improving network access in europe’s periphery panos coroyannakis cpmr energy working group...
Post on 19-Dec-2015
216 views
TRANSCRIPT
Improving Network Access in Europe’s Periphery
Panos Coroyannakis
CPMR Energy Working Group
“Energy for the Periphery”
Pamplona 5-6 October 2006
Some of our partners
Access to the network
The European Dimension– Trans European Networks
The National/regional Dimension– EU legislation– National framework– The role of TSO– The role of the regulator
Trans European Networks-TEN
Serving European Energy Markets Connecting Renewable Energy
Sources– EU needs renewables to meet its
Kyoto obligations. But RES are found in remote areas and need to be connected to the grid not only at national, but at EU level.
Reinforcing Security of Supply Integrating the new member states
TEN conditions
(1) Transnational(2) Strengthen European grid(s)
– Improve available transfer capacity– Improve network stability– Improve competition
(3) Best value for money– Finite amount of € available– Priority list
TEN Transmission priorities in NW
TEN Transmission priorities in SW
TEN Transmission priorities in SE
Financing TEN
2007-2013~ €28 billion needed for gas &
electricity infrastructure projects~ 2/3 of it within EU EU support from TEN budget: small
1996-2001: 123 million € for 53 projects ~25 million € annual TEN-energy budget~2 million € average TEN support, mostly
for feasibility studies
Other sources of financing TEN
Structural funds:
1996-2001: 2 billion € for GR, P, Es, Ir
EIB: 1996-2001 3 billion € in loans
The rest has to come from
transmission tariffs
Networks & Access: EU legislation
EXISTING Electricity Directive 96/92/EC Electricity Directive 2003/54/EC The Florence ProcessPROPOSED Directive on Security of Electricity
Supply and Infrastructure Investment
Directive 2003/54/EC
Preamble para(22) ……… Member States should have the possibility, in the interests of environmental protection and the promotion of infant new technologies, of tendering for new capacity on the basis of published criteria. New capacity includes renewables and combined heat and power (CHP).
Directive 2003/54/EC
Art. 3 (7). Member States shall implement appropriate measures to achieve the objectives of social and economic cohesion, environmental protection, ………. Such measures may include, in particular, the provision of adequate economic incentives, using, where appropriate, all existing national and Community tools, for the maintenance and construction of the necessary network infrastructure, including interconnection capacity.
EU priorities in RES & RUE
From 6% to 12% of total energy mix by 2010
21% of RES in electricity generation by 2010
1% annual improvement in EE to 2015 Kyoto Protocol commitments Buildings directive Biofuels directive etc.
National framework
Generation investment (investors) Infrastructure investment (TSO) Transmission tariff (regulator) Siting permit(s) – EIAs
– for generation– for transmission
The transmission issue
EC advocates a stronger “interventionist” approach in dealing with transmission infrastructure investments
Sea route or land route, major challenges:– Environmental
– Financial/investment
– Tariff/regulatory
The role of TSO
Transmission system planning Investments in transmission infrastructure as
part of their Regulated Asset Base (RAB) approved by the regulator
Transmission system operation Transmission tariffs approved by the
regulator
The role of the regulator
Approves and encourages transmission investments as part of RAB
Influences transmission tariffs philosophy and approves methodology & T-tariffs
Approves feed-in tariffs for RES Plays a major role in bringing RES to major
electricity markets
Environmental considerations
Short term– Habitat Directive – Natura & other designations– Birds Directive – preservation of species
Long term– Global warming/climate change– Permanent damage?
Conflicts - Balances
European vs National priority
Global vs local impact
Habitat vs climate change
Dominant position of TSO
The role of regulator is instrumental
In Summary
TEN support limitedEU framework favourable (a necessary but not a sufficient condition)National/regional TSO dominantRole of regulator instrumentalConflicting environmental objectives
(short versus long term) a serious obstacle