Proposal for a Renewable Future

Size: px
Start display at page:

Download "Proposal for a Renewable Future"

Transcription

1 Proposal for a Renewable Future

2 Contents Energy Efficiency Green Gas Renewable Transport Security of Supply Renewable Heat Job Security The Strategic Energy Framework was developed in 2010, with a 10 year implementation plan and 2020 targets for heat and electricity. We are fast approaching 2020, with no vision for renewable energy, no targets beyond 2020 and little appetite for new policy, in the wake of the Renewable Heat Incentive debacle. There is a need to fill this policy vacuum, with a range of suggestions and recommendations that will stimulate debate and serve as a starting point for discussion about what you want to see in the energy future of Northern Ireland. To continue to import over 85% of our primary energy requirement, is not an option. Northern Ireland has been successful in increasing the amount of electricity generated from renewable sources. It has been less successful with renewable heat and the transport sector has been largely neglected. We need to set new targets for all three sectors, identify what the barriers are and develop long term policies that support sustainable energy production. Action Renewables Energy Association (AREA) has identified actions in Energy Efficiency, Green Gas, Renewable Transport, Security of Supply, Renewable Heat and Job Security, that would encourage the continued increase of sustainable energy in our energy mix.

3 Energy Efficiency The objective of energy efficiency is to use less energy, to provide the same standard of service or create the same product. To meet the requirements of the EU Energy Efficiency Directive 2012 (EED), which requires member states to achieve 1.5% year-on-year energy savings, Northern Ireland needs new energy efficiency measures, to improve business operations and achieve energy consumption cost savings. At present, energy efficiency targets are not broken down to be sector-specific, hence sector-specific potential is not fully understood.

4 Energy Efficiency Recommendations A sector-specific analysis needs to be conducted and out of this, individual targets could be set. A clear strategy and action plan should be devised to achieve the sector-specific targets. The implementation of further legislative schemes to target specific energy consumers, for example Energy Savings Opportunity Scheme (ESOS). There is currently no requirement to implement the identified savings. This is something that could be altered in phase 3 of the scheme, to ensure that at least some savings are achieved and energy efficiency improved. A shift in behaviour is needed. This would contribute significantly to improving energy efficiency, likely to be a government-led campaign. Regulator support is required, particularly for the rollout of smart meters. Changes to the building regulations, to include a minimum renewable energy contribution.

5 Green Gas Currently, biomethane produced from Anaerobic Digestion (AD) is used primarily to generate renewable electricity, which is incentivised. This incentive, Renewable Obligation Certificates (ROCs) is no longer available to new producers. AD producers currently operate in a restricted market and the mobility of their resulting gas is limited to compression and tankering or use at the point of production. A more sustainable future model is to develop the supply-side of the green gas market in Northern Ireland, delivered through gas grid injection. This will in turn stimulate the demand for green gas i.e. in heat and transport.

6 Green Gas Recommendations Obtain regulator approval for the injection of biomethane into the gas grid. Liaise with Firmus, Phoenix and Gas Networks Ireland, to facilitate infrastructural changes, such as gas grid injection for biomethane. Develop an incentive scheme to encourage manure to go to AD, to reduce methane emissions. Treat food waste in line with the waste hierarchy, i.e. treat it through AD. Use biomethane to decarbonise our natural gas network. A more sustainable future model is to develop the supply-side of the green gas market in Northern Ireland, delivered through gas grid injection. This will in turn stimulate the demand for green gas i.e. in heat and transport.

7 Renewable Transport The transport sector accounts for a third of the total energy consumption in Northern Ireland and 94% of this is associated with petrol and diesel in road vehicles, including; cars, vans and trucks. According to the International Energy Agency, the use of biofuels needs to grow by a factor of 10, by 2050, if we are to stay within the 2 o C climate change scenario. Incentives, such as Renewable Transport Fuel Certificates (RTFCs), already exist if there was the demand to use the fuel.

8 Renewable Transport Recommendations There is a tremendous opportunity to decarbonise Northern Ireland s transport sector through the use of renewable transport fuels, such as; biodiesel, bioethanol, biomethane, hydrogen and electric vehicles. Collaboration with Department of Agriculture, Environment and Rural Affairs (DAERA) on feedstock availability, indirect land use change and the more detailed aspects of RED ll and fuel quality directive, for biofuel production. Set a trajectory for the renewable transport fuel obligation, beyond 2020 in Northern Ireland. Identify how the new renewable transport fuels and greenhouse gas emission regulations can be implemented in Northern Ireland. Allow the injection of biomethane into the gas grid to encourage its use in the transport sector. Create an all-island network of compressed natural gas filling stations. Use biomethane to decarbonise our transport. Create an all-island network of hydrogen filling stations. Convert public service vehicles i.e. council vans, bin lorries, buses to run on green gas. This would improve the natural environment and air quality, particularly in built up areas.

9 Northern Ireland needs 200GWh of energy savings per year to meet the requirements of the EU Energy Efficiency Directive The number of accredited renewable energy installers has fallen from 96 to 27 in the past three years Northern Ireland imports 87% of its primary energy, causing uncertainty with the potential impacts of Brexit Less than 10% of Northern Ireland s energy consumption comes from renewable sources There is 56MW of biogas generation currently installed in Northern Ireland 94% of all transport energy consumption in Northern Ireland is associated with petrol and diesel in road vehicles

10 Security of Supply Northern Ireland imports 87% of its primary energy, at an annual cost of over 1 billion. This is in the form of oil, gas and coal. The risk associated with imported fuels is likely to rise after Brexit. The existing electricity grid is having to cope with increased intermittency of supply and lacks resilience.

11 Security of Supply Recommendations Reduce the bill for energy imports, by generating renewable energy from local scources. Quantify the economic benefit of using indigenous resources and increase the use of renewable energy, including; production of energy crops, renewable electricity, biogas and heat and power from Anaerobic Digestion. Replace the Strategic Energy Framework with a new vision and implementation plan beyond A stable and supportive regulatory regime is needed to create a more sustainable and secure energy system. Continue to make the electricity grid more resilient to accommodate an increasing amount of renewable generation. Provide priority access to the grid for renewables, in line with the Renewables Energy Directive, Article 16. Diversify the fuel mix to include biomethane, hydrogen and other liquid and gaseous biofuels. Ensure that the second North South electricity interconnector goes ahead. Regional investment in infrastructure, transport systems and innovation to increase the use of indigenous resources.

12 Renewable Heat Heat accounts for nearly half of Northern Ireland s energy consumption. Less than 10% of this comes from renewable sources. The failure of the Renewable Heat Incentive (RHI) has created a situation where there is no intention to tackle the core issue, which is the use of fossil fuels in the heat sector. If this sector is ignored, there will be little possibility of Northern Ireland ever making significant reductions in the use of fossil fuels.

13 Renewable Heat Recommendations Resolve the outstanding issues with the RHI, providing an acceptable level of support for the existing participants. Develop a new strategy for the increased use of heat from renewable sources and set targets for 2025 and Introduce a new heat support programme, with a robust cost control system, suitable energy efficiency measures and sustainability criteria, in line with RED ll. Allow the introduction of biomethane and hydrogen into the gas grid, to decarbonise the gas network. If this sector is ignored, there will be little possibility of Northern Ireland ever making significant reductions in the use of fossil fuels.

14 Job Security While Northern Ireland has a Strategic Planning Policy Statement that supports the appropriate development of renewable energy, the renewables industry is currently under threat due to the removal of fiscal government support. In 2015, there were 96 companies registered under Microgeneration Certification Scheme (MCS) in Northern Ireland. By 2018, that figure had fallen to 27, indicating a substantial decline in renewable energy activity. There is a potential loss of more than 3000 jobs and the certain dampening of innovation in our economy, due to lack of clear policy and the withdrawal of incentives to support the industry.

15 Job Security Recommendations Create the right policy direction. Given this, renewable energy can attract inward investment and generate jobs. An increase in home-generated energy from renewable sources can result in increased energy security and predictability around energy pricing, also contributing to economic stability in NI. Clear and consistent policy framework, to replace the Strategic Energy Framework. For the development and incentivisation of renewable energy, given its importance to society. With this will come the certainty that is needed for the industry to continue flourishing, whilst at the same time helping Northern Ireland to meet its renewable energy and environmental commitments. Government need to act now, so the industry can make this potential a reality. Security of jobs in the industry will come with incentivising the uptake of renewable energy generation. Appropriate support for the renewables industry (at both large and small scales) will see money staying in NI, directly benefiting local businesses and more widely, money being spent in the NI economy.

16 Sources aspx?reportvisibility=1&reportcategory=0 energy-northern-ireland-2016.pdf content&view=article&id=44&itemid=154 sef% pdf uploads/attachment_data/file/656292/rtfo-year-10-report-1.pdf AREA Help us to support the development of Northern Ireland s renewable energy sector. AREA is a collaborative networking organisation that provides expert renewable energy advice to its members. We hold regular events and undertake bespoke project work for our growing membership. To join AREA, get in touch with our Energy Association Manager, Ian Gordon, by calling or ing ian.gordon@actionrenewables.co.uk. insights_programme_-_the_decarbonisation_of_heat.pdf

17 Block C, Unit 1, Boucher Business Studios Glenmachan Place, Belfast, BT 12 6QH