Tag: renewable energy

  • Report on renewable energy in the EU

    Report on renewable energy in the EU

    The European Commission has published a report on the energy situation in the EU. A first conclusion is the fact that the EU has managed to massively disconnect itself from the Russian gas supply, and community consumption has dropped significantly. The EU’s energy production is currently led by renewables, which supplied half of the electricity in the first part of the year. Wind energy alone has surpassed gas-based energy production, and nuclear energy, considered clean energy, is in first place. Primary energy consumption also decreased by 4.1%, thanks to efficiency measures. A decrease in gas consumption was also recorded, also due to efficiency measures. Thus, the European average shows a decrease of 18% compared to 2021. Also, in the field of gas, the EU managed to reduce dependence on Russia from 45% to 18% and now has new sources of supply from other regions.

     

    At the same time, it already reached its winter gas storage target of 90% in August, well ahead of the November 1st deadline. However, energy and gas prices are a problem. Although stable and reduced way below the peak values reported during the crisis, they remain high for the European industry, an industry that competes with that of the United States and China, where prices are sometimes three times lower. The European Commissioner Kadri Simson says that prices will be lower after the implementation of the energy market reform, which will reduce the input of expensive fossil sources. As to the environment, the report shows encouraging signs. Between 1992-2022, the European Union’s greenhouse gas emissions fell by 32.5%, while the economy grew by around 67%.

     

    According to the document, Romania has an energy mix, and this includes all types of energy, 71% based on fossil fuel, so it is in a worse situation than the European average, of 69%. On the other hand, however, the electricity mix is ​​better than that of the EU – 44% renewable as compared to the EU average of under 40%. As an overview, the report concludes that Romania has a limited production capacity of clean technologies. Moreover, public investments in research and development were halved between 2015 and 2022. A strong point is the reduced dependence on imported gas, given that Romania is the second European producer. Another strength is the fact that in the last 2 years it has managed to reduce gas consumption above the European average without affecting industrial activity. A third strong point is the gas storage capacity for winter, and Romania’s gas storage facilities are currently full. However, energy poverty remains one of the unsolved problems. 13.6% of Romania’s population had problems paying the bill, and 12.5% ​​could not afford to heat the house properly.  The EC reminds member states to submit the new energy and environment plans. Only 11 states have sent the documents, and Romania is not among them. (LS)

     

  • February 14, 2024 UPDATE

    February 14, 2024 UPDATE

    Rome — The Romanian PM Marcel Ciolacu on Wednesday started a two-day working visit to Rome, the focal point of which is the third joint meeting of the governments of Romania and Italy. The previous intergovernmental summit was 13 years ago. On this occasion, there will also be an economic forum with the participation of the business environment from the two countries. The prime minister also has scheduled meetings with the mayor of Rome, Roberto Gualtieri, with representatives of the Romanian community in Italy, as well as a papal audience with Pope Francis at the Vatican. Romanias ambassador to Italy, Gabriela Dancău, said that, a joint declaration will be signed by the prime ministers on the development of the consolidated strategic partnership, and, at the level of the ministers, several sectoral cooperation documents will be signed. On Thursday, Marcel Ciolacu will have an official meeting with his Italian counterpart, Giorgia Meloni, after which they will make press statements. Italy is home to the largest community of Romanians abroad, over 1,100,000. Italy is Romanias second trading partner, with a share in our countrys total trade of approximately 9.5%.



    Cyber attack – Several hospitals in Romania, including in Bucharest, have been targeted by a cyber-attack that encrypted data on their servers, the National Cyber Security Directorate (DNSC) announced. Most of the healthcare units affected by the incident had safety copies of their data. According to the health ministry, exceptional security measures have been implemented, with many units in the healthcare system disconnected from the internet for further inquiries. The Directorate Investigating Organized Crime and Terrorism Offences has started a criminal investigation.



    Farmers – The European Commission has officially endorsed a regulation which grants a one-year exemption from the rule requiring farmers to keep 4% of their arable land fallow. The rule, designed to help improve environment conditions, had sparked protests across the EU, including in Romania. In exchange, farmers are now required to grow nitrogen fixing crops such as lentils or peas. The new regulation is intended to give farmers more flexibility, while also protecting biodiversity and land quality. The measure is to be applied for the year 2024. Member States have 15 days to notify the Commission of the implementation option that they choose out of the 2 alternatives available.



    Statistics — Romanias economy grew by 2% in 2023, according to the data published on Wednesday by the National Institute of Statistics in Bucharest. In exchange, the gross domestic product increased last year by only 0.5% both in the EU and in the euro zone. At the same time, the annual rate of inflation in Romania was 7.41% in January compared to 6.61% in December 2023. Services prices rose the most, by 1.55%, followed by foodstuffs, by 1 .3%, and non-food products, by 0.74%. More important price drops were recorded in milling products and edible oil.




    Medicines – The National Agency for Medicines in Romania will establish, this year, a list of vital medicines for our country. The decision comes after, at the European level, around 200 medicines have been identified that often miss from the markets of several member states. The European list will be transformed into a series of national lists of critical medicines, said the President of the Agency, Răzvan Prisada. About the medicines included in the document he explained that they are not necessarily in short supply at present, but that risks may arise once they become scarce. Among the causes that can lead to a shortage of medicines, Prisada identified an entire range, from commercial reasons to the lack of raw materials. He added that, at the European level, there is a seasonal problem with the lack of antibiotics, but this will be solved once the epidemiological season ends.



    Renewable energy – Romania remained the last country in the European Union that failed to regulate the trading of guarantees of origin for the export of renewable energy, which limits the national renewable energy market. This takes place in the context of the multiplication of long-term contracts for the purchase of electricity negotiated directly, against the background of the spread of energy from renewable sources. The Secretary of State in Romania’s Energy Ministry, Dan Drăgan, has given assurances that the problem will be solved. He estimates that, by mid 2024, the National Energy Regulatory Authority will become part of the European regulatory framework, and by the end of this year guarantees of origin will be able to be traded at the European level. (AMP, LS)

  • The challenges of renewable energy

    The challenges of renewable energy

    The European Union can replace imports of fossil fuels from Russia with renewable energy sources, and Romania and south-eastern Europe have a huge potential in this respect, renewable energy investors say. On Tuesday they attended, in Bucharest, the RESinvest conference, the largest conference of the renewable energy industry in Romania and South-Eastern Europe. The main theme of the event was the development of the production chain of components, equipment, software and associated services for windfarms and photovoltaic parks, a huge opportunity to create a new branch in the Romanian economy. The production of wind turbines and photovoltaic panels can take place in the community states.



    In Romania, the production of components has already begun. Components of wind turbines are already being produced in Brasov, and transformers for wind energy at Electroputere Craiova. Renewable energy investors say this type of energy could lead to lower prices at national and regional level. Investors also say that the development of these sectors will also boost the supply sector, which will lead to the creation of new jobs in constructions, in equipment operation and production. At the conference organized in Bucharest, investors asked for stability and legislative predictability, in order to be able to carry out long-term investments. The Romanian authorities, in their turn, say that there is funding for projects and guarantee legislative stability.



    Prime Minister Nicolae Ciuca: The Romanian Government has initiated economic strategies gauged to the current needs of the energy market. We have allocated funds to stimulate investment in renewable energy, using all available levers and financial mechanisms, such as the National Recovery and Resilience Plan – PNRR and the Modernization Fund. Under the PNRR, we have recently launched state aid guidelines and schemes to stimulate investment in the industrial chain of production, assembly and recycling of batteries, cells and photovoltaic panels. Another financing scheme, which will increase the country’s energy security, is the Modernisation Fund. With the help of these funds, approximately 3,000 MW will be put into operation. The first projects financed through this mechanism have already received funds and are being carried out.



    The president of the European Parliament’s Committee on Energy, Cristian Buşoi, says that measures to simplify bureaucracy are currently being discussed at community level as well, and will be binding on all states. He said that a European Commission initiative, which comes as a measure strongly demanded by the market, will shorten the time for obtaining approvals for the installation of renewable units. Cristian Buşoi said that there are also proposed deadlines: the approval period should not exceed six months for projects to modernize or increase capacities or one year for new units. (LS)

  • The Paris Climate Agreement in the Trump era

    The Paris Climate Agreement in the Trump era

    The high fluctuations of temperatures alongside the decreasing number of chilly days and nights and the increase in the number of scorcher days and heat waves have been a constant reality of the past 50 years. According to specialists, in the future, extreme heat and heavy rains will most likely increase in frequency at higher latitudes, while their occurrence is expected to drop in most tropical regions. Scientific data shows that without applying adequate measures to curb these phenomena, the sea level is likely to increase by one meter or more by 2100.



    Following these developments, some island countries and many coastal regions will be completely covered by water. Statistics point to an increase in the rate of deaths caused by heat or by frost, depending on the region. Also, changes have become visible related to the propagation of some diseases transmittable by means of water or viruses. Following these climate changes, many sea and land species have been relocated. Activities that are dependent on certain temperatures and levels of precipitation such as those in agriculture, forestry, energy and tourism have also been very affected. Many of the poor, developing countries are extremely vulnerable to the consequences of climate change. And this is because the inhabitants of those areas heavily rely on their natural habitat and have scarce resources at hand to be able to adapt to the changing climate.



    In this context, the decision of the US President Donald Trump to withdraw the United States from the Paris Climate Agreement, which was adopted in December 2015 under the UN aegis, places him on the wrong side of history, according to the former UN secretary general Ban Ki-moon. At the same time, Donald Trumps decision has raised new challenges for the other participants in the Agreement. An action plan targeting the period starting in 2020, the agreement is aimed at limiting the increase in the global temperature, on the long term, at below 2 degrees Celsius as compared to the reference temperature reported in the pre-industrial era. The Agreement was adopted by 195 countries. Consistent with the promises made in the election campaign but criticized by the international community, the new White House leader decided to withdraw the US from the Agreement arguing that it was not beneficial to his countrys economy and to the Americans interests. And reactions were not late to appear.



    The French President Emmanuel Macron said the American Presidents decision was a “mistake for the future of our planet, while China has reiterated its commitment to fighting climate change. After the 2015 Paris Climate Agreement, the EU became the promoter of sustained climate policies allocating to member states funds for investment, among other things. The funds are meant to help these countries replace the old industries with new, more environment-friendly ones. Since the measures for approaching climate change and for reducing green house gas emissions are priorities for the EU, the European leaders have committed to turning Europe into a very efficient economic power in terms of energy, with low carbon dioxide emissions. Another EU target is to decrease by 80 up to 95% the green house gas emissions by 2050 as compared to the level reported in 1990. Romania has from the very beginning participated in the international political process regarding climate change, being part of the framework convention on climate change and of the Kyoto Protocol. The president of the National Agency for Environmental Protection, Viorel Toma explains:



    “Romania has met its target of reducing the greenhouse gas emissions for the first part the 2008 – 2012 period and meets the requirements for the second target period under the Doha amendment, 2013-2020. Romania does have a strategy on climate change and economic growth based on reduced carbon dioxide emissions as well as an action plan for the 2016-2020 period. The strategy is structured along two action lines, namely the reduction of greenhouse gas emissions and adapting to the effects of climate change. Planning for the current 2014-2020 framework stipulates that 27.53% of the European funds be earmarked for projects with a climatic component. The implementation of energy-efficient projects and the use of renewable energy resources at local level pose a real challenge for Romania in the coming period.



    It is Bucharests policy to encourage the generation and use of renewable energy and to reduce greenhouse gas emissions, especially in big cities. Concurrently, schools, kindergartens and town hall buildings shall benefit from renewable energy, which means less expenses in terms of the local budget. (Translated by L. Simion & E. Nasta)