National Energy and Climate Plans : the example of Lithuania

As required by the Regulation on the Governance of the Energy Union and Climate action[1] (the Governance regulation), European Member States (MS) submitted their draft integrated National Energy and Climate Plans (NECP) to the European Commission (EC) by December 31th 2018. But what can be found in these NECPs ? Here is the example of the Lithuanian decarbonization plan that can be found in its NECP draft.

The Lithuanian draft NECP provides its 2030 national targets concerning:

  • Greenhouse Gas Emissions = -9% compared to 2005 (Effort Sharing Regulation, Annex I)

The majority of renewable energy in Lithuania is due to biomass. To increase the share of electricity production from RES in the final electricity consumption up to 30% in 2020, 45% in 2030 and 80% in 2050, the State intends to manage RES as follows:

  • By 2020, +30% RES (no less than 3TWh).
    • it is estimated that electricity produced from wind will become the main source of RES energy and by 2020 might reach up to 44%,
    • biomass – up to 26%,
    • hydropower – up to 19%,
    • energy produced in solar power plants – up to 6%,
    • biogas – up to 5% of all RES-generated electricity consumed.
  • Attention will be paid to the production of decentralised electricity from RES. The number of electricity consumers who can generate electricity for their own needs will be gradually increased. By 2020, after creating a favorable investment environment, there will be at least 34 thousand electricity consumers using a prosumer scheme.
  • By 2030, 45% RES (7 TWh)
    • 53% – could come from wind power,
    • 22% – from solar energy,
    • 16% from biofuel energy produced in highly efficient co-generation power plants,
    • 8% – from hydropower.
    • Biogas could generate about 1% of electrical power.
  • By 2050, RES will constitute 100% of power consumed in Lithuania (amount of energy produced from RES will be no less than 18 TWh).

District heating:

    • Up until 2020, RES consumption will continue to increase as compared to district heat consumption and in independent heating in households.
    • The share of DHS RES (including waste) will be 70% by 2020 and 90% by 2030. The development of high efficiency biofuel CHP plants will continue, non-recyclable municipal waste non-hazardous industrial waste that have energy value will be effectively used for energy production.
  • After creating a favorable regulatory environment, households with independent heating will gradually switch to clean, zero GHG technologies and the share of RES in households will reach 70% by 2020 and 80% by 2030. GHG producing technologies will be replaced by clean, clean-air technologies.

 Policies and measures to achieve national contribution to the binding 2030 Union target for Renewable energy

To increase the share of RES in the total energy balance at least by 45% by 2030 :

  • RES in electricity sector :
    • Applying feed-in premium granted by auction procedures to increase the production of electricity from RES at least by 2.5TWh by 2030
    • Carry out explorations for RES development possibilities in Baltic sea
    • Applying financial support for self-consumers will increase the production of electricity from RES by 1.6 TWh by 2030
    • Reduce administrative procedures for self consumers = decrease in documentation and procedures by 90% by 2020
    • Establish favorable regulatory environment for trade of guarantee of origin
    • Apply PSO exemption for consumers who buy electricity directly from RES producers = increase in prod of electricity from RES without support (2.9 TWh by 2030)

To increase the share of RES in district heating and cooling sector by 90% by 2030:

  • Implement projects of RES cogeneration power plants
  • Modernize or replace biomass boilers with other RES technologies
  • Promote use of biomass in the sector of district heating
  • Promote the use of RES in the sector of district heating and to evaluate possibilities of use of solar, energy tech, heat pumps and heat storage = nominal thermal capacity of the new equipment 200MW by 2030

Measures on financial support :

Seeking to promote the production and use of energy from renewable sources in electricity, heating and cooling sector, Ministry of Energy implements following measures financed from 2014-2020 EU structural funds which will contribute to the achievement of 2030 target:

– “Promotion of high efficiency biofuel cogeneration in Vilnius“ – 94.5 MEUR;

– “Promotion of small capacity biofuel cogeneration“ – 12 MEUR;

– “Promotion of use of biofuel for heat energy generation” – 17 MEUR;

– “Replacement of old biofuel boilers with new ones“ – 10 MEUR.

 

Ministry of Agriculture in 2014-2020 allocates 45.2 M EUR for the measure Support for the production of biogas from agriculture and other wastes. Farmers, small and micro enterprises engaged in livestock or poultry farming are able to receive support for the production of renewable energy from biogas.

Ministry of Economy in 2014-2020 plans to allocate 10 MEUR for the development of RES in industry (micro, small, medium and large enterprises).

 

Policies and measures adopted and under implementation in the transport sector

Adopted and under implementation measures

  • Promotion of the RES use in the transport sector will Increase the share of RES in all modes of transportation in comparison with the final consumption of the energy in the transport sector (2018 – 2030)
  • Electrification of railways (2018–2027)
  • Improvement of road infrastructure (2018–2020)
  • Promote energy efficiency consumption in the transport sector = To assess the impact of tax measures on fossil fuel consumption (2014-2030)
  • Sustainable mobility plans = promoting the use of alternative modes of transportation and encouraging the use of renewable fuels. (2018 – 2030)
  • Promoting alternative fuel use in urban public transport vehicles = Support from EU funds to municipal administrations for purchasing low-emission urban public transport vehicles (EU-funded instrument for 2014-2020, which should be continued) => 200 MEUR

Planned/Provisional measures:

  • Promoting the purchase of low-emissions vehicles (2020 – 2030)
  • Implementation of E-tolling for freight transport = to apply differentiated the “user pays” and “polluter pays” principle to freight transport (2021 – 2027) => 130 MEUR, EU Funds
  • Promoting the use of LNG in transport

 

Lithuanian NECP is one of the most ambitious NECP and is alike to attract investments, as investor can have an overview of the gaps and of long-term strategies.

 

[1] Regulation (EU) 2018/1999 on the Governance of the Energy Union

A propos de Barbara KIM

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