European energy policy

Early in 2007 the EU proposed a new energy policy as a first resolute step towards becoming a low-energy economy (COM (2007) 1 final). Priority energy objectives involve ensuring the smooth functioning of the internal market in energy, security of strategic supply, concrete reductions in greenhouse gas emissions caused by the production or consumption of energy and the EU's ability to speak with a single voice on the international stage. The aims of the policy are supported by market-based tools -mainly taxes, subsidies and the CO2 emissions trading scheme-, by developing energy technologies, and by Community financial instruments.

European Energy Programme for Recovery (EEPR)

The origin of the EEPR is the global €200 billion European Economic Recovery Plan presented by the Commission on 26/11/2008.  Investment in energy projects was considered an important tool to support the economic recovery. It will help to speed up and secure investments on infrastructure and technology projects in the energy sector, improve the security of supply of the Member States, and speed up the implementation of the 20/20/20 objectives for 2020.

Energy Security and Solidarity Action Plan

The Commission proposed an Energy Security and Solidarity Action Plan, which should contribute to reducing energy consumption by almost 15 % and energy imports by 26 % by 2020. It is set out around five main points:  infrastructure and diversification of supplies; external energy relations; oil and gas stocks; energy efficiency; and use of the EU’s indigenous energy resources.

EU Research in Energy

7th Framework Programme (FP7)

The objective of energy research under FP7 is to aid the establishment of the technologies necessary to adapt the current energy system into a more sustainable one, less dependent on imported fuels. Such a system would be based on a diverse mix of energy sources and carriers, with particular attention being paid to lower and non-CO2 emitting energy technologies. The total budget for Energy is € 2.3 billion. The emphasis in FP7 will be on large-scale, integrated technical demonstration projects, on technologies at the end of the development stage and with a view to the market. Energy is also one of the nine priority themes of the sub-programme “Cooperation”.

The research, development and demonstration to be carried out under FP7 are expected to improve energy efficiency throughout the energy system, accelerate the penetration of renewable energy sources, decarbonise power generation and transport, reduce greenhouse gas emissions, diversify Europe's energy mix, and enhance the competitiveness of European industry including a better involvement of SMEs.

Strategic Energy Technology Plan (SET Plan)

In its 22 November 2007 Communication, the Commission presented a strategic plan to accelerate the development and deployment of cost-effective low carbon technologies. This plan comprises measures relating to planning, implementation, resources and international cooperation in the field of energy technology. Energy technology is vital if Europe's objectives for 2020 and 2050 as regards the fight against climate change, security of energy supply and competitiveness of European companies are to be fulfilled.

The SET plan aims to help achieve European objectives and face up to the challenges of this sector. In the short term it seeks to increase research to reduce costs and improve performance of existing technologies, and encourage the commercial implementation of these technologies. Activities at this level should in particular involve second-generation biofuels, capture, transport and storage of carbon, integration of renewable energy sources into the electricity network and energy efficiency. In the longer term it supports the development of a new generation of low carbon technologies. The activities to be carried out should focus, among other things, on the competitiveness of new technologies relating to renewable energies, energy storage, sustainability of fission energy, fusion energy, and the development of Trans-European Energy networks.
 

Other dimensions

Energy efficiency

Reducing energy consumption and eliminating energy wastage are among the main goals of the EU. At the end of 2006, the EU pledged to cut its annual consumption of primary energy by 20% by 2020. To achieve this goal, it is working to mobilise public opinion, decision-makers and market operators and to set minimum energy efficiency standards and rules on labelling for products, services and infrastructure. The Commission Communication of 13/11/2008 “Energy efficiency: delivering the 20% target” proposes measures to improve energy efficiency in the building and production sectors, cogeneration, and the financing of related projects.

Security of supply, external dimension and enlargement

To achieve its goal of secure, competitive and sustainable energy the EU must cooperate with producers, transit countries and consumers. At a time of vulnerability of imports, potential energy crises and uncertainty surrounding future supplies, the EU must make sure that its actions and partnerships guarantee the security of its energy supply.

Internal energy market

The EU seeks to create an internal market for energy, contributing to diversification and security of supply. It would give European consumers a choice between different gas and electricity suppliers, make the market accessible for all suppliers, and set up a framework for the functioning of the CO² emission trading system. The 2008 Commission Green Paper “Towards a secure, sustainable and competitive European energy network” puts as priority the development of Member States’ energy networks and their better integration.

Nuclear energy

The ground for nuclear energy in Europe was laid in 1957 by Euratom. Its main functions consist of furthering cooperation in the field of research, establishing common safety standards, ensuring an equitable supply of nuclear fuel, monitoring the peaceful use of nuclear material and international cooperation. A Joint Undertaking for ITER and the Development of Fusion Energy has been established in 2007 in order to promote scientific research and technological development in the field of fusion.

Renewable energy

Renewable sources of energy - wind power, solar power, hydro-electric power, tidal power, geothermal energy and biomass - are an essential alternative to fossil fuels. In order to reach the ambitious target of a 20% share of energy from renewable sources in the overall energy mix, the EU plans to focus efforts on the electricity, heating and cooling sectors and on biofuels. On 23/04/2009, the European Parliament and the Council adopted the Directive 2009/28/EC on the promotion of the use of energy from renewable sources. It establishes a common framework for the use of energy from renewable sources in order to limit greenhouse gas emissions and to promote cleaner transport.