Renewable energy policy

Abstract

Torbjørg Jevnaker, Nicolò Rossetto, Sofia Nicolai, Max Münchmeyer (Eds.) 94 Robert Schuman Centre for Advanced Studies-EUI 2.4 Renewable energy policy Athir Nouicer, Daniele Stampatori, Theodoros Iliopoulos In this section, we first give an overview of what renewable energy is and explore why the EU cares about it. We then look at how renewable energy is used in different sectors. Finally, we describe the most relevant strategies and legislation to mainstream renewable energy in the EU. 2.4.1 What is renewable energy? According to the EU's Renewable Energy Directive (2018/2001,Art. 2), as it is currently in force, wind, solar (thermal and photovoltaic) and geothermal energy, osmotic energy, ambient energy, tide, wave and other ocean energy, hydropower, biomass, landfill gas, sewage treatment plant gas and biogas are renewable energy. 83 It is important to note that renewable and non-greenhouse gas (GHG) emitting energy sources are not synonyms according to this definition. For example, nuclear power plants do not pollute the air or emit GHG when producing electricity, but the material most often used to generate nuclear energy, uranium, is generally a non-renewable resource and as a consequence nuclear energy is not considered renewable. The 2023 amendment of the Renewable Energy Directive through Directive (EU) 2023/2413, which we will discuss more extensively below, included new definitions of renewable energy sources (RES) and some modifications of the existing ones. One of the main updates was a 'generalisation' of the definition of renewable fuels of non-biological origin (which replaces the previous renewable liquid and gaseous transport fuels of non-biological origin). The (increasing) penetration of RES in an energy system is typically measured using metrics such as the RES share in primary energy demand or in gross final consumption of energy. 84 Regarding the power system, other metrics such as electricity production (in GWh) and installed capacity (in GW) are typically used. 2.4.2 Why does the EU care about renewable energy? Several reasons justify the EU's interest in promoting RES. Among them is the aim to achieve a more environmentally sustainable energy system. This is seen in how RES contribute to reducing GHG emissions and local pollutants and consequently to climate change mitigation and improvement of air quality. Furthermore, penetration of RES in the energy mix can also help with other traditional aims of EU energy policy, such as competitive energy prices and reducing reliance on fossil fuel imports. Such considerations are linked with the objectives of ensuring security of supply and price affordability, which became very pressing as a result of the energy crisis. Moreover, promoting renewable energy can create new opportunities for employment in the EU, help ensure the leadership of EU manufacturers in green technologies and contribute to overall economic growth. The benefits and risks related to decarbonisation of the energy sector are also considered in a Communication from the EC that updates the 2020 New Industrial Strategy (EC, 2021). Among other things, the document aims to promote investment in 83 A discussion of what renewable gas is can be found in the March 2018 FSR Topic of the Month, available at https://fsr.eui.eu/what-is-renewable-gas/ (accessed 10 February 2023). A more recent discussion on renewable gases is provided in Conti (2020). 84 Gross final consumption of energy is defined in Article 2(4) of Directive (EU) 2018/2001 as the "the energy commodities delivered for energy purposes to industry, transport, households, services including public services, agriculture, forestry and fisheries, the con sumption of electricity and heat by the energy branch for electricity, heat and transport fuel production, and losses of electricity and heat in distribution and transmission."