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The project aimed to determine the role of renewable energy in the strategies of electricity utilities across Europe in the context of the liberalisation of the European electricity sector, and to show whether liberalisation is likely to help or hinder the development of renewable electricity in the partner countries, and in the EU as a whole. We have tried to show how electricity utilities are likely to react to the combined, and potentially conflicting, effects of policies encouraging the further use of renewables, and legislation liberalising the electricity market.
Project partners have produced country briefings, baseline surveys showing the attitudes of electricity sector players and governments, and recommendations and action plans suggesting how existing renewable energy support schemes could be improved, and how renewable energy growth can be promoted in the electricity sector.
The key recommendations of the project are contained in the EU-level recommendations and action plan, which contain a proposal for a new European framework for renewable electricity growth. Here, we propose the adoption of an EU-level binding target for renewables growth, negotiated down to individual Member States in the same manner as negotiations under the Kyoto EU trading 'bubble'.
We further propose the certification of origin of all renewable electricity, using a very inclusive definition of renewables, and for national targets to be defined and measured using certificates. These conditions will promote international trade in certificates, thus bringing about beneficial economic effects, and working in harmony with the commercial forces inherent in a liberalised energy market.
The REALM project team have attempted to provide insights and draw conclusions for policy makers and industrial decision makers alike, that may show how the conflict between liberalisation and renewables can be minimized, and how policy may be adopted that works with the new forces of a liberalised market to promote renewables growth.
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