Understanding the absence of renewable electricity imports to the European Union

Lilliestam, Johan; Ellenbeck, Saskia; Karakosta, Charikleia; Caldés, Natàlia

doi:10.1108/ijesm-10-2014-0002

Cited by 15 publications

(8 citation statements)

References 37 publications

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“…Various studies have attempted to identify those factors (drivers and barriers) that may have influenced the decision to cooperate in the past and could partially explain the limited use of the Cooperation Mechanisms [5,6,8,14,15].…”

Section: Joint Support Schemes (Article 11)mentioning

confidence: 99%

“…Finally, reference [15] aims to analyse the reasons for the absence of RES imports to the European Union, for which the authors develop a multi-level heuristic, which covers three sequential acceptance levels: political attractiveness (macro-level), the "business case" (micro-level) and civil society perspectives (public discourse level). The authors find out that numerous factors on all three levels determine the success/demise of RES trade.…”

Section: Joint Support Schemes (Article 11)mentioning

confidence: 99%

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Renewable Energy Cooperation in Europe: What Next? Drivers and Barriers to the Use of Cooperation Mechanisms

et al. 2018

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Cooperation on Renewable Energy Sources (RES) in Europe is expected to contribute to energy and climate policy goals and bring multiple benefits at the national, regional and European levels. For this reason, the Cooperation Mechanisms of the RES Directive 2009/28/EC were originally designed to encourage the collaboration of countries and contribute to the achievement of the 2020 EU RES target in a cost-effective manner while providing Member States (MS) with flexibility to meet their national RES objectives. These mechanisms will allow MS to achieve their national RES target in cooperation with other MS and include statistical transfers, joint projects and joint support schemes. However, their use has been limited, leading to skepticism about their future use. The aim of this article is to identify the factors that influence MS decision to use the Cooperation Mechanisms and to rank their importance. The empirical analysis is based on a comprehensive, in-depth literature review and a dedicated survey to MS. Our results show that, indeed, a wide array of drivers and barriers have influenced and will influence the future use of the Cooperation Mechanisms. The main drivers and barriers in the past significantly differ to those influencing the future use. Furthermore, the perception of the relevance of the drivers and barriers by the MS differs depending on whether the countries have already met or are having difficulties to meet their 2020 RES target domestically and on whether they have actually used the Cooperation Mechanisms or not. Some policy implications on how to overcome the existing barriers to the use of those mechanisms are derived from the analysis.

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Section: Joint Support Schemes (Article 11)mentioning

confidence: 99%

Section: Joint Support Schemes (Article 11)mentioning

confidence: 99%

Renewable Energy Cooperation in Europe: What Next? Drivers and Barriers to the Use of Cooperation Mechanisms

et al. 2018

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“…The analysis thus does not focus on a specific importer country, as the interest of EU countries to import RE is not sufficiently predictable. Currently, only Italy and the UK are actively investigating imports (Lilliestam, Ellenbeck, Karakosta, & Caldes, 2016), whereas Luxemburg expressed interest in its 2009 NREAP (Beurskens, Hekkenberg, & Vethman, 2011), and the Netherlands has investigated the issue in the past . The threshold IRR beyond which investors may pursue projects depends mainly on the risk perception for the investment: higher-risk projects require a higher IRR (Komendantova, Patt, Barras, & Battaglini, 2012;Lü thi & Wü stenhagen, 2012).…”

Section: Economic and Financial Variablesmentioning

confidence: 99%

Sharing the gains from EU–Western Balkan renewable electricity cooperation

et al. 2016

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The EU directive on renewable energy sources enables EU Member States to import renewable electricity from non-EU countries and count these imports towards their renewable energy targets. This article investigates whether such cooperation can be beneficial for selected Western Balkan countries and help them to increase their domestic renewable electricity supply: could wind power exports to the EU from Bosnia and Herzegovina, Serbia, Albania and the Former Yugoslav Republic (FYR) of Macedonia enable additional investments in domestic generation, without 'selling out' the exporter countries' best generation sites? Or would exports rather conflict with the Western Balkans countries' domestic efforts to reach their renewable energy targets and increase the domestic electricity supply? For this, a model was developed in Visual Basic to optimize, from the exporters' perspective, the optimal export level to trigger investments but maximize the wind power supply for domestic use. The analysis takes into account the wind potential, support and price levels in the EU and Western Balkans, investor requirements and financing conditions in the investigated countries.The article shows that cooperation offers a way both for EU Member States and some Western Balkan countries to expand renewable electricity supply and reach their renewable energy targets in a cost-effective way. Partial exports of wind power would allow Serbia, Albania and the FYR of Macedonia to reach their 2020 wind targets. This would not be possible under their existing support schemes or electricity prices. The results indicate that Bosnia and Herzegovina lacks cost-efficient potentials and cannot achieve its wind target in the base case, with or without exports. Climate policy relevanceThe results show that wind power cooperation between the EU and Western Balkan countries may simultaneously increase the renewable electricity generation available for the domestic markets in the host countries and help EU Member States to achieve their renewable energy and decarbonization targets. Hence, wind power exports are a way for both the EU and the Western Balkans to provide more carbon-neutral electricity in a cost-effective manner and thus support the achievement of renewable energy and climate targets.

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“…However, all EU countries except Italy and Luxemburg have aimed to meet their 2020 renewable targets domestically 51 (Lilliestam, Ellenbeck, Karakosta, & Caldés, 2016). The challenges for the supergrid vision, such as an increase in cross-border regional interconnectors, are neither technical nor strictly financial, instead, they are political and regulatory (Battaglini, Komendantova, Brtnik, & Patt, 2012).…”

Section: Public Acceptance Of Perceived Impactmentioning

confidence: 99%

“…Evaluation criteria used by actors at different levels in different countries are not uniform (Lilliestam et al, 2016).…”

Section: Public Acceptance Of Perceived Impactmentioning

confidence: 99%

Electricity market design for a decarbonised future

Poudineh¹,

Peng²

2017

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In recent years, the debate on electricity market design in the EU has focused on the fitness-for-purpose of the existing dominant design, the appropriateness of energy policy that underpins the existing market design, and on the process through which energy policy is coordinated with market design. In this paper, we contribute to this debate on all three levels. First, we propose a 'module-and-level'-based framework to illustrate our diagnosis of coordination issues present in the EU's power markets. We apply this framework to make a systematic identification of existing misalignments between the components of current market design and physical RES integration/financial RES support schemes. Secondly, we argue that the role of energy policy is not just in managing existing trade-offs between competitiveness, sustainability, and reliability, but also in encouraging innovations that increase the compatibility of energy policy objectives in the future. Finally, we propose a seven-step condition-dependent evolution of power market design, where the government/regulatory authority plays the role of meta-coordinator, matching the adaptation of market-based coordination modules with a hybrid future where distributed energy resources coexist with centralised generation, while decentralised market participants trade with each other and with incumbents.

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Understanding the absence of renewable electricity imports to the European Union

Cited by 15 publications

References 37 publications

Renewable Energy Cooperation in Europe: What Next? Drivers and Barriers to the Use of Cooperation Mechanisms

Renewable Energy Cooperation in Europe: What Next? Drivers and Barriers to the Use of Cooperation Mechanisms

Sharing the gains from EU–Western Balkan renewable electricity cooperation

Electricity market design for a decarbonised future

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