Greetings and welcome to EURACTIV’s Green Brief. Below you’ll find the latest roundup of news covering energy & environment from across Europe. You can subscribe to the weekly newsletter here.
Saving energy seems the obvious solution to tackling the climate crisis, limiting the blow of high energy bills and increasing Europe’s energy independence. It could also be a vital shield for Europe in what many call an energy war with Russia.
But EU countries have been dragging their heels on energy savings for years, aided by voluntary goals that have meant Europe “has been cruising on autopilot into deeper and deeper dependence on imported energy”, according to Niels Fugslang, the MEP in charge of the energy efficiency law revision.
Now, though, the captain may be about to rush to the helm and steer away from the iceberg that is energy dependence on Russia.
This week should see two significant steps forward in prioritising energy savings at the EU level.
Today (14 September), the European Parliament is set to vote on its position on revising the energy efficiency directive. Lawmakers are expected to agree on a savings target of 14.5%, up from the Commission’s revised proposal of 13% in light of the war in Ukraine and a considerable increase from the 9% initially proposed in July 2021 as part of the ‘Fit for 55’ package of climate laws.
That in itself would be groundbreaking, but more is still to come.
A leak of the EU’s emergency measures to tackle the energy crisis, due to be proposed today, shows that Brussels intends to set out two demand reduction targets for electricity.
- The first would require EU countries to use communication campaigns to lower overall electricity consumption by all consumers, including those who cannot adjust their usage during the day, like those without smart meters.
- The second target has more teeth. Brussels wants to propose a 5% mandatory reduction target for gross electricity consumption during peak price hours. This should cover at least 10% of the hours each month where prices are expected to be high, meaning it will cover an average of 3-4 hours per weekday, according to the draft text seen by EURACTIV.
But both the demand reduction targets and the energy efficiency target will need to be accepted by EU countries, the infamous villains in the tale of ambition on EU energy savings.
Already in June, some EU governments attempted to water down the legally binding objectives initially put down in the draft energy efficiency directive presented by the European Commission over a year ago.
And the Czech government, which currently holds the rotating EU Council presidency, has shown reluctance to impose a mandatory target for electricity demand reduction on the EU’s 27 member states.
“Some people don’t like the word mandatory,” quipped Dutch minister Hans Vijlbrief during an extraordinary meeting of EU energy ministers last Friday (9 September).
But drastically curbing Europe’s energy consumption is sorely needed ahead of this winter.
“Currently, we need to save both gas and electricity if we’re to survive through the winter without huge constraints, either gas rationing or rolling blackouts,” said Bruce Douglas, the from industry association Eurelectric.
“So now is the time to act,” he said on Monday (12 September).
Whether EU countries can stomach such targets is yet to be seen. Energy ministers are set to meet on 30 September to discuss the proposals the Commission makes today. Those are likely to comprise the demand reduction targets for electricity, a cap on energy companies’ revenues to be set at €180/MWh and the idea of recycling these excess profits back to struggling consumers.
A price cap on gas is missing completely from the proposal. And there could be even more considerable controversy around that.
– Kira Taylor
More:
HELSINKI. Finland considers switching off street lights. To save energy, Finnish counties and cities are making plans to switch off street lights during the winter months, and major supermarket chains are looking at ways to reduce electricity bills. Read more.
PRAGUE. EU should establish reserves of key raw materials, says Czech presidency. The European Commission should establish a strategic reserve system with key raw materials, Czech Industry and Trade Minister Jozef Síkela said. Read more.
WARSAW. Poland to promote saving energy with new price scheme. The government plans to put forward a plan that would benefit energy saving by combining the energy price rates with the amount of consumed energy, the Polish Press Agency (PAP) reported. Read more.
BRATISLAVA. Slovakia may cap electricity prices following Czech model. New Economy Minister Karel Hirman claims Slovakia may take inspiration for a cap on electricity prices from the Czech Republic. Read more.
SOFIA. Bulgaria’s coal power plant woes risk regional energy supply. If Bulgaria allows two more breaches of air pollution standards this year, the country may have to close its coal-fired power plants, warned Minister of Energy Rosen Hristov on Tuesday. Read more.
BUCHAREST. Romanian energy companies cannot guarantee fixed prices. Engie Romania, a natural gas company, refused to supply non-household consumers at a fixed price over the next 12 months, saying it cannot guarantee such contract conditions in the current market. Read more.
LJUBLJANA. Slovenia passes an emergency energy package. A package of three laws designed to ensure a stable supply of electricity and gas this winter, the latest in a long series of measures to address the energy crisis, was passed by the Slovenian parliament on Tuesday. Read more.
BRATISLAVA. Slovakia has enough gas for winter if Russia puts total halt on supplies. Gas reserves in Slovakia are large enough to last the whole winter, said executive director of major Slovak gas supplier SPP Richard Prokypčák. Read more.
ATHENS. Greeks face annual electricity bills worth two monthly minimum wages. Greek workers are being burdened with yearly electricity prices equivalent of two months of minimum wage, according to figures released by the European Trade Union Confederation (ETUC). Read more.
LISBON. Portugal’s socialists back EU tax on excessive energy profits. More taxes to address excessive energy profits are crucial but need to be agreed upon at EU level, Eurico Brilhante Dias, the parliamentary leader of the Portuguese Socialist Party, said. Read more.
THE HAGUE. Dutch cabinet plans to pay citizens’ energy debts. The cabinet is finalising a plan to help people who cannot afford to pay their energy bills as prices continue to rise, Dutch media NOS reported. Read more.
VIENNA. Austria urges citizens to ‘make small changes’ to reduce energy consumption. Austria is calling on its citizens to make small behavioural changes as it aims to reduce the nation’s electricity consumption by 11%, a new campaign presented by Climate Minister Leonore Gewessler on Monday stated. Read more.
LJUBLJANA. Slovenia to subject heating oil to price regulation. Heating oil will be subject to price regulation from 13 September under a decree that the government adopted to mitigate the cost-of-living crisis ahead of the heating season. Read more.
SOFIA. Bulgaria offers Azerbaijan electricity for gas deal. Bulgaria has offered to export electricity to Azerbaijan in exchange for expanding gas supplies, acting Economy Minister Nikola Stoyanov announced during his visit to Baku on Sunday. Read more.
BRATISLAVA. Slovakia may nationalise its main electricity producer, says the finance minister. If necessary, Slovakia may nationalise electricity producer Slovenské elektrárne to guarantee cheap electricity for the people, Finance Minister Igor Matovič announced on Sunday. Read more.
PRAGUE. Czechs favour negotiating energy imports with Russia over cutting ties. Czech citizens are more in favour of negotiating energy imports with Russia than completely cutting ties despite the resulting high costs and necessary savings, a Kantar survey published by Czech Television on Sunday has found. Read more.
HELSINKI. Finnish minister touts electricity self-sufficiency. Finland will be energy self-sufficient within two years or less, Economy Minister Mika Lintilä told Finnish Broadcasting Company YLE’s current affairs programme on Saturday. Read more.
TIRANA. Albania announces energy-saving measures and higher costs for big users. The Albanian government introduced its energy savings measures on Thursday, which include an 800 Kilowatt-hour (Kwh) limit per month for families who want to avoid paying a higher rate for electricity. Read more.
ZAGREB. Croatia unveils plan to cap energy and food prices. The Croatian government presented on Thursday a crisis package for citizens and businesses, including a cap on prices of food staples and energy, calling it “strong, just, and comprehensive.” Read more.
SOFIA. Bulgarian president lobbies Lukoil to lower fuel prices. Bulgarian President Rumen Radev hosted a meeting between representatives of his caretaker government and the head of Lukoil Bulgaria, Vadim Vorobyov, on Thursday, where fuel prices were discussed. At the same time, the Russian company expressed concern over the European embargo on Russian oil. Read more.
BUDAPEST. Hungarian government to order 25% cut in gas usage at public institutions. The Hungarian executive will order a 25% reduction in gas usage at public institutions and supports keeping temperatures at 18 degrees Celsius in winter, except in hospitals and residential care institutions, the government announced on Thursday. Read more.
ATHENS. Greece opposes Commission’s Russian gas price cap. The centre-right New Democracy government (EPP) will not support the European Commission’s proposal to cap Russian gas prices, a spokesperson said on Thursday. Read more.
BRUSSELS. Price cap on Russian gas ‘insufficient’ for Belgium. Belgian Energy Minister Tinne Van der Straeten called for a “more decisive” EU approach to the energy crisis, saying on Thursday that Belgium will not be satisfied with a price cap for Russian gas only. Read more.
BERLIN. Share of German homes built with gas heating more than halved within two years. The share of German houses built with gas heating dropped by nine percentage points in the first half of this year, although Russia’s war on Ukraine did not accelerate the downwards trend. Read more.
VIENNA. Austria’s conservatives aim to exclude asylum seekers from climate bonuses. Conservatives want to change the law to prevent asylum seekers from being eligible to receive climate bonuses, a position that their Green coalition partner rejects. Read more.
TIRANA. Albania set to announce ‘drastic’ energy saving measures amid crisis. A package of energy-saving measures will be announced on Thursday to help Albanians save vital energy amid the brewing crisis, according to Deputy Prime Minister and Energy and Infrastructure Minister Belinda Balluku. Read more.
ZAGREB. Croatia to ban gas exports, ups ante with Hungary. Croatia plans to ban exports of locally produced natural gas, Economy Minister Davor Filipovic said on Wednesday, raising the stakes in the already tense relations with neighbouring Hungary. Read more.
LISBON. Portugal’s forest fires burn a third more area than last decade’s average. Forest fires consumed more than 106,500 hectares in Portugal this year, making it the fourth highest amount of burnt area in the last 10 years, 36% above average, revealed the Institute for Nature Conservation and Forests (ICNF) on Wednesday. Read more.
DUBLIN. Dublin prepares for ‘one of the most challenging winters in a generation’. The Irish government must take “swift and decisive action” to protect the country’s most vulnerable from the impending winter crisis and to cut down fossil fuel use, its advisory panel said. Read more.
THE HAGUE. Dutch meet EU targets, secure enough gas for winter. Gas facilities are now, on average, 80% full, which meets the EU’s targets for the upcoming winter, Dutch media NL Times reported. Read more.
VIENNA. Austria adopts ‘socially unfair’ electricity price cap. Despite criticism from the opposition and experts, the government is sticking to its proposal to introduce a flat rate for a certain basic electricity supply, even if small households benefit more than average. Read more.
EU set to propose €180/MWh price cap on cheap electricity. The European Commission will propose a cap of €180/MWh on revenue made by energy companies with low production costs and recycle these revenues to those struggling with high energy prices, according to a leak seen by EURACTIV.
The price of electricity has been driven up by high gas prices, so electricity companies using cheaper fuels, like wind, solar and nuclear are making excess revenues.
The price cap has several safeguards, including limiting it to market revenues rather than total revenues. It is also a uniform cap to allow price-based competition to continue between technologies, particularly to ensure the competitiveness of renewables. However, there are concerns that flexibilities left in for some countries could create a patchwork of different prices across the EU.Alongside this, the European Commission proposes a “solidarity contribution” targeting the excess profits made by oil and gas companies and use these to mitigate soaring energy bills on consumers and businesses. (Kira Taylor | EURACTIV.com)
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Brussels calls for better implementation of EU environmental law. A review by the European Commission on the state of implementation of EU environmental law was published on Thursday (8 September).
Biodiversity protection is singled out as the most pressing area. Forests are under huge pressure and most EU Member States are urged to speed up completion of their Natura 2000 network for protected areas.
On water, progress is seen as too slow as well, with some EU countries late in adopting key instruments such as the River Basin Management Plans. The implementation of drinking water rules is also seen as inadequate, while EU rules on nitrate and urban wastewater treatment are not properly implemented due to insufficient planning and infrastructure.
On climate, the review shows a good level of implementation throughout the EU. But more action is needed in other areas like the circular economy, with EU member states urged to improve waste prevention as well as the recyclability potential of plastics, construction materials and textiles.
And when it comes to air quality, member states are still behind on monitoring requirements. Achieving EU targets there will require switching to sustainable transport modes and low-emission agricultural techniques, the report says.
“This year’s Environmental Implementation Review is a call to action,” said Commissioner Sinkevičius. “While it shows progress in some areas since the previous review, I am concerned that in other areas, the implementation gap is still getting wider, which makes us all more vulnerable to environmental pollution and related risks.”
The complete Environmental Implementation Review is accessible here. (Valentina Romano | EURACTIV.com)
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North Sea countries move ahead on offshore wind cooperation. The ongoing talks among Belgium, Denmark, Germany, France, Ireland, Luxembourg, the Netherlands, Norway, Sweden and the European Commission to ensure a smooth roll-out of large-scale offshore wind generation in the North Sea has borne additional fruit. In Dublin, the countries agreed to future capacity targets for the coming years.
In 2030, they want 76 GW of capacity, 193 in 2040 and 260 in 2050, with a special focus on cross border offshore wind parks who contribute to multiple countries’ grid. “Today’s statement with our neighbours and the European Commission shows that cooperation projects and a more interconnected offshore grid are central to this,” said the German state secretary in attendance. (Nikolaus J. Kurmayer | EURACTIV.com)
12 OCTOBER. Reducing industrial fossil gas demand in Europe – what are the next steps? According to new data gathered by the research institute “Climact”, there is potential for reducing fossil gas consumption in many industrial processes, such as low and medium heat provision. Join this EURACTIV Virtual Conference to discuss how some industry sectors can move from fossil gas to electrification. Programme and registration here. (Organised with the support of the European Climate Foundation).
27 OCTOBER. How to ramp up hydrogen production & speed up the steel industry’s transition, while navigating an unprecedented energy crisis? Join this EURACTIV Hybrid Conference to discuss how to ramp up hydrogen production and speed up the steel industry’s transition in the current context of an unprecedented energy crisis. Speakers include MEP Jens Geier, Rapporteur for the Hydrogen and Gas Directive, and more to be announced soon. Programme and registration here. (Supported by Eurofer).
7 DECEMBER. EU Energy Transition – what role for critical raw materials? The European Commission, together with relevant stakeholders, is working on different action plans and initiatives to address critical raw materials in supply chains. A review of the current critical raw materials list is expected at the end of the year. Join this EURACTIV Virtual Conference to discuss the role of critical raw materials in ensuring a fast and ambitious energy transition across Europe. Programme and registration here. (Supported by Nickel Institute).
SEPTEMBER
- 14 SEPTEMBER. State of the Union address by European Commission president Ursula von der Leyen.
- 16 SEPTEMBER. Climate Ambassadors Meeting.
- 26-30 SEPTEMBER. European Sustainable Energy Week.
- 30 SEPTEMBER. Extraordinary Energy Council.
OCTOBER
- 11-12 OCTOBER. Informal meeting of energy ministers.
- 12 OCTOBER. Development of post-Euro 6/VI emission standards for cars, vans, lorries and buses.
- 20-21 OCTOBER. European Council.
- 23 OCTOBER. European Commission to decide 2023 Work Programme.
- 24 OCTOBER. Environment Council.
- 25 OCTOBER. Energy Council.
- 26 OCTOBER. Zero Pollution Package:
- Integrated water management – revised lists of surface and groundwater pollutants
- Revision of EU ambient air quality legislation
- Review of the urban wastewater treatment directive Revision of the classification, labelling and packaging of chemicals regulation
NOVEMBER
- 6-18 NOVEMBER. Sharm el-Sheikh Climate Change Conference (COP27).
- 30 NOVEMBER. Circular Economy Package 2:
- Proposal for a Regulation on substantiating environmental claims using the product/ organisation
- Environmental footprint methods (green claims)
- Policy framework for bio-based, biodegradable and compostable plastics
- Review of the Packaging and packaging waste Directive to reinforce the essential requirements for packaging and establish EU level packaging waste prevention measures and targets
- Measures to reduce the release of microplastics in the environment
- Sustainable consumption of goods – promoting repair and reuse (the right to repair)
- 30 NOVEMBER. Climate Package:
- Carbon removal certification
- Review of the CO2 emission standards for heavy-duty vehicles
DECEMBER
- 5-17 DECEMBER. UN Biodiversity Conference (COP15). Montreal, Canada.
- 15-16 DECEMBER. European Council.
- 19 DECEMBER. Energy Council.
- 20 DECEMBER. Environment Council.
[Edited by Alice Taylor and Frédéric Simon]