1. European Policies for Energy
and Environment
Why the European Union deals with
Energy and Environment?
What are the most interesting
opportunities for
Local Authorities? Tirano, 11 June 2010
Marco Canton

2. Index
• Just 1 minute of Brainstorming…
• Let’s have a look at the figures!
• Energy and Environment on the Lisbon Treaty
• The evolution of Energy Policies
• The European Programmes
and Initiatives

3. Trying to understand…
• Why EU deals with
Energy Policies?
• Are Environment and Energy
the same thing?
• What’s happened in the last 2 years
in Energy Policies?
• What is it supposed to be improved in
Europe?

4. Some basic notion…
• The EU aims at implementing what was
established by the Treaty (signed and
accepted in all their parts by the member
States).
• Following the Principles
contained on the Treaty,
the EU works out legislative bills
and financing Programmes

5. … moreover…
• The Environmental policies was already present on
the previous EU Treaties. Energy is considered
an European Policy only with the Lisbon Treaty.
• The “Climate Action” (dec. 2008) could be considered the
first legislative framework for Energy in Europe.
• The “Climate Action” contains several objectives shared by
member States.
• The European Commission prepares and proposes
legislative texts to be presented to the European
Parliament and to the Council.
(Codecision procedure).

6. Some figures…
• EU represents the 16% of energy consums
by a population that is the 7,2%
of the global population
• EU produces the 20% of global GDP
• EU is the biggest importer for oil (19%) and
for gas (16%)
• Pro-capita consum is double of global
average. We produce 3 times the global
average.

7. Energy consumes
•33% Lost during the
transformation phase
•19 % Transports
•17% Industry
•16% Buildings
•9% Services
•6% Other

8. Power sources

9. Who really controls
power sources ?
about 10% of stocks About 90% of stocks
Exxon Aramco (Saudi Arabia)
Chevron NIOC (Iran) National Iranian Oil
Company
BP PDVSA (Petrolio from Venezuela)
Shell Gazprom (Russia)
Total Petrobras (Brazil)
ENI Petronas (Indonesia)
Repsol CNPC (China)

10. Potential saving
• Manifacturing Industry 25% by 2020
• Transports 26% by 2020
• Buildings 27% by 2020
• Commercial Buildings 30% by 2020

11. Estimates
• Without a radical change by 2030 the EU will
depend on other States 90% for oil and 70%
for gas.
• The scarse stocks present on EU are already
running out fail. Costs for oil and gas mining
are already increasing.
• EU has a low power on the
energy price determination.

12. What is changed with
Lisbon Treaty?
Art. 4 paragraph 2
Shared competence between the Union and the Member States
applies in the following principal areas:
• (a) internal market;
• (b) social policy, for the aspects defined in this Treaty;
• (c) economic, social and territorial cohesion;
• (d) agriculture and fisheries, excluding
the conservation of marine biological resources;
• (e) environment;
• (f) consumer protection;
• (g) transport;
• (h) trans-European networks;
• (i) energy.

13. What is changed with
Lisbon Treaty?(2)
Art. 2 Paragraph 2
When the Treaties confer on the Union a competence shared
with the Member States in a
specific area, the Union and the Member States may legislate
and adopt legally binding acts in that area.
The Member States shall exercise their competence to the
extent that the Union has not exercised its
competence.
The Member States shall again exercise their competence to the
extent that the Union has
decided to cease exercising its competence.

14. What is changed with
ENERGY
Art 194
Lisbon Treaty?(3)
In the context of the establishment and functioning of the internal
market and with regard for the need to preserve and improve the
environment, Union policy on energy shall aim, in a spirit of
solidarity between Member States, to:
(a) ensure the functioning of the energy market;
(b) ensure security of energy supply in the Union;
(c) promote energy efficiency and energy saving and the
development of new and renewable forms of
energy;
(d) promote the interconnection of energy networks.
Ordinary Legislative procedure: CODECISION

15. What is changed with
Lisbon Treaty (4)
Art 194 Paragraph 2
Such measures shall not affect a Member State's right
to determine the conditions for exploiting its energy
resources,
its choice between different
energy sources and the
general structure of its
energy supply…

16. What is changed with
Lisbon Treaty (5)
Art. 192 Paragraph 3
General action programmes setting out priority
objectives to be attained shall be adopted by the
European Parliament and the Council, acting in
accordance with the ordinary legislative procedure
and after
consulting the Economic
and Social Committee and
the Committee
of the Regions.

17. The evolution of
Energy Policy in Europe
• The European Coal and Steel Community (ECSC) 1951
and EURATOM 1957;
• The Internal Market was the tool used by ECC to
develop the Common Energy Policy;
• The 1973 oil crisis influenced
the Common approach of the
energy sector.

18. The Common approach from ECSC to
the ‘90s
• To reduce the ECC reliance on
imported Energy;
• Secure and durable Supplying ;
• Positive Economic conditions ;
• Environment.
Resolution of the European Council 1974 “a new strategy for the ECC Energy
Policy”
(The guidelines of the Resolution was not binding at all)

19. The other steps
• 1995 Green Paper (Internal Energy Market,
Energy free movement…)
• Commission failed the introduction of the
Energy Policy in the Amsterdam Treaty 1997.
3 Directives:
• Liberalization of electric market (1996)
• Liberalization of research for oil and gas
mining (1997)
• Liberalization of gas market (1998)

20. Last Years
• Green Paper 2000 “Towards a European Strategy for the
security of energy supply ”
The APPROACH is CHANGED. The intent is to act on the
Energy Demand. The new Approach wants to guide the
consumers towards a sustainable behaviour on Energy
Saving in Building and Transports.
Green Paper 2005 “Doing More with Less ”
Green Paper 2006 “A European Strategy for Sustainable,
Competitive and Secure Energy”
National Strategies are established by National Governments and are different State
by State

21. Example: The Directive on the energy
performance of buildings
• The objective of this Directive is to promote the improvement of the energy
performance of buildings within the Community, taking into account outdoor
climatic and local conditions, as well as indoor climate requirements and cost-
effectiveness.
The Directive lays down requirements as regards:
• the general framework for a methodology of calculation of the
integrated energy performance of buildings;
• the application of minimum requirements on the energy
performance of new buildings;
• the application of minimum requirements on the energy
performance of large existing buildings that are subject to major
renovation;
• energy certification of buildings;
• regular inspection of boilers and of air-conditioning systems in
buildings and in addition an assessment of the heating installation
in which the boilers are more than 15 years old.

22. The “Climate Action”
Il 20-20-20 by 2020
On 23 January 2008 the European Commission put forth an integrated proposal
for Climate Action. This package of proposals demonstrates that the EU’s
climate change targets, which were agreed by EU leaders in 2007, are not only
attainable but represent a major economic opportunity for Europe. The
document lays out a strategy by which Member States will be able to slash their
collective greenhouse gas emissions by at least 20% and boost the share of
renewable energy to 20% of total consumption by 2020.
• Reduction of 20% CO2 emissions (compared to 1990)
– Unilateral commitment
– Reduction of 30% CO2 emissions in case of an International
Agreement.
• 20% Energy Saving
• 20% of use of energy from renewable sources.
• 10% on Transports:
– Biofuels

23. In concrete terms
1 Regulation, 4 Directives e 1 Decision:
Agreement on the promotion of the use of energy from
renewable sources
Directive establishes a common framework for the promotion of
energy from renewable sources. It sets mandatory national targets
(Italy 17%) for the overall share of energy from renewable sources in
gross final consumption of energy and for the share of energy from
renewable sources in transport. It lays down rules relating to
statistical transfers between Member States, joint projects
between Member States and with third countries, guarantees of
origin, administrative procedures, information and training, and
access to the electricity grid for energy from renewable sources.
It establishes sustainability criteria
for biofuels and bioliquids.

24. The EU Programmes
Programmes
– IEE
– Life+
European Energy Programme for Recovery
ELENA - IEB
• Networks (ERRIN) Network for European Regions
• Other Initiatives (Covenant of Mayors)

25. Intelligent Energy-Europe Programme
Promotion of use of energy from renewable sources, energy efficiency, energy
saving and biofuels.
YES – Analysis for market NO – Infrastructures/hardware;
development; Policies analysis; Demonstrations;
Making aware campaigns; best Research.
practices/knoledge/tools exchange;
development of new
methodologies
Public or Private Bodies and International Organisation
NO natural person.
27 MS + Norway, Liechtenstein, Iceland, Croatia, Turkey
Up to 75%
Average Budget: About 800.000 – 1 million Euro
3 sub-programmes: SAVE – ALTENER – STEER
Integrated Initiatives: Regional Energy Agencies – Creation of local Networks

26. LIFE Plus
Environmental Protection and Biodiversity Promotion. Preservation of natural resources,
integration of environmental Policies, Information Campaigns
SI – good practices exchange; dissemination NO – research – Infrastructures –
campaigns; innovation actions; support to Projects not in line with national priorities.
the legislation; management of Nature 2000;
…
Public or Private Bodies and International Organisation
NO natural person.
27 SM + Norway, Iceland, Switzerland, Liechtenstein + Croatia, Turkey, Macedonia + Serbia,
Montenegro, Albania, Bosnia Herzegovina, Kosovo
For projects concerning priority species and habitat up to 75%.
Up to 50% for all other projects.
Budget for project: 1 million Euro (Average)
3 Components: Nature and Biodiversity - Politics and Governance - Information and
Communication
Partnership is admitted.
It is necessary a justification in case of projects with more than 5 partners
2 steps of evaluation: Environmental Ministry and European Commission
It is important to present project in line with national priorities.

27. European Energy Programme
for Recovery
43 major energy projects which will significantly
contribute to the economic recovery in the EU,
while increasing our security of energy supply by
creating cross-border infrastructure.
• will help to speed up and secure investments on
infrastructure and technology projects in the energy sector
• will help to improve the security of supply of the Member
States
• will help to speed up the implementation of the 20/20/20
objectives for 2020

28. ELENA European Local ENergy Assistance
Many EU cities and regions have recently started to prepare or are
initiating large energy efficiency and renewable energy proposals to
tackle energy and climate change challenges.
However, most of them are still at the conceptual stage and their
implementation is proving difficult because many regions and
cities, particularly medium to small ones, often do not have the
technical capacity to develop large programmes in this area.
ELENA helps public entities to solve such problems by offering specific
support for the implementation of the investment programmes
and projects such as retrofitting of public and private buildings,
sustainable building, energy-efficient district heating and cooling
networks, or environmentally-friendly transport etc.

29. ELENA European Local ENergy Assistance
Financed through the Intelligent Energy-Europe Programme.
ELENA support covers a share of the cost for technical
support that is necessary to prepare, implement and
finance the investment programme, such as:
• feasibility and market studies;
• structuring of programmes;
• business plans, energy audits;
• preparation for tendering procedures
- in short, everything necessary to make cities' and regions'
sustainable energy projects ready for EIB funding.

30. Other Initiative : Covenant of Mayors
The Covenant of Mayors is an initiative to bring
together the mayors of Europe’s most pioneering
cities to exchange and apply good practice to
improve their energy efficiency and promote low
carbon business and economic development.
• The Covenant of Mayors is a formal commitment to go
beyond the EU objectives in terms of reducing CO2
emissions.

31. Other Initiative : Covenant of Mayors
Signing the Covenant commits the signatory to :
► Prepare a baseline emissions inventory
► Submit a Sustainable Energy Action Plan (SEAP), 1st
anniversary of the CoM
signature
► Submit an implementation report every 2 years after
that
► Attend the annual Covenant of Mayors conference
► Share experience with other areas, and promote the
Covenant
► Organise energy Days

32. Other Initiative : Covenant of Mayors
Why join the Covenant of Mayors?
• Make a public statement of extra commitment to
carbon reduction
• Create or reinforce the dynamic on carbon reduction in
your territory
• Benefit from encouragement and example of other
pioneers
• Share the expertise developed in your own territory
with others
• Make your territory known as a pioneer
• Publicise your achievements

33. Other Initiative : Covenant of Mayors
Who can join the Covenant of Mayors?
The covenant is aimed primarily at Cities, because:
• Over half of greenhouse gases are created in and by
urban areas.
• 80% of the population lives and works in urban areas
• Up to 80% of energy is consumed in urban areas
In practice, to sign the Covenant you need to be the
leader of a local authority: this may be an urban or rural
authority, and of any size.

34. Thank you for
your Attention.
Any Question?
Marco Canton
cantonmarco@hotmail.com