Placing competitiveness at the heart of the ‘Energy Package’

Mar 8, 2017

In view of the European Commission’s publication of its Winter Energy package, the European paper industry has compiled a position paper outlining its stance on key aspects of the proposal. Here are our key messages:

Deliverables expected by “Clean energy for all Europeans” package, as a whole:

• Promotion of cost-competitive energy prices

• Consistency between policy measures

• Stability and predictability of the regulatory framework

Deliverables expected by specific legislative proposals:

Electricity markets

• Allowing for market-based prices to show real value of electricity

• RES generators should participate in the markets in the same way as all other generators

• Subsidies to RES-E should not be allowed to distort wood supply markets

• Security of electricity supply to energy intensive industry must be secured

• Demand flexibility should be voluntary and rewarded

• The benefits of CHP should be recognised (efficiency, cost effective, energy security, resource efficiency)

• EU should not create more bureaucracy or official bodies / authorities

Energy Union Governance

• No to a binding cap on energy consumption impeding industrial growth

• Increased mobilisation of forest biomass is essential in reaching the 2030 renewable energy target

• Need for a real focus on industrial competitiveness

• Reduction of administrative burden for business needs to be prioritised

• Need to avoid/minimise policy conflicts and overlaps

Energy Efficiency

• The directive should not set a binding EU cap on energy consumption

• Member States should be allowed to set their own indicative targets

• Costs and potentials varies across Member States: there is no one-size-fits-all energy savings trajectory

• Equal footing between obligation schemes and alternative measures needs to be preserved

• Cogeneration to remain at the core of the Energy Efficiency Directive

Renewable energy

• Support schemes should not distort wood markets and should stimulate supply of wood

• Opening up to national schemes to cross-border participation in electricity markets should lead to more market integration, not to harmonised subsidies

• Guarantees of origin should remain as trade description, not to be used as subsidies

• There is no “one size fits all” in heating and cooling: focus should be on flexibility and cost-efficiency

• Emission reduction in transport should cost-efficiently drive renewable energies in transport (RES-T) integration into the market while not resulting in transportation costs increased

• Our industry is an emerging producer of RES-T solutions mainly from wastes and residues, such as advanced biofuels, biogas, excess electricity from bio-based pulp and paper mills…

• Bureaucracy and costs should be avoided when implementing sustainability criteria

The full position paper can be consulted via the link below.