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Renewable Energy

Renewable Energy

The new provisions on renewable energy are intended to facilitate the deployment of renewable energy during the energy transition until 2030 by setting EU-wide targets on renewable energy, streamlining the administrative permission process, providing stability on financial support and strengthening consumer rights.

Directive on Energy from Renewable Sources (recast)

timeline

Key Takeaways

2030 renewables targets

  • The share of renewable energy in the EU’s gross final energy consumption is set at a minimum of 32% by 2030.
  • Member States set their own individual targets to contribute to the EU target, but binding targets from the current Directive 2009/28/EC are maintained.
  • Individual targets for certain sectors, e.g. an EU-wide target of 14% for the transport sector by 2030.

Support schemes

  • Member States can apply support schemes for electricity from renewable sources. Support shall be granted, in principle, in the form of a market premium.
  • Support schemes shall be designed to integrate renewables in the electricity market in a market-based and market-responsive way.
  • Cross-border support remains optional, but the Commission will evaluate in 2023 whether opening national support schemes for other Member States should become mandatory.
  • New provisions on stability of financial support shall increase predictability for investors.

Permitting

  • The permit-granting process shall not exceed two years for power plant, and one year for small-scale installations and the repowering of existing renewable power plant.
  • Single contact points shall guide an applicant through and facilitate the entire administrative process covering all relevant administrative permits.

Guarantees of origin

  • Guarantees of origin to be issued not only for electricity but also for gas, heating or cooling from renewable sources.
  • Member States may also issue guarantees of origin for energy from non-renewable sources.
  • Support schemes must take into account the market value of the guarantee.

Grid connections

  • The priority grid access for renewable electricity has been removed; now, in principle, the same rules as for generators of electricity from other than renewable sources apply.
  • For grid connections of smaller installations a simple notification procedure shall be introduced, provided that grid stability, reliability and safety are maintained.
  • The priority grid access for generators of gas from renewable sources is maintained.

Renewable self-consumers

  • Member States shall promote and facilitate renewable self-generation, amongst other things, by addressing unjustified barriers to financing or regulatory barriers or by granting access to relevant support schemes.
  • Renewable self-consumers shall have the right to store and to sell excess electricity individually, via aggregators or, when located in the same multi-apartment blocks, jointly without losing their rights as consumers.
  • Charges and fees can only apply under certain conditions and to a certain extent.
  • Non-household self-consumers only profit from these rules so long as the self‑generation, storage and sale of excess power do not constitute their primary commercial or professional activity.

Renewable energy communities

  • Renewable energy communities are legal entities aiming at environmental, economic, or social, rather than financial, profits.
  • They consist of natural persons, small and medium-sized enterprises or local authorities, controlled by shareholders or members located in the proximity of renewable energy projects owned and developed by the community.
  • Renewable energy communities are entitled to produce, consume, store, or sell renewable energy and share it within the community.
  • The Member States shall promote and facilitate the development of these communities.

District heating and cooling

  • Regarding district heating and cooling, Member States may either:

increase the share of energy from renewables or waste by 1% per year by measures in their discretion; or

allow third-party suppliers of energy from renewables or waste to connect (and sell) to district heating or cooling systems when there is demand from new customers or existing capacity is replaced or expanded.

  • Consumers may terminate or change their contract in order to produce heating or cooling from renewable sources themselves if their system not efficient. 

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