16 November 2016
WindEurope CEO underscores need for strong governance on EU’s 2030 package
The wind industry must engage with EU member states to ensure they set out ambitious plans for renewables after 2020, said WindEurope CEO Giles Dickson.
Speaking at a forum organised by ENERCON, Dickson stressed the need for a strong governance programme on the EU’s 27% renewables target for 2030. The European Commission is due to release legislative proposals on how the EU should meet its energy and climate objectives over the next decade.
Dickson said: “The European renewables target is expected to come without a national breakdown and be implemented primarily via national plans. The industry will need a very proactive approach to ensure ambition national plans for renewable energy.”
As part of the legislative package, the Commission will also deliver its strategy to revise Europe’s electricity markets. Dickson said that reform must create a level playing field for renewables and long-term price signals are essential to drive new investments. “Low wholesale power prices means the energy only market is insufficient to sustain investments in new generation capacity. Europe needs to address overcapacity in generation assets and increase power demand through the electrification of heating, cooling and transport. In parallel, wind energy investors need long term investment signals. Under the post-2020 Renewable Energy Directive, these could primarily come in the form of feed-in premiums allocated via tenders.”
Dickson added: “The Commission could maintain priority dispatch for existing assets, for Member States with low renewable energy penetration rates and those with no functional short term markets. Priority dispatch is likely to be phased out in the other circumstances underscoring the importance of transparency in system operation and clear rules for curtailment compensation.”