Report 29 November 2010 A bumpy ride First the carbon price crashed because too many “emission allowances” had been handed out. Then the recession led to a drop in emissions, leading to yet another surplus of allowances in the market. The EU Emission Trading Scheme (ETS), Europe’s flagship climate policy instrument, has so far proven to be a bumpy ride. With the third phase of the ETS (from 2013 to 2020)  approaching, the debate about the effectiveness of the ETS is flaring up again.  Some argue that the ETS is not working and that the European Commission should intervene, for instance, to raise emission reduction targets, so as to drive up carbon prices. Others say that the mere existence of the ETS is enough to lead to fundamental changes in the EU’s industry and energy sectors. Sonja van Renssen, a journalist specialised in energy and climate, talked to many stakeholders in the European Capital and concludes that the ETS is facing an uncertain future. More
Report 25 November 2010 Finally, Brussels’ battle plan for the European energy market By Hughes Belin The European Commission has set out its vision on how to develop the European energy networks needed for a low carbon and more import-dependent future. Brussels’ infrastructure battle plan, adopted on 17 November, is to focus on a limited number of priorities with high added value in terms of achieving European energy and climate change goals, to identify specific but flexible projects that enable the EU to adapt to a changing economic and technological environment and to create tools that can support this policy. Legislative proposals will follow soon. The stakes are high. Success or failure of the new infrastructure policy will be crucial to Europe’s entire strategy on energy efficiency, renewable energy, the Single Market, and security of supply. More		Interview
Report 18 November 2010 The EU’s energy strategy: adapting too slowly By Hughes Belin The European Commission has updated for the second time the energy strategy for the European Union, as it does every two years. Although the new strategy, “Energy 2020”, sounds a more urgent note than the two previous editions, it does not offer much in the way of new plans or insights. It also generated few reactions in energy circles in Brussels. The strategy, which was published on 10 November, will be discussed by EU leaders during a summit on energy on 4 February 2011. The idea is that it will then be agreed upon by EU leaders at another EU summit in March 2011 to become the framework for all new EU energy policy initiatives – at least until the next update, in late 2012. More		Interview 9 November 2010 ‘There is a total lack of competition in the regional gas market’ By Jeroen Bult Estonia, the smallest of the Baltic States, is striving after diversification of its energy resources to reduce dependence on its mighty neighbour, the Russian Federation. Estonia has found a welcome ally in the European Commission, but it is also facing obstacles to its energy policy, notes Einari Kisel, the Deputy Secretary General of Energy of the Ministry of Economic Affairs, in an interview with EER. Kisel, who is generally regarded as Estonia’s leading energy expert, specifically notes the ‘total lack of competition on the regional gas market’ and ‘the lack of reciprocity between the EU and Russia’. These aspects ‘have a major impact on the operations of the energy markets and on the security of energy supply in the Baltic region’, he says. About the nuclear power plant that Russia apparently intends to build in the Russian enclave of Kaliningrad, he says that the project is ‘aimed at creating confusion’ among western investors who are considering investing in a new nuclear power plant in Lithuania. More
Recent posts 'We do not want to depend on only one pipeline' - 15 November 2010 An exclusive interview with Elshad Nassirov, Vice-President of the Azerbaijani national energy company Socar, and the top negotiator for Azerbaijan on their gas contracts From Stockholm to Sofia, Europe is sleepwalking its way into far greater dependency on Russian gas - 9 November 2010 Europe is failing to take proactive measures to diversify supply when times are good 'For Nabucco it is now or never' - 4 November 2010 Ït's now or never for Nabucco, says Jeremy Ellis, Head of Business Development of RWE in an interview with EER Emission trading scheme is starting to bite - 7 October 2010 In the first eight years of its existence, from 2005 through 2012, the Emission Trading Scheme actually has had little impact on business. Starting in 2013, however, this is set to change. Brussels to unveil new energy infrastructure vision - 5 October 2010 Energy infrastructure has long been the neglected child of EU energy policy. No longer. On 17 November the European Commission will come out with a detailed Energy Infrastructure Package, which will be a mix of legislative proposals and strategic papers. 'A remarkable turnaround of past trends' - 16 September 2010 This week the European Commission published its biannual report "EU energy trends to 2030". This 2009 “update” – which underlies much of the energy and climate legislation coming out of Brussels – presents a very different picture from the previous 2007 e 'The integration of the European electricity market will transform the European economy' - 3 September 2010 Few people seem to be aware of it, but the European electricity market is – finally – becoming what it was promised to be when the liberalisation of the energy market started in 1998: one single copper plate!