Funding for sustainable energy: Encouraging rational energy use in the EU

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Funding for sustainable energyEncouraging
rational energy use in the EU
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Introduction

• A number of mechanisms at EU level to finance
  efficient use of energy
• The Intelligent Energy Europe programme (IEE)
  supports non technological actions to encourage
  sustainable energy - budget of 730 million for
  2007-13
• Energy a priority in regional funding instruments
  - the cohesion and structural funds - major
  part of overall EU budget
• Funding for small and medium-sized businesses
  (SMEs) - can help improve competitiveness through
  efficiency measures
• The Seventh Framework Programme (FP7) helps
  develop new efficiency and renewable energy
  technologies and get them to market

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Environment and energy

• LIFE (2007-13)
• EUs funding instrument for environmental
  projects since 1992
• Wide range of energy projects in the past -
  energy production and distribution industry and
  commerce buildings and households transport and
  horizontal management approaches
• New generation of the programme for 2007-13
  (LIFE) will continue to co-finance sustainable
  energy projects
• http//ec.europa.eu/environment/life/index.htm

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Innovation and sustainable energy

• EUs Competitiveness and Innovation Framework
  Programme (CIP) aims to encourage the
  competitiveness of businesses, particularly SMEs,
  by supporting innovation
• Supports the take-up of innovative environmental
  technologies and the use of renewable energies
  and energy efficiency
• http//ec.europa.eu/cip/index_en.htm

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Good Practice 1

• Energy Check in Small and Medium Craft
  Enterprises (IEE funded)
• Developed a standardised energy check tool for
  SMEs
• Small businessmen qualified as energy checkers
  and can audit other small businesses
• Five businesses in five countries Bulgarian
  carpenters, German bakers, Greek
  bricklayers/glass producers/paint producers,
  Irish small food producers and Spanish meat
  producers
• http//ec.europa.eu/energy/intelligent/projects/do
  c/factsheets/e_check_in_craft_sme.pdf

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Sustainable regions

• Sustainable energy supported by two of the three
  regional development funds the European
  Regional Development Fund (ERDF) and Cohesion
  Fund
• Three overarching objectives
• Convergence - boosting the economies of the least
  prosperous regions
• Regional competitiveness and employment - with a
  particular focus on promoting clean urban
  transport
• European territorial cooperation - joint
  initiatives across borders
• http//ec.europa.eu/regional_policy/funds/feder/in
  dex_en.htm
• http//ec.europa.eu/regional_policy/funds/cf/index
  _en.htm

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In the country

• Rural development can contribute to targets to
  cut greenhouse gas emissions under the Kyoto
  Protocol
• Sustainable energy projects qualify for funding
  from the European Agricultural Fund for Rural
  Development (EAFRD 2007-13)
• Agriculture and forestry provide raw materials
  for bio-energy and contribute to reductions in
  greenhouse gas emissions
• The development of renewable energy can help
  diversify rural economies

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Good Practice 2

• Wood to heat a school, Germany (ERDF funded)
• Municipality of Walsdorf, near Bamberg, built a
  kindergarten in 1993 with a biomass heating
  system fuelled by wood chips
• Local farmers, businesses and the authorities set
  up a company to operate the plant and provide
  wood chips
• Heating system now extended to neighbouring
  houses and retirement home
• Second plant is being built to heat new housing
  development
• Uses 650 tonnes of locally-grown wood per year
• Costs 150,000 per year
• Substitutes 170,000 litres of fuel oil
• Cuts CO2 emissions by 400 tonnes per year
• SO2 and NOx emissions cut by 750 tonnes per year

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Research and development

• Seventh Framework Programme for Research and
  Development (FP7) funds technological projects in
  energy efficiency, saving and renewables
• Examples of projects hydrogen and fuel cells,
  renewable electricity generation and renewable
  fuel production
• http//ec.europa.eu/research/future/index_en.cfm

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Investment sources

• European Investment Bank and the European Bank
  for Reconstruction and Development provide
  financing for energy projects through
• JASPERS (Joint Assistance to Support Projects in
  European Regions) supports preparation of
  infrastructure projects, principally in new
  Member States and accession countries
• Environmental projects, including energy
  efficiency and renewable energy, are one of the
  key areas covered by JASPERS
• http//jaspers.europa.eu/
• JEREMIE aims to improve access to finance for
  micro business and SMEs. Emphasises technology
  transfer, start-ups, micro credit, technology and
  innovation funds

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Investment sources (contd)

• JESSICA is a joint initiative of the European
  Commission and the EIB
• Helps authorities exploit EU cohesion mechanisms
  supporting sustainable urban development and
  providing new opportunities
• Authroities can use European Regional Development
  Funds (ERDF), European Social Fund (ESF)and Urban
  Development Funds (UDFs) to accelerate investment
  in urban areas
• Risk Sharing Finance Facility (RSFF) provides
  additional support to research, development and
  innovation projects in Europe. The first RSFF
  financing operations focus on renewable energy
  technologies, a priority for the EIB in 2007
• http//www.eib.europa.eu/

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What is ManagEnergy?

• Initiative by European Commission
  Directorate-General for Energy and Transport
• Supports local and regional actions on energy
  efficiency and renewable energies
• Training workshops/online events
• Information on case studies, good practices,
  legislation and programmes
• Network of local and regional energy agencies
  (LEAs)