer said a strong leader would be needed, and if it worked would strongly simulate ESHA’s scientific side.

SHAPES if financed will contribute to the work of ESHA in this direction. Bernhard also explained that ESHA is starting contact with Alla Weinstein from the European Ocean Energy Association, to explore areas with potential synergies on research on ocean and hydro energy. ESHA will attend an Ocean Conference in Bremerhaven, Germany in October.

5. International Promotion and Collaboration There are various future conferences where ESHA will attend in the future.Bernhard asked the members to please inform the ESHA Secretariat if they are attending a conference and to send a short summary, which can be e-mailed to Christine or Maria.The Hydrovision conference held in Portland, USA from the 31 July will be attended by Bernhard and Christine.

6. Communication There is a new website which Maria keeps up to date with all new documents and ESHA information.The newsletter is also new, and articles are published in international magazines. Members are asked to inform the ESHA Secretariat if they publish an article that it may be placed on the website, and as it is also a policy instrument towards the Commission.

The members are reminded that the Members only section in the website hols lots of interesting information:

Login: eshamemberPassword: esha05

Philippe would like to know what documents have been downloaded from the website and how many visitors have checked out the website. Maria will produce a report o this for the next GB.

7. Recruitment of new members

a) Within EU-10 (new member states)

The recruitment of members from the New Member States is not quite complete. Slovakia, the Czech Republic, Switzerland and Poland are all being contacted. Romania is another country to be contacted.

Christer suggested that it would be a good idea to re-invite Norway and Finland to become members, and invite them to take part in the GB of Hidroenergia 2006.

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Christer also asked about Belgium. Christine answered that a Belgian association is in the process of deciding whether they want to become member of ESHA.

Janusz stated that he was in close contact with the associations in Poland, and that the main reason that hindered their becoming members was a financial one. (There is no competition between the two associations).

b) Manufacturing IndustryThe ESHA structure needs to be compared to that of the other associations in the REH. Other associations, such as EPIA (European Photovoltaic Industry Association) have operators and industry. In the case of ESHA, however, it has proven difficult sofar to include manufacturing and thus ESHA is missing an important leg. Bernhard reiterated that a solution needed to be found soon.

Jean-Pierre Corbet has been trying to found this group for the past two years, and he explained the initial problems and the current ones: During the 1980s, some of the industries were part of ESHA, but this didn’t work so well. In 1999, the manufacturers decided to work together, leading to four problems:

(i) Some want to mix all hydropower together (small and large)(ii) Usually they want to strictly follow the national federation, and so have only a national view and not a European one.(iii) State that they are manufacturers and do not want to be under the umbrella of customers(iv)Problem of presence

Manufactures are under other associations such as IHA, but the result is not good at a European level.

The successful meeting in Villach with the memorandum and articles of statutes resulted in some manufactures joining this kind of association, but a second meeting still has to be planned. It would be good to be able to do this second meeting in the REH, so that they could meet ESHA and show them the good job we are doing and convince them to be part of ESHA or of the House. Bernhard stated that it would be good for the solution to be found by Hidroenergia, as it is needed as soon as possible.

Vincent than made the remark that the main point is to develop SHP as best as possible for all those included in whatever process. This works in national associations, so why could it not at European level? Jacques Fonkenell explained that a conflict erupted 2 years ago between large and small hydropower, which resulted in them being against each other rather than working together.

It was decided hat if we do not succeed in involvement the manufactures before Crieff, the ESHA Board will decide how to proceed with this important issue.

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3. Overview of ongoing activities a) WFD – as discussed in workplan aboveb) Lobbying for inclusion of SHP in FP7 – as discussed in workplan abovec) Hidroenergia 2006

David Williams began by giving the Board a presentation on Hidroenergia, explaining the plan of the hotel (gala room; conference room; exhibition hall etc..), and the various sponsorship areas (Headline, Main and Individual), and programme including the conference sessions, reception, study tour etc.. before announcing that we had received over 66 abstracts. Christine addressed the members of the scientific committee present asking them to evaluate all their abstracts by 1st March 2006 at the latest.

It was then decided that the next Governing Board would be held in Crieff on the Wednesday before the conference.

David continued by explaining that BHA have a contract with the hotel stipulating the number of rooms that need to be paid for, regardless of if they are used or not. Any questions concerning costs should be sent by email to David.

Regarding the keynote speakers, David explained that the Minister for Energy had been planning to attend the conference but unfortunately had to eventually decline 2 weeks ago. Following this, he asked the Board Members to think of people who could be asked instead.A meeting between BHA and ESHA Secretariat is planned in March to finalise the conference programme, which serves as a basis for the 3rd and Final Announcement.

Philippe asked if there were meeting room facilities in Crieff for an IEA SHP taskforce workshop (around 30 people). David assured him that there would be available meeting rooms for the IEA SHP taskforce, and that we should transmit the details to him so that BHA could arrange everything. They would probably be without extra cost due to the arrangement with the hotel rooms, but David said he would check.

Vincent made the point that he thought the exhibition space related to the number of days and number of participants attending Hidroenergia Conferences was rather expensive. He proposed that this be thought about and discussed more in depth before planning Hidroenergia 2008.

d) TNSHPMaria gave an overview of the TNSHP, which will finish by the end of February 2006 and which had its last partner meeting the day prior to the Governing Board meeting.

The TNSHP has been running for the past three years and ends at the end of February. A list of all the publications and workshops related to it can be found on the leaflet handed out in the meeting and on the ESHA website. It was made clear that all members of the TNSHP want to continue with the project, even without the Commission’s help. By the end of the project, the Layman’s guide should be translated into French, and the ‘State of the Art in EU25, and an SHP innovation leaflet produced.

Maria said she was willing to answer any questions, and that all the information was also on ESHA’s website.

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e) SHYCAMaria explained that ESHA is a partner, not the coordinator of this project, whose objective can be found in the workplan. SHYCA started a year ago in March and will end in August 2006. ESHA is responsible for collecting data for a database for SHP actors; a draft of which will be sent to the members before being sent to the Caucasus.Maria added that there would be a SHYCA presentation during Hidroenergia2006, and that all information on the project could be found on ESHA’s website.

f) RESTMACRESTMAC is a project coordinated by EREC and which is planned to begin in March this year although the contract has as yet not been signed. ESHA is involved in the part of the campaign to develop SHP. More information can be found in the workplan.

g) Technology@WorkThis project due to start in March has ESHA as a partner, and aims at promoting RE electricity, and heating and cooling. A summary of the project can be found in the workplan.

h) Alliance for Rural ElectrificationFollowing up from the last Governing Board meeting, ESHA has been asked to participate to ARE which focuses on bringing RES electricity in rural areas where people have no electricity.

i) ESHA Participation in eventsPlease see the document handed during the meeting. This list of future events where ESHA will participate can be found in the members only area on ESHA website.

4. EC Proposals submitted by ESHA ESHA has submitted recently two project as coordinator:

a) FP6 – deadline 22.12.05 SHAPES: The overall objective of SHAPES is to facilitate and strengthen the co-operation between EU Small Hydropower (SHP) Research and Market actors, with the overall objective of streamlining future research & development and promote R&D results in order to enhance penetration of SHP and know-how with the EU and on new markets in developing countries.

b) IEE – deadline 31.01.06 SHERPA – The overall objective is to develop a Promotion Campaign on Small Hydropower addressing the challenges and coping with the main barriers this sector is confronted with in Europe

Bernhard and Christine explained that funding from the Commission once a proposal was accepted could take a long time, and that we would probably know no earlier than May whether either/both were accepted, and if so not to expect the contracts to before January 2007.

Maria stressed that both projects cover ESHA strategic priorities (research networking and public image)

5. EREC Activities a) Co-ordination of new REH & moveb) RESTMAC – discussed earlier

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c) FP7 dinner debate – discussed earlierd) RES-e communication

EREC had been working on finding a common position on this, but the Commission decided it was too late for harmonisation. Security of supply is the next important item on the agenda and will take place on 23-24 March.

EREC is working to find a common position with all RES, and spreading the positive effects of RES. This is also a very good basis for the EREC Policy Conference.

e) Green paper “Towards an energy policy in Europe”ESHA will work together with EREC on a position on the future green paper on security of energy supply that it’s planned to be launched by the EC by 8th March.

6. Miscellaneous a) Christine showed the articles ESHA has published in international magazines

since the last meeting.b) Sreten warmly thanked the Governing Board for having been able to participate

in the meeting.c) Next Governing Board meeting in Crieff on 7th June afternoon (14.00 – 18.00).

Bernhard thanked everyone for their contributions and attendance in the new REH.

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