Europe reaches deal on renewables directive

The preliminary deal, which still needs to be passed by the European Parliament, will allow European member states to review how the targets are shared out between countries in 2014, but will not permit any watering down of the 2020 overall target.

The deal backs the target of at least 10 per cent renewable energies in the transport sector by 2020, especially through the promotion of ‘second generation’ biofuels and electric cars.

The compromise deal was reached following several negotiating rounds in which some European countries, such as Italy, argued for a major review of the 2020 targets in 2014, for fear that the targets would impact on their industries.

The deal reached yesterday means that a European Commission review of the renewable energy directive in 2014 will seek to improve, if necessary, ‘cooperation mechanisms’ between different member states, but will not affect the overall 20 per cent target.

The cooperation mechanisms will allow EU member states to claim renewable energy projects they fund in other countries towards their own targets, ‘statistically’ transfer renewable energy between each other and work jointly on renewable energy projects.
 
The agreement means ‘second generation’ biofuels – produced from waste, residues, or non-food cellulosic and ligno-cellulosic biomass – will be double credited in order to meet the 10 per cent in renewable energies in transport target by 2020.

And in a boost for electric cars, the compromise deal also states that renewable electricity consumed by electric cars will be considered two and half times its input towards the 10 per cent target.

Last week, the EU agreed that European car manufacturers would have to cut vehicle emissions by 18 percent within the next six years.

Commenting on the renewable energy directive deal, European Parliament's rapporteur, Claude Turmes said: “This is a good day for climate and energy security in Europe. With this major legislation renewable energy will be put at the very heart of EU energy policies and at the same time reinvigorate the European economy and jobs through green technology investments.”

The renewables directive agreement was reached the same day EU member states endorsed the EU Commission’s plan to phase out the use of incandescent light bulbs between 2009 and 2012.