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Conclusion & Recommendations

Improved energy efficiency has a fundamental role to play in the European Union’s security of supply. Cogeneration has a major contribution to make to energy efficiency. The challenges with cogeneration as with energy efficiency as a whole do not lie with a lack of technology -this is already available- the problems lie squarely in the areas of political leadership and policy implementation. The Second Strategic Energy review should re-affirm that political leadership exists and include Energy Efficiency as a key element based on its:

Clear ability to enhance energy security of the EU and its Member States

Clear potential in further developing the external dimension of the EU energy policy

Clear value as low risk action with near term impact
 

Energy efficiency within the security of supply context will be increased by the wider deployment of cogeneration and in this context COGEN Europe advocates:

 

1) The European Union’s target of 20% savings in primary fuel use by 2020 should be made robust in definition and made mandatory: Making the target mandatory will place it on an equal footing with the other climate change objectives of the European Union

 

2) The Cogeneration Directive 2004/08/EC should be fully implemented in every Member State and proceedings started against those Member States which are not compliant.

Particular attention should be given to the following aspects of the legislation:

Transparent, functional, non-bureaucratic and predictable rules covering connection of decentralised generating capacity to the grid.

Fair, transparent pricing for connection of cogenerators to the grid

Appropriate effective support mechanisms (Feed-in tariffs are the single most effective support mechanism yet identified within the EU27 to promote additional capacity investment in cogeneration and thus lower national primary energy demand)

 

3) EU ETS Phase III should be made effective for cogeneration which uniquely offsets emissions remotely from the point of operation, and works across sectors and markets.
 

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