Slides presentate in occasione del Seminario "The Energy transition in Europe: different pathways, same destination? organizzato da Edison in collaborazione con WEC Italia il 29 maggio 2013 a Roma - TWITTER #NRGstrategy

1. 1
Energy
Challenges and opportunities
to a European Energy Policy
The energy transition in Europe
WEC – Edison workshop, Rome, 29 May 2013
Tudor Constantinescu
Principal Adviser, European Commission, DG Energy

2. Energy
Major energy challenges in Europe
.Import Dependency
.High Energy Prices
.Decarbonisation
2

3. 3
100
80
60
40
20
GASOIL
2005 2008 2020 2030 2005 2008 2020 2030in %
82,4
%
84,3
%
92,7
%
94,1
%
57,7
%
62,3%
75,9
%
82,8
%
The EU faces growing dependence on
import of fossil fuels
Based on 2009 baseline scenario

4. 4
The supply structure in the EU as a whole is diversified,
although there are significant regional differences
Source: ENTSO-G
Breakdown of gas supplies in
the EU-27, % (2010)
Total = 525bcm/a (GCV)
Breakdown of gas supplies in the EU-15
and EU-12, %

5. 5
An integrated EU market delivers best allocation of resources,
security of supply and better prices

6. 6
6
…in part due to the shale gas boom
- US wholesale prices for gas are 3-4 times lower than in the EU
Source:EuropeanCommission

7. 7
0%
25%
50%
75%
RES Gas Nuclear Oil Solid fuels
0%
25%
50%
75%
RES Gas Nuclear Oil Solid fuels
2030 2050
Renewables move centre stage – but all fuels can
contribute in the long-run
Decarbonisation scenarios - fuel ranges (primary energy consumption in %)
2005

8. Energy
Priority Actions for European Energy Policy
.Complete the internal market - placing consumers into focus
.Improve EE- attract investments, behaviour change
.Increase RES – lower technological costs, market integration,
reform support schemes
.Diversify Energy Supply – Available Domestic Resources (including
nonconventional gas), External Relations - new routes
.Improve and develop infrastructure – interconnections, smart grids
.Develop synergies btw. RES and fossil fuels (e.g. Power to Gas)
Stimulate and leverage financing
8

9. Energy
The internal market helps keeping prices in check
Wholesale electricity prices in the EU have risen three times less than the import price of gas and
four times less than the price of crude oil in the last 10 years.

10. Energy
LEGISLATION
NEW ENERGY EFFICIENCY DIRECTIVE
Services
Energy
supply
House-
holds
Industry
General
measures
promoting EE
New
EED
Sectoral
measures
Monitoring &
Reporting
Indicative
national EE
targets
Public
sector

11. 11
Technology Results from the National Renewable Energy Action Plans
0
50000
100000
150000
200000
250000
2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020
Heat pumps
Biomass
Wind
Tide, wave, ocean
Solar
Geothermal
Hydro
ktoe

12. 12
*Source: IEA
Drivers for Gas demand growth
• Fight against climate change*: Natural gas is the less CO2 – intensive fossil
fuel.
• Availability of resources*: Abundant resources with a good geographical
distribution.
• Gas-to-power is a suitable backup solution for renewables*:
Intermittent renewables need to backed-up with fast start-up and ramp-
up/down. Compared to other traditional thermal technologies (coal, nuclear, oil-
boiler), gas-to-power technologies have a lower investment per capacity unit.
• Energy Policy in some countries favours the increasing use of gas*:
Nuclear phase-out in Germany, Shale gas development in the US, etc.
&
• Power-to-Gas will help integration of RES and balance the operation of
electricity and gas networks
• Gas in mobility (LNG, CNG)

13. 13
Connecting Europe Facility (CEF)
 For the period 2014-2020 a budget of €29.3 billion for:
 upgrading Europe's transport infrastructure, including support from
the Cohesion Fund for transport projects in the cohesion
countries.
 investments in trans-European energy infrastructure.
 support investment in fast and very fast broadband networks and
pan-European digital services.

14. 14

15. Energy
- Looking at the whole
energy system
-Bridging research and
energy policy
-Making better use of
existing financial resources
Energy Technologies Communication - 2013
SET Plan – focus on key technologies
Key principles for new challenges
post 2020:

16. 16
Energy
Roadmap
2050
2030 Green
Paper
Proposals
for the 2030
framework
for climate
and energy
policies
2011 March 2013 By end 2013
The 2030 framework will build on the 2050 Roadmap
On-going discussions with Member States, EU institutions and
stakeholders
Public consultation open until 2 July

17. 17
Thank you!