AIRAH Refrigeration 2017 Conference Caroline Lambert

Transcription

1 AIRAH Refrigeration 2017 Conference Caroline Lambert Climate and Environment Counsellor Delegation of the European Union to Australia

2 The European Union's climate action story + 50% GDP since % GHG emissions since 1990 The most emissions efficient economy in the G20 Historic and projected changes in GDP (in real terms), GHG emissions, and emissions intensity of the economy (ratio between emissions and GDP) Index (1990 = 100), European Environment Agency

3 EU Energy prices and bills Industry. Average same as in China, Brazil or Turkey and lower than in Japan. EU price hikes are under control (+17%) compared to the USA (+32 %), China (+66%), Japan (+34%) and Indonesia (+41%) in Households. Factor of three cheapest/most expensive EU country. Average energy bills: +0.1% , far less / purchasing power. EU household energy expenditure (electricity + gas) + 0.5% between 2008 and Close to offset by the drop of transport fuel expenditure, - 0.4%. EU household energy consumption (excluding transport) - 4 %. Result of improved residential energy efficiency. EU energy efficiency requirements for appliances and products: save EU consumers close to 500 euros a year on their energy bills.

4 Structure 1. Context 2. Targets and Governance 3. Main policy instruments 4. Outlook to 2050

5 The EU's emissions profile 11% 11% 19% 20%

6 The EU's emissions trend and targets

7 However the picture is contrasted HFCs in industrial processes: 2nd largest increase. Side effect from Montreal Protocol. Accounted for 2.6% of total EU GHG emissions in % of F-gases supplied to the market in 2015 were intended for use as refrigeration, air conditioning and heating purposes. Warmer climatic conditions and higher standards of comfort demanded by citizens.

8 2. The EU's Climate and Energy targets Climate targets: a sectoral approach to governance Energy targets: integration with climate objectives to ensure security of supply and affordability

9 A sectoral approach to governance Two types of GHG emissions sources Economic operators operating transborder within the EU Sectors already regulated at EU level Industry Power generation Aviation EU level climate policy Economic operators less mobile and mostly regulated at national level Competence national/local Transport Buildings Waste Agriculture National approaches within a European coordinating + facilitative framework How is it reconciled with one single target for 28 Member States? By 2020 compared to % Greenhouse Gas Emissions

10 Industry Power generation Aviation Repartition key: abatement cost Transport Buildings Waste Agriculture Repartition key: GDP/capita

11 EU Climate targets: summary table By 2020 compared to 1990 By 2030 compared to % Greenhouse Gas Emissions - 40 % Greenhouse Gas Emissions ETS sectors: Industry, Power generation Aviation Non-ETS sectors: Transport Buildings Waste Agriculture Other landuse %/ % /2005 NA %/ %/2005 No debit By 2050 compared to % Greenhouse Gas Emissions 2050 Carbon neutrality in the electricity sector Carbon neutrality in the building sector New aspirational objectives from the Clean Energy for All package

12 Both ETS and non ETS sectors are delivering Today the EU ETS covers about 42 % of EU emissions. In 2014, ETS emissions were 24% below 2005 levels. Non-ETS sectors emissions were down 12.9 % compared to 2005

13 EU Framework for Climate and Energy "Energy Union" % Greenhouse Gas Emissions 20% Renewable Energy 20% Energy Efficiency 10 % Interconnection % Greenhouse Gas Emissions 27 % Renewable Energy 30 % Energy Efficiency 15 % Interconnection "Clean Energy for All Europeans" includes a new integrated governance system

14 3. Main policy instruments EU legislation to control F-gases The EU Emissions Trading System The Renewables Directive The Energy Efficiency trio

15 F-gases: MAC directive and F-gas regulation MAC Directive. From January 2017, no registration and no sale of new cars and vans using F-gases with a GWP over 150 times greater than CO 2. The F-gas Regulation. (-) 2/3 emissions by 2030 /2014 Decreasing new volume cap. From 2015 decreasing quantitative limits to the volume of HFCs which can be placed on the EU market (20% of 2014 sales in 2030, so -80% over ); Bans in the use of F-gases in many new types of equipment where less harmful alternatives are widely available, such as fridges in homes or supermarkets, air conditioning and foams and aerosols; Preventing emissions of F-gases from existing equipment by containment, training and certification of staff and of companies, requiring checks, proper servicing and recovery of the gases at the end of the equipment's life.

16 Bans examples by (date) Domestic refrigerators/freezers with HFCs of GWP over 150 (1/1/2015) Stationary refrigeration equipment with HFCs of GWP over (except equipment to cool products to temperatures below 50 C) (1/1/2020) Movable room air-conditioning equipment (hermetically sealed) with HFCs with GWP over 150 (1/1/2020) Commercial refrigerators/freezers (hermetically sealed equipment) HFCs with GWP over (1/1/2020) ; GWP over 150 (1/1/2022) Single split air-conditioning systems containing less than 3 kg of fluorinated greenhouse gases, with F gases of GWP of 750 or more (1/1/2025)

17 The EU ETS: cap, slope and coverage Absolute cap on overall emissions from covered installations which is reduced by -1.74% each year. Covers 11,000 installations EU-28 + IS, LH and NO emitting over TCO2eq/year Full auctioning for power sector except in lower GDP MSs. For industry: progressive transition to auctioning on the basis of best technology benchmarks + energy intensivity & trade exposure taken into account. The European Commission tabled in July 2015 a legislative revision of the EU ETS for its next phase ( ), in line with the EU s 2030 target (- 43% emissions compared to 2005).

18 The EU ETS troubles Challenge of a significant surplus of allowances (circa 2 bn allowances) due to financial crisis. As a first step, the auctioning of 900 million allowances was postponed ( back-loaded ) from until A more structural measure a Market Stability Reserve was agreed in The reserve will start operating in January It controls the number of allowances available at auctions by maintaining the allowance surplus, i.e. the total number of allowances in circulation, within certain levels.

19 Proposed revision of the ETS for The slope of the cap. Linear reduction factor to increase to - 2.2% a year compared to -1.74% currently. Liquidity management. Market Stability Reserve: allowances surplus to be reduced by 12% a year. Small changes to "carbon leakage" rules for industry. Simplify and update. Innovation Fund: 310 million allowances monetised to support the demonstration of breakthrough innovation in industry + renewables + CCS. Solidarity. Modernisation Fund 450 million allowances monetised to support modernising the power sector/energy systems/energy efficiency in 10 lower-income Member States.

20 The renewables directive Sets a binding target of 20% final energy consumption from renewable sources by To achieve this, MSs have committed to reaching their own national targets from 10% in Malta to 49% in Sweden. They are also each required to have at least 10% of their transport fuels come from renewable sources by 2020 (7% maximum cap for crop-based biofuels in 2020 lower proposed for 2030). All EU countries have adopted national renewable energy action plans showing what actions they intend to take to meet their renewables targets. They have used various support mechanisms which they were free to choose (and finance) as long as EU State Aid rules were respected.

21 In 2015, renewables provided 17% of the EU s total energy consumption

22 View by sectors Heating and cooling remains the largest sector in terms of absolute renewable energy deployment. But the largest growth is in the electricity sector. Renewables made up 29% of electricity consumption in 2015.

23 Investments in renewable energy in the EU

24 Proposed revision of the EU renewables policy for Political decision to nationalise renewable objectives settings: Member States will define own ambition including trajectories. EU-wide rules on national support schemes: Member States to promote renewables by cost-effective + stable + marketbased national support schemes subject to State aid rules and EU framework conditions, including rules for cross-border participation. EU to enforce certainty and stability for investors. The technological advantage these investments sustain is essential for the European industry and growth and jobs. Also decarbonising energy sector key to transition other sectors and reach higher climate ambition post 2030.

25 Trio of Energy efficiency legislation Directive 2012/27/EU on Energy Efficiency Directive 2010/31/EU on Energy Performance of Buildings Product design: Ecodesign + Energy Labelling Directives

26 What s the 20% Energy Efficiency target? The 20% EU energy savings target. Defined as a maximum of 1483 Mtoe primary energy or 1086 Mtoe final energy consumption in This is 20% less than projected in 2007 as business as usual. Indicative national efficiency targets.

27 What s in the energy efficiency Directive? Public buildings Mandatory national inventory of floor area and energy performance Yearly energy efficient renovation rate of at least 3% EU governments only purchase highly energy efficient buildings Energy market Compulsory annual reduction of 1.5% in national energy sales Rights of consumers to receive easy and free access to data on realtime and historical energy consumption Companies and SMEs 4-yearly independent certified energy audits of large companies Incentives for SMEs audits National Energy Efficiency Action Plans every three years

28 What's in the building directive? States to set up national requirements in legislation: All new /renovated buildings to be nearly zero energy buildings by end 2020 (public buildings by end 2018) In the meantime: minimum energy performance for new/renovated buildings and building elements based on cost optimality Energy efficiency certificates at sale and rental of buildings Inspection schemes for heating & airco systems Renewables Minimum levels renewable energy in new/renovated buildings Before construction, mandatory documented consideration of cogeneration, district or block heating or cooling, heat pumps National strategies for renovation of the building stock: mandatory, including investment mobilisation.

29 Results so far Energy use in buildings cut by 3% per year for the last five years Some Member States go beyond requirements: zero energy buildings in the Netherlands positive energy buildings in Denmark and France climate neutral new buildings in Germany zero carbon standard in the UK National requirements today in the EU: range from 0 kwh/m²/y to 270 kwh/m2/y. The higher values are mainly from hospitals. For residential buildings maximal primary energy consumptions ranges between 33 kwh/m²/y in Croatia (Littoral) and 95 kwh/m²/y in Latvia. Majority of the countries aiming at kwh/m²/y.

30 What's in the ecodesign directive? Sets minimum compulsory requirements for environmental performance of energy-related products Main focus has been on energy in the use-phase Will now address other environmental design parameters and life-cycle phases such as obsolescence issues, reparability, recyclability Ban on non efficient products: requirements have to be met to place a product on the EU market.

31 Product-specific measures 30+ ecodesign regulations 2008 Electric power consumption standby and off mode 2009 Simple set-top boxes 2009 Non-directional household lamps 2009 Fluorescent lamps for high intensity discharge lamp 2009 External power supplies 2014 Electric motors 2012 Circulators 2009 Televisions 2009 Household refrigerating appliances 2010 Household washing machines 2010 Household dishwashers 2011 Industrial fans 2012 Airco and comfort fans 2012 Water pumps 2012 Household tumble driers 2012 Directional lamps 2013 Computers and servers 2014 Ventilation products 2013 Vacuum cleaners 2015 Airconditioning 2013 Networked standby 2015 Solid fuel boilers 2013 Space heaters 2015 Refrigerated Cabinets 2013 Water heaters & storage tanks 2014 Domestic ovens, hobs and range hoods 2014 Power transformers 2016 Lighting products 17 energy labelling Regulations 2010 Household dishwashers 2010 Household refrigerating appliances 2010 Household washing machines 2010 Televisions 2011 Air conditioners 2012 Household tumble driers 2012 Electrical lamps and luminaires 2013 Vacuum cleaners 2013 Space heaters 2013 Water heaters & storage tanks 2014 Domestic ovens, hobs and range hoods 2015 Solid fuel boilers, Refrigerated Cabinets, Ventilation. Tyre labelling + 2 implementing regulations 2009 Fuel efficiency and other essential parameters 2011 Wet grip testing method for C1 tyres 2011 Wet grip grading of C2, C3 tyres, measurement of tyres rolling resistance and verification procedure 3 voluntary agreements (2012) Complex set top boxes (2015) Game consoles (2013) Imaging equipment

32 2010 Energy Labelling Directive The label shows energy efficiency in the use phase Use of other essential resources/ information during use also shown Manufacturers have to supply the label; dealers have to show it

33 Results Total EU energy consumption in 2014 is almost the same as in In 2014, we already had met our 2020 energy saving target for final consumption (overachieved by 2.2%) we are only 1.6% above the primary consumption 2020 target. European consumers to save 100 billion annually 500 per household on their energy bills by Energy savings of around 175 Mtoe per year, more than the annual primary energy consumption of Italy.

34 4. Outlook to Roadmap to 2050 Updated work on the roadmap (2014 AMPERE ) Next steps

35 Sectoral emissions roadmap to 2050 as seen in 2011 Emissions to be cut domestically by 80%/1990. Milestones: -40% by 2030 and -60% by 2040 All sectors to contribute. The transition is feasible & affordable.

36 Updated work on the 2050 roadmap AMPERE is an EU-funded international effort that stands for Assessment of Climate Change Mitigation Pathways and Evaluation of the Robustness of Mitigation Cost Estimates. Failure in the next decade until 2030 would entail very significant additional costs for energy consumers until 2050 Deep emissions reductions need carbon pricing at a significant level, stable and positively anticipated in the future Need to remove regulatory risks concerning climate policy Energy policy is key: policies need to facilitate structural changes in demand/supply via ambitious energy efficiency progress, electrification of transport, bio-energy supply, CCS and smart grid systems, more efficiency coupling of EU electricity systems and demand-management.

37 Next steps for the EU Already agreed objective is to reduce emissions by 80%-95% by 2050 on 1990 levels. Full decarbonisation of the power sector and the building sector set as policy objectives for 2050 New obligation to prepare and report to the Commission by 1 January 2020 national long-term low emission strategies with a 50 years perspective. France Germany Sweden Finland - 75%/ %-95%/1990 Net zero by 2045 Net zero by 2045 BREXIT mid European elections too. New Commission October Will a crucial key dossier to deliver on in the first months. Preparatory work starts now.