Consumer participation in the electricity market is essential to make the energy transition possible. However, writes Philip Baker of the Regulatory Assistance Project (RAP), a think-tank specializing in regulatory and market policy, incumbent suppliers cannot be relied upon to make this happen. Â Therefore, the European Commission needs to ensure that new players can enter the market. … [Read more...]
Limits of the “Energy Union”: expect only pragmatic progress
On 8 June the EU Member States will discuss the European Commission’s proposals for an Energy Union. According to Severin Fischer and Oliver Geden of the German Institute for International and Security Affairs (SWP) in Berlin, it is already clear that they will avoid or delay implementation of any meaningful steps in the direction of a political energy union. Over the next few years, they write, the focus of EU energy and climate policy will be … [Read more...]
EU still struggling to agree energy R&D priorities
R&D in energy is about to get a fresh push from Brussels through a new EU-wide Strategic Energy Technology (SET) Plan that is supposed to harness the combined power of public and private research in different Member States. But to what extent will Member States agree to align their national research agendas? And around what common goals? The Commission believes energy R&D should be structured around “the consumer” and “the energy system … [Read more...]
“Nuon has no vision of the future of the energy system”
In this instalment of the Power Talk series written by Ph. D. researcher Hendrik Steringa, a staff member who worked for Nuon, the Dutch subsidiary of Vattenfall, tells about the struggle inside the company to develop new business models. "To come up with new business models in sustainable energy is not so difficult. But to come up with financially attractive models is a lot more difficult." … [Read more...]
Demand response markets in Europe begin to blossom
Demand response markets are taking off in Europe, writes Jeff St John of the US energy website Greentech Media. For example, Belgian demand response specialist REstore, with more than 1 GW of peak load under management from large industrial customers, is set to expand into the UK and France. Pieter-Jan Mermans of REstore explains his strategy and tells why Germany is such a difficult market. Article courtesy of Greentech Media. … [Read more...]
Investigation into capacity mechanisms: a test case for the Energy Union
The sector inquiry into the use of capacity mechanisms announced by the EU’s Competition Commissioner Magrethe Vestager on 29 April has important implications for the creation of a single market for energy, writes Matthew Duhan, Adviser at the UK-based consultancy Global Counsel. According to Duhan, the willingness of DG Competition to take on Member States in this key area of energy policy will be a crucial test case for the success of the … [Read more...]
Tesla batteries: just the beginning of how technology will transform the electric grid
The spread of cost-effective batteries, such as Tesla’s new Powerwall, will fundamentally change the way the electric grid operates, writes Michael McElfresh of Santa Clara University. Combined with other innovations, batteries in homes and businesses will transform how people and businesses treat electricity. Along the way, these batteries will improve the efficiency and reliability of the grid overall. … [Read more...]
UBS: closures coal and gas fired power plants in Europe accelerating
The influx of renewable energy sources such as wind and solar into energy markets is forcing coal and gas fired generation out of the market even quicker than most analysts expected, according to a new market report from investment bank UBS. According to UBS, policymakers may have to take measures to prevent widespread bankruptcies in the European electricity market, writes Giles Parkinson of Reneweconomy.com.au. … [Read more...]
The exciting changes taking place in Scotland’s energy system
Scotland, despite having some of the EU’s largest fossil fuel reserves, is moving rapidly to an energy system based predominantly on renewable energy, notes energy expert Allan Hoffman, a former senior official at the U.S. Department of Energy, who lives in Scotland part of the time. Renewables are already the biggest single source of electricity – and “there is no reason requiring conventional fossil and nuclear generation in Scotland” in the … [Read more...]
The Great Grid Special: where is Europe going with its grids?
The EU has adopted a 10% electricity interconnection target that all member states have to meet by 2020. However, experts question this one-size-fits-all approach. They do agree that new investment in power grids is crucial - but not which type should get priority: interconnection, transmission, distribution, "smart" or even microgrid. A new French report shows that most investment is actually going to gas grids where it may be less … [Read more...]
Interview André Merlin: “Europe needs regional System Operators like in the US”
Developing electricity interconnectors should be a shared competence of the EU and individual Member States, with costs shared out at least across regions, says AndrĂ© Merlin, President of Medgrid, a consortium looking to facilitate the exchange of electricity across the Mediterranean, in an interview with Energy Post. Merlin, former Chairman of both RTE, the French transmission system operator (TSO) and ERDF, the main French distribution system … [Read more...]
The myth of expensive offshore wind: it’s already cheaper than gas-fired and nuclear
Analysing public data on offshore wind in Denmark, energy consultant Mike Parr concludes that existing offshore wind is already cheaper than gas-fired power plants. Future offshore wind farms will be cheaper still – and up to 60% less expensive than the proposed nuclear power plant at Hinkley Point C in the UK. This means, writes Parr, that government support for offshore wind can be quickly and substantially reduced. … [Read more...]
A vision of a Gas Union in Central and South East Europe
We will never have a unified European energy policy as long as Central and East European gas markets remain fragmented and divided, writes Peter Poptchev. Now, however, under the impetus of the Energy Union, the EU has a unique opportunity to put its Eastern gas house in order. Poptchev sets out the main steps that need to be taken to achieve this goal. … [Read more...]
Catch 2030 the webinar: a debate on the European energy system of the future
How can we transform the European energy system while improving security of supply and competitiveness? In a webinar hosted by Energy Post and sponsored by EDF, four energy experts discuss the future of the European energy system and answer questions from listeners. … [Read more...]
A new framework for climate policy: why carbon pricing is not enough
It is often argued, especially by representatives from the energy sector, that climate change policy should be based exclusively on carbon pricing. In the EU this means: on the EU Emission Trading Scheme. However, a new book by Professor Michael Grubb convincingly shows why such a policy approach is misguided. We also need policies on energy efficiency and renewables as well as policies that drive system change. … [Read more...]
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