Measures towards Zero Emissions in
the European Power Sector – Policiesand actual status
Dr Oliver Then, vgbe energy e.V.
September 5th, 2023
32nd Clean Coal Day International Symposium (2023), Tokyo1 Actual gas and electricity situation in Europe

In 2021 EU has imported 83 % of natural gas -Russia was by far the biggest supplier for natural gas –Power sector used 30%
Share of Russia in national
gas imports ofEU countriesgas

In average approx. 47% of EU‘s gas imports camefrom Russia in 2021
Others 10,5%

No dataQatar 4,3%
USA 6,3%
Algeria 11,6%LNG

Norway 20,5%

Russia 46,8%

pipeline

2021
3

Clean Coal Day September 2023

vgbe energy e.V.

In 2022 Russia gradually stopped gas supplies via Jamal andgas
North Stream 1 pipelines
European gas
imports fromRussia
in million cubic meter

160
120

1402022

-28

80

-30
-16

40

65

-1

250

Germany had to replace Russian gas imports in afew month time:••increasing LNG imports (via Netherlands, Belgium andFrance)slightly higher pipeline supplies from Norway

2021
Norway31 %Clean Coal Day September 2023

2022
Sep*Russia55%Netherlands
13%

4Others 2%

Norway43%

Others 5%

Netherlands/
Belgium /France
52%

vgbe energy e.V.

Potential of LNG as a replacement for Russian pipeline gas
gas

Import capacities for LNG in Europe 2021
In billion cubic meters

no terminal
0,1-15
15-30
30-45
45-60
60-75

5Clean Coal Day September 2023

vgbe energy e.V.

Actual situation 2023
 Revenue from fossil fuels exported to the EU has
declined more than 90% from their peak but stillreaching 18 bill. USD in 1st half of 2023
 EU coal import ban from August 2022 on EU/G7 price cap of 60 USD per barrel for Russiancrude oil; price support by OPEC+ nations
 German ban on Russian gas from end of 2024 /EU until 2027
 Russia is EU’s third largest import country for LNG
with ~ 19 bill m³ in 2022 (behind USA and Quatar)
 India has ramped up imports from Russia by 10x

6Clean Coal Day September 2023

vgbe energy e.V.

In the EU26 roughly 2/3 of electricity production are „low-carbon“
thereof ~ 40 % from renewables
electricity
20212022

2.620 TWh

2.461 TWh
Coal16%

Coal16%Nuclear
22%

Nuclear
27%

Wind
14%

Wind
16%

Gas
20%
Gas
17%

Hydro
13%
Solar
5%

Other
5%

Hydro
11%
Solar
8%

Biomass3%

Other Biomass
4%3%

Source: Eurostat data 2023

7Clean Coal Day September 2023

vgbe energy e.V.

2 Energy policy framework in Europe and Germany

Challenging climate targets in Europe – Germany even more
ambitious – coal phase-out seems unavoidableTargets
in Mil. t CO2aq.

 Climate Nuclear andcoal phase-out Protection
laws
Law

 Fit for 55

 Clean Energy Packages

 RePowerEU

1,251
1,055

943

2030:-55%-65%740

772

761
-100%

-100%

00

target2045

target
2050

438

1990

2000

2010

9Clean Coal Day September 2023

2020

2021

2022

target2030

vgbe energy e.V.

Decarbonization in Germany: Future Blue print for 2045

Courtesy of EnBW AG
10 Clean Coal Day September 2023

vgbe energy e.V.

Decarbonization in Germany: Coal phase-out

11 Clean Coal Day September 2023

vgbe energy e.V.

Decarbonization in Germany: Natural gas gradually being replacedby carbon-neutral gases

Courtesy of EnBW AG
12 Clean Coal Day September 2023

vgbe energy e.V.

What does it mean in reality – RES targets in Germany until 2030

Solar PV –Installed capacity/expansion1

Wind Offshore –Installed capacity/expansion1

in GWin GW

Wind Onshore –Installed capacity/expansion1
in GW

42

128

21
216

34

1

2020

Expansion
until 2024

Expansionfrom 2025

Required expansion
each working day

20302

90 MW

2020

115

55

854

1830

Expansion
until 2024

Expansionfrom 2025

2030

15 MW

2020

Expansion
until 2024

Expansionfrom 2025

20303

30 MW

PVOffshore

Onshore… approx. ½ capacity of Germany’s
biggest PV park/day… approx. a 900 MW windfarm every 2 month… approx.
7 turbines/day(from 2025)113Clean Coal Day September 2023

vgbe energy e.V.

3 Perspectives for dispatchable generation

Perspective 1: dispatchable generation and flexibility options
Demand grows with increasing RES in the system
Wind generation in Germany from 2010 until 2022

Options for dispatchable power generation andflexibility

in MW
Installed capacity

58.721

Maximum capacity utilized
44.58044.73133.47721.678

4.100
113

2010

30.97924.08646.20647.735

Nuclear32.926

5.388

5.840

Coal88115

121

24201415 Clean Coal Day September 2023

8.851

8.769

1051282016

MWConventionel

25.761

5.225

Nuclear/SMR

33.83429.282

5.066

2012

45.54346.90239.40838.61422.87066,25049.435

Minimum capacity utilized

28.71263.71055.580

Average capacity utilized

26.90360.72162.167

11.72012.393

1582292018

14.13314.796

388

127

2020

12.78514.098

137

224

Gas

Dispatch.
capacity

Renewables
Biomass/Biogas

Bioenergy

Storage
Green Gases (H2)

Pump storage

Batteries2022

vgbe energy e.V.

Perspective 2: Hydrogen

H2-Readiness is key for sustainable fuel-switch in the future H2-ready means that a plant can beoperated with 100 % H2 in ist lifetime.
 Use of H2 is possible in gas turbines,engines, industry furnaces and fuelcells. At present, no economic viability
is presentable.
 Burning H2 leads to higher NOxemissions compared to natural gas.
 Emission limits and material standards
needs to be adopted in regulation on
European and national levels.

Quelle: GE Gas Power

16 Clean Coal Day September 2023

vgbe energy e.V.

Perspective 3: Repurposing of Coal Plant sides

Multiple benefits in technological, commercial and social dimensions
Well developed infrastructure
External – access to:

Grid

Transport: harbour,roads and railway

Gas
Water
network

Miscellanea

Districtheating

Well developed infrastructureInternal

Digitalized Coolingsitesystems

17 Clean Coal Day September 2023

Water
treatment

Heatingsystems

Highly qualified Availability ofspacepersonnel

Existing
permits

Saving decommissioning cost

Consumption near-by

Steamsystems

Households andoffices

Business andagriculture

Industry

vgbe energy e.V.

(1) European energy politics aims at an energy system mainly based on
VRE requiring a high level of system flexibility.
(2) In the short- and medium term absence of large-scale, long-term
storage options dispatchable generation is essential for security ofsupply.
(3) Dispatchable generation will remain the largest flexibility option in thesystem, gradually switching from fossil fuels to carbon-neutral hydrogenand other green gases, using repurposed fossil assets.

18 Clean Coal Day September 2023

vgbe energy e.V.

Thank you
for your interest!
be energised
be inspired
be connected
be informed

Contact
Dr Oliver Then
Executive Managing Directoroliver.then@vgb.org

vgbe energy e.V.
Deilbachtal 173, 45257 Essen
T +49 201 8128-0
E info@vgbe.energy
I www.vgbe.energy