Overview

In the European Union the Commission is responsible for proposing policies and legislation, which are then formally adopted (after negotiation) by the Council and the Parliament.

The Commission produces Green Papers (GP), White Papers (WP), Directives (Dir) and Communications (Com). A green paper is a discussion document which eventually becomes a white paper. Neither is legally binding but both set the framework for particular areas. A directive is more specific in nature and, when adopted at the EU level, must be transposed by each Member State into national legislation.

The Directorate General for Transport and Energy (DG TREN) deals with most energy issues. It is supported by other DGs in the key areas of implementing internal market disciplines and environmental priorities. Other important DGs impacting on energy policy include: DG Agriculture and Rural Development and DG Environment.

The European energy policy is built on three basic pillars which are interdependent:
•  enhancing competitiveness
•  protecting the environment (sustainability)
•  ensuring security of supply.

ENERGY SUPPLY

EU Green Paper towards a European Strategy for Security of Supply (2000-2002)

The EU Commission published this GP for consultation on 29.11.2000 as COM(2000) 769 final. After consultation, COM(2002) 321 final of 26.06.2002 summarised the results.
It is the first EU paper to address all energy areas. The GP confirmed the importance of renewable energy for the EU in the future. The driving force behind it was a growing realisation that the EU could not reach a satisfactory level of energy independence. It was acknowledged that, owing to climate change and market deregulation, the EU needed a fresh energy policy and the GP was the mechanism chosen to discuss this issue.

GP Viewpoints
•  The GP considers EU energy self-sufficiency to be impossible to achieve.
•  There will be an increase in energy requirements within the EU of 1-2% per annum.
•  The EU’s own energy resources are limited:
    - There are considerable amounts of coal but available at 4-5 times world production price
    - Oil : 8 years reserves
    - Natural Gas : 2% of world reserves (20 years)
    - Uranium : 2% of world reserves (40 years).

GP Conclusions
•  No one energy option on its own can meet the EU’s needs.
•  Room for manoeuvre as regards energy supply is restricted.
•  It favours RE supply but does not rule out nuclear power.

For additional documentation and multilanguage downloads see here.

EU Green Paper on European Strategy for Sustainable, Competitive and Secure Energy (2006)

This GP aims at stimulating ideas on what should be done to deal with practical challenges and problems in the energy sector. It sets the three main objectives of Europe’s energy policy: Sustainability, Competitiveness and Security of Supply.
It puts forward a number of concrete proposals to meet these three objectives:
•  The need to complete the internal gas and electricity markets
•  The need to ensure that EU internal markets guarantee security of supply and solidarity between Member States
•  The need for a Community wide debate on the different energy sources
•  The need to deal with the challenges of climate change in a manner compatible with the EU’s Lisbon objectives
•  The need for a strategic energy technology plan
•  The need for a common external energy policy.

RENEWABLE ENERGY SUPPLY

EU White Paper and Action Plan for Renewable Energy Sources (1997)

This document forms the basic policy framework within which much of the recent work on renewable energy at the EU level has been based. It was issued as COM(97)599 final on 26.11.1997.
The central aim of the WP is to double the share of renewable energy in final EU energy consumption from 6% in 1995 to 12% in 2010.
It also established an action plan for achieving this goal, which included the “Campaign for Take-Off” which ran from 1997 to 2003.

Key benefits of implementing the aims of the WP are;
•  CO2 emission reduction
•  scientific and industrial development in high technology sector
•  employment creation
•  avoided fuel costs
•  increased security of supply
•  local and regional development & exports.

Key proposals in the WP include:
•   fairer access for renewable electricity supply (RES) to the electricity market
•   additional fiscal and financial measures
•   new bioenergy initiatives for transport, heat and electricity, and
•   improved building regulations to promote RES e.g. solar heating and cooling.

For a short multilanguage presentation see here.

EU Communication 366 on the Share of Renewable Energy in the EU (2004)

In 26 May 2004 the EC issued its COM(2004) 366 final entitled: The share of renewable energy in the EU. Commission report in accordance with Article 3 of Directive 2001/77/EC, evaluation of the effect of legislative instruments and other Community policies on the development of the contribution of renewable energy sources in the EU and proposals for concrete actions. Text of COM(2004) 366 final is provided here.

ELECTRICITY FROM RENEWABLE ENERGY SOURCES

EU Directive for Electricity from Renewable Energy Sources (2001)

This Directive 2001/77/EC did set  for each EU member state indicative targets by 2010 for the percentage incidence of RE on total electricity production. Key targets include:
•  to increase the share of green electricity on gross electricity consumption from 14 to 22% by 2010
•  to double the share of RE on gross energy consumption in the EU from 6 to 12% by 2010
•  to further comply with the commitments made by the EU under the Kyoto Protocol.

The Directive also requires member states to:
•  establish targets for future consumption of RES-E
•  ensure guaranteed access to RES-E
•  issue guarantees of origin for RES-E
•  ensure that the calculation of costs for connecting new producers is transparent and non-discriminatory.
It does not propose a harmonised support system.
The Commission will monitor progress of the member states towards the targets set.

The EC was due to present a report on the implementation of the 2001/77/EC Directive every five years. The first report was published on 7 December 2005 as COM/2005/0627 final named "The support of electricity from renewable energy sources". This report is available here.  It:
•  assesses the progress made in reflecting the external costs of electricity produced from non-renewable energy sources, and the impact of public aid granted for the production of electricity;
•  takes particular account of the ability of Member States in achieving the national targets and the global target established in the Directive and whether there is any discrimination between the various energy sources.

BIO-ENERGY

Biofuels

EU Directive on Biofuels (2003)

The objective of Directive 2003/30/EC is:
•  to contribute to the reduction of EU dependence on imports of transport fuels
•  to contribute to the EU’s Kyoto Target and
•  to meet the target of substituting 20% of traditional fuels by alternative fuels by 2020.
The Directive requires that the share of biofuels in the EU transport fuel market is 2% by 2005 and 5.75% by 2010.

EC Communication of 8 February 2006 "An EU Strategy for Biofuels"

In this COM(2006) 34 Strategy the EC defines the role that biofuels produced from biomass may play in the future as a source of renewable energy alternative to fossil fuels used in the transport sector. It also proposes measures to promote the production and use of biofuels.
The Strategy complements the Biomass Action Plan adopted in 2005 and responds to a threefold objective:
•   further promote biofuels in the EU and in developing countries,
•   prepare for the large-scale use of biofuels, and
•   heighten cooperation with developing countries in the sustainable production of biofuels.
This threefold objective breaks down into seven policy areas, encompassing the priorities envisaged by the EC:
•   stimulate demand for biofuels
•   ensure environmental benefits
•   develop production and distribution of biofuels
•   expand feedstock supplies
•   enhance trade opportunities of biofuels
•   support developing countries
•   support research and innovation.
For further details see here.

EU Biomass Action Plan (2005)

This GP deals with the decisiona taken in December 2005 by the Commission to design a detailed Action Plan (AP) for Biomass aiming at increasing the use of energy from forestry, agriculture and waste materials. The AP details more than 20 actions, most of them to be implemented from 2006 onwards. The AP included reviews of how fuel standards could be improved and how to encourage the use of biomass for transport, heating and electricity generation.  It also proposes a campaign to inform farmers and foresters about energy crops.
For additional information and multilanguage downloads of this document see here where the AP's impact assessment is also available.

ENERGY EFFICIENCY

EU Green Paper on Energy Efficiency (2005)

This Green paper was launched as a discussion document on how to curb rising energy use in the EU and arrive at a reduction of energy use of 20% by 2020. It identified opportunities to improve energy efficiency in the EU and stated that there was technical potential to reduce energy demand by 40% through the rational use of energy.
For multilanguage downloads of this GP and additional documentation see here.

EU Energy Efficiency Action Plan (2006)

Based on the GP's outcome, the Communication from the Commission COM(2006) 545 of 19.10.2005 sets an Energy Efficiency Action Plan. The Plan contains a package of priority measures covering a wide range of cost-effective energy efficiency initiatives. These include actions to make energy appliances, buildings, transport and energy generation more efficient. Stringent new energy efficiency standards, promotion of energy services, specific financing mechanisms to support more energy efficient products are proposed. The Commission will furthermore set a Covenant of Mayors of the 20-30 most pioneering cities in Europe and will propose an international agreement on energy efficiency. Altogether, over 75 measures are set forth.
For multilanguage downloads and additional reference documentation see here.