COMMISSION OF THE EUROPEAN COMMUNITIES 
Brussels, 20.11.1996 
COM(96) 576 final 
Communication from the Commission 
ENERGY FOR THE FUTURE: 
RENEWABLE SOURCES OF ENERGY 
Green Paper for a Community Strategy 

List of contents 
Executive summary. 
1. Background. 
2. The current situation for renewable energy sources; the potential for renewables in the 
European Union is unevenly and insufficiently exploited. 
3. Forecasts for the market penetration of renewable energy sources; renewables can 
make a major contribution to EU final energy consumption. 
4. The advantages of renewable sources of energy; renewables contribute to achieving 
energy policy objectives, employment and regional development. 
5. The problems to be faced; a series of obstacles hinder a more widespread use of 
renewables. 
6. The way forward; A strategy for renewable sources of energy. 
6.1. An ambitious objective for increasing the contribution made by 
renewables. 
6.2. Strengthening the cooperation between Member States. 
6.3. Reinforcing Community policies. 
6.3.1. Renewable energy sources in the internal market framework. 
6.3.2. Specific financial support for actions for the promotion of 
renewables 
6.3.3. Research, development and demonstration. 
6.3.4. Regional Policy. 
6.3.5. Agriculture and Forestry Policy. 
6.3.6. Actions in the field of External Relations Policy. 
6.4. Assessment and monitoring. 
7. Next steps. 
Executive Summary 
The European Union's current energy situation calls for effective management of all available 
resources in order to attain Community objectives. A well balanced fuel mix, in which all 
appropriate energy sources play their proper role, is essential to support sustainable economic 
growth. Renewable sources of energy are currently unevenly and insufficiently exploited in 
the European Union. Although the potential is significant, renewable sources of energy make 
a disappointingly small contribution of less than 6% to the Union's overall gross inland energy 
consumption. European Union energy consumption is predicted to grow steadily in the future. 
Even a significant increase in the use of renewable energy sources, as pleaded for in this 
Green Paper, will not be enough to satisfy the expected demand. If, therefore, the 
Community does not succeed in attaining a significantly higher share of renewable energy in 
its energy balance, it will become increasingly difficult to comply with the international 
commitments concerning environmental protection. Secondly, failure to increase the share 
of renewable energy sources will have negative effects on other important policy objectives, 
in particular security of supply, economic and social cohesion, and - at least in the medium 
to long term - economic competitiveness. 
The present Green Paper constitutes the first phase of a two-step approach to develop a 
strategy aimed at ensuring a greater use of renewable sources of energy. The establishment 
of a Strategy for Renewable Energy Sources was foreseen in the Commission's White Paper 
"An Energy Policy for the European Union" and specifically included in the indicative work 
programme attached to that document. The present Green Paper describes the current 
situation, the advantages of an increased use of renewables vis-a-vis Community objectives, 
and sets out the basic elements of a policy strategy to be implemented at both Community 
and Member State levels. The Green Paper reinforces the strategic aim of promoting 
renewable energy sources as an integral part of energy policy and a number of other policies 
and sets the objective of doubling the contribution made by renewable energy sources to the 
European Union's energy balance by 2010. 
The level of exploitation of renewable energy sources varies significantly between the 
Member States. These variations are due to different geographical and climatic conditions 
in the Community as well as differences in the policies which have been put in place in 
support of renewable sources of energy. Technological development in the field of renewables 
has, in recent years, been significant and many of the technologies either are, or are 
becoming, economically viable, in particular in certain regions of the Community and 
compared to the economies of other decentralised energy applications. Nevertheless, due to 
market failures and other obstacles, renewable energy technologies still have difficulties in 
"taking off in marketing terms. 
Renewable sources of energy should be actively promoted for a number of reasons. 
Development of renewables goes hand in hand with the objective of protecting the 
environment and reduce C02 emissions from the energy sector. Renewable energy sources 
are indigenous sources of energy and can therefore contribute to reducing dependency of 
energy imports. Development of renewable energy sources can actively contribute to 
employment creation, and deployment of renewables is an important aspect of regional 
development with the objective of achieving greater social and economic cohesion between 
the regions of the Community. Moreover, the expected growth in energy consumption in 
many third countries, in particular Asia and Africa, and which to a large extent can be 
satisfied using renewable energy, offers hugely interesting business opportunities for EU based 
industries which in many areas are world leaders as regards renewable energy technologies. 
Finally, the general public favours development of renewables more that any other source of 
energy mostly for environmental reasons. 
Under the prevailing economic conditions, a serious obstacle for a greater use of certain 
renewables, has been the cost associated with their exploitation. Although the cost curve for 
most renewables is dropping rapidly, the use of renewables is in many cases hampered by 
higher capital cost than those related to conventional fuel cycles. This is particularly the case 
due to the fact that fuel and energy prices currently do not reflect the full cost, including the 
external cost implied for the society for the environmental damage caused by the use of 
conventional and fossil fuels. Secondly, a significant obstacle is that renewable energy, 
technologies, as is the case for many other innovative technologies, suffer from lack of 
confidence from investors, governments and users, low levels of knowledge about their 
technical and economic potential and a general resistance to change and new ideas. 
To counteract these obstacles, it is, in this Green Paper, proposed to implement a policy 
strategy consisting of four distinct elements. 
Firstly a clear ambitious, and yet realistic, increase in the contributions of renewables to the 
Community energy balance should be aimed for at Community level. If we were to double 
the contribution by 2010 compared to the current level, this would mean achieving a 
contribution by renewables to the gross inland energy consumption close to 12%. An 
ambitious objective provides the necessary means for focusing the minds of decision makers 
at all levels and enables a continuous monitoring of progress with a view to rectifying or 
adjusting policies. 
Secondly it is proposed to strengthen Member State co-operation on renewables. To achieve 
the target; strong policies will have to be implemented at national level and it is necessary 
to have a mechanism for coordinating efforts at Community level. The Commission's recent 
proposal for energy policy co-operation around agreed energy policy objectives, one of which 
is effective promotion of renewables, is an important instrument in this respect. 
Thirdly it is suggested that the Community reinforces its policies affecting development of 
renewable sources of energy. The provisions of the Treaties and the internal market 
requirements offer substantial opportunities for the promotion of renewable energy sources. 
Moreover, given the fact that cost currently constitutes the largest barrier to a more 
widespread use of renewables the policy instruments must address in particular this problem. 
Internalisation of external cost is a key concept in this respect, to which the Commission 
remains committed. Accompanying measures, including continued and strengthened policies 
and support for Community RD&D, training actions, awareness building, pilot schemes etc. 
must be continued and reinforced. 
As policies in other areas than energy, including external affairs, agriculture, regional policy, 
fiscal policy etc., also have a major impact on the conditions under which renewables are 
developed, it is fundamental to the strategy that these policies facilitate the development of 
renewable energy sources. It is also important that the coordination between the decision­
makers in the various fields is improved. 
The fourth element of the strategy is a proposal for a strengthening assessment and 
monitoring of the progress towards achieving our objectives for the penetration of renewables. 
The aim of this Green Paper, as the first step in a two-step approach, is to stimulate wide 
consultations and discussion with all interested parties and the Community Institutions. This 
document sets out a broad framework, but does not make detailed proposals. On the basis of 
the conclusions that the Commission will draw from the wide debate, a more detailed 
Community Strategy with an Action Plan will be established by mid-1997. 
1. Background 
Introduction 
In energy policy, there are no simple solutions, no one energy source that will solve all 
problems, that will be limitless, pollution-free and cheap. 
Energy policy since the first oil crisis in the 1970's has built up incrementally, one step after 
another. Energy policy priorities have evolved. In 1973, the issue was energy security and 
safeguarding our economies from external energy developments beyond our control. Better 
energy planning techniques were developed and comprehensive energy policies and 
programmes, combining a variety of instruments, were set up. The second oil shock in the late 
1970's was a reminder of the need to stay vigilant in terms of energy security. 
In the 1980's environmental issues rose to the fore. Concerns over acid rain or greenhouse 
gases reached their peak at the UN Rio Conference in 1992. With energy prices (primarily 
oil) dropping in real terms environmental concerns raised new issues. It became generally 
accepted that the present energy system, from extraction through to use, is responsible for 
much of our man-made climate change problems, and that energy consumption can result in 
irreparable damage to the global environment. How to re-orient our energy systems without 
facing a potential new collapse of our economies became and remains a major challenge. 
With the economic recession setting in at the end of the 1980's, the energy sector became an 
important element in the Community's strategy to establish an internal market as a response 
to increased competition and globalisation of markets. Although the internal energy market 
process has been a long and difficult one, important progress has by now been achieved. 
Agreement has been reached in the Council of Ministers on the first phase of liberalisation 
of the electricity sector and negotiations on liberalisation in the gas sector are well under way. 
This will lead to significant changes to the way in which large parts of the European energy 
system is functioning. It will gradually bring market forces into play in sectors which for too 
long have been under government control and based on monopolies and central planning. The 
energy sector will nevertheless keep its specific characteristics. As a sector of strategic 
importance to the overall well-being of the economy, the necessary element of public service 
will be preserved. But winds of change are blowing. 
The European Union does not have an over abundance of cheap, clean and reliable 
conventional energy resources. Dependence on imports is considerable. This does not mean 
that the Community is energy resource poor. The Union has reasonable supplies of oil, coal, 
natural gas, nuclear and considerable potential for renewables. They all have their strong 
points and their weaknesses. But it is certain that the resources have to be managed well in 
order to support all Community objectives. 
Renewable energies are non-depletable forms of energy, including, in particular, hydropower, 
wind and solar energy (both thermal and photovoltaic), biomass and geothermal energy. 
Municipal and other organic waste although depletable, is normally also classified as 
renewable sources of energy. The list of renewables furthermore includes a number of 
technologies which are still at an experimental stage or which have still to prove their 
economic viability, such as wave, tidal energy and hot dry rock. 
Hydroelectric energy is one of the traditional forms of renewable energy and has already been 
exploited for a long period. Large scale hydro has in the past been generally more economic 
than small scale. Available large hydro resources have thus been widely exploited. Small scale 
hydro power resources (less than 10 MW per site) are, however, still available in many 
regions of the Community. 
Wind energy is harnessed by modern-day wind turbines to generate electricity. Turbines can 
be deployed singly, in small clusters or in larger groups known as wind farms. In recent years 
the economic viability of wind turbines has increased markedly. Another development, which 
could become important, is the move towards developing wind farms located off-shore. 
Solar energy derives directly from the sun's light and heat. It can be captured in the form and 
fabric of a building or by solar collectors, or converted directly into electricity using 
photovoltaic (PV) cells. 
Biomass comprises material either specifically cultivated as energy crops or derived from 
agriculture and forestry operations and can be used to produce solid, liquid or gaseous fuels. 
Waste from the agricultural sector can be treated thermally or biologically to produce energy. 
Treatment of municipal waste has to respect the overall waste strategy which gives priority 
to prevention of waste and recycling. The residual municipal waste can - depending on the 
waste stream composition and other circumstahces -be considered as a source of renewable 
energy. 
Geothermal energy involves tapping the heat below the earth's surface through boreholes 
driven into a hot aquifer or injecting cold water through hot dry rock. The hot water produced 
is brought to the surface. There are both high enthalpy and low enthalpy sites in the 
Community. 
The policy context related to renewables. 
Promotion of renewable sources of energy has for a considerable period of time been a central 
objective for Community energy policy. The Council Resolution of 16 September 1986 
concerning new energy policy objectives for 1995 and convergence of the policies of the 
Member States1, clearly places promotion of renewables among the sectoral objectives to be 
OJC241 of 25.9. 1986 p. 1. 
used as guidelines for examining the convergence and the cohesion of the Member States' 
energy policies. This central objective was confirmed in the Council's Recommendation of 
9 June 19882 on developing the exploitation of renewable sources of energy. With the 
ALTENER programme3 the Council for the first time adopted a specific financial instrument 
for the promotion of renewable sources of energy. In the annex to the ALTENER Decision 
the Council sets the objective that renewable energy sources should be increased to cover 8% 
of the total energy demand for EUR-12 by 20054. The European Parliament, for its part has 
constantly underlined the role of renewables. Most recently the European Parliament5 strongly 
pleads for the establishment of a Community action plan for renewable sources of energy with 
the objective of increasing the proportion of renewable energy sources in the EU's primary 
energy mix to 15% by 20106. 
In the White Paper "An Energy Policy for the European Union"7 the Commission on the basis 
of a comprehensive analysis of the current energy situation presented its views as regards 
Community energy policy objectives and instruments to be applied to achieve these 
objectives. Three key energy policy objectives are identified; i.e. improved competitiveness, 
security of supply and protection of the environment. Promotion of renewable energy sources 
is, among other policies, identified as one important element in achieving these objectives. 
The Council Resolutions on the Commission's Green and White Papers8 on energy policy both 
emphasise the importance of renewables. 
It is also worth noting that several Member States at a national level have adopted ambitious 
targets for the contribution of renewables to their energy balances, and are promoting 
renewable energy sources through a variety of economic and political incentives. 
In fact, all Member States either have, or have in the past, adopted quantitative targets for the 
overall contribution of renewable energy sources to their energy balances or for the 
contributions to be made by one or more specific renewable energy sources. In the 
Netherlands the Government is aiming for an increase in the contributions to primary energy 
OJ L 160 of 28 June 1988, p. 46 
Council Decision of 13 September 1993 concerning the promotion of renewable energy sources 
in the Community, OJ L 235 of 18.9.1993, p. 41. 
Targets in ALTENER are calculated following the direct physical convention employed by the 
Statistical Office (EUROSTAT). This differs from other targets calculated using the substitution 
principle: 220 TOE/GWh. 
Doc. P 216.788/fin, Resolution on a Community action plan for renewable energy sources. 
See footnote n*4. 
COM (95)682 of 13 December 1995 
8 
consumption to 10% by 2010. In Denmark the quantitative target of 12% of energy 
consumption is aimed for by 2005 and - in the longer perspective - a 35% contribution by 
2030. In Spain and Greece overall targets for a contribution of HOOktoe by 2020 and 
1800ktoe by 2005, respectively, have been established. In France the Government has 
established specific sectoral objectives, including the construction of 1500 stand-alone 
photovoltaic systems by 2005 and a 5% contribution from renewable sources to transport 
fuels, also by 2005. Italy, Ireland and the UK have adopted targets of 675MW renewable 
electricity capacity by 2000, 241MW by 1999 and 1500MW by 2000, respectively. Germany 
in 1990 adopted the target of 100MW additional wind energy capacity over a 5 year period. 
Having achieved the target during the first year of this programme the target was further 
increased to 250MW which was successfully achieved in 1995. 
These targets are supported by various national policies ranging from capital subsidies, fixed 
buy-back rates (such as the German stromeinspeisungsgesetz), fiscal incentives, support for 
third party financing, surcharge arrangements (such as the UK non-fossil fuels obligation 
(NFFO) and public support for RD&D. Some Member States also encourage utilities to set 
up a new renewable energy capacity through voluntary agreements with utilities or through 
legislative requirements for distributors to buy a certain amount of their requirements from 
renewable energy sources. Schemes for export supports have also been established. It is not 
possible in the framework of this Green Paper to provide a complete picture of all the efforts 
undertaken at national level in support of renewable energy sources. The level of 
commitment varies, however, considerably from one Member State to another. While some 
have completely integrated favourable policies towards renewable sources into their general 
energy policy and planning framework, others have not adopted the use of renewable energy 
sources into their strategies for meeting global environmental targets. It is important to note 
that with such a variety of different national schemes and incentives, which furthermore 
constantly change as a result of new policy priorities, the level of transparency and 
predictability is insufficient for the renewable'energy industry to fully benefit from public 
policy incentives and to establish long-term stable business prospects within the EU. 
Other industrialised countries, in particular the US and Japan, have also set up comprehensive 
policies for the promotion of renewable energy sources. In the US, where renewable energy 
sources, primarily hydro-electricity, amount to 5.3% of total energy demand, promotion of 
renewable" energy began early and was in particular stimulated through the Public Utilities 
Regulatory Policy Act (PURPA) of 1978, which obliges utilities to purchase power from 
independent producers at avoided cost levels. More recently, the 1993 Climate Change 
Action Plan included a number of measures related to renewable energy sources, with 
particular emphasis on commercialisation programmes for -wind power, photovoltaics, 
biomass, geothermal energy and on environmentally sound upgrading of existing hydro­
electric projects. Biofuels for the transport sector is also the subject of significant 
Government interest. Furthermore, generation procurement regulation is an area which is 
currently undergoing rapid change in the US .electricity supply industry. Integrated Resource 
Planning (IRP) requires utilities to look at all alternatives for energy supply, including demand 
side measures and renewable energy sources. At State level, there are however, significant 
variations in the commitments taken, with, in particular, California in a leading role. As one 
example, a distribution surcharge-funded renewable programme was included in the electricity 
restructuring bill proposed earlier this year in California. 
Japan has, in spite of the limited technical potential for renewable energy sources, set an 
ambitious target of more than doubling the contribution from renewable energy sources from 
the current level of 1.2% (1994) to 3% of total energy demand by 2010. R&D is supported 
in the framework of the New Sunshine Programme. In addition a range of financial 
incentives, including subsidies, tax credits and low interest loans are provided. Japan has in 
particular concentrated on the development of photovoltaic applications, the main objective 
being to stimulate market expansion and thereby benefit from large scale production. To that 
end a 70,000 roof-top programme has been set up. In addition, the Japanese Government has 
actively stimulated industry to set up manufacturing operations of PV cells in nearby countries 
with low wage cost, which, together with a significant R&D effort, has made Japan a world 
leader in this technology. 
As far as the European Community is concerned, a strategy for renewable energy sources is 
required for a number of reasons. First and foremost it is clear that without a coherent and 
transparent policy strategy and without an ambitious objective for renewables, these sources 
of energy will not make major inroads into the Community energy balance. Without a clear 
and comprehensive strategy accompanied by legally binding measures, their development, 
which is highly desirable for the reasons detailed below, risks being weakened and delayed. 
This argument is further substantiated in chapter 3 of this Green Paper which presents a series 
of energy scenarios and their impact with respect to renewable energy sources. A long-term 
stable framework for the development of renewable sources of energy, covering the political, 
legislative, administrative, economic and marketing aspects of renewables is in fact the top 
priority for the economic operators involved in development of renewables. Furthermore, 
as the internal market develops, a Community-wide strategy for renewable energy sources is 
required to avoid imbalances between the Member States or distortion of the energy markets. 
Remarkable technological progress related to renewable energy technologies have been 
achieved over recent years. The cost curves are rapidly dropping and many renewables have 
reached the point of economic viability or are coming close to it under certain conditions. 
Europe is to a large extent the world leader in this area. A strong competitive position in the 
global market place can only be maintained and further improved as a function of a 
significant and growing home market. A clearly defined strategy will preserve and strengthen 
the position of the European Union industry in this respect. 
This was the main message from the round-table with different market actors at the Milan 
Conference "Renewable Energy Sources in the Internal European Market" on 17 - 19 June 1996. 
10 
A policy for the promotion of renewables will require across the board initiatives 
encompassing a wide range of policies covering agriculture, external affairs, research and 
technological development, including demonstration, fiscality, regional and environmental 
policies. A key objective of a strategy for renewable energy is to ensure that the need to 
promote these energy sources is recognised in new policy initiatives as well as in 
implementation of existing policies in all of these areas. In fact, a generally accepted strategy 
is required to ensure the necessary coordination and consistency in implementing these 
policies at Community, national and local level. 
This Green Paper is the first major step in the establishment of such a strategy. It sets out the 
objectives related to renewable sources of energy, it identifies the key obstacles for more 
widespread use of renewables and it outlines the Commission's intentions as regards how to 
overcome these obstacles in order to significantly increase the share of renewables. The 
present Green Paper contains, in particular the political philosophy related to renewable 
energy sources and it outlines the areas in which further action could be undertaken. The 
Communication should primarily serve as a discussion document on the basis of which, and 
as a second step, a fully developed strategy with an action plan for increasing the share of 
renewable energy sources in the energy balance of the Community will be developed by mid-
1997. 
11 
2. The current situation for renewable energy sources: The potential for renewables in the 
European Union is unevenly and insufficiently exploited. 
The need for a Community strategy arises from the fact that overall, renewable sources of 
energy still make only a limited contribution to the Community's energy balance. There are 
signs, however, that this is changing. The resource base is better understood, the technologies 
are improving steadily, attitudes towards their use is changing and the renewable energy 
manufacturing and service industries are maturing. But renewables still have difficulties in 
"taking off," in marketing terms. 
Table 1 shows the share of renewable energy sources in gross inland energy consumption in 
the European Union and in the Member States. The table is compiled in accordance with the 
definition of renewable energy sources given above, i.e. including large scale hydro-power 
and energy from waste. 
Table 1. Share of Renewable Energy Sources in Gross Inland Consumption. 
1 1990 I 1994 
Austria 22.1 24.1 
Belgium " 1.0 0.8 
Denmark 6.3 7.0 
Finland 18.9 " 19.3 
France 6A 12 
Germany 1.7 1.9 
Greece 7.1 7.2 
Ireland 1.6 - 2.2 
Italy ~ 5.3 " 6.4 
Luxembourg 1.3 1.3 
Netherlands 1.3 1.4 
Portugal 17.6 17.5 
Spain 6.7 6.2 
Sweden ~ 24.7 24.0 
United Kingdom 0J 06 
European Union 5.0 5.4 
Source: Eurostat 
The table shows the contributions made in 1990 and 1994, and displays a relative stability 
around 5% for the European Union. The table also highlights considerable variations between 
the situation in the various Member States. Annex 1 shows the current breakdown by 
renewable energy source and by Member State. The current market penetration of renewables 
corresponds to a contribution by these sources of approximately 65Mtoe. This reflects a mere 
16% of the technical potential for renewables which is estimated at approximately 400Mtoe. 
12 
The unexploited technical potential is particularly significant with respect to biomass, 
including energy crops, wind and solar energy. 
The large differences between the Member States can be partly explained, obviously, by 
different geographical and climate conditions. Some Member States have large hydro 
resources, some none at all and some Member States have large quantities of biomass, e.g. 
from forestry operations, and some have significant potential for developing wind energy in 
the form of non built-up areas with favourable wind conditions. Such factors, however, can 
only partly explain the statistical differences apparent in table 1. The industrial structure and 
more particularly the energy policies pursued at a national level also play a very important 
role. As one example of the results of positive policy incentives for renewables, 70% of the 
total installed wind energy capacity in the EU is located in Germany and Denmark. 
Large scale hydro dominates the the present renewable energy mix. It is a proven mature 
technology which is cost competitive. There is no significant scope for for further cost 
reductions of large hydro. Small hydro plants, i.e. plants smaller than 10MW, in 1995 
accounted for about 3% of the EU hydro capacity. Capital cost are very site specific and are 
generally higher per unit of electricity produced than for large hydro installations. It is 
however expected that new construction techniques and control systems will reduce capital 
cost and increase the number of accessible sites . 
Biomass comprises residues from forestry and agriculture, energy crops and biofuels. Forest 
residues are currently the most important element, comprising in particular wood chips. 
Biomass residues are mainly used as a fuel in heating installations and electricity generation 
from forest residues is almost exclusively limited to large scale industrial installations. 
Overall, biomass costs have been reduced considerably, as will be further illustrated in section 
4.3., and it is expected that further cost reductions can be achieved on the basis of 
improvements in biomass conversion technology. As regards energy crops there is not yet an 
established market, primarily because of the relatively high cost of the crop compared to the 
relatively low conversion efficencies. There is, nevertheless, good scope for increasing the 
crop yield which, combined with improvements of biomass gasification systems, could 
significantly improve the market prospects for energy crops. Biofuels, mainly rape seed oil 
and bio-etJianol, have a small market in certain Member States, in particular in France and 
to some extent in Germany, Austria and Italy. The market is created by tax incentives, as 
biofuels are currently not competitive compared to petrol and diesel. Markets are, however, 
expected to grow moderately as a consequence of cost reductions expected from new 
production methods and the production of biofuels from low cost cellulose feedstocks. 
Wind energy is, in some Member States, currently the fastest growing energy source for 
electricity production. Wind turbine cost have dropped 30% since 1990, and although unit 
cost are very dependent on site wind speeds, wind energy is one of the most cost-competitive 
renewable energy sources with cost as low as ECU 0.05/kWh. Further technological 
development, such as larger turbines, lightweight towers and variable speed generators, 
together with the development of high potential off-shore sites, will further drive down cost, 
13 
and is likely to result in a significantly higher exploitation of the EU's wind energy potential. 
Solar thermal thermal heating technology is almost fully developed. There is nevertheless 
scope for further cost reductions resulting mainly from larger scale production and better 
production and marketing techniques. Developments in some Medittteranean third countries, 
notably Israel, show that cost reductions are possible. At present solar thermal heating is cost 
competitive compared to electric water heating, in particular in the southern parts of the EU. 
Solar photovoltaic is the most prestigious renewable energy technology and is, as far as "high 
tech" is concerned comparable to the best of information technology. Costs have, as will be 
further illustrated in section 4.3., fallen dramatically with a 25% cost decrease over the past 
5 years, but are still significantly higher than for electricity generated on conventional fuels. 
Cell efficiency is, however expected to continue to increase, and further RD&D, in particular 
commercialisation of thin film solar cells, could mean that photovoltaic electricity 
productuion could become competitive in the medium to long term. 
Energy from waste represents a significant energy resource. Improvements in re-use and 
recycling is expected to reduce future waste disposal volumes 
Geothermal energy a very small part of the renewable energy production in the EU. It is 
constrained by capital cost of the prospecting and installation, but there are, on the basis of 
several successful RD&D projects, prospects for new techniques to overcome some of these 
constraints. Tidal and wave energy represent a considerable potential and are the subject of 
some research activity. These sources are however unlikely to be significantly developed in 
the near term future. 
Attempts have been made to categorise renewable technologies according to their potential 
economic contribution and the timing of that contribution. This is a useful exercise, in order 
to establish the most appropriate support measures required for further development. Many 
renewable technologies need little or no further R&D efforts to become competitive. As will 
be further detailed in this Green Paper, the key to a higher market penertration for these 
techologies, is to overcome market barriers and market imperfections. For these technologies, 
which notably include passive solar, biomass, waste, small hydro and on-shore wind turbines, 
conventional geothermal, the principal political incentives needed are market enabling 
measures. Photovoltaics, offshore wind farms and energy crops require further RD&D, with 
particular emphasis on the demonstation phase while more basic research is required for tidal, 
wave and hot dry rock geothermal energies. 
14 
3. Forecasts for market penetration of renewable energy sources; Renewables can make a 
major contribution to EU final energy consumption. 
The most recent long-term energy forecast established by the services of the Commission, 
"European Energy to 2020"10 presents a scenario-based approach reflecting the uncertainty and 
sense of transition that pervades the energy sector today. Four different scenarios are 
developed to produce a range of energy futures that could apply over the next 25 years. 
"European Energy to 2020" contains a powerful illustration of the need for action as regards 
the specific promotion as regards renewable energy sources. Depending on the policy 
assumptions the contributions by renewable sources of energy by 2020 could be as much as 
13.7% or as little as 9.5%n. 
The "Conventional Wisdom" scenario denotes the "Business as usual" world in which 
economic growth gradually weakens as demographic changes means slower growth in the 
labour force. Under this scenario many of the world's social and economic problems remain. 
Energy policy under this scenario remains fragmented as a result of unresolved conflicting 
objectives and the environmental approach stays limited. Energy prices increase smoothly 
and the price of crude oil reaches 31US$/bbl in 2020, in real terms. Energy demand proceeds 
with the continuation of current action taking some concern on increasing efficiency, but 
nevertheless increases by close to 1% per annum. Under this scenario the renewable energy 
penetration remains by and large weak and leads to a market share of renewables by 2010 of 
7.7%. 
Under the "Battlefield" scenario, the world reverts to isolationism, power blocks and 
protectionism making economic integration very difficult. Globalisation is seen as too 
ambitious and the geopolitical system fragments into blocks with tension and friction between 
and within the block. Energy policies under this scenario aim at reducing import dependency, 
precautionary principles prevail on C02 concerns and internalisation of cost is only achieved 
in the transport sector. The "Battlefield" scenario postulates slow growth, in particular after 
2000 and a sharp increase in oil prices, precipitated by an oil price shock, plunges the world 
economy into a deep recession by 2005. This is followed by economic stagnation from 2010 
to 2020. 
Renewable energy sources fare generally worse under this scenario than under the 
"Conventional Wisdom" scenario. Not even the increasing oil prices by 2005 can assist a 
positive development for renewable sources of energy, in particular due to the economic 
recession which follows. Renewable energy sources by 2010, under the "Battlefield" scenario, 
10 
11 European Energy to 2020, A Scenario Approach, European Commission 1996. 
Renewable energy market penetration figures and statistics in general suffer from the weakness 
that various statistical conventions concerning, in particular, the conversion criteria used. 
Depending on the convention used, very different results can be obtained. This Green Paper 
consistently applies the Eurostat convention, i.e. the physical conversion principle. 
15 
make a limited contribution to overall gross inland energy consumption of a mere 7.4%. 
Under the "Hypermarket" scenario, the emphasis is on market forces, liberalism and free trade 
and in which global economic integration is self reinforcing and continued. Under this 
scenario it is assumed that liberalism and privatisation deliver results, and economic growth 
is boosted by the competitive market environment. Energy policies are driven by the desire 
to minimise Government control and maximise efficient operation of the markets. External 
costs are not internalised and overall taxation is cut steeply. Not surprisingly, renewable 
energy sources have major difficulties to arrive at increased market penetration. By 2010 the 
"Hypermarket" scenario predicts that renewable energy sources will amount to 123MToe, 
corresponding to slightly more than 7.5% of gross inland energy consumption. 
Finally, the "Forum" scenario assumes that the world moves to consensus and cooperative 
international structures with a strong role for public intervention. The process of global 
integration produces new imperatives for collective public action and a higher rate of 
economic growth. Furthermore, it is assumed that VAT and excise duties are harmonised and 
that tax equality across fuels is obtained. "Forum" is thus the ecological driven scenario and 
energy policies are mostly affected by concern for the environment. The oil prices, due to 
weak demand, remain stable at 16US$/bbl until 2020. Nevertheless, strong penetration of 
new and more efficient energy technologies is expected, mainly driven by stricter 
environmental standards and higher environmental taxes. "Forum" also assumes that nuclear 
programmes are re-invigorated and that the contributions from nuclear power to gross inland 
energy consumption will be more than doubled by 2020 compared to the "Conventional 
Wisdom" scenario. 
In the short and medium term, renewable energy sources, although to a lesser extent than 
under the previously described scenarios, still fail to make a major contribution to the EU 
energy fuel mix. By 2010 renewables under the "Forum" scenario are predicted to account 
for approximately 9% of gross inland energy consumption, although the increase is expected 
to continue through to 2020 where the contribution of renewable energy is predicted to exceed 
2020Mtoe (i.e. 13.7% of growth inland energy consumption), which is more than the 
contributions of any other conventional fuel, considered individually. 
Renewable energy market penetrations by 2010 of between 7.4-9% compared to the present 
close to 6% cannot but be considered disappointingly low. In fact, it has to be concluded that 
all scenarios developed under the 2020 exercise fail to deliver a significant market penetration 
of renewable sources by 2010. Only the "Forum" scenario results in a significant 
breakthrough, but in this case this comes very late and is only achieved around 2020. 
However, it must be considered that the 2020 scenarios only to a limited extent include 
specific measures for promotion of renewable energy, as they were established primarily to 
illustrate the consequences for the energy sector as a whole of various assumptions relating 
to global energy markets and geopolitical outlook. 
16 
With a view to illustrating the potential effects of specific policy initiatives in the field of 
renewable energy sources, the Commission, in the framework of the Altener programme, has 
initiated the TERES exercise12. The TERES II study, which will be published shortly, builds 
on the "Conventional Wisdom" scenario developed in the Commission's "European Energy 
to 2020" exercise but goes further by adding various specific renewable energy policy 
assumptions to form three further scenarios. The basic underlying assumptions as regards 
increasing overall energy demand and rising oil prices (to 31US$/bbl by 2020) are, however, 
identical to those in the 2020 study. 
The first of these three additional scenarios is the so-called "Industrial Policies" scenario, 
which is based on the policy proposals put forward by the European renewable energy 
industry13. These assumptions include: 
some specific incentives for renewable energy use, including subsidy and fixed buy-
back rates; 
increased R&D leading to a 10% cost reduction for renewable energy sources; 
land availability for energy crops for energy crops guaranteed at 12% set aside; and 
internalisation of external costs of conventional fuels for the biomass market. 
The econometric modelling14 based on these policy assumptions lead to a predicted forecast 
for a contribution by renewable energy sources to gross inland energy consumption at of 
9.9% by 2010. Continuing the forecast under "Industrial Policies" assumptions shows that 
the growth will be significantly slower from 2010 to 2020 leading to a renewable energy 
market penetration by that latter date at 11.4%. An interesting conclusion which can be 
drawn from this is that the policies proposed by the renewable energy industry to a large 
extent - with the one exception of wind energy, which due to rapid technological progress 
increases significantly - are insufficient to reach the targets established by the industry itself. 
The second scenario under TERES II is the "ExterNe Internalisation", which is based on the 
Commission's exercise undertaken under the same name, assumes that all external costs of 
convention fuel cycles are internalised. Under this scenario all renewable energy sources are 
12 
13 
14 TERES, the European Renewable Energy Study by ESD, London and the European 
Commission (1994) and TERES II (to be published by the Commission in 1997). 
Including most notably AEBIOM (European Biomass Association), EEWC (European Energy 
from Waste Council), ESHA (European Small Hydro Association), ES1F (European Solar 
Industry Federation) and EWEA (European Wind Energy Association). 
The forecasts made under TERES II are based on the SA FIRE market penetration model 
developed under the Community's JOULE II programme. 
17 
characterised by moderate growth leading to a slightly higher overall contribution to gross 
inland energy consumption than predicted under the previous scenario. In particular, wind, 
geothermal and solar thermal technologies will benefit under this scenario, while the total 
renewable energy penetration is predicted to amount to 10.1%. 
The last scenario developed under TERES II exercise is the "Best Practice Policies" which 
assumes that the policies that have been most effective to date in promoting the use of 
renewable energy sources are applied EU-wide. These policies primarily include: 
Government programmes concentrated on moving renewable energy technologies to 
commercialisation and improved systems for local planning; 
increased R&D leading to a 20% cost reduction; 
land availability for energy crops increased by 25% and set aside subsidies on 12% 
of food producing land guaranteed until 2000; 
internalisation of external costs of conventional fuel cycles (similar to ExterNe). 
Under the "Best Practice Policies" scenario renewables show strong growth in market 
penetration compared to the previous scenarios, in particular for solar photovoltaics and 
biofuels. Progress is especially noticeable in the electricity markets. Overall renewable 
energy sources under the policy assumptions included under the "Best Practice Policies" 
scenario amount to 12.5% of gross inland consumption by 2010. Compared to the ecological 
scenario of the "European Energy to 2020" exercise (Forum) this is a considerable'higher 
market penetration by 2010. Extending the scenarios by 2020, however, shows that the two 
scenarios converge towards this date with the Forum predicting a market penetration of 
renewable sources of energy amounting to 220Mtoe corresponding to 13.7% of gross inland 
energy consumption compared to 13.9% under the "Best Practices Policies" scenario. This 
illustrates that the policies included as assumptions for the "Best Practice Policies" scenario 
are more effective in delivering a rapid improvement in renewable energy penetration 
compared to "Forum" whereas in the latter scenario the growth in penetration continues after 
2010, while the "Best Practice" scenario by this date has exploited a large part of the 
commercially available potential for further market penetration. 
In conclusion, the various scenarios clearly illustrate that renewable energy sources can make 
a significant contribution to the energy supply of the European Union. On the other hand the 
renewable energy component of the energy mix is very sensitive to changing policy 
assumptions. Unless specific incentives are put in place, it is unrealistic to expect that the 
large potential for renewable energy will be exploited and that these sources will make a more 
significant contribution to the European energy balance. This is clearly shown in the 
"Conventional Wisdom", "Hypermarket" and "Battlefield" scenarios. Under scenarios 
favouring environmental protection, i.e. the European Energy to 2020's "Forum" scenario and 
the "Industrial Policies" and "ExterNe" scenarios of TERES II renewable sources of energy 
18 
begin to make a growing contribution to the energy balance but remain below or - in the case 
of ExterNe - just above the 10% mark. Only under the "Best Practice Policies" scenario 
developed under TERES II will renewable energy sources develop rapidly and reach more 
than 12% of gross inland energy consumption by 2010. 
Total energy consumption is likely to grow significantly in the EU between now and 2010. 
"European Energy to 2020" suggests and additional energy demand, depending on the 
geopolitical scenario, of between 170Mtoe and 296Mtoe. A market penetration for renewable 
energy source at 12%, corresponds to an additional energy production from renewable energy 
sources between now and 2010 of approximately 127Mtoe. 
4. The advantages of renewable sources of energy: Renewables contribute to achieving 
Community energy policy objectives, environmental protection, employment and regional 
development. 
European Union energy consumption, as shown in the various scenarios detailed in the 
previous chapter, is predicted to grow steadily in the future. Even a significant increase in 
the use of renewable energy sources, will not be enough to satisfy the expected demand. If, 
therefore, the Community does not succeed in attaining a significantly higher share of 
renewable energy in its energy balance, it will become increasingly difficult to comply with 
the international commitments concerning environmental protection. Secondly, failure to 
increase the share of renewable energy sources will have negative effects on other important 
policy objectives, in particular security of supply, economic and social cohesion, and - at least 
in the medium to long term - economic competitiveness. An increased use of renewable 
energy sources, as a result of a comprehensive strategy, will therefore bring a number of 
advantages for the energy sector and the economy as such. This section provides an overview 
as to how development of renewables will contribute to achieving the Community's objectives 
as defined in the Treaty and in derived policies. 
4.1. Environmental considerations. 
Most importantly, developments in recent years have highlighted the environmental problems 
directly linked to the use of fossil fuels, in particular the problems related to C02 emissions 
and climate change. Increased use of nuclear energy offer only a limited contribution to 
solving these problems, due to the fact that only few Member States have chosen the nuclear 
option. The current overall energy-mix is incompatible with the long-term requirements for 
sustainable development. A significant limitation of the use of fossil fuels is required to 
ensure that the Community can meet its C02 targets contemplated in the Climate Change 
Convention. This is by now widely recognised, not only by Members of the United Nations 
International Panel on Climate Change (IPCC), but also by other international organisations, 
such as the IEA and the World Energy Council (WEC), national governments, and perhaps 
most importantly, by large segments of the energy industry itself. 
19 
Not all renewable energy technologies are totally pollution free, but generally the use of 
renewable energy sources has the clear advantage that no C02 is emitted15. Furthermore most 
renewable sources of energy do not result in of S02 and NOx emissions. Promotion of 
renewables could also help the EU to achieve its objectives on soil protection and air and 
water pollution. A coherent strategy should, however, be substantiated by life-cycle analysis 
in order to arrive at well documented conclusions on environmental benefits arising from the 
increased use of the various individual renewable sources. Even in the absence of such 
sophisticated analysis it is clear, as demonstrated in the previous chapter, that renewables 
comply with the overall strategy for sustainable development. In particular in relation to the 
Rio Convention's objective to stabilise C02 emission by 2000 at the 1990 level, a higher 
market share of renewable energy sources, together with other policy initiatives, notably in 
the field of energy saving, is fundamental-for a sustainable energy strategy. Furthermore, the 
agreeement for future significant reduction in CO2 and other greenhouse gas emissions which 
will result from the current negotiations under the UN FCCC (post Berlin mandate) will 
constitute a new obligation for the Community. Increased use of renewables will contribute 
to the fulfilment of these new obligations. 
4.2. Security of supply. 
Renewables are by definition non-depletable. As pointed out in the Commission's White Paper 
"An energy policy for the European Union", the situation as regards security of supply is by 
no means critical at present. The 1992 Gulf Crisis and other related crisis have shown that 
the Community's energy system is robust and can manage small crisis and conjunctural 
problems. This may, however, not be the case in the future as dependency grows. The import 
dependency of the European Union currently stands at approximately 50% but could well, 
according to most forecast, increase to as much as 70% over a period of 25 years. 
In this situation the European Union cannot' neglect the development of its indigenous 
resources. Renewable sources of energy are all indigenous and further exploitation of the 
potential can make a strong contribution to improving security of supply. Moreover it is 
important to look beyond the energy needs of the Community. All forecasts show that the 
energy requirement of the developing world will significantly increase in the future, in 
particular in Asia. This could obviously affect global energy markets and supply constraints 
and price" increases cannot be ruled out. Renewable energy can cut back some of 
requirements for imported fuels. 
15 Use of hydro power, wind and solar energy does not result in C02 or other gaseous emissions, and 
in the case of biomass, there are no net emissions of C02 provided the carbon consumed is 
replaced by new plants in a closed cycle. Waste incineration, however, does cause C02 and other 
emissions, but in a controlled incineration process, these can be minimised if appropriate emission 
abatement technologies are applied. Overall the objective, as set out in the Community Waste 
Strategy, is to reduce the amount of waste produced and to use the waste in the most 
environmentally benign way, including, where appropriate, for recycling purposes. 
20 
4.3. Considerations related to competitiveness 
There are also sound reasons for promoting renewables vis-a-vis the third key energy policy 
objective, i.e. improving overall competitiveness of European industry. It is feasible to expect 
that most renewable sources of energy will be competitive compared to conventional sources 
of energy, in particular in the medium to long term. Figure 1 shows the declining cost curves 
for the various renewable technologies used in electricity production and a comparison with 
the cost of conventional technologies. 
The trend lines indicated in figure 1 show average costs per sector and are based on 
commercial and demonstrated technologies. For the installation data, the cost of design, 
manufacturing, assembly and commissioning are taken into consideration and the total is 
divided by the installed capacity. The production cost is based on the same principle, but the 
cost is divided by the KWh produced by the installation on an annual basis. The data on 
production costs are compared to those produced by the TERES II report. 
Some technologies, in particular biomass, small hydro installations and wind, are currently 
competitive and economically viable compared to other decentralised applications. Solar 
photovoltaics, although characterised by rapidly declining costs remain much more dependent 
on favourable conditions. As far as heat production is concerned, solar water heaters are 
currently competitive in many regions of the Community. There is, therefore, for the 
technologies which are already economically viable, a significant element of market failure. 
This, i.e. the importance of non-economic market barriers is further explored in chapter 4. 
However, and in spite of the rapidly improving economic viability of renewables, it is evident 
that the cost related to renewables currently, for some technologies, is the most significant 
barrier to development of renewable sources of energy. This is particularly the case when 
renewable energy sources are competing with large centralised power plants based on coal 
or nuclear fuels which are still by far the most common electricity method in the Community. 
Many renewable energy sources will thus only be competitive in a situation where prices of 
conventional fuels will reflect the full cost, including environmental externalities, or when 
further technological development and mass market penetration has brought down the prices. 
21 
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22 
The Commission's 1993 White Paper on Growth, Competitiveness and Employment16 argues 
that clean technologies are a key to future economic prosperity and that the current general 
taxation system does not lead to an optimal resource allocation. In this light, and with the 
prospect of a future internalisation of external cost, renewables could make a strong 
contribution to a sustainable and competitive European energy system. Already at the present 
point in time, it is worth noting, however, that renewables, as indigenous resources, are not 
affected by price fluctuations on imported fuels and will thus provide a stabilising effect on 
energy cost. 
Another important aspect is the potential growth of the European renewable energy industry. 
In most technical areas the European industry is second to none in its ability to provide the 
equipment and technical financial and planning services required by market growth. Some 
Member States have, however, already at this point in time benefited significantly from export 
of renewable technologies and thereby increased their overall export revenue. By way of 
example the European wind turbine industry currently supplies approximately 75% of the 
global demand for these technologies. Globally, the renewable energy market potential for 
further expansion, in particular in developing countries, is impressive and has been estimated 
at more than ECU 1700 billion by 2020. This offers therefore interesting business 
opportunities for exports and possibilities for expansion of the European renewable 
technologies industry. The Commission has already supported the foundation of the European 
Renewable Energy Export Council, formally established earlier this year and is looking at 
other ways of promoting renewable energy technology exports. It is clear however, that in 
order to develop an export market it is eseential that the EU industry is able to expand on its 
home markets. 
4.4. Regional development, social and economic cohesion and employment. 
Development of renewables can also bring' positive and tangible effects on regional 
development and employment. Renewables are, by definition, local energies and production 
of renewable technologies and the installation of renewable energy plants are - in many 
instances - independent of the existence of infrastructure. Furthermore many less developed 
regions have a good renewable energy resource potential. Promotion of renewables is 
therefore a major element in a regional policy and can bring employment to regions which 
are otherwise deprived of industrial development as well as supply of energy resources 
necessary for development. Studies show that development, operation and maintenance of 
renewable sources of energy tends to be much more labour intensive than development of 
technologies based on conventional fuels. The impact on employment from renewable energy 
is, according to some studies about five times higher than the employment impacts of further 
development of fossil fuels. Furthermore the job creation in this sector mostly takes place 
outside of urban areas where unemployment is often high. 
16 "Growth, Competitiveness and Employment - The Challenges and Ways forward into the 21st 
Century", the European Commission, 1993. 
23 
The tourism sector offers particularly good opportunities for increased use of renewable 
sources of energy. Regions with a tourism industry need, in particular, to be environmentally 
preserved and at the same time the tourism industry - most notably in the case of mass 
tourism - is characterised by increased energy demand specifically at peak periods. 
Furthermore, there is a growth in tourism in isolated areas such as on islands and in 
mountainous regions, where fuel deliveries and grid connections are costly or environmentally 
unattractive. Overall, therefore, increased use of renewable sources of energy can be an 
interesting alternative to conventional energy production in touristic areas. 
The renewable energy industry consists predominantly of small and medium sized enterprises 
(SME's). As SME's are generally recognised as being a major source of new job 
opportunities in the European Union the future industrial development is highly dependant on 
a continued process of creating fast growing firms in "new" industries. Accelerating and 
strengthening the use of renewable sources of energy and renewable energy technologies 
should therefore be an important element in the overall Community strategy for supporting 
SME's, entrepreneurial initiatives, employment and growth for the benefit of industry and the 
regions of the Community. 
4.5. Public opinion and consumer choice. 
The European Union regularly carries out surveys on the evolution of public opinion in a 
broad range of areas. As far as energy is concerned, Eurobarometer's17 conclusions are clear. 
Renewable sources of energy are generally seen in a more positive light than any other energy 
sources. 
As energy liberalisation and consumer choice become a fact of life, also in the energy sector, 
this is likely to have some impact. If many customers have strong environmental preferences, 
this would be an additional force in the creation of new capacity based on renewables. 
Consideration needs to be given to ways of stimulating consumer demand for renewables. 
5. The problems to be faced: A series of obstacles hinder a more widespread use of 
renewables 
There is "a need to take a detached look at the obstacles to the rapid and extensive 
development of renewable energy sources. The types of obstacles are of a very different 
nature and must, as such, be clearly defined tp develop the policy instruments which can help 
renewables to overcome the obstacles. One area of particular concern is the issue of 
internalisation of external cost. Secondly there are a large number of other constraints, 
including problems related to financing, regulation, technical issues, lack of information, 
education and training etc. The limited market penetration of renewable sources of energy 
European Commission, Eurobarometer 39.1; European Opinion and Energy Matters, September 
1993. 
24 
can to a large extent be attributed to the lack of political will and ability to remove these 
barriers. The attempts which have been made are often fragmented and uncoordinated and 
have, in most cases, not resulted in a significant improvement of the situation. This Green 
Paper serves the purpose of identifying the obstacles in order to provide a basis, for concerted 
action for the promotion of renewable energy sources. 
5.1. Cost considerations. 
The cost for fully demonstrated renewable energy technologies are rapidly declining as a 
function of cumulative volume of demand and technological progress. Nevertheless, a key 
obstacle to a higher market penetration of renewables lies in the cost related to deployment 
of these energy sources. Therefore an optimal introduction of renewable energy sources is 
dependent on internalising of the costs of externalities. Fuel cycle externalities are the costs 
imposed on society and the environment that are not accounted for by the producers and 
consumers of energy. Studies18 show that renewables would have a much bigger share of 
the market, even given the current state of technologies if, for example, fossil fuels, were 
priced in a way to reflect full costs of externalities, notably the cost related to environmental 
protection. 
Generally, there are significantly lower external cost related to energy production based on 
renewables than there is to conventional energy. Therefore development of renewables would 
benefit significantly if regulations were put in place to the effect that energy prices in general 
would reflect the full cost of production, e.g by way of a general energy tax initiative with 
taxation levels reflecting the fuel cycle externalities. This would thus not only lead to a 
significant reduction of C02 emissions, as shown in the analysis related to the Commission's 
C02 strategy, but also to a significantly higher contribution from renewable sources of 
energy, in particular due to a shortening of the pay back period vis-à-vis conventional sources. 
5.2. Technical and non-technical Barriers 
As indicated in point 4.3 above, renewables are in many cases economically viable and can 
effectively compete with conventional energy technologies. Due, however, to a number of 
market failures they are still generally unable to make a wider impact. These market failures 
can only be corrected through the application of a variety of policy instruments. This section 
sets out the principle market barriers leading to such market imperfections. 
Projects in the field of energy, be it installation of new production capacity or the construction 
of transportation infrastructure, are generally characterised by high investments cost in 
absolute terms. Although this is frequently not the case as regards renewable energy 
technologies, which are often small scale projects, these are often faced with the difficulty 
that the attitude of financiers is negative. Furthermore, capital cost for instalment are often 
EXTERNE :Study under the JOULE Programme on the Externalities of Energy. 
25 
high compared to the running and the fuel cost. It is in fact often not sufficiently well 
recognised that renewables energy technologies have low running cost due, in particular, to 
low or zero fuel costs. There are signs that attitudes are changing, but projects have to meet 
fairly strict criteria before funds are sanctioned. So, even though there is an awareness of the 
renewable technologies and the business opportunities related to them, problems arise when 
the details of funding proposals are examined. Among the main financial barriers common 
to most renewable projects are the long pay-back periods at the current price level. Without 
clear indications of the long term scenario, equity investors and financial institutions are 
unable to take a long-term view of the projects. The perceived risks (both technical and 
market related) by financial institutions, investors, purchasers of equipment, consumers etc. 
are therefore often overestimated. Combined with the fact that the scale of many renewable 
projects is often too small for many financial institutions, many otherwise sound and 
economically viable renewable energy projects are never taken beyond the post-planning 
stage. 
Information, awareness and experience related to renewables is not evenly distributed 
throughout EU. This affects a large number of groups from policy makers to investors. 
Developers, engineers, technicians, installers, financiers, investors, planners, utilities and 
power companies, which are all important players in the decision making affecting 
renewables, generally suffer from a shortage of knowledge of the opportunities offered by 
renewable energy technologies. 
National power production companies, and in particular monopolies, often have negative 
attitudes towards renewables, mainly based on a general resistance to change. A centralised 
approach to energy production is seen to be contradictory to the development of renewable 
energy sources. 
Connection to centralised electricity grids poses both technical and economic problems. 
Although some have been solved, many grid connection issues remain unresolved, including 
wheeling charges and standard contracts for utility services in provision of grid connections. 
The low price paid to autoproducers of electricity in certain countries results in low returns 
to equity investors. Recognition for reduced transmission losses associated with decentralised 
energy generation is often not given by utilities either in terms of grid connection facilitation 
or price. 
A problem related to certain grid-connected renewables, notably wind and solar, has to do 
with the supply variability between day and night and between the seasons. This is a problem 
which needs creative solutions to be overcome, and which due to the discontinuous supply 
will affect the market price compared to electricity produced by fossil fuels, hydropower or 
nuclear. There are however solutions available to deal with such problems, e.g telematics 
applications or energy storage systems. At a more technical level, interconnection 
requirements related to safety, control, and equipment specifications may also prove a burden 
for renewable energy source developers. 
26 
In the transport sector biofuels, as is the case for any new fuel type, require appropriate 
infrastructure to make a wider impact. However, the automotive infrastructure is almost 
entirely geared towards hydrocarbon making it difficult to market biofuels such as biodiesel. 
The discussions recently launched at Community level on cleaner car technology provides a 
good opportunity to further assess how to overcome the market obstacles for biofuels. 
Clearly, any measure will have to be evaluated in terms of its cost-effectiveness in reducing 
CO2 emissions and will have to take into account the implications for other pollutant 
emissions. 
Technical requirement related to non-grid-connected renewable energy sources also create 
obstacles. Building regulations, for example, often do not take account of the special 
requirements of installation of renewable sources of energy. Furthermore, the lack of 
appropriate standards lead to resource demanding and expensive procedures related to 
installation of renewables. Technical standards, for example on the performance of consumer 
products such as solar, thermal, water heating, will help to provide the public confidence 
which is essential for mass marketing. Biomass fuels are another example of a renewable 
energy sources currently lacking sufficient standards. In some cases, the individual Member 
States require equipment to go through specific national testing procedures before installation 
adding significant to the costs and time required for industry to introduce new types of 
technology on the market. The lack of European-wide harmonisation of such requirements 
often create serious barriers to trade in renewable technologies. 
Although several renewables energy sources have now become mature, innovative and highly 
efficient, some technologies still have to be developed or fully demonstrated. Some examples 
are the demonstration of biomass gasification in combined cycles and wind turbines located 
at very low wind speed sites . 
As renewable energy projects are often located in areas close to the resources where energy 
projects are not common, projects may meet resistance from the local residents based on 
environmental concerns. Although the environmental impact of most renewables is much less 
severe than that arising from conventional fuel cycles, local issues sometimes outweigh the 
global environmental benefits. While recognising that wind turbines, specifically, may have 
some negative environmental impact in the form of noise and visual impact, technical 
solutions are being developed and the overall positive environmental consequences arrising 
from the avoided energy production based on fossil fuels should be taken into account when 
these concerns are addressed. 
The current non-transparent, unstable and unpredictable framework for development and 
deployment of renewable energy sources and technologies resulting from the various and 
19 The technological barriers to further exploitation of renewable energy are presented in several 
papers produced for the Thermie-conference "Towards a wider use of energy technology; pre-
competitive actions to the benefit of the market", Brussels, 10-11 October 1996. 
27 
often rapidly changing national promotional schemes, must be considered to be a serious 
barrier to further market penetration. It is suggested that this - as is the case with respect to 
most of the obstacles detailed in this chapter - can only be overcome by the creation of a 
stable and Community wide framework for renewable energy sources. 
6. The way forward: A strategy for renewable sources of energy. 
In the development of any policy strategy, well defined objectives are important. Without a 
clear definition of the direction and the speed of where one wishes to go, it becomes virtually 
impossible to measure the rate of success and to adjust the policy measures implied. On the 
other hand, objectives must be realistic and reachable and they should, most importantly, not 
be used as an excuse for non-action. Objectives which are not accompanied by policies 
defined to achieve them are worthless. 
An ambitious, but achievable objective for the Community could help focus the policy 
measures needed, and provide the necessary political signal. Different options for such an 
objective are possible, including a significant improvement in market penetration of 
renewables achieved by doubling the contribution made by renewables to primary energy 
consumption in the European Union by 2010. This would require the European Union and the 
Member-States to take important measures promoting renewable sources of energy to enable 
the increase of the contribution made by them by that date to a level of 12% of gross inland 
energy consumption. 
It is clear that at Community level, support and promotion of renewable energy sources in 
a number of policy areas is a prerequisite to wider penetration, However, a significant 
increase in use of renewables cannot be achieved through action at Community level, only. 
Industry, users and the Member States will have to play an important role and to take their 
responsibility for implementing effective policies at national level. The principle of 
subsidiarity provides good guidelines in this respect. Many necessary policy measures will 
have to be developed at national level. National programmes for technological development 
will have to be strengthened, education and training activities have to be increased, 
information campaigns and awareness building at national and regional level will have to be 
further developed, etc. 
In this context the Commission proposal for cooperation around agreed energy policy 
objectives will play an import role. As increased use of renewable sources of energy is 
specifically mentioned as an energy policy objective, the framework to be put in place can 
be used as a useful mechanism for ensuring increased convergence of Member States' policies 
in this area. 
There are however, a number of policies which can be most effectively applied at Community 
level. The Community strategy to be established on the basis of this Green Paper and the 
conclusions to be drawn from the wider debate on renewable energy sources, should set out 
key elements in this respect. It is essential that the strategy is accompanied by specific 
28 
measures and goes beyond the loose commitments made in the past. This preliminary 
discussion document, as indicated, does not contain a full list of precisely defined actions. 
It identifies, however, the policies which are required at an EU-wide level, to ensure that the 
Community lives up to its obligations as regards sustainable development and more precisely 
development and deployment of renewable sources of energy. 
6.1. An ambitious objective for increasing the contribution made bv renewables. 
A target for the contribution from renewable energy sources can be a good policy tool and 
can provide a guideline for action. Most Member States have, as indicated in chapter 1, 
established more or less specific quantitative targets at national level and the Community of 
12 had agreed upon a target for 2005 of 8% share of renewables. The question arises as to 
whether a new Community indicative target should be set for 2010, and if so at what level. 
It should be clear that a Community target, would not mean that each and every Member 
State should reach a certain percentage market share of renewable sources of energy, but 
rather that the Community as a whole should aim to realise a particular market share by the 
date 2010. The natural differences between the Member States as regards their use of 
renewable energy sources are therefore likely to remain, although a specific objective for 
renewables could stimulate all Member States to make a special effort towards increased 
exploitation of the available potential. In that sense, an objective for the penetration of 
renewable energy sources is different from the C02 targets to which the Member States and 
the Community are committed in the framework of the Climate Change Convention, which 
commit Member States individually. Nonetheless, an objective for a significant increase in 
the use of renewable energy sources would could be an important instrument for attaining 
the C02 stabilisation target, alongside other measures such as energy saving. 
The Commission is seeking views as to whether to set an indicative target for the contribution 
by renewable sources of energy to the gross inland energy consumption beyond the current 
target for the year 2005, on the assumption that an ambitious but realistic objective for 2010 
would provide a useful stimulus for policy and would focus minds of decision-makers. Views 
on other means of giving a political signal and impetus to action for the promotion of 
renewables would also be welcome, together with views on what benchmarks can be used to 
monitor progress made. 
As outlined under Chapter 4, the Commission believes that the advantages of renewables for 
energy policy, enviromnental protection, employment and regional development and cohesion, 
are such as to justify an important pro-active policy effort towards achieving a significant 
increase in market penetration in the medium term perspective of the next 15 years. The 
question arises as to what may constitute a significant increase, what are the kind of 
measures that would be necessary and what are the resulting implications, in relation to C02 
and other emissions reduction, security of supply, enconomic impacts, employment. 
Consideration will also need to be given to the cost effectiveness of different measures taking 
into account opportunity cost, and also to what may be the predicted technological 
29 
developments in this fast moving field. 
When considering what may constitute a significant result of a concerted policy effort, it is 
important to know how the situation on renewables may evolve if no specific effort is made. 
Under three of the four scenarios developed under the "European Energy to 2020" study 
("Conventional Wisdom", "Battlefield " and "Hypermarket" scenarios) described under 
Chapter 3, under which no effort is made to promote renewables, their share may be 
expected to rise by 1.5% over 15 years to 2010 (approx. 0.1% per year) . Under the fourth 
scenario outlined in that study ("Forum") which is much more oriented towards general 
environmental policy measures, but without specific renewables promotion measures, the 
share of renewables may be expected to rise by 3% to 9% by 2010. 
In the scenarios developed under the Terres II study, which take as their starting point 
"Conventional Wisdom" but assume that certain policy measures assisting the development 
of renewables are taken, the prediction for the share of renewables are more encouraging. If 
the measures proposed by the European renewable energy industry are taken ("Industrial 
Policies " scenario) or those proposed under the Commission's model based on internalisation 
of conventional fuel external costs ("ExterNe Internalisation" scenario), the renewables share 
is predicted to be around 10% at 2010 . If however, we take the third scenario ("Best Practice 
Policies") which proposes that the policies which have been found most effective to date for 
promoting renewables are put together and applied EU wide, then the renewables share can 
be predicted to rise to 12.5% by 2010. Taking yet another approach, by combining the results 
of a number of studies20 one could predict that under a minimum effort scenario, the share 
of renewables by 2010 will be 7% , with median effort 9% and with maximum effort 16%. 
The Commission is in the process of examining the implications of all the different measures 
that may need to be taken under the different scenarios, as part of the preparation for a future 
Action Plan on Renewables, and would welcome views on the feasibility desirability and 
efficiency of the measures described under Chapter 3 and elsewhere in the document, as part 
of the Green Paper consultation process. 
For the reasons outlined in Chapter 4, the Commission believes that at this critical stage in 
the development of renewables, a significant pro-active policy effort is required to achieve 
measurable results. Against the background already described above, a doubling of the share 
of renewables by 2010, which would mean a contribution of renewable sources of energy in 
gross inland energy consumption of about at 12%, could be an ambitious, but realistic 
objective . 
20 
21 DGXII synthesis of the PRIMES, SAFIRE, TERRES, ENERGY 2020 and US studies. 
It is important to note, that penetration of the market calculated on the basis of the 
Eurostat convention, in absolute terms, corresponds to a 15%penetration calculated 
on the basis of the so-called substitution principle (220 toe/GWh). The target proposed 
by the European Parliament, although not explicitly stated in its recent resolution, 
30 
Since the current share of renewables of approximately 6% includes large scale hydro, for 
which the potential for further exploitation in the European Union, for environmental reasons, 
is very limited, a doubling of the current level of energy output from renewables would 
require significant increases in the use of other renewables. This is clearly illustrated by the 
scenarios outlined in section Chapter 3 of this Green Paper, which showed that most 
ambitious policy measures are needed to increase significantly the contribution from 
renewable sources of energy by 2010. 
The implications of this are analysed under the TERES II study, in particular with respect 
to parameters including C02 emissions, security of supply and employment. With respect 
to C02 emissions, the "Best Practice Policy" scenario of 12.5 % share of renewables predicts 
a reduction in C02 emissions of 386 million tonnes per year by 2010, is calculated using the 
previously presented SAFIRE model. As regards security of supply, a doubling the current 
market penetration of renewables would lead to a reduction of approximately 20% in energy 
dependency compared to the present situation. With respect to the effects on employment, 
the SAFIRE model predicts employment benefits as a function of market penetration of 
renewable energy sources by taking into account direct employment created in construction, 
installation, operation and maintenance of renewable technologies minus the employment 
displaced in the conventional energy sector. This study indicated that a doubling of the current 
share of renewables by 2010 would have a net positive employment effect of more than 
500.000 jobs within the Community. This figure appears optimistic, but is worth noting, and 
includes the net employment indirectly created in the sectors that supply the renewable energy 
sector, but not the induced effects in the economy as a whole and the employment created 
as a result of the expected strengthened position of the EU industry on export markets. It is 
therefore feasible to expect that net employment benefits would be even more significant. 
It is also worth noting that the bulk of employment creation would take place in rural areas. 
In addition to views on an objective for overall renewable energy penetration, the Commission 
is also interested in views on the establishment of sub-objectives for the individual renewable 
sources, as well as sub- objectives concerning the contribution to the various sectors, such as 
electricity and heat production. When discussing objectives, care should be taken not to limit 
flexibility and to ensure that efficiency is maximised by using the most cost effective 
renewable energy sources available. This is particularly important because, due to rapid and 
largely unpredictable technological development, cost curves and relative profitability are 
likely to shift. Also economic conditions may change significantly and affect the possibility 
of reaching the objectives. Moreover, the Community is in the process of enlargement. The 
applicant countries of Central and Eastern Europe generally do not have a well developed 
renewables sector although the potential is considerable. In an enlarged Union it may 
therefore be more difficult to achieve the Community objectives. 
appears to be based on the 15% target adopted in the framework of the Madrid 
Declaration, which is calculated on the basis of the substitution principle. 
31 
If a an indicative target is finally proposed in the Community Strategy, in order to retain 
flexibility, a tri-annual review procedure could be put in place, which, based on a careful 
monitoring and assessment of the situation, could provide for the possibility of adjusting the 
objectives as well as the policies designed to achieve them. It should in any case be clear 
that any eventual proposals for targets would be objectives to be aimed at and not legally 
enforceable. 
Strengthening cooperation between the Member States 
The achievement of a significant increase in the share of renewables requires the full 
commitment of Member States at national, regional and local level. Indeed, most of the 
concrete measures are to be taken by Member States while fully respecting the principle of 
subsidiarity. In this context, the Community can add value by encouraging cooperation 
between Member States in this field. Effective cooperation at Community level is therefore 
necessary to help ensuring that national energy policies contribute to the attainment of an 
ambitious objective for the penetration of renewables. 
In its Resolution of 23 November 1995 on the Green Paper "For a European Union Energy 
Policy"22, the Council identified the promotion of renewables as a common energy objective 
both for the purposes of environmental protection and of reducing energy dependence. The 
Council highlighted the need for an improved convergence of energy policies within the 
European Union towards this goal. 
Furthermore, in its Resolution of 7 May 1996 on the White Paper "An Energy Policy for the 
European Union"" , the Council invited the Commission to put in place a process of 
cooperation between the Community and the Member States in order to ensure that 
Community and national energy policies are compatible with the agreed common energy 
policies. 
In line with the above Council Resolutions, the Commission adopted on 4 October 1996 a 
proposal for a Council Decision concerning the organisation of cooperation around agreed 
Community energy objectives24. The draft decision identifies the promotion of renewable 
energy resources as one of the agreed common energy objectives and calls for supportive 
measures 'at both Community and national level with the aim of achieving for this fuel a 
significant share of primary energy production in the Community by 2010. 
In the Commission's view, this decision, once adopted by the Council, will provide an 
appropriate framework for facilitating an effective cooperation between Member States in the 
22 OJN° C 327/3 of 7.12.1995. 
23 OJN* C ....of.... 
24 OJN'C of 
32 
field of renewables, in particular due to the specific measures proposed to encourage best 
practices and the promotion of a cooperative approach to energy analysis and exchange of 
relevant experience. As detailed above, the current level of market penetration for renewable 
energy and the policies applied at national level for the promotion of the sources are 
characterised by very large differences. The question therefore arises as to whether or not 
there is a need to establish closer cooperation with Member States on renewables with a view 
to harmonising national initiatives and, if so, what should be the terms of reference for such 
closer cooperation to be established for renewable sources of energy. 
6.3 Reinforcing Community policies. 
Community policies in many different areas have implications for the development and the 
deployment of renewable sources of energy. An effective implementation of the strategy will 
thus have to rely on policy actions in many areas of Community competence which should 
all, in an appropriate way, take into account the need to promote renewable energy sources. 
To ensure that this is done in a coherent and effective manner, the coordination at Community 
level and within the Commission must be improved. As far as the Commission is concerned, 
internal coordination would be improved by the establishment of an Inter-Service Group on 
Promotion of Renewables. Improved coordination within the Commission is a key element 
of the European Parliaments recent Resolution on renewable sources of energy. This and 
other actions needs to be undertaken in order to ensure that all Community policies take into 
due consideration the objective of increasing the role of renewables and to ensure that 
implementation of policies are undertaken in a coordinated and consistent way. 
Outlined below is the Commission's current thinking on the various elements which must be 
covered by the strategy and the action plan to be developed. 
6.3.1 Renewable energy sources in the internal market framework. 
The creation of an internal energy market is a key priority of the Community. It forms of 
integral part of the Community's efforts of creating a stronger and more competitive industrial 
base to face up to the globalisation of markets and fiercer international competition. 
The long and difficult negotiations on the issue of creating an internal electricity market 
culminated in July 1996 with the adoption of a Common Position on a directive for the 
internal electricity market25. The main trust of the directive is to facilitate the application in 
the electricity sector of the fundamental principles important to economic activity enshrined 
in the Treaty, i.e. free movement of goods, free provisions of services, the right of 
establishment, and non-distorted competition. 
25 OJL of 
33 
Renewable sources of energy play a role as a fuel in the electricity sector. The potential is 
far from used to its full, but important contributions can be made by hydropower, wind, 
biomass and, to a lesser extent, solar photovoltaics. As the internal market is not yet fully 
operational, it is difficult to anticipate the effect that the internal market will have on the 
exploitation of renewables. Experience from countries which have already undertaken 
considerable market liberalisation, such as the US, suggests, however, that renewable sources 
of energy can continue to play an important role and can be further developed, provided 
appropriate market-based instruments are introduced. 
Clearly the provisions of the directive on construction of new capacity, which will ensure that 
new capacity is installed in accordance with objective, transparent and non-discriminatory 
criteria, will affect positively renewable sources of energy. This is reinforced by the directive 
which, in listing the criteria for granting authorizations, makes a specific reference to 
protection of the environment and to the use of primary resources. Furthermore, the directive's 
provisions on transmission explicitly ensure that Member States may require the system 
operator to give priority to certain installations, including generating installations using 
renewable sources of energy. The Commission's proposal for an IRP directive, which is 
currently the subject of negotiations in the Council, is an important means for boosting the 
role of renewables in the Community. Experience from the US shows that Integrated Resource 
Planning (IRP) is of principle importance to the electricity generation procurement process. 
IRP is furthermore a powerful mechanism to attain the all important active involvement of 
utilities in the process of promoting renewable energy technologies. 
It is, given the current difficulties encountered by many renewable energy operators, necessary 
to closely monitor the conditions under which renewables are given access to the grid. The 
Commission will, in the framework of its general monitoring role of the functioning of the 
internal electricity market, pay particular attention to this aspect and if appropriate propose 
measures which can ensure that renewables are hot discriminated against, and if necessary put 
forward measures aimed at promoting the wider use of renewables. As indicated in the 
introduction, the creation of an internal energy market will bring about major changes in the 
operation of the energy markets. This Green Paper provides, therefore, an ideal opportunity 
to stimulate the debate as to how this will affect the market penetration of renewable energy 
sources. The Commission would, in the framework of the consultation process to take place 
on the basis of the Green Paper, particularly welcome views on how renewable energy 
sources can play their appropriate role in the internal energy market. The Commission at this 
stage has identified a series of measures which may be considered in this context. These are 
presented and discussed in this section. 
Renewable energy credits. 
Although, as competition on the energy markets increases, regulatory policy measures have 
to be phased out and replaced by more market oriented measures, fiscal instruments are, 
certainly in the short and medium term, unlikely to ensure that the Community can 
significantly increase contributions by renewables by 2010. Consideration could be given 
34 
to the idea that a certain percentage of a Member State's electricity requirements will have 
to be met by renewables, enforced on each individual retail electric supplier, with individual 
obligations tradeable through a system of "renewable energy credits". Such a system, which 
to a large extent would resemble the system proposed for tradeable C02 permits, could serve 
a two-fold purpose if introduced at an EU-wide scale. Firstly it would promote renewables 
and secondly it would prevent market distortions arising from similar measures introduced by 
individual Member States. A renewable energy credit system could, if appropriate, and if 
judged compatible with current and future EU wide electricity taxation schemes, be coupled 
with an electricity surcharge mechanism similar to the UK non-fossil fuels obligation. There 
are, however, a number of unresolved issues which will have to be further clarified if such 
a system was to be introduced at EU level. These concern, in particular, the practical and 
administrative aspects and the questions related to sanctions to be imposed in case of non­
compliance with the obligations. 
If workable solutions to these matters can be found, a flexible market based implementation 
of a renewable energy credit system could play an important role in ensuring the achievement 
of policy goals related to renewables at least cost. As it would apply to all utilities it would 
be competitively neutral. It would most importantly force utilities to maximize the value of 
the required renewables in order to minimize the impact on their competitive position. They 
would use technological applications which have the greatest value and they would use their 
resources and creativity to lower the cost of renewables. In short, the positive forces of the 
market would be brought to work in the field of renewables. The Commission would be 
interested to receive views on the desirability and feasibility of such a scheme. 
Internalisation of cost and fiscal harmonisation. 
Fiscal harmonisation can play a major role in ensuring a correct functioning of the internal 
market. It is furthermore of crucial importance for a more rapid introduction of renewables. 
The Commission remains committed to the principle of internalisation of cost as set out in 
the White Paper on Growth, Competitiveness and Employment. Internalisation of external cost 
as shown in chapter 3 of this Green Paper, is of prime importance given the current cost 
constraints related to renewables. As pointed out above, and as shown in countless analysis, 
an effective policy of internalisation of external cost, most notably that related to 
environmental degradation, is necessary to ensure that renewables make a significant 
contribution to the Community's energy balance. 
At present, the Community has put in place a system of minimum excise duties for mineral 
oils. There are however, still considerable variations between the levels applied in the 
Member States. Furthermore the system only applies to mineral oils and not to other energy 
sources. In the absence of an agreement at Council level on a C02 energy tax covering all 
energy products, the Commission is following the invitation from the ECO-FIN Council of 
11 March 1996, in the process of finalising a new proposal designed to introduce a new 
system for taxation of all energy products. 
35 
As far as energy of solar, wind, tidal, geothermal or hydraulic origin, or from biomass 
conversion are concerned the Commission, with respect to this proposal, intends to include 
a provision for the application of reduced rates of duty or exemption. This will be an key 
incentive for the development of renewable sources of energy and an indispensable part of 
an economic strategy aimed at strengthening market penetration of renewables. 
As far as the electricity sector, which has a particularly high potential for utilisation of 
renewable sources, is concerned, a reformed taxation system should encourage the most 
polluting parts of the power industry to contribute to technological development in the 
electricity generation sector. To form an effective incentive to develop and further exploit 
renewables, it is proposed that an electricity tax should exempt renewable energy sources. 
As however it is difficult to distinguish at the point of final consumption between electricity 
produced by renewables and electricity generated by nuclear or fossil fuels, it would be 
important to put in place a system whereby the renewable electricity producers are fiscally 
reimbursed. 
In 1992 the Commission made a proposal for reduced rates of excise duties on motor fuels 
of agricultural and forestry origin. If adopted this proposal would enable Member States to 
encourage the use of biofuels as automotive fuels by making it possible for them to compete 
directly with conventional fuels. However, this proposal failed to secure agreement at 
Council. The Commission is now considering how to ensure that progress is made on this 
issue, bearing in mind the new proposals on taxation of energy products generally, which it 
is preparing at present. 
The Commission recognises that overall the fiscal aspects related to the promotion of 
renewable energy sources may require further reflection and the Commission will, in 
particular in the light of developments relating to the adoption of its proposals on taxation of 
energy products and on the basis of inter alia the reactions to this Green Paper further develop 
its plans in this respect. 
State aid 
Member States currently, to varying degrees, offer financial support to renewables in a 
number of ways. In addition to national research and demonstration programmes these 
measures cover tax incentives, direct subsidies, low interest financing, development aid for 
small and medium sized enterprises active in renewables, lower VAT-rates for electricity 
based on renewables, state guaranteed low interest loans, etc. Whenever there is an element 
of state aid involved, the Commission has to be notified and authorization for the measure 
has to be granted, provided that one of the conditions for the derogations of Article 92 of the 
EC Treaty is fulfilled. The guiding principle for the Commission in assessing aid for 
26 COM(92)36 
36 
renewable energy sources, contained in the Community Guidelines on State Aid for 
Environmental Protection 7, is that the beneficial effects of such measures on the environment 
must outweigh the distortive effects on competition. State aid for Research and Development 
in the field of renewable energy sources is subject to the rules set out in the Community 
Guidelines for State aid for Research and Development2. On renewables, the Guidelines on 
State Aid for Environmental Protection stipulate that in appropriate cases investment aid to 
renewables, in view of the "especially high priority in the Community" given to the 
development of these sources, can be authorized also when exceeding the general levels 
which are contained in the guidelines. 
Community guidelines are intended to ensure transparency and consistency in the manner in 
which the Treaty provisions on State aid are applied by the Commission in relation to the 
range of instruments used by the Member States in the field of renewables. 
In recent years the Commission has dealt with an increasing number of state aid cases in the 
field of renewables. As foreseen in the White Paper "An Energy Policy for the European 
Union" the Commission will during the process of revision of the present guidelines, the 
Commission will consider whether appropriate adaptations are needed for renewables and 
their contribution to energy policy objectives. A future re-examination of the Community 
guidelines for environmental protection should take into account the experience gained in this 
field. 
Furthermore, the Commission has dealt with cases where the legislation of a Member State 
imposes on the energy distributor a purchase obligation (linked to a fixed price mechanism) 
for electricity produced by renewable energy sources. A key element for the assessment of 
such cases is whether the price mechanism reflects avoided costs as referred to in the 
Council's recommendation of 9 June 1988 on developing the exploitation of renewable 
sources of energy. 
Standardisation. 
A separate issue related to the internal market is that of standardisation. Standard minimum 
requirements for renewable technologies are important to boost confidence in the performance 
of these technologies. Standardisation is included under the scope of the ALTENER 
programme. However, the actions for developing standards have been re-oriented from the 
original intentions of creating Community-wide directives to a strategy to develop standards 
through organisations such as CEN and CENELEC. The reasons behind this reorientation was 
firstly to place the standards on renewables firmly in the general standardisation framework 
of the Community and secondly the experience gained in developing directives on energy 
27 OJC 72, 10.3.1994, page 3. 
28 OJC45 of 17.02.1996. 
37 
efficiency standards, which have proved to a very cumbersome process. 
European-wide standards on renewables serve the double purpose of facilitating the 
introduction of new technologies into the internal market and to boost confidence in these 
technologies. This second aspect is of particular importance in the field of renewable energies. 
There are standards under preparation concerning renewables. They concern in particular the 
development of solar thermal, solar photovoltaics, wind and biodiesel. The Commission will 
speed up this work and establish comprehensive mandates for CEN and CENELEC for the 
most commonly marketed renewable technologies. The mandates will focus on technical 
reliance and economic performance criteria. Establishment of strict standards for renewables 
will, in particular, help Small and Medium Sized Enterprises (SME's) to market renewable 
energy technologies and is thus required to ensure that these energy sources can be fully 
integrated into the internal energy market 
6.3.2. Specific financial support for actions for the promotion of renewables. 
With a view to specifically promote renewable sources of energy the Council in 1993 adopted 
the ALTENER programme. This was the first time that the Council recognised the particular 
need to increase the efforts at Community level to help renewables penetrate the market. The 
decision was made as an integral part of the Community's C02 reduction strategy and thus 
gave a clear indication of the role renewable energy sources play in combatting climate 
change and emission of carbon dioxides. 
ALTENER is designed to fit into the gap between technical development/demonstration and 
market deployment. It focuses in particular on the needs for capacity building, information 
sharing, training and standards development. The ALTENER programme was given a 
relatively modest indicative budget of 40 million ECU for the period 1993 to 1997. The 
programme provides different levels of funding for its various elements, ranging from 30 
percent to 100% for studies and technical evaluations. 
During the period from 1993 to now a total of 213 actions have been carried out under the 
ALTENER framework. An independent evaluation29 made in 1996 concludes that the 
programme has been an important means for focusing attention on the development of 
renewable* energy sources, in particular in some Member States which do not have 
comprehensive renewable programmes. ALTENER has thus been successful in supporting 
Member States actions and in promoting the concept of a Community target. The evaluation, 
however, also concludes that the programme is funded at too low a level to meet Community 
objectives for renewable energy development. 
In a separate parallel proposal for a specific programme for the promotion of renewable 
29 "Evaluation of the ALTENER programme (1993 - 1997) and proposals for the future" report to 
the European Commission by Andersson, Del Rio, Janssen and McKeogh, Brussels 1996. 
38 
energy sources (ALTENER II), it is proposed that the Community reinforces its promotional 
policy and ensures that these actions comply with the requirements of an internal energy 
market. As experience shows that, even in cases where renewable technologies have reached 
a technically mature level, there is still an insufficient penetration of the market, there is a 
strong case for the Community to support pilot actions, information schemes, training 
activities, etc. Moreover there seems to be a special case for more comprehensive actions in 
the field of awareness building to be implemented, both on the supply and the demand side. 
It is proposed that ALTENER II includes actions supporting the transitional phase between 
demonstration and commercialisation. There is a real gap to be filled in this respect, despite 
Member States' promotional activities and in spite of the support given to certain regions 
under the framework of the structural funds. Strengthened actions under ALTENER II could 
help create a competitive market for the renewables industry and thereby reduce costs and 
create new jobs in the sector. Such action at Community level would be targeted at certain 
well-defined areas such as photovoltaic roofs, solar thermal heating for sport, tourism and 
health facilities, active and passive solar architecture, production of bio-methane from 
municipal biodegradeable solid waste, stand-alone facilities, etc., with the Community support 
as low as possible to avoid market distortion and calculated to take into account the avoided 
external cost.The degree of market penetration should be taken into account to ensure that any 
support will not lead to market or trade distortions. ALTENER II could in this way provide 
the means for establishing a Community wide market, which, while taking into account that 
renewables are local resources, is required in order to render the European industry more 
competitive. This is an important prerequisite for European industry to be able to compete 
globally in this area. It is proposed that a strengthened ALTENER II, is adopted as an 
important tool for the promotion of renewable energy sources. 
In addition there is a need to examine in more detail how investments in renewables can be 
increased using other Community financial instruments, in particular the possible sources of 
finance inherent in the existing Community financial mechanisms and beyond. It is proposed 
that renewable projects should to a much larger extent be able to benefit from funding from 
the European Investment Bank (EIB), the European Bank for Reconstruction and 
Development (EBRD) and other international financial institutions. 
6.3.3. Research.'development and demonstration. 
Research, development and demonstration is a policy area where Community support can 
have a significant impact and therefore Community efforts need to be strengthened. With most 
renewable technologies being innovative, with the one exception of large scale hydropower, 
there is a need for a targeted effort to improve the cost effectiveness, and technical 
performance and reliability of renewables through research, development and demonstration. 
The JOULE-THERMIE programme, which covers both traditional R&D and demonstration 
in the field of non-nuclear energy, intends to devote a significant part of its budget, i.e. 45% 
to support of activities aimed at developing and promoting renewables. The JOULE-
THERMIE programme has an indicative budget of 1030 millions ECU for the four-year 
39 
period from 1995-1998. Following the 1995 JOULE call for proposals, 93 R&D projects were 
accepted for support totalling approximately 80 million ECU in the renewable sector. The 
1996 THERMIE call for proposals resulted in the selection of 41 demonstration projects in 
the renewable sector with a support of 35.3 million ECU. As regards associated measures, 
notably dissemination of results, 48 projects were supported in 1996 in this sector with a total 
level of support of 17.7 million ECU. 
Under the JOULE and the THERMIE programmes the rate of support which can be granted 
from the Community budget can cover a maximum of 50% of the eligible cost of R&D 
projects and 40% of the eligible cost of demonstration projects. This means that projects 
which carry a considerable amount of financial and technical risk can be implemented with 
the help of the JOULE-THERMIE programme. 
The RTD activities as regards renewable raw material production for destinations other than 
human or animal consumption are a principle objective of the specific FAIR programme, 
covering the period 1995 to 1998. The research efforts concentrate on the to non-food 
applications of crops and the recycling of agricultural and processing residues at the farm 
level. The total budget for these actions account to 52 million ECU. The research cover a 
wide range of crops and plants. The research undertaken so far indicates that non-food 
development of agricultural and forestry biomass offer interesting prospects for a contribution 
to the development of the rural areas. Consideration should be given to how this programme 
should be followed up. 
Within the existing programmes for Community non-nuclear energy research, development 
and demonstration renewables features as a high priority. The JOULE and THERMIE 
programmes have thus offered a major contribution to the maturing process of renewables in 
the Community. The same is true for some Member States which, by allocating appropriate 
funding, conduct a future-oriented research and development policy. It is a course for concern, 
however, that generally, funding for energy RD&D is stagnating or declining in both the 
private sector, as a result of industrial restructuring, and the public sector as a result of 
increasing fiscal constraints in government. Although all Member States support technological 
development of renewable sources of energy, there are, however, very large differences in the 
30 
commitments that the Member States are prepared to take in this field . It is therefore 
proposed that the Community programmes concerning technological development in the field 
of renewables are reinforced. In view of the critical phase at which the renewable energy 
technologies find themselves at the moment, it is, as part of the strategy, particularly 
important to establish clear objectives for the 5th Framework Programme. 
A renewable energy source, as used nowadays, is seldom sufficient in its own right. In order 
30 Recent data from the IEA demonstrate that, in 1995, the share of Government funding for R&D 
in renewables measured as the share of overall funding for energy R&D varies from less than 1% 
(France)to 46%(Spain). In absolute terms there are similar large variations; IEA Energy Policies 
of IEA Countries, 1996 Review, Paris 1996. 
40 
to guarantee the supply several sources need to be combined. Telematics system and services 
can play an important role in optimising the supply of energy extracted from renewable 
sources by automatically and continuously monitoring and adjusting the production 
parameters. Furthermore, telematics applications can support the optimisation of the energy 
consumption and adapt production to the consumption pattern. The use of telematics 
applications and technologies may become a crucial factor in demonstrating the viability of 
the use of renewable energy sources. Consideration should be given to how such telematic 
applications and services can be supported in future Community RTD actions in the area of 
Information Society Applications, in order to assist the promotion of renewable energy 
technologies. 
In the current economic situation, there are significant constrains on public spending in the 
Community and in the Member States. It is essential that the funding which is available is 
used in the best possible way and that support to R,D&D activities related to renewable 
energy technologies is of a scale that guaranties its effectiveness. The Commission will 
therefore reconsider the funding made for research in the various areas of energy, including 
the current break-down of funding for nuclear and non-nuclear energy research. While 
recognising the research work which is essential for the development of technologically less 
mature renewables, the Commission is convinced that the key to more market penetration of 
renewables lies at the tail-end of the technological process, i.e. in the market introduction 
phase. The Commission will, in the implementation of its instruments in this area, pay 
particular attention to this aspect. 
To summarise, the key questions related to RD&D to be addressed in the debate on this 
Green Paper is the setting of appropriate RD&D priorities in the field of renewable energy 
sources, in particular with a view to ensuring the best possible renewable energy contribution 
to the Community energy balance and with a view to contributing to a strengthening of the 
position of the European renewable industry in the global market place. 
41 
6.3.4. Regional policy 
A balanced and sustainable economic development in all regions of the Community is another 
main objective for the Community to which renewable energy sources can contribute. Given 
the importance of energy to the overall performance of the economic system, energy plays 
a major role in the Community's policy in the field of regional development. Renewable 
energy resources are often located in remote and scarcely populated areas of the Community 
and the promotion of these energy sources, especially in peripheral regions, islands and rural 
areas, is particularly attractive, as has been demonstrated for instance with the programme 
VALOREN. 
In the framework of the structural funds of the Community financial support for renewable 
energies for assisted areas can be provided to less favoured regions under Objective 1, in 
accordance with the priorities and strategic objectives of each Member state concerned. 
Within the framework of the structural funds, financial support for exploiting renewable 
energy potential has been granted to virtually all the regions concerned. In Portugal, for 
instance, support is provided for the development of small scale hydro-electric generators and 
wind turbines up to a total capacity of 170 MW, corresponding to approximately 1.7% of total 
electricity consumption in Portugal. 
Given the particular benefits arising from development of renewables in the less developed 
regions of the Community and the positive impact of such a development for small and 
medium-sized enterprises (SME's), the Commission proposes to place particular importance 
on these aspects in the implementation of the general policies put in place for regional 
development and promotion of SME's. Appropriate support would also need to be given to 
the creation or reinforcement of the role of regional and local structures charged with energy 
planning and programming functions. The ALTENER programme has already contributed to 
the development of renewables in the less developed regions and the JOULE-THERMIE also 
places particular importance to this aspect, as well as to the role of SME's. Furthermore, the 
Commission has supported regional and local energy management schemes, including the 
creation of local and regional energy agencies, in the framework of the pilot action known 
as "Energy Programming at Regional and Local Level". In the future these actions will be 
continued under the SAVE II programme. 
The Commission will, on the basis of the reactions to the Green Paper, further consider how 
to address the specific problems facing renewables in remote areas, and in areas where 
development of renewable energy is a appropriate way of fostering economic activity and 
job creation. As indicated in section 4.4 above, SME's play a paricularly important role as 
regards renewable sources of energy and the Commission will, therefore, pay particular 
attention to the specific problems faced by SME's in this area. Furthermore, given the 
important aspects related to renewables in the tourism industry, the Commission will consider 
ways in which use of renewable sources of energy can be increased in regions with high 
touristic activity including how promotion of passive and active solar systems can be made 
in tourist facilities and installations. 
42 
6.3.5. Agriculture and Forestry Policy 
In the agriculture and forestry sectors, the production of renewable energy sources represents 
a considerable potential for additional sources of income for the farmers and the reduction of 
C02 emissions as a result of energy crop use. Furthermore, renewable energy sources 
represents additional employment possibilities in rural areas31. 
In spite of the fact that the instruments of the Common Agricultural Policy (CAP) primarily 
are directed towards food supply security, the production and development of renewable 
energy is currently supported by a range of measure. Processing and marketing of agricultural 
products are promoted under Council Regulation (EEC) No 866/90, in the form of co-funding 
investment projects with the Member States concerned. Although this scheme typically 
concerns Annex II products, the oilseeds/biodiesel chain has been included. Investments in 
heat production (for example biomass heating plants) are excluded from the scheme as "heat" 
is not classified under Annex II, and control problems could ensue. Investments in renewable 
energy projects may, furthermore, be made within the context of rural development policy (as 
described in the previous section) and a number of R&D activities in the agricultural sector 
are included and actively supported under the Community\s Framework Programme for 
RD&D, as described in section 6.3.3. 
Moreover, the "non-food" set-aside scheme maintains the farmer's right to compensation if 
land which would otherwise be taken out of production is used to provide raw materials for 
"non-food" use, including energy. The scheme is limited by two factors. On the one hand, 
the obligatory rate of set-aside is a function of food cereals supply and demand implies that 
this rate is subject to change. On the other hand, by-products resulting from the cultivation 
of certain oilseeds on set-aside land are limited by the Blair House Agreement to one million 
tonnes of soya bean meal equivalents for the feed/food market annually. The harvest of 1995, 
based on an obligatory set-aside rate of 12%, resulted in some 950,000 tonnes of these by­
products. There is, however, no strategy for raw material production for energy. As such we 
are faced with the dilemma that the quantity of raw material production associated with, for 
example, biofuels is dependent on the market situation in the food sector. If there were to be 
31 Estimates from the Hearing of the European Parliament of 6 May 1996 envisage a fifteen fold 
increase in job potential, under a fixed cost scenario, if electricity were to be produced from wood 
rather than oil or gas. This represents a potential of creating up to 160,000 new jobs in the EU 
even if biomass were to represent 5% of total energy production. Furthermore, the European 
Parliament's Committee on Agriculture and Rural Development recently, in the framework of the 
Commission's White Paper on Energy Policy, unanimously adopted an Opinion highlighting the 
role of renewables, and in particular biomass, in energy policy. The Committee takes the view that 
biomass could cover about 10 % of the energy requirements of the European Union by 2010 and 
about 20 % by 2025. It points out the positive characteristics and effects of an increased use of 
biomass, and notably the positive income effects for the agricultural sector and illustrates the way 
in which developments in this area can reduce the needs for subsidies in the agricultural sector. 
43 
a tight supply situation in the food market, the set-aside area would be reduced with a 
consequent reduction of the quantities of raw materials for biofuels. The biofuels industry, 
however, requires long term raw material supply security in order to satisfy long term 
investments. This clearly highlights the limitations of the set-aside scheme as a basis for the 
supply of raw materials for bioenergy 
Additional obstacles for the financial support of the sector include the limitations set by the 
GATT rules if support of agricultural or forestry raw materials were to result in prices below 
the world market level. Moreover, the level of premium per hectare required to make 
biofuels competitive with fossil fuels would burden the agricultural budget significantly. 
Under current economic, technical and policy circumstances (eg fossil fuel prices, détaxation, 
energy and environmental legislation) farmers' incomes would have to be supported some 
30% over and above the level associated with the general oil seeds scheme to make "non­
food" oilseeds for biofuels competitive with food/feed oilseeds. This would imply additional 
budget resources amounting to some billions ECU for EU as a whole. 
Finally, at the Blair House Agreement limits increased production of biofuels from oilseeds 
grown on set-aside land, as an increase of the one million tonne by-product limit in terms of 
soya bean meal equivalents can not realistically be expected. 
In spite of the specific obstacles there is scope for action aimed at promoting renewables in 
the agricultural sector. Such action will depend on the specific conditions of the various 
energy sectors. For liquid biofuels the basic questions relate to the possibility of introducing 
a policy for raw material supply independent of set-aside. Within the context of a minimum 
guaranteed area for energy crops, the question of compensating farmers for the loss of income 
resulting from growing such crops, as opposed to food crops, should be addressed. 
Furthermore, it should be considered how biofuels could be competitive with fossil fuels if 
the exemption of excise duties for biofuels were to remain blocked in the Council and 
whether or not a minimum incorporation of biofuels is required in certain specific markets. 
For biomass, in particular, it could be considered if amendment of support programmes, for 
example Council Regulation (EEC) No 866/90 is required in order to allow the eligibility of 
heat production from biomass and if it is opportune to establish a specific support scheme for 
"non-food" raw materials independent of the set-aside scheme. 
Leaving aside the question of taxation, agriculture clearly represents a key area for the 
advancement of renewable energy. Obviously international commitments such as the GATT 
Agreement in general, the Blair House constraint in particular and the Rio Convention have 
to be taken into account. The Commission will, on the basis of the Green Paper, consider how 
the importance of renewable energy in agricultural policy and rural development can be 
further reflected in agricultural policies. A key question, which must be addressed, is how 
the conflicting aims between the food and the "non-food" sectors (energy) can be better 
managed. 
44 
6.3.6. Actions in the field of external relations policy 
The external dimension of renewables cannot be ignored. In a global perspective renewables 
play a much more prominent role as an energy source than in the Community, with more than 
20% of the worlds energy needs currently being met by renewables. This, however, is due to 
a significant use of traditional firewood in many developing countries. It should, however, not 
distract the attention from the fact that there is a large potential for exploitation of other 
renewable sources in many parts of the world. In many cases the development of renewable 
sources of energy can improve quality of life to those millions of people which live in areas 
deprived of modern conveniences made possible by the availability of energy. By way of 
example, 120 million people in China presently live without electricity. The same is the case 
for 20 millions Russians. 
External relations are becoming an increasingly important part of the European Union's brief. 
The Union is present in all corners of the world and is operating a number of large scale co­
operation and assistance programmes in Central and Eastern Europe, the NIS, Africa, the 
Mediterranean Basin, Latin- and South America and Asia. The energy component of these 
programmes is important and although renewables is not in all cases the top may not be the 
only priority, development of indigenous and renewable sources can often foster economic 
and social prosperity and cohesion. 
The Community's SYNERGY programme, covering energy cooperation with third countries 
has promotion of renewables among its priorities in certain regions. The programme has, by 
way of example, provided support to the renewable energy centre in Elblang, Poland, aimed 
at promoting renewable energy sources in the entire Baltic region. The Commission has also 
participated in the so-called World Solar Summit Process initiated in 1993 under the auspices 
of UNESCO. This process culminated in a solar summit in Harare on 16-17 September 1996. 
The summit adopted a political declaration and launched a world solar programme for the 
period 1996-2005 where strategic projects of general interest, notably education and training, 
and other high priority projects should be implemented. 
The energy sector is of major importance for the overall economic development of the Central 
and Eastern European countries as well as the New Independent States and Mongolia. This 
is reflected by the share of the energy sector in the PHARE and TACIS programmes assisting 
these countries in their reform process. Promotion of renewable energy has not been 
prominent till now, given that the partner countries have not given renewable energies priority 
in view of the available supplies of fossil fuels, and the difficulties encountered in the 
restructuring of the energy sector as a whole. 
In pursuit of the Europe agreements and the partnership and Cooperation Agreements which 
expresses the importance of sustainable development and its integration into policies for e.g. 
energy, the Commission will stress the importance of renewable energies in its contacts with 
the partner countries. Some small projects for renewable energies already have been 
45 
supported, and it has been proposed to support a major renewable energy project in the 
framework of the PHARE Multicountry programme for 1997. Certain countries, including the 
Baltic States, Bulgaria and FYROM, have also introduced specific demands for assistance in 
the framework of their national programmes. 
In view of the fact that certain regions of Central and Eastern Europe are well endowed with 
renewable sources, and in view of the fact that renewables especially in rural areas can 
strengthen the regional development, the Commission recognises the need that renewable 
sources of energy require increased attention. 
As a consequence of the increasing political priorities for establishing a framework for 
improved cooperation between the EU and the non-EU mediterranean countries, including 
cooperation in the field of energy, there is also a case for examining in more detail the 
contributions that renewables could make to the energy needs of this region. Generally 
renewable sources are plenty and the potential, in particular for solar and wind energy is 
currently not exploited to its maximum. In the framework of the continuing Euro-
Mediterranean energy cooperation the appropriate cooperation and assistance instruments, such 
as the MEDA programme and the Euro-Mediterranean Forum must, as a matter of priority, 
address the scope for further cooperation on renewables in the Mediterranean region. 
In developing countries in particular renewables can play a key role in accelerating economic 
and sustainable growth. Renewable energy technologies are particularly well suited in remote 
areas of developing countries which are often not connected to the grid. Furthermore, the 
meteorological conditions in many developing countries favour renewable sources of energy, 
in particular solar energy applications. 
Increased energy consumption in the developing countries will be a major factor accounting 
for the deterioration of the global atmospheric Conditions. Although at present high income 
countries are still the major energy users, by the middle of the next century the developing 
countries, as defined today, will account for the largest share of the world's commercial 
energy use. In many developing countries it will be difficult to meet environmental objectives 
by retrofitting pollution controlled technologies onto energy technologies originally designed 
without consideration for environmental problems. The use of renewable energy technologies 
can be helpful in such circumstances because they offer a high degree of inherent cleanliness, 
without the need for ancillary pollution control equipment. 
It must therefore be ensured that sufficient emphasis is given to renewables in the 
implementation of the Community's programmes in this area. Use can be made of all the 
various existing cooperation instruments, including in particular the instruments of financial 
and technical assistance, instruments of economic cooperation, including investment, 
promotion and cooperation between European and local firms, and instruments of scientific 
and technological cooperation. 
46 
Furthermore the demand for renewable energy technologies will primarily increase in 
developing countries markets. In particular electricity markets are expected to become fiercely 
competitive "buyers markets", where the risk of becoming marginalised will be great for many 
industrialised country vendors, if appropriate technologies are not developed and marketed 
competitively. Renewables represent a vast potential for economic cooperation of mutual 
interest to the EU and to third countries. The EU can gain direct and indirect commercial 
benefits and the third countries can benefit from accelerated sustainable development. The 
Climate Change Convention provides for joint implementation of measures between 
contracting parties for the attainment of emission targets. A better use of this facility could 
contribute to increased transfer of renewable technologies to developing countries and thus 
provide new export opportunities for the EU industry. 
A clearly defined and ambitious renewable energy strategy will therefore also in this respect 
be indispensable and allow the EU industry to compete successfully in the global market 
place. 
Given the important role that renewable energy sources can play in the external policies of 
the Community, the Commission will, on the basis of the debate on this Green Paper, further 
reflect on ways in which the Community can ensure that the potential for developing 
renewable energy in third countries is sufficiently well emphasised within the existing and 
future Community cooperation instruments. 
6.4. Assessment and Monitoring 
The Community's statistical authorities (Eurostat) has established a system for regular 
collection of statistics in the EU on which the quantitative objective contained in the 
ALTENER programme can be evaluated. This system is based on a methodology for the 
collection of data and its incorporation into the energy balances. These essential activities 
must be continued With a view to monitoring the progress towards the objectives of a 
Community strategy. 
The statistical information related to some forms of renewable energy is based on estimates 
while others can be measured to the last kilowatt-hour. Residential solar and ambient energies 
are examples of renewable energy where statistics currently have to be on estimates. 
However, as the statistics is produced consistently, quantitative monitoring is possible. The 
quality of statistics can, nevertheless, be improved with field studies and surveys. 
There is, furthermore, a case for improving the coordination and data collection as regards 
the actions on renewables undertaken within the various programmes of the Community. One 
proposal is that.the Commission explores the possibility of creating a database which can 
register all Community support given to renewables. The database could also, on the basis of 
a notification system to be put in place, register the actions undertaken at national level in 
addition to the notifications made to the Commission under the state aid rules. In this way 
policies affecting renewables and progress towards increasing the share of renewables could 
47 
be monitored reliably and effectively. 
7. Next steps. 
This Green Paper is the first step in the establishment of a strategy for renewable sources of 
energy. It is intended to open up a debate on what are the most urgent and most important 
measures that could be undertaken at Community and Member State level and on the nature 
of these specific actions. The Commission therefore invites all interested parties to contribute 
to the process by forwarding their reactions to this Green Paper and the questions raised in 
it to the Commission by the end of March 1997. On the basis of this and the consultations 
with Member States, other Community Institutions and interested parties, the Commission 
intends to publish a White Paper on a Community Strategy for Renewable Sources of Energy 
accompanied by an action plan by mid-1997. 
** 
48 
Annex 1 
Main indicators in Renewable Energy in the European Union 
Share of RES in 
Total Inland 
Consumption (%) 
Capacity All Hydro 
(MWe) 
Capacity Wind 
(MWe) 
Capacity PV (kWp) 
Capacity Geoth. 
Elect (MWe) 
Elect. Production 
All RES (GWh) 
of which (%): 
Hydro 
Wind 
PV 
Geothermal 
Biomass 
Biofuels Production 
(ktoe) EUR 12 
1991 
3.7 
57303 
645.5 
8726 
530 
174364 
92.8 
0.6 
0.0 
1.8 
4.8 
n.a. EUR 12 
1994 
3.9 
57932 
1626.7 
29143 
509 
205613 
91.5 
1.6 • 
0.0 
1.6 
5.3 
257.6 EUR 15 
1991 
5.2* 
87303 
652.5 
n.a. 
n.a. 
290513 
91.7 
0.4 
n.a. 
n.a. 
6.8 
n.a. EUR 15 
1994 
5.4 
88331 
1671.7 
n.a. 
n.a. 
324232 
91.1 
1.1 
n.a. 
n.a. 
6.8 
n.a. 
Source Eurostat 
* 1992 
49 
o 
RENEWABLE ENERGY PRODUCTION IN AUSTRIA 
A 
A 
A 
A 
A 
A 
A 
A 
A 
A 
A 
A 
A 
A 
A 
A 
A 
A 
A 
A 
A 
A 
A Year 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 Renewable Energy 
Source 
Hydro all 
Hydro -1 MW 
Hydro 1-10 MW 
Hydro 10+MW 
Wind 
Solar pannels 
Photovoltaic» 
Geoth.electr 
Geoth.heat 
MSW 
Wood in h/hoids 
District heating 
Wood in industry 
Power stations 
Biofuels 
Landfill gas 
Sewage sludge 
Farm slurries 
A-F Industry 
Total biomass 
Total primary energy Collectors 
surface 
(1000m*) 
Total electricity gener. 
Total heat productten PVC 
capacity 
(kWp) Electrical 
Installed 
capacity 
fMWe* 
11274.0 Thermal 
Installed 
capacity 
(MWtM 
, Fuel 
consumption 
(tonnes) Fuel 
consumption 
/Heat Input 
CTJ) Autoconsumption 
(TJ) RES 
electricity 
generation 
(GWh) 
35706 
2871.0 
38577.0 RES primary 
energy 
production 
128542 
' 
0 
0 
0 
0 
0 
0 
0 
0 
0 
0 
0 
0 
0 
0 
0 
130154 
258696 RES primary 
energy 
production 
fktoeW 
3070.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
3108.5 
6179 
_ . RES heat 
production 
(TJ) 
0.0 
0.0 
0.0 
0.0 
0.0 RES heat 
production 
(ktoe^ 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 RES heat for 
domestic 
use (TJ) 
_, Total primary 
production 
(ktoe) 
8610 Total Inland 
consumption 
(ktoe) 
26062 Total 
electricity 
generation 
(GWM 
54645 
Figures for specific energy sources are not available 
(Source: Eurostat) 
^ 
RENEWABLE ENERGY PRODUCTION IN BELGIUM 
B 
B 
B 
B 
B 
B 
B 
B 
B 
B 
B 
B 
B 
B 
B 
B 
B 
B 
B 
B 
B 
B 
B Year 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 Renewable Energy 
Source 
Hydro all 
Hydro -1 MW 
Hydro 1-10 MW 
Hydro 10+MW 
Wind 
Solar pannels 
Photovoltaic» 
Geoth.electr 
Geoth.heat 
MSW 
Wood in h/holds 
District heating 
Wood In Industry 
Power stations 
Biofuels 
Landfill gas 
Sewage sludge 
Farm slurries 
A-F Industry 
Total biomass 
Total primary energy Collectors 
surface 
(1000m1) 
36.4 
Total electricity gener. 
Total heat production PVC 
capacity 
(kWp) 
48 Electrical 
installed 
capacity 
(MWel 
112.7 
4.7 
45.0 
63.0 
5.2 
0.0 Thermal 
Installed 
capacity 
CMWtM 
8.3 Fuel 
consumption 
(tonnes) 
1608200 
7865 Fuel 
consumption 
/Heat Input 
CTJ) 
0.0 
5307.1 
7384.0 
0.0 
0.0 
2461.3 
296.5 
24.0 
92.5 
0.0 
311.9 
15580.8 Autoconsumptlon 
(TJ) 
40.0 
0.0 
37.2 RES 
electricity 
generation 
fGWh) 
343.1 
11.8 
143.5 
187.8 
8.6 
0.1 
0.0 
455.0 
58.8 
2.0 
1.8 
0.0 
517.6 
869.4 RES primary 
energy 
production 
im 
1235 
42 
517 
676 
31 
37 
0 
0 
53 
5307 
7384 
0 
0 
2461 
297 
24 
93 
0. 
312 
15581 
17234 RES primary 
energy 
production 
(Mot) 
29.5 
1.0 
12.3 
16.1 
0.7 
0.9 
0.0 
0.0 
1.3 
128.8 
176.4 
0.0 
0.0 
58.8 
7.1 
0.6 
2.2 
0.0 
7.4 
372.1 
411.8 RES heat 
production 
(TJ) 
36.6 
53.3 
181.4 
7384.0 
0.0 
0.0 
2171.1 
0.0 
77.7 
274.7 
10088.9 
10178.8 RES heat 
production 
(ktoe) 
0.0 
0.0 
0.0 
0.0 
0.0 
0.9 
0.0 
0.0 
1.3 
4.3 
176.4 
0.0 
0.0 
51.9 
0.0 
0.0 
1.9 
0.0 
8.6 
241.0 
0.0 
0.0 
243.1 RES heat for 
domestic 
use (TJ) 
7384.0 Total primary 
production 
(ktoe) 
10885 Total Inland 
consumption 
(ktoe) 
50294 Total 
electricity 
generation 
/GWh) 
72236 
(Source: Eurostat) 
G 
RENEWABLE ENERGY PRODUCTION IN DENMARK 
• 
Dk 
Dk 
Dk 
Dk 
Ok 
Dk 
Dk 
Dk 
Dk 
Dk 
Dk 
Dk 
Dk 
Dk 
Dk 
Dk -
Dk 
Dk 
Dk 
Dk 
Dk 
Dk 
Dk Year 
1994 
1994 
1994 
1994 
1994 
1994 
19,94 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 Renewable Energy 
Source 
Hydro all 
Hydro -1 MW 
Hydro 1-10 MW 
Hydro 10+MW 
Wind 
Solar pannels 
Photovoltaic* 
Geoth.electr 
Geoth.heat 
MSW 
Wood in h/holds 
District heating 
Wood In Industry 
Power stations 
Biofuels . 
Landfill gas 
Sewage sludge 
Farm slurries 
A-F Industry 
Total biomass 
Total primary energy Collectors 
surface 
(1000m1) 
124.0 
Total electricity gener. 
Total heat production PVC 
capacity 
(kWp) 
0 Electrical 
Installed 
capacity 
fMWeï 
6.3 
4.4 
3.9 
0.0 
532.0 
0.0 
72.0 
3.5 
6.9 
8.9 
0.0 Thermal 
Installed 
capacity 
<MWtM 
* 
7.0 
693.0 Fuel 
consumption 
(tonnes) Fuel 
consumption 
/Heat Input 
(TJ) 
19060.0 
15414.0 
8032.0 
4247.0 
2179.0 
0.0 
163.0 
641.0 
557.0 
30.0 
50323.0 Autoconsumption 
(TJ) 
62.0 
184.0 
109.0 
2.0 RES 
electricity 
generation 
(GWIrt 
32.6 
16.8 
15.8 
0.0 
1137.0 
0.0 
0.0 
525.0 
189.0 
13.0 
38.0 
27.0 
0.0 
792.0 
1934.6 RES primary 
energy 
production 
fTJÏ 
117 
60 
57 
0 
4093 
185 
0 
0 
45 
. 19060 
15414 
8032 
4247 
2179 
0 
101 
641 
. 557 
30 
50261 
54702 RES primary 
energy 
production 
flctoel 
2.8 
1.4 
1.4 
0.0 
97.8 
4.4 
0.0 
0.0 
1.1 
455.2 
368.1 
191.8 
101.4 
52.0 
0.0 
2.4 
15.3 
13.3 
0.7 
1200.4 
1306.5 RES heat 
production 
(TJ) 
185.0 
-
45.0 
13687.0 
15414.0 
7079.0 
4247.0 
1088.0 
58.0 
322.0 
357.0 
28.0 
42278.0 
42508.0 RES heat 
production 
(ktoe) 
0.0 
0.0 
0.0 
0.0 
0.0 
4.4 
0.0 
0.0 
1.1 
326.9 
368.1 
169.1 
101.4 
26.0 
0.0 
1.3 
7.7 
8.5 
0.7 
1009.7 
0.0 
0.0 
1015.2 RES heat for 
domestic 
use (TJ) 
100.0 
15414.0 Total primary 
production 
(ktoe) 
14832 Total Inland 
consumption 
(ktoe) 
20136 Total 
electricity 
generation 
fGWM 
40096 
(Source: Eurostat) 
RENEWABLE ENERGY PRODUCTION IN GERMANY 
D 
D 
D 
D 
D 
D 
D 
D 
D 
D 
0 
D 
D 
D 
D 
D 
D 
D 
D 
D 
D 
D 
D Year 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 Renewable Energy 
Source 
Hydro all 
Hydro -1 MW 
Hydro 1-10 MW 
Hydro 10+MW 
Wind 
Solar pannels 
Photovoltalcs 
Geoth.electr 
Geoth.heat 
MSW 
Wood In h/holds 
District heating 
Wood in Industry 
Power stations 
Biofuels 
Landfill gas 
Sewage sludge 
Farm shinies 
A-f Industry 
Total biomass 
Total primary energy Collectors 
surface 
(1000m1) 
1148.4 
Total electricity gener. 
Total heat pjwjuction PVC 
capacity 
(KWp) 
10446 Electrical 
Installed 
capacity 
fMWe> 
4310.0 
417.0 
934.0 
2959.0 
643.0 
0.0 
499.0 
79.0 
6.9 Thermal 
Installed 
capacity 
CMWth) 
20.0 
1400.0 
• Fuel 
consumption 
(tonnes) 
28000 
. Fuel 
consumption 
/Heat Input 
CTJ) 
43393.0 
91612.0 
10658.0 
22335.0 
1120.0 
13669.0 
95.Q. 
172.3 
181934.3 Autoconsumption 
(TJ) RES 
electricity 
generation 
(GWM 
19599.3 
1611.6 
5335.9 
12651.8 
1428.0 
4.3 
0.0 
2611.7 
» 
414.8 
523.9 
45.3 
6.1 
13.4 
3615.2 
24640.7 RES primary 
energy 
production 
CTJ) 
70557 
5802 
19209 
45546 
5141 
1510 
15 
0 
' 360 
44616 
91612 
0 
10658 
22335 
1120 
0 
13669 
95 
172 
183157 
261861 
, RES primary 
energy 
production 
fktoel 
1685.2 
138.6 
458.8 
1087.8 
122.8 
36.1 
0.4 
0.0 
8.6 
1065.6 
2188.0 
0.0 
254.5 
533.4 
26.7 
0.0 
328.5 
2.3 
4.1 
4374.4 
6254.1 RES heat 
production 
(TJ) 
1510.0 
360.0 
17056.0 
91612.0 
0.0 
10658.0 
6040.0 
56.0 
3149.0 
42.6 
128613.6 
130483.6 RES heat 
production 
(ktoe) 
0.0 
0.0 
0.0 
0.0 
0.0 
36.1 
0.0 
0.0 
8.6 
407.4 
2188.0 
0.0 
254.5 
144.3 
0.0 
1.3 
75.2 
0.0 
1.0 
3071.7 
0.0 
0.0 
3116.4 RES heat for 
domestic 
use (TJ) 
1007.0 
91612.0 Total primary 
production 
(ktoe) 
141094 Total Inland 
consumption 
(ktoe) 
333991 Total 
electricity 
generation 
(GWh) 
52S229 
(Source: Eurostat) 
RENEWABLE ENERGY PRODUCTION IN GREECE 
Gr 
Gr 
Gr 
Gr 
Gr 
Gr 
Gr 
Gr 
Gr 
Gr 
Gr 
Gr 
Gr 
Gr 
Gr 
Gr 
Gr 
Gr 
Gr 
Gr 
Gr 
Gr 
Gr Year 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 Renewable Energy 
Source 
Hydro all 
Hydro-1 MW 
Hydro 1-10 MW 
Hydro 10+MW 
Wind 
Solar pannels 
Photovoltalcs 
Geoth.electr 
Geoth.heat 
MSW 
Wood In h/holds 
District heating 
Wood in Industry 
Power stations 
Biofuels 
Landfill gas 
Sewage sludge 
Farm slurries 
A-F Industry 
Total biomass 
Total primary energy Collectors 
surface 
(1000m*) 
1900.0 
Total electricity gener. 
Total heat production PVC 
capacity 
(KWp) 
235 Electrical 
Installed 
capacity 
fMWei 
2525.7 
2.7 
39.0 
2484.0 
26.9 
2.0 
0.0 
0.5 Thermal 
Installed 
capacity 
(MWthl 
27.2 
1.4 
2.1 Fuel 
consumption 
(tonnes) 
293418 
4500 
0 Fuel 
consumption 
/Heat Input 
fTJl 
0.0 
53510.0 
0.0 
4912.0 
68.0 
0.0 
0.0 
1.4 
30.1 
58521.5 Autoconsumption 
(TJ) RES 
electricity 
generation 
(GWh) 
2605.3 
7.5 
96.6 
2501.2 
37.4 
0.2 
O.'O 
0.0 
1.4 
0.0 
0.0 
0.0 
0.0 
1.4 
2844.3 RES primary 
energy 
production 
CTJ) 
9379 
27 
348 
9004 
135 
4104 
1 
0 
173 
0 
53510 
0 
4912 
68 
0 
0 
0 
1 
30 
58522 
72313 RES primary 
energy 
production 
(ktoe) 
224.0 
0.6 
8.3 
215.1 
3.2 
98.0 
0.0 
0.0 
4.1 
0.0 
1278.0 
0.0 
117.3 
1.6 
0.0 
0.0 
0.0 
0.0 
0.7 
1397.7 
1727.1 RES heat 
production 
(TJ) 
4104.0 
173.4 
0.0 
53510.0 
0.0 
4912.0 
31.7 
0.0 
0.0 
1.4 
0.0 
58455.1 
62732.5 RES heat 
production 
(ktoe) 
O.C 
0.0 
0.0 
0.0 
0.0 
98.0 
0.0 
0.0 
4.1 
0.0 
1278.0 
0:0 
1.17.3 
0.8 
0.0 
0.0 
0.0 
0.0 
0.0 
1396.1 
0.0 
0.0 
1498.3 RES heat for 
domestic 
use (TJ) 
4104.0 
53510.0 Total primary 
production 
(ktoe) 
9669 
r Total Inland 
consumption 
(ktoe) 
24129 Total 
electricity 
gener» tlon 
fGWhî 
40623 
(Source: Eurostat) 
RENEWABLE ENERGY PRODUCTION IN SPAIN 
E 
E 
E 
E 
E 
E 
E 
E 
E 
E 
E 
E 
E 
E 
E 
E 
E 
E 
E 
E 
E 
E 
E Year 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 Renewable Energy 
Source 
Hydro all 
Hydro -1 MW 
Hydro 1-10 MW 
Hydro 10+MW 
Wind 
Solar pannels 
Photovoltales 
Geoth.electr 
Geoth.heat 
MSW 
Wood in h/holds 
District heating 
Wood In Industry 
Power stations 
Biofuels 
Landfill gas 
Sewage aludge 
Farm slurries 
A-F Industry 
Total biomass 
Total primary energy Collectors 
surface 
(1000m*) 
309.3 
Total electricity gener. 
Total heat production PVC 
capacity 
(kWp) 
1204 Electrical 
Installed 
capacity 
fMWeï 
12636.0 
191.0 
1051.0 
11394.0 
74.9 
0.0 
40.3 
182.6 
1 Thermal 
Installed 
capacity 
fMWtM 
t Fuel 
consumption 
(tonnes) 
652800 
7008060 
3351787 
2101980 Fuel 
consumption 
/Heat Input 
CTJ\ 
4849.0 
88024.0 
0.0 
42100.0 
26379.2 
0.0 
389.6 
0.0 
34.3 
518.1 
162294.2 Autoconsumption 
(TJ) RES 
electricity 
generation 
iGWM 
24351.1 
649.4 
2745.5 
20956.2 
175.2 
2.0 
0.0 
230.0 
» 
489.8 
34.3 
0.0 
0.0 
0.0 
754.1 
25282.4 RES primary 
energy 
production 
CTJ) 
87664 
2338 
9884 
75442 
631 
1005 
7 
0 
273 
4849 
88024 
0 
42100 
26379 
0 
390 
0 
34 
518 
162294 
251874 RES primary 
energy 
production 
fktoe> 
2093.7 
55.8 
236.1 
1801.8 
15.1 
24.0 
0.2 
0.0 
6.5 
115.8 
2102.3 
0.0 
1005.5 
630.0 
0.0 
9.3 
0.0 
0.8 
12.4 
3876.1 
6015.6 RES heat 
production 
(TJ) 
1005.0 
160.2 
68024.0 
0.0 
42100.0 
0.0 
0.0 
34.3 
518.1 
130836.6 
131841.6 RES heat 
production 
(ktoe) 
0.0 
0.0 
•0.0 
0.0 
0.0 
24.0 
0.0 
0.0 
0.0 
3.8 
2102.3 
0.0 
1005.5 
0.0 
0.0 
0.0 
0.0 
0.8 
12.4 
3124.8 
0.0 
0.0 
3148.8 RES heat for 
domestic 
use (TJ) 
88024.0 Total primary 
production 
(ktoe) 
32234 
• Total Inland 
consumption 
(ktoe) 
97400 Total 
electricity 
generation 
(GWM 
161600 
(Source: Eurostat) 
RENEWABLE ENERGY PRODUCTION IN FRANCE 
F 
F 
F 
F 
F 
F 
F 
F 
F 
F 
F 
F 
F 
F 
F 
F 
F 
F 
F 
F 
F 
F 
F Year 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 Renewable Energy 
Source 
Hydro ail 
Hydro -1 MW 
Hydro 1-10 MW 
Hydro 10+MW 
Wind 
Solar pannels 
Photovoltalcs 
Geoth.electr 
Geoth.heat 
MSW 
Wood In h/holds 
District heating 
Wood in Industry 
Power stations 
Biofuels 
Landfill gas 
Sewage sludge 
Farm slurries 
A-F Industry 
Total biomass 
Total primary energy Collectors 
surface 
(1000m*) 
374.0 
Total electricity gener. 
Total heat production PVC 
capacity 
(kWp) 
42 Electrical 
Installed 
capacity 
(MWe) 
20773.0 
433.0 
1510.0 
18830.0 
3.4 
4.7 
185.0 
216.0 Thermal 
Installed 
capacity 
(MWtht Fuel 
consumption 
(tonnes) 
27825 
102607 Fuel 
consumption 
/Heat Input 
CTJ) 
0.0 
33670.0 
299411.0 
378.0 
59500.0 
4952.0 
4104.3 
888.0 
412.0 
0.0 
0.0 
399211.0 Autoconsumption 
(TJ) RES 
electricity 
generation 
fGWM 
79036.0 
1872.0 
6457.0 
70707.0 
9.0 
0.0 
0.0 
551.0 
692.0 
119.0 
22.0 
0.0 
0.0 
1384.0 
80429.0 RES primary 
energy 
production 
CTJ) 
284530 
6739 
23245 
254545 
32 
587 
0 
0 
5070 
33670 
299411 
378 
59500 
4952 
4104 
888 
412 
0 
0 
399211 
693534 RES primary 
energy 
production 
fktoel 
6795.5 
161.0 
555.2 
6079.4 
0.8 
14.0 
0.0 
0.0 
121.1 
804.2 
7151.0 
9.0 
1421.1 
118.3 
98.0 
21.2 
9.8 
0.0 
0.0 
9534.5 
16564.0 RES heat 
production 
(TJ) 
587.0 
4500.0 
19573.0 
299411.0 
321.3 
59500.0 
1560.0 
400.0 
0.0 
0.0 
0.0 
380765.3 
385852.3 RES heat 
production 
(ktoe) 
0.0 
0.0 
0.0 
0.0 
0.0 
14.0 
0.0 
0.0 
107.5 
467.5 
7151.0 
7.7 
1421.1 
37.3 
0.0 
9.6 
0.0 
0.0 
0.0 
9094.0 
0.0 
0.0 
9215.5 RES heat for 
domestic 
use (TJ) 
487.0 
299411.0 Total primary 
production 
(ktoe) 
120680 Total Inland 
consumption 
(ktoe) 
228535 Total 
electricity 
generation 
fGWM 
476337 
I 
(Source: Eurostat) 
RENEWABLE ENERGY PRODUCTION IN IRELAND 
Irl 
Irl 
Irl 
Irl 
in 
Irl 
Irl 
Irl 
Irl 
Irl 
Irl 
Irl 
in 
Irl 
Irl 
Irl 
Irl 
Irl 
Irl 
Irl 
Irl 
Irl 
Irl Year 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 Renewable Energy 
Source 
Hydro all 
Hydro -1 MW 
Hydro 1-10 MW 
Hydro 10+MW 
Wind 
Solar pannels 
Photovoltalcs 
Geoth.electr 
Geoth.heat 
MSW 
Wood In h/hoWs 
District heating 
Wood In industry 
Power stations 
Biofuels 
Landfill gas 
Sewage sludge 
Farm alurries 
A-F Industry 
Total biomass 
Total primary energy Collectors 
surface 
(1000m*) 
2.5 
Total electricity gener. 
Total heat production PVC 
capacity 
(kWp) 
56 Electrical 
Installed 
capacity 
CMWel 
230.0 
5.6 
23.0 
200.0 
6.5 
0.0 
0.0 
0.0 Thermal 
Installed 
capacity 
fMWtM 
0.3 Fuel 
consumption 
(tonnes) 
102 Fuel 
consumption 
/Heat Input 
fTJ) 
0.0 
0.0 
1735.0 
0.0 
4963.0 
0.0 
0.0 
0.0 
0.0 
0.0 
103.7 
6801.7 Autoconsumption 
(TJ) 
23.0 RES 
electricity 
generation 
fGWM 
851.0 
22.0 
65.0 
742.0 
18.0 
0.0 
0.0 
0.0 
. 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
869.0 RES primary 
energy 
production 
CTJ) 
3064 
79 
234 
2671 
65 
4 
0 
0 
2 
0 
1735 
0 
4963 
0 
0 
0 
0 
0 
104 
6802 
9936 RES primary 
energy 
production 
(ktoe) 
73.2 
1.9 
5.6 
63.8 
1.5 
0.1 
0.0 
0.0 
0.1 
0.0 
41.4 
0.0 
118.5 
0.0 
0.0 
0.0 
0.0 
0.0 
2.5 
162.4 
237.3 RES heat 
production 
(TJ) 
4.2 
2.1 
0.0 
1735.0 
0.0 
4963.0 
0.0 
0.0 
0.0 
80.6 
6778.6 
6784.9 RES heat 
production 
(ktoe) 
0.0 
0.0 
0.0 
0.0 
0.0 
0.1 
0.0 
0.0 
0.1 
0.0 
41.4 
0.0 
118.5 
0.0 
0.0 
0.0 
0.0 
0.0 
1.9 
161.9 
0.0 
0.0 
162.0 RES heat for 
domestic 
use (TJ) 
4.2 
1735.0 Total primary 
production 
(ktoe) 
3628 Total Inland 
consumption 
(ktoe) 
10968 Total 
electricity 
generation 
(GWM 
17105 
(Source: Eurostat) 
5 
RENEWABLE ENERGY PRODUCTION IN ITALY 
It 
It 
It 
It 
It 
It 
It 
It 
It 
it 
It 
It 
It 
It 
It 
It 
It 
It 
It 
It 
It 
It 
It 1 
Year 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 Renewable Energy 
Source 
Hydro all 
Hydro -1 MW 
Hydro 1-10 MW 
Hydro 10+MW 
Wind 
Solar pannels 
Photovoltales 
Geoth.electr 
Geoth.heat 
MSW 
Wood In h/holds 
District heating 
Wood In Industry 
Power stations 
Biofuels 
Landfill gas 
Sewage sludge 
Farm slurries 
A-F Industry 
Total biomass 
Total primary energy Collectors 
surface 
(1000m*) 
160.0 
Total electricity gener. 
Total heat production PVC 
capacity 
(KWp) 
14690 Electrical 
Installed 
capacity 
(MWeV 
12864.0 
371.0 
1585.0 
10908.0 
21.0 
496.0 
74.0 
104.0 
7.2 
1.2 Thermal 
Installed 
capacity 
CMWtM 
682.0 
9.0 Fuel 
consumption 
(tonnes) 
0 
• Fuel 
consumption 
/Heat Input 
CTJ) 
87866.0 
11100.0 
94300.0 
0.0 
39600.0 
2840.0 
5265.0 
293.0 
30.0 
75.0 
30.0 
153533.0 Autoconsumption 
(TJ) 
0.0 RES 
electricity 
generation 
(GWM 
44665.0 
1633.0 
7184.0 
35847.0 
6.3 
11.1 
3417.0 
189.0 
, 
60.4 
24.3 
2.4 
6.3 
2.5 
284.9 
48378.0 RES primary 
energy 
production 
CTJ) 
160794 
5879 
25862 
129049 
23 
300 
40 
87868 
8916 
11100 
94300 
0 
39600 
2840 
5265 
293 
30 
75 
30 
153533 
411472 RES primary 
energy 
production 
(ktoel 
3840.3 
140.4 
617.7 
3082.1 
0.5 
7.2 
1.0 
2098.5 
212.9 
265.1 
2252.2 
0.0 
945.8 
67.8 
125.7 
7.0 
0.7 
1.8 
0.7 
3866.9 
9827.4 RES heat 
production 
(TJ) 
300 
8916.0 
1540.0 
9430Û.0 
0.0 
39600.0 
1227.0 
. 0.0 
0.0 
0.0 
0.0 
136667.0 
145883.0 RES heat 
production 
(ktoe) 
0.0 
0.0 
0.0 
0.0 
0.0 
7.2 
.0.0 
0.0 
212.9 
36.8 
2252.2 
0.0 
945.8 
29.3 
0.0 
0.0 
0.0 
0.0 
0.0 
3264.1 
0.0 
0.0 
3484.2 RES heatfor|Total primary 
domestic production 
use (TJ) (ktoe) 
200.0 
94300.0 
31240 Total Inland 
consumption 
(ktoe) 
154104 Total ^ 
electricity 
génération 
(GWh) 
i 
231498 
(Source: Eurostat) 
iy 
RENEWABLE ENERGY PRODUCTION IN LUXEMBOURG 
L 
L 
L 
L 
L 
L 
L 
L 
L 
L 
L 
L 
L 
L 
L 
L 
L 
L 
L 
L 
L 
L 
L Year 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 Renewable Energy 
Source 
Hydro all 
Hydro -1 MW 
Hydro 1-10 MW 
Hydro 10+MW 
Wind 
Solar pannels 
Photovoltaics 
Geoth.electr ' 
Geoth.heat 
MSW 
Wood in h/holda 
District heating 
Wood In Industry 
Power stations 
Biofuels 
Landfill gas 
Sewage sludge 
Farm slurries 
A-F Industry 
Total biomass 
Total primary energy Collectors 
surface 
(1000m*) 
0.3 
Total electricity gener. 
Total heat production PVC 
capacity 
(KWP) 
7 Electrical 
Installed 
capacity 
(MWeï 
27.4 
0.6 
26.8 
0.0 
0.0 
0.0 
9.5 
0.0 
0.0 Thermal 
Installed 
capacity 
(MWthï 
0.0 
0.0 Fuel 
consumption 
(tonnes) 
131676 
64884 Fuel 
consumption 
/Heat Input 
CTJ) 
0.0 
1017.0 
644.6 
0.0 
0.0 
0.0 
0.0 
0.0 
34.3 
0.0 
0.0 
1695.9 Autoconsumption 
(TJ) 
16.5 RES 
electricity 
generation 
(GWM 
86.1 
3.1 
83.0 
0.0 
0.0 
0.0 
0.0 
S0-.2 
0.0 
0.0 
0.0 
0.0 
0.0 
50.2 
136.3 
/ RES primary 
energy 
production 
CTJ) 
310 
11 
299 
0 
0 
0 
0 
0 
0 
1017 
645 
0 
0 
0 
0 
• 0 
34 
0 
0 
1696 
2006 RES primary 
energy 
production 
(ktoeï 
7.4 
0.3 
7.1 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
24.3 
15.4 
0.0 
0.0 
0.0 
0.0 
0.0 
0.8 
0.0 
0.0 
40.5 
47.9 RES heat 
production 
(TJ) 
0.4 
0.0 
0.0 
644.6 
0.0 
0.0 
0.0 
0.0 
1.4 
0.0 
0.0 
646.0 
646.4 RES heat 
production 
(ktoe) 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
15.4 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
15.4 
0.0 
0.0 
15.4 RES heat for 
domestic 
use (TJ) 
0.4 
644.6 Total primary 
production 
(ktoe) 
51 Total Inland 
consumption 
(ktoe) 
3755 Total | 
electricity 
generation 
(GWM 
1190 
(Source: Eurostat) 
RENEWABLE ENERGY PRODUCTION IN THE NETHERLANDS 
NL 
NL 
NL 
NL 
NL 
NL 
NL 
NL 
NL 
NL 
NL 
NL 
NL 
NL 
NL 
NL 
NL 
NL 
NL 
NL 
NL 
NL 
NL Year 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 Renewable Energy 
Source 
Hydro all 
Hydro-1 MW 
Hydro 1-10 MW 
Hydro 10+MW 
Wind 
Solar pannels 
Photovoltaics 
Geoth.electr 
Geoth.heat-
MSW 
Wood In h/holds 
District heating 
Wood In industry 
Power stations 
Biofuels 
Landfill gas 
Sewage sludge 
Farm slurries 
A-F Industry 
Total biomass 
Total primary energy Collectors 
surface 
(1000m*) 
142.1 
Total electricity gener. 
Total heat moductton PVC 
capacity 
(kWp) 
1999 Electrical 
installed 
capacity 
(MWri 
37.0 
0.2 
36.8 
0.0 
157.0 
0.0 
189.0 
0.0 Thermal 
Installed 
capacity 
(MWtM 
0.0 
0.0 Fuel 
consumption 
(tonnes) 
2580000 Fuel 
consumption 
/Heat Input 
CTJ) 
0.0 
19786.0 
13400.0 
0.0 
1400.0 
0.0 
0.0 
2036.0 
1908.0 
0.0 
544.0 
39074.0 Autoconsumption 
(TJ) 
629.0 
511.0 
509.0 RES 
electricity 
generation 
(GWM 
100.0 
1.0 
99.0 
0.0 
238.0 
2.3 
0.0 
1208.0 
0.0 
120.0 
104.0 
0.0 
1.5 
1433.5 
1773.8 RES primary 
energy 
production 
CTJ) 
360 
4 
356 
0 
857 
118 
8 
0 
0 
19786 
13400 
0 
1400 
0 
0 
2036 
1908 
0 
544 
39074 
40417 RES primary 
energy 
production 
(ktoeï 
8.6 
0.1 
8.5 
0.0 
20.5 
2.8 
0.2 
0.0 
0.0 
472.6 
320.0 
0.0 
33.4 
0.0 
0.0 
48.6 
45.6 
0.0 
13.0 
933.2 
965.3 RES heat 
production 
(TJ) 
118.0 
0.0 
1288.0 
13400.0 
0.0 
1400.0 
143.0 
609.0 
0.0 
29.0 
17069.0 
17187.0 RES heat 
production 
(ktoe) 
0.0 
0.0 
0.0 
0.0 
0.0 
2.8 
0.0 
0.0 
0.0 
30.8 
320.0 
0.0 
33.4 
0.0 
0.0 
3.4 
19.3 
0.0 
0.7 
407.7 
0.0 
0.0 
410.5 RES heat for 
domestic 
use (TJ) 
51.0 
13400.0 Total primary 
production 
(ktoe) 
66262 Total Inland 
consumption 
(ktoe) 
70741 Total 
electricity 
generation 
(GWhl 
| 
79677 
(Source: Eurostat) 
^ 
RENEWABLE ENERGY PRODUCTION IN PORTUGAL 
p 
p 
p 
p 
p 
p 
p 
p 
p 
p 
p 
p 
p . 
p 
p 
p 
p 
p 
p 
p 
p 
p 
p Year 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 Renewable Energy 
Source 
Hydro all 
Hydro -1 MW 
Hydro 1-10 MW 
Hydro 10+MW 
Wind 
Solar pannels 
Photovoltalcs 
Geoth.electr 
Geoth.heat 
MSW 
Wood In h/hokJs 
District heating 
Wood In Industry 
Power stations 
Biofuels 
LandfIHgaa 
Sewage sludge 
Farm slurries 
A-F Industry 
Total biomass 
Total primary energy Collectors 
surface 
(1000m*) 
194.0 
Total electricity gener. 
Total heat production PVC 
capacity 
(kWp) 
120 Electrical 
Installed 
capacity 
(MWei 
3982.0 
29.3 
205.6 
3747.5 
8.3 
5.6 
0.0 Thermal 
Installed 
capacity 
(MWthl 
0.0 Fuel 
consumption 
(tonnes) 
0 Fuel 
consumption 
/Heat Input 
CTJ) 
185.0 
0.0 
61340.0 
0.0 
24829.0 
7063.0 
0.0 
0.0 
0.0 
0.0 
113.0 
93345.0 Autoconsumption 
(TJ) 
0.0 RES 
electricity 
generation 
(GWhl 
10704.7 
52.7 
528.1 
10124.9 
17.0 
0.5 
33.4 
0.0 
933.0 
0.0 
0.0 
0.0 
1.3 
933.0 
11689.9 RES primary 
energy 
production 
(TJ1 
38537 
190 
1901 
36450 
61 
607 
'2 
185 
42 
0 
61340 
0 
24629 
7063 
0 
0 
0 
0 
113 
9334S 
132779 RES primary 
energy 
production 
(ktoel 
920.4 
4.5 
45.4 
870.5 
1.5 
14.5 
0.0 
4.4 
1.0 
0.0 
1465.0 
0.0 
593.0 
168.7 
0.0 
0.0 
0.0 
0.0 
2.7 
2229.4 
3171.2 RES heat 
production 
(TJ) 
607.0 
42.0 
0.0 
61340.0 
0.0 
3359.0 
0.0 
0.0 
0.0 
0.0 
92.0 
64791.0 
65440.0 RES heat 
production 
(ktoe) 
0.0 
0.0 
0.0 
0.0 
0.0 
14.5 
0.0 
0.0 
1.0 
0.0 
1465.0 
0.0 
80.2 
0.0 
0.0 
0.0 
0.0 
0.0 
2.2 
1547.4 
0.0 
0.0 
1562.9 RES heat for 
domestic 
use (TJ) 
406.7 
61340.0 Total primary 
production 
(ktoe) 
3259 Total Inland 
consumption 
(ktoe) 
19024 ToUl 
electricity 
generation 
(GWh) 
-
31380 
(Source: Eurostat) 
0^ 
to 
RENEWABLE ENERGY PRODUCTION IN FINLAND 
FIN 
FIN 
FIN 
FIN 
FIN 
FIN 
FIN 
FIN 
FIN 
FIN 
FIN 
FIN 
FIN 
FIN 
FIN 
FIN 
FIN 
FIN 
FIN 
FIN 
FIN 
FIN 
FIN Year 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1904 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 Renewable Energy 
Source 
Hydro all 
Hydro -1 MW 
Hydro 1-10 MW 
Hydro 10+MW 
Wind 
Solar pannels 
Photovoltalcs 
Geoth.electr 
Geoth.heat 
MSW 
Wood tn h/hoWs 
District heating 
Wood In Industry 
Power stations 
Biofuels 
LandfNgas 
Sewage sludge 
Farm slurries 
A-F Industry 
Total biomass 
Total primary energy Collectors 
surface 
(1000m*) 
Total electricity gener. 
Total heat production PVC 
capacity 
(KWp) Electrical 
Installed 
capacity 
(MWe) 
2736.0 
27.0 
278.0 
2431.0 
5.0 Thermal 
Installed 
capacity 
(MWth) Fuel 
consumption 
(tonnes) Fuel 
consumption 
/Heat Input 
CTJ) Autoconsumption 
TJ) RES 
electricity 
generation 
(GWh) 
11837 
102.0 
1061.0 
10674.0 
7.0 
* 
6740.0 
18564.0 
, RES primary 
energy 
production 
CTJ) 
42613 
367 
3820 
38426 
25 
0 
0 
0 
0 
0 
0 
0 
0 
0 
0 
0 
0 
0 
0 
189934 
232547.2 RES primary 
energy 
production 
(ktoe) 
1017.8 
8.8 
91.2 
917.8 
0.6 
0.0 
0.0 
0.0 
0.6 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
4536.3 
5554.0 RES heat 
production 
(TJ) 
0.0 
0.0 
0.0 
0.0 
0.0 RES heat 
production 
(ktoe) 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
- 0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 RES heat for 
domestic 
use (TJ) Total primary 
production 
(ktoe) 
12721 Total Inland 
consumption 
(ktoe) 
30356 Total 
electricity 
generation 
fGWM 
65546 
. 
* Figures for specific energy sources are not available 
(Source: Eurostat) 
RENEWABLE ENERGY PRODUCTION IN SWEDEN 
S 
s 
s 
s 
s 
s 
s 
s 
s 
s 
s 
s 
s 
s 
s 
s 
s 
s 
s 
s 
s 
s 
s Year 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
.... Renewable Energy 
Source 
Hydro aH 
Hydro -1 MW 
Hydro 1.-10 MW 
Hydro 10+MW 
Wind 
Solar pannels 
Photovoltalcs 
Geoth.electr 
Geoth.heet 
MSW 
Wood In h/holds 
District heating 
Wood In industry 
Power stations 
Biofuels 
Landfill gas 
Sewage sludge 
Farm slurries 
A-F Industry 
Total biomass 
Total primary energy Collectors 
surface 
(1000m*) 
Total electricity gener. 
Total heat production PVC 
capacity 
(KWp) Electrical 
Installed 
capacity 
(MWe) 
16448.0 
45.0 Thermal 
Installed 
capacity 
(MWth) Fuel 
consumption 
(tonnes) Fuel 
consumption 
/Heat Input 
(TJ) 
0.0 Autoconsumption 
(TJ) RES 
electricity 
generation 
(GWh) 
59039 
72 
, 
1693.0 
60804.0 RES primary 
energy 
production 
(TJ) 
212540 
259 
0 
0 
0 
0 
0 
0 
0 
0 
0 
0 
0 
0 
0 
0 
275775 
488575 RES primary 
energy 
production 
(ktoe) 
5076.2 
0.0 
0.0 
0.0 
6.2 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
6586.5 
11668.8 RES heat 
production 
(TJ) 
0.0 
0.0 
0.0 
0.0 
0.0 RES heat 
production 
(ktoe) 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 RES heat for 
domestic 
use (TJ) Total primary 
production 
(ktoe) 
30813 Total Inland 
consumption 
(ktoe) 
48550 Total I 
electricity 
generation 
(GWh) 
142850 
* Figures for specific energy sources are not available 
(Source: Eurostat) 
RENEWABLE ENERGY PRODUCTION IN THE UNITED KINGDOM 
UK 
UK 
UK 
UK 
UK 
UK 
UK 
UK 
UK 
UK 
UK 
UK 
UK 
UK 
UK 
UK 
UK 
UK 
UK 
UK 
UK 
UK 
UK Year 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 Renewable Energy 
Source 
Hydro all 
Hydro -1 MW 
Hydro 1-10 MW 
Hydro 10+MW 
Wind 
Solar pannels 
Photovoltalcs 
Geoth.electr 
Geoth.heat 
MSW 
Wood In h/holda 
District heating 
Wood In Industry 
Power stations 
Biofuels 
Landfill gas 
Sewage sludge 
Farm slurries 
A-F Industry 
Total biomass 
Total primary energy Collectors 
surface 
(1000m*) 
286.3 
Total electricity gener. 
Total heat production PVC 
capacity 
(kWp) 
0 Electrical 
Installed 
capacity 
(MWe) 
1463.8 
29.3 
0.0 
1434.3 
148.5 
0.0 
112.0 
0.0 
91.4 Thermal 
Installed 
capacity 
(MWth) 
2.2 
49.9 
0.0 Fuel 
consumption 
(tonnes) Fuel 
consumption 
/Heat Input 
(TJ) 
0.0 
14412.0 
7290.0 
0.0 
4166.0 
0.0 
0.0 
7400.0 
6820.0 
15.0 
0.0 
40103.0 Autoconsumption 
(TJ) RES 
electricity 
generation 
(GWh) 
5076.0 
141.0 
0.0 
4935.0 
337.0 
0.0 
0.0 
716.5 
» 
0.0 
517.0 
360.8 
0.4 
0.0 
1594.7 
7007.3 RES primary 
energy 
production 
(TJ) 
18274 
508 
0 
17766 
1213 
266 
0 
0 
35 
14412 
7290 
0 
4166 
0 
0 
7400 
6820 
15 
0 
40103 
59891 RES primary 
energy 
production 
(ktoe) 
436.4 
12.1 
0.0 
424.3 
29.0 
6.4 
0.0 
0.0 
0.8 
344.2 
174.1 
0.0 
99.5 
0.0 
0.0 
176.7 
162.9 
0.4 
0.0 
957.8 
1430.4 
J» RES heat 
production 
(TJ) 
266.0 
34.7 
1927.0 
7290.0 
0.0 
4166.0 
0.0 
792.0 
2181.0 
9.0 
0.0 
16365.0 
16665.7 RES heat 
production 
(ktoe) 
0.0 
0.0 
0.0 
0.0 
0.0 
6.4 
0.0 
0.0 
0.8 
46.0 
174.1 
0.0 
99.5 
0.0 
0.0 
18.9 
52.1 
0.2 
0.0 
390.9 
0.0 
0.0 
398.0 RES heat for 
domestic 
use (TJ) 
152.0 
7290.0 Total primary 
production 
(ktoe) 
239134 Total Inland 
consumption 
(ktoe) 
219612 Total 
electricity 
generation 
(GWh) 
325046 
(Source: Eurostat) 


ISSN 0254-1475 
COM(96) 576 final 
DOCUMENTS 
EN 12 
Catalogue number : CB-CO-96-605-EN-C 
ISBN 92-78-11804-4 
Office for Official Publications of the European Communities 
L-2985 Luxembourg 
€Y