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Overcoming research challenges for Bioenergy

Energy ResearchKnowledge Centre

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E n e r g y R e s e a r c h K n o w l e d g e C e n t r e

Contents At a glance 1 Introduction 8 Scope of the brochure 9 Making policy for bioenergy deployment 11

Bioenergy technology support instruments for different development stages 12 Key characteristics of bioenergy policies by sector 13 Other policy domains relevant for bioenergy 14 Sustainability policies and certification 16

Policy context 17 EU Policy Framework 17 Bioenergy outlook 21

The research programmes 24 Seventh Framework Programme (FP7) 24 Competitiveness and Innovation Framework Programme (CIP) 24 Horizon 2020 25 Directorates Generals & Executive Agency 25

Research benefits and implications 26 Introduction 26 Theme 1: Biomass feedstock supply and sustainability issues 29 Theme 2: Technology-related support policies and barriers 31 Theme 3: Sector-related policies 32 Theme 4: Competition with non-energy sector and biomass use for biorefinery 36 Theme 5: Communication with the public 38

Policy implications at EU level 40 Recommendations for future directions 44 References 46 List of Acronyms 48

This publication was produced by the Energy Research Knowledge Centre (ERKC), funded by the European Commission, to support its Information System of the Strategic Energy Technologies Plan (SETIS). It represents the consortium’s views on the subject mat-ter. These views have not been adopted or approved by the European Commission and should not be taken as a statement of the views of the European Commission.

The manuscript was produced by Hamid Mozaffarian from the Energy research Centre of the Netherlands (ECN).

We would like to extend our grateful thanks to Luc Pelkmans (VITO) and Kees Kwant (RVO.nl) for their review of the manuscript and their valuable support.

While the information contained in this bro-chure is correct to the best of our knowledge, neither the consortium nor the European Com-mission can be held responsible for any inac-curacy, or accept responsibility for any use made thereof.

Additional information on energy research programmes and related projects, as well as on other technical and policy publications is available on the Energy Research Knowledge Centre (ERKC) portal at:

setis.ec.europa.eu/energy-research

© European Union 2014

Reproduction is authorised provided the source is acknowledged.

Cover: © GOPACom.

Photo credits: iStockphoto

Printed in Belgium

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At a glance

Key Messages Much effort has been put in improving the sustainability of biomass feed-stock. These developments need continued attention to sustainably accom-modate the increasing demand for biomass.

Creation and implementation of a European certification system for biomass feedstock is beneficial for trade in the EU as well as in international trade, providing sufficient supply and consistent quality. For bio-based products, certification systems and standards support the overall development of markets for these products.

Administrative procedures and investment risks due to an unstable policy environment reduce trust with investors and entrepreneurs in this field and are therefore important barriers to realise the full potential of bioenergy.

Transfer of best bioenergy practices and successful business models from forerunner countries is essential to support the implementation of projects elsewhere, e.g. in Eastern European countries with large potential for bio-based projects.

Renewable heating and cooling based on biomass, in particular district cool-ing, has a large untapped potential for achieving the EU renewable energy targets. It is recommended to increase R&D efforts in this field.

Renewable energy cooperation between the EU and Third Countries need to be further addressed, helping Europe achieving its renewable energy target in 2020 and beyond in a more cost efficient way.

Communication and public consultation about bioenergy projects is essen-tial to build public support.

This brochure has been produced as part of the activities of the Energy Research Knowledge Centre (ERKC) project. The ERKC project is aimed at collecting, organising and dissemi-nating validated, referenced information on energy research programmes and projects as well as their results from across the EU and beyond.

In this Policy Brochure the most relevant bioenergy research projects are reviewed. The brochure includes a brief analysis of the scope of the topic and a policy review where the main policy developments at EU level are summarised. The list of the research projects identified and the synthesis of the main find-ings are presented in Chapter 6.

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Bioenergy is renewable energy made avail-able from materials derived from biological sources. Bioenergy may be derived from a diverse set of feedstocks as primary energy sources. These include feedstocks that are cultivated, harvested, transported, stored and eventually pre-treated, such as wood, wood waste, straw, manure, sugarcane and by-prod-ucts from agricultural processes, as well as dedicated energy crops, such as short rotation forestry/short rotation coppice (SRF/SRC) and energy grasses. Municipal waste and sewage are also considered feedstocks for bioenergy.

Bioenergy is seen as a tool to stimulate rural development and provide new markets for the agricultural and forestry sectors. The European Union’s policies on renewable energy have been increasing the demand for bioenergy. The

The European Union is committed to signifi-cantly reducing greenhouse gas emissions while at the same time ensuring the EU’s security of energy supply and competitiveness. A focus on the development of low-carbon energy technologies is thus crucial. Low-carbon heat, power, and fuel supply is an area that covers a large number of topics, including bioenergy.

© iStockphoto

1 Directive 2009/28/EC on the promotion of the use of energy from renewable sources and amending and subsequently repealing Directives 2001/77/EC and 2003/30/EC.

2 Directive 2009/30/EC amending Directive 98/70/EC as regards the specification of petrol, diesel and gas-oil and intro-ducing a mechanism to monitor and reduce greenhouse gas emissions and amending Council Directive 1999/32/EC as regards the specification of fuel used by inland waterway vessels and repealing Directive 93/12/EEC.

Renewable Energy Directive1, issued in 2009, sets mandatory renewable energy targets for 2020 to supply 20% of overall final energy consumption from renewable energy sources (RESs). Bioenergy, with a gross final production of about 136 Mtoe (5,680 PJ), is expected to make a substantial contribution – about 56% – to Europe’s renewable energy demand.

Several technologies can convert biomass into heat, electricity and biofuels. All of them are based on two main process types: thermo-chemical (combustion, pyrolysis and gasifica-tion) and biological/biochemical (anaerobic digestion, fermentation, and transesterifi-cation). The development stages of these conversion technologies range from demon-stration to commercial.

Although biomass is a renewable resource, there are increasing concerns related to its sustainability. While sustainability concerns for biofuels and bioliquids are reflected in the Renewable Energy Directive and the Fuel Qual-ity Directive2 through a set of sustainability criteria, a legal framework for sustainability of bioenergy systems for heat and electricity is still pending.

Future development of bioenergy systems depends on the economic framework created by Member States. The National Renewable Energy Action Plans (NREAPs) of the Member States and the EU Energy Roadmap 2050 indicate how EU bioenergy production could develop. The European Industrial Bioenergy Initiative (EIBI), launched under the SET-Plan, supports demonstration or reference plants for innovative bioenergy value chains that could be deployed at large scale but are not yet commercially available.

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This Policy Brochure considers the following themes within the topic of bioenergy:

biomass feedstock supply and sustainability issues;

technology-related support policies and barriers: bioenergy-related technologies are at different stages of development (RD&D, early market, mass market), will require different support policies and face different challenges and barriers;

sector-related policies: each sector (heat, electricity, and biofuels) will have an optimal policy mix, depending on the characteristics of the specific bioenergy technologies used, and will face specific challenges and barriers;

competition with non-energy uses of bio-mass, including food and as raw materials for biorefineries;

communication with the public.

Below we present a summary of the results from the projects reviewed and their policy implications at a European level for each of the themes considered.

Biomass supply and sustainability issuesThe ongoing debate, related to the Europe 2020 strategy, about the availability of sus-tainable bioenergy resources and the food-or-fuel discussion have revealed the urgency of using previously untapped waste streams. For biogas production via anaerobic digestion, residues from the food and beverage (FaB) industry have been promoted as a new and renewable energy source. Approaches have included awareness-raising events aimed at FaB waste suppliers, waste users, and policy stakeholders, to increase the visibility of exist-ing best practice and explore future potential. Grass and other herbaceous waste from land-scape management will also be promoted as a source of biogas. This will improve the

perception of biogas production amongst local stakeholders such as municipalities. The expectation is that communicating the advantages of grass waste digestion, such as local job creation, will reduce ‘not in my back yard’ (NIMBY) bottlenecks that hinder increased biogas production.

On the subject of sustainable biodiesel – its production and its uptake by local markets – the focus has been on improving the col-lection and transformation of used household cooking oil (UCO). The biodiesel market will be promoted by improving public awareness of the importance of recycling UCO, leading to biodiesel production without competition with other land uses.

The untapped bioenergy resource potential of ports and their surrounding areas will be highlighted by applying an ‘industrial sym-biosis’ approach. This includes establishing a dialogue with stakeholders to create a Euro-pean transnational network, assessing bioen-ergy resource potential, triggering bioenergy resource exchanges (supply chains) and busi-ness activities, and creating implementation strategies on a decision-making level.

To provide in-depth information on the sup-ply and demand for sustainable wood chips in the regions of all EU28 Member States, a comprehensive and easy-to-use map-based tool should be developed. This would be help-ful for project developers, investors, feedstock suppliers, national and regional policymakers, and the European Commission.

Work is ongoing to create a European certifi-cation system, including sustainability criteria, for biomass pellets used in the heat, CHP and power markets. Currently most producers are not certified, with the consequence that pellet quality varies significantly, potentially caus-ing problems in appliances. Reinforced quality control will be even more crucial in the future as the raw materials for pellet production diversify

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to include various agricultural by-products as well as whole trees and energy crops. At the moment, widely varying pellet qualities and certification approaches form a significant bar-rier for trade, yet international trade is essential if Europe is to get all the biomass pellets it needs. Consistent quality is also a prerequisite for sustained market growth.

The production and use of lignocellulosic energy crops at European level have been promoted by increasing knowledge along the whole pro-duction chain. Interest in energy crops is high among farmers and energy producers. However, the main problem today is low profitability for farmers. Although several R&D projects in recent years have attempted to optimise crop-to-energy production, there is still a lot to do in terms of logistics, handling at the plant, feeding to the boiler and ash handling.

The creation of a Biomass Trade & Logistic Centre (BT&LC) regional network to produce and trade top-quality wood fuels, run by local farmers and/or forest entrepreneurs, has been considered an essential approach in creating a quick yet sustainable switch from fossil fuels towards renewable energy sources. Quality assurance and quality control (QA/QC) are other decisive factors in increasing the share of biomass in the energy markets.

Technology-related support policies and barriersThere are still considerable untapped fractions in agricultural residues from European arable farms, manure from dairy and pig farms, and organic urban waste in Europe, all of which can be used for biogas production through anaerobic digestion (AD). Besides its use in generating heat and power locally, biogas is also increasingly being upgraded to biometh-ane for injection into the natural gas grid and for use as a transport fuel in European cities.

An important barrier to the realisation of biogas projects concerns the administrative procedures relating to environmental permis-

sions and connection to the electricity and gas grids. Another barrier is the investment risk caused by policy instability. Frequent changes in renewable policy frameworks are a signifi-cant obstacle to the take-up of biogas, com-plicating the non-technical and administrative procedures and reducing trust among farmers.

Dissemination of know-how to farmers in new Member States can be an important way to promote the production of biogas by anaerobic digestion. This can be achieved by transferring best practices in pro-biogas policies, schemes and incentives from regions of the EU where biogas has been successful.

Sector-related policiesRenewable heating and cooling have a large untapped potential for achieving the EU target for renewable energy sources (RESs). In particu-lar, district cooling currently has only a small market share, despite being a mature technol-ogy. It is therefore necessary to address key challenges to further development and imple-mentation of this renewable energy option. This can be done through practical guidance for policymakers and energy planners, pilot implementations and feasibility studies.

Due to the similarities in the composition of biomethane and natural gas (NG), expansion of networks for biomethane delivery and fill-ing stations can take advantage of some of the existing NG infrastructure and know-how. Successful market development of gas-driven vehicles, powered by biomethane or com-pressed natural gas (CNG), needs top-down initiatives, such as European and national targets, regulations and market simulation. It also needs initiatives at regional and local levels to raise interest among market actors, politicians and the public. Know-how transfer from ‘forerunner’ to ‘starter’ countries and reference projects to learn from – ideally within the same region, or failing that, from the more developed regions – are essential for actual implementation of projects. Promotion

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of gaseous vehicle fuels requires, among other things, the creation of a European network of filling stations for biomethane and CNG. This is difficult to put into practice, however, since investors are sceptical in the absence of stable legislation.

Eastern European countries have large poten-tial renewable energy sources in the form of forest and agricultural biomass, which so far have been insufficiently utilised. Transfer of best bioenergy practices and successful business models from forerunner countries to these countries will help local stakeholders make informed decisions in developing their regional bioenergy markets.

RES cooperation between the EU and non-EU countries needs to be addressed through case studies, stakeholder involvement and integrated analysis on order to assess to what extent this can help Europe achieve its RES targets for 2020 and beyond in a more cost-efficient way. Measures to remove non-economic barriers and simplify financing need to be developed.

Providing European regions with supporting tools like guidelines, sets of criteria, examples of good practice and case studies will help regions along their trajectory of bioeconomic development. This will enhance their bioec-onomies, promote stakeholder relations within bioregions and encourage their role in guiding regional priorities in the development of the bioeconomy.

Competition with the non-energy sec-tor and use of biomass in biorefineriesIn activities related to the biobased economy (BBE), natural and renewable resources are used to replace fossil resources. This involves a wide range of technologies and sectors through the production chain, with the aim of creating added value from these natural and renewable resources. The biobased economy is part of a wider concept, the bioeconomy, which integrates improved food supply with

the production of renewable resources for the biobased economy.

Many types of biomass streams are currently used to produce bioenergy and to help meet the EU’s renewable energy target. EU renew-able energy policy plays a leading role here. In the short term, therefore, biobased pro-cesses could be based on the integration of biorefinery concepts into existing bioenergy production facilities. The residues and/or by-products of bioenergy-related processes can be used to produce high-value products, thus improving the economic competitiveness of the main product, which is bioenergy. In this way, biobased processes can contribute posi-tively to the success of bioenergy projects and an overall biobased economy.

Standards and certification systems for the biobased industry will have positive long-term effects on the overall development of markets for biobased products, reducing trade barriers and promoting the development of a pan-European market for biobased products. Public acceptance of biobased products will increase as products are certified according to the sustainability of their raw materials, their effective bio-content and their functionality compared to conventional products.

Communication with the publicCommunication about bioenergy projects is essential to build public support. The earlier stakeholders are involved in the decision-making process, the better their acceptance is likely to be. Public consultation on new bioen-ergy projects is therefore highly recommended. A participatory approach, involving local key actors in the decision-making process, will help in overcoming possible social conflicts.

The most interesting form of public engage-ment in bioenergy projects is via community RES ownership. Community projects can trans-form public opposition into support for new RES installations and infrastructure; create a large and stable pool of capital invest-

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ment; provide financial benefits for the local community and governments; increase local contracting and employment; and help to reach the EU 2020 RES target. Sharing experi-ence from existing RES cooperatives and best practices will help to promote this innovative financing mechanism.

Recommendations on future directionsBased on the results achieved so far, the fol-lowing recommendations have been made on how bioenergy research policy can address future (research) developments and current gaps.

Pellet certificationCreation and implementation of a European certification system for pellets to be used in the heat, CHP and power markets will be beneficial for trade, both within and beyond the EU, by helping to ensure a sufficient supply of pellets of consistent quality.

Crop-to-energy productionAlthough several R&D projects have been car-ried out during recent years on the optimisa-tion of crop-to-energy production, there is still a lot to do in terms of biomass mobilisation and logistics, handling at the plant, feeding to the boiler and ash handling.

Anaerobic digestionWet biomass wastes in Europe still have considerable untapped potential for biogas production through anaerobic digestion. Administrative procedures and investment risks due to policy instability are important barriers to the realisation of biogas projects. Frequent changes in renewables policy frame-works should be avoided, as they will com-plicate the non-technical and administrative procedures and reduce trust among biomass suppliers. Finally, dissemination of know-how and knowledge transfer to farmers in new Member States can greatly promote the pro-duction of biogas by anaerobic digestion.

Biomethane as a transport fuelDue to the similarities in the technical specifi-cations for biomethane and natural gas (NG), expansion of the network for biomethane delivery and filling stations can take advan-tage of some of the existing NG infrastructure and know-how. Successful market develop-ment of gas-driven vehicles, powered by biomethane or CNG, needs top-down initia-tives as well as support at regional and local levels. Know-how transfer from ‘forerunner’ to ‘starter’ countries is essential for the actual implementation of projects. Stable legislation will help create a European network of filling stations for biomethane and CNG, which is an important requirement for the promotion of gaseous vehicle fuels.

Renewable heating and coolingRenewable heating and cooling has a large untapped potential for achieving the EU RES target. In particular, district cooling currently has only a small market share, despite being a mature technology. It is therefore necessary to address key challenges to further development and implementation of this renewable energy option. This can be done through practical guidance for policymakers and energy plan-ners, pilot projects and feasibility studies.

Improving the economic efficiency of bioenergy technologiesLinked with the expected decline in state aid for renewables, especially in the period 2020–2030, future research needs to focus on, among other things, further enhancement of the economic efficiency of bioenergy tech-nologies.

Promoting bioenergy initiatives in East-ern EuropeEast European countries have amounts of forest and agricultural biomass that have been under-utilised as renewable energy sources. Transfer of best bioenergy practices and successful business models from fore-

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runner countries to East European nations will help local stakeholders make informed decisions in developing the bioenergy markets of their region.

Supporting the bioeconomy in the regionsProviding European regions with supporting tools like guidelines, criteria, examples of good practice and case studies will help regions along their bioeconomic development trajec-tory. This, in turn, will enhance their bioecono-mies, promote stakeholder relations within bioregions and reinforce their role in guiding regional priorities in the development of the bioeconomy.

RES cooperationRES cooperation between the EU and other countries need to be further addressed, in order to assess to what extent such coopera-tion can help Europe achieve its RES targets for 2020 and beyond in a more cost-efficient way. Measures to remove non-economic barriers and simplify financing need to be developed.

Competition with the non-energy sec-tor and use of biomass in biorefineriesCertification systems and standards for biobased products will have positive long-term effects on the overall development of markets for these products. Providing European regions with supporting tools will help regions in their trajectory of bioeconomic development.

Public acceptanceCommunication on bioenergy projects is essential to build public support. Public con-sultation on new bioenergy projects is highly recommended. Community projects can trans-form public opposition into support for new RES installations and infrastructure, helping the EU to meet its 2020 RES target.

Valorisation of research resultsResearch results can be valorised through cooperation between farmers/industry and researchers. A massive amount of research has been carried out in recent years. This new knowledge now needs to be confirmed in fields and factories through pilot projects, scale-up and new plants.

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The Energy Research Knowledge Centre (ERKC) collects and organises validated, referenced information on energy research programmes and projects from across the EU and beyond. The objective of ERKC is to ensure that all relevant energy research programmes and pro-jects, whether funded by the EU or at Member State level, are fully disseminated.

This Policy Brochure reviews the most relevant bioenergy research projects. The brochure includes a brief analysis of the scope of the topic and a policy review, in which the main policy developments at EU level are sum-marised.

1. Introduction

The Policy Brochure is organised as follows:

Chapter 2 introduces the general charac-teristics of bioenergy as well as the related themes considered in this brochure;

Chapter 3 gives a summary of knowledge and experience in setting up successful bio-energy policies;

The policy background, highlighting the policy context for bioenergy, is presented in Chapter 4;

Chapter 5 discusses each research pro-gramme that has funded projects contribut-ing to bioenergy policy;

Research results, their benefits and their implications for policy, are presented in Chapter 6;

Chapter 7 describes European policy implica-tions and what the results mean in terms of current and future policy in the area of bioenergy;

Finally, recommendations on future direc-tions are presented in Chapter 8.

The research projects identified for each of the themes considered are summarised in Table 2 of Chapter 6. Links to project websites (if available) are also included in the table. In several cases these websites make the project documentation available to the public; these documents may include the project final reports and selected deliverables, but this is not always the case.

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The European Union is committed to signifi-cantly reducing greenhouse gas emissions, while at the same time ensuring the European Union’s security of energy supply and com-petitiveness. A focus on the development of low-carbon energy technologies is thus crucial. Low-carbon heat, power and fuel supply is an area that covers a large number of topics, including bioenergy.

Bioenergy is renewable energy made avail-able from materials derived from biological sources. Bioenergy may include a diverse set of feedstocks as primary energy sources. These include feedstocks that are cultivated, harvested, transported, stored and eventu-ally pre-treated, such as wood, wood waste, straw, manure, sugarcane and by-products from agricultural processes, as well as dedi-cated energy crops, such as short rotation forestry/short rotation coppice (SRF/SRC) and energy grasses. The biodegradable fractions of municipal waste and sewage are also con-sidered feedstocks for bioenergy.

Sustainable biomass production is seen as a tool to stimulate rural development: bioenergy can provide new markets for the agricultural and forestry sectors. The EU’s policies on renew-able energy have been increasing the demand for bioenergy. The Renewable Energy Directive (‘RES Directive’) (2009/28/EC), issued in 2009, sets mandatory renewable energy targets for 2020 to supply 20 % of overall final energy consumption from renewable energy sources (RESs). Bioenergy, whose gross final production

2. Scope of the brochure

is about 136 Mtoe (5680 PJ), is expected to contribute about 56 % of Europe’s renewable energy demand (Beurskens et al., 2011).

Several technologies can convert biomass into heat, electricity and biofuels. All of them are based on two main process types: thermo-chemical (combustion, pyrolysis and gasifica-tion) and biological/biochemical (anaerobic digestion, fermentation and transesterifi-cation). The development stages of these conversion technologies range from demon-stration to commercial.

Although biomass is a renewable resource, there are increasing concerns related to its sustainability. While sustainability concerns for biofuels and bioliquids are reflected in the RES Directive and the Fuel Quality Directive (2009/30/EC) through a set of sustainability criteria, a legal framework for sustainability for bioenergy systems for heat and electricity is still pending.

Future development of bioenergy systems depends on the economic framework created by Member States. The National Renewable Energy Action Plans (NREAPs) of the Member States and the EU Energy Roadmap 2050 indicate how EU bioenergy production could develop. The European Industrial Bioenergy Initiative (EIBI), launched under the SET-Plan, supports demonstration or reference plants for innovative bioenergy value chains that are not yet commercially available, yet could be deployed at large scale.

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In this Policy Brochure the following themes will be considered within the topic of bioenergy:

biomass feedstock supply and sustainability issues;

technology-related support policies and barriers: bioenergy-related technologies are at different stages of development (RD&D, early market, mass market), will require different support policies and will confront different challenges and barriers;

© iStock

sector-related policies: each sector (heat, electricity, biofuels) will have an optimal policy mix, depending on the characteristics of the specific bioenergy technologies used, and will face specific challenges and barriers;

competition with the non-energy sector and the use of biomass in biorefineries;

communication with the public

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The external costs and benefits of energy production options are not sufficiently reflected in energy prices, an important reason why most bioenergy solutions are not (yet) eco-nomically competitive with conventional fossil energy options. Policy support is therefore essential for almost all bioenergy pathways. Furthermore, specific policies may be needed

3. Bioenergy deploymentto remove barriers to the introduction of bioen-ergy. A main driver behind bioenergy policies is the cost reduction that can be achieved through market introduction of bioenergy technologies (learning by doing), which could finally lead to competitive costs. This chapter gives a summary of knowledge and experience in setting up successful bioenergy policies.

3 This chapter is mainly based on parts of Chapter 6 from Bauen et al, 2009.

Figure 1: Overview of policy instruments for each technology development stage (Bauen et al, 2009)3

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3.1 Bioenergy technology support instruments for different development stages

As with any technology, several stages can be identified in the development of bioenergy, and for each stage, specific policy instruments apply. Figure 1 gives an overview of instru-ments, roughly structured by development stage. In the different phases, support needs to be directed at:

RD&D – learning by searching: invention through R&D efforts, pilot and demonstra-tion projects, and assessment of market prospects;

early market – learning by doing: improving competitiveness with established options, and building practical experience;

mass market – deploying: incentives for further technology and production cost reduction, broader regulation, and policies enabling wide deployment of sustainable bioenergy projects and products.

Policies related to the RD&D phase

There are two main mechanisms for taking bioenergy options through the RD&D phase:

RD&D funding: this is a very common way for governments to encourage technology devel-opment in its initial phase. It provides support for options that are considered promising by researchers and/or market actors. Apart from direct funding, RD&D funding can also be provided indirectly under public-private partnership (PPP) arrangements.

Investment-related subsidies, such as for building pilot and demonstration projects, have a direct impact on reducing the initial barrier of investment costs4. Government support can help overcome this threshold by direct investment subsidies, soft loans

and fiscal measures to decrease invest-ment costs. In particular, soft loans and fiscal measures may be extended to the initial market phase of a technology.

Policies related to early marketsEven after a bioenergy technology has passed the demonstration phase, it is often still more expensive than existing commercial technolo-gies. In the early market stages, a key objec-tive of policies is to reduce this cost gap by allowing the new technology to be introduced and by building up experience (learning by doing). Two categories of instruments are applied in this context:

Measures to reduce production costs, in the form of feed-in tariffs, feed-in premiums and tax exemptions. These incentives can be targeted at different parts of the supply chain – feedstock producers, energy pro-ducers and distributors. The costs of such policies can be carried by the government (the taxpayer ultimately paying the cost) or they can be redistributed among consumers by, for example, a levy on non-renewable energy, making the policy budget revenue-neutral for the government.

Quantity-based instruments, in the form of quota obligations and tendering schemes. Quota obligations are minimum shares of bio-energy imposed by governments on consum-ers, suppliers or producers and they include penalties for non-compliance. An obligation can be combined with a system of tradable certificates in order to improve cost-efficiency and provide a compliance mechanism. Gener-ally, an obligation system does not require additional government spending: costs are borne by the parties to which the obligation applies. In the case where the obligation is placed on a producer or a supplier, the costs are generally passed on to the consumer.

4 This is exactly what has been done within the framework of the FP7 and Horizon 2020 programmes (Maniatis, 2014).

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In tendering schemes, an obligation (e.g. to produce bioenergy) is sold via an auction to the bidder who offers the best price, typi-cally expressed as the lowest subsidy level required to meet the obligation.

Policies related to the mass marketAfter the early market entry of a new technol-ogy, structural support may still be required; this should be defensible on the basis of its positive external effects. Policies can then provide incentives directly related to the exter-nal effects, for example in the form of CO2 emission taxes or trading systems that are technology-neutral.

3.2 Key characteristics of bioenergy policies by sector

3.2.1 HeatBiomass for heating may be competitive in some situations, depending on the alterna-tive heating source and the availability of relatively low-cost local wood or agricultural residues, but it will generally require some form of support.

In some countries, the use of biomass for domestic heating in modern stoves has been stimulated by investment subsidies or fiscal measures that reduce investment costs, and by standardisation of appliances to improve their reliability and efficiency and reduce their emissions.

However, most successful policies address-ing biomass for heat in recent decades have focused on more centralised applications for heat, or combined heat and power, in dis-trict heating and industry. For these sectors, a combination of direct support schemes and indirect incentives has been successful in sev-eral countries.

The quality and continuity of biomass supply is often an important potential barrier and one that policies can help to overcome. The stability of supply is particularly crucial for

applications with constant heat demands. For district heating systems this is only the case when heat is required to generate cool-ing in the summer months. The challenge is usually in making good use of residual heat from energy processes, such as large power plants and waste incinerators (Baxter, 2014).

3.2.2 Power generationIn the power sector, feed-in tariffs (FITs) have gradually become the most popular incentive for bioenergy and for renewables in general. FITs generally vary between different types of technologies, even within bioenergy (e.g. co-firing in coal-fed plants, standalone bio-mass combustion/gasification and anaerobic digestion). Most FIT systems guarantee an investor a fixed tariff level over a given number of years. In some countries, future tariffs for new projects are also set in advance.

In contrast, quota systems have so far been less successful in getting bioenergy and other renewables off the ground. It seems that an effective quota system requires careful plan-ning to avoid the main pitfall: a lack of invest-ment security for producers. For tendering schemes, the critical issue is to avoid situ-ations with a limited number of bidders; full competition is essential for this mechanism to work.

The success of any feed-in tariff strongly depends on the tariff being set at a sufficiently attractive level for an investor to make a profit. In contrast to other renewable technologies, such as wind and solar, in which capital costs dominate production costs, bioenergy pro-jects can come with a substantial share of variable costs in the form of feedstock costs. This complicates the calculation of FITs and makes projects vulnerable to fluctuations in feedstock prices. As large power plants pur-chase commodities on the global market, their costs – and hence the cost difference between one fuel and another – may fluctuate daily. A feed-in tariff may need to take such dynamics

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into account, for instance by regular adjust-ment or by making the subsidy dependent on coal and pellet prices.

Alongside FITs and quotas, almost all countries that have successfully stimulated bioenergy development have applied additional incen-tives relating to investment support, such as fiscal measures or soft loans. Such measures reduce the initial financial hurdle and reduce private investment risks.

Additionally, grid access for renewable power is an important issue that needs to be addressed. This can be a particular bottleneck for distrib-uted, medium-scale technologies, such as biogas-to-power.

3.2.3 BiofuelsMajor EU-level policies started with the 2003 Biofuels Directive5. They were first triggered by the need to provide rural support, followed by climate change and energy security consid-erations, with production mainly based on oil seeds (especially rapeseed). The Renewable Energy Directive recognises all these policy drivers for biofuels and contains several cri-teria for biofuels sustainability.

In many cases the policy mix consists of a combination of obligations, mostly applied to fuel suppliers, and financial incentives, either in the form of a tax exemption at the pump or as production and investment subsi-dies for biofuel or feedstock producers. Their combination seems to be most effective: an obligation creates demand for biofuels, while financial incentives facilitate the development of production capacity. Additionally, the EU has supported major efforts in RD&D. Cur-rently the EU strongly supports R&D, mostly in second-generation biofuels.

Two policy-related issues appear to have been crucial for the successful implementa-tion of biofuels:

Adaptation of vehicles: while small pro-portions of ethanol and biodiesel can be blended with their fossil equivalents without problems, use of these biofuels as higher blends or in pure form requires specific vehi-cle alterations.

Fuel standardisation: biofuels need to be standardised to ensure their reliability. Along with biofuel policies, governments have therefore put in place standards-setting processes for ethanol and biodiesel. The Commission has mandated CEN to develop a standard for biomethane as a vehicle fuel and for injection into natural gas pipelines (M475, 2010). The standard is expected to be ready in 2015 (Baxter, 2014).

3.3 Other policy domains relevant to bioenergy

3.3.1 Agricultural policiesThe link between bioenergy and agricultural policy is strong, especially for conventional first-generation biofuels, which are made from food crops. The introduction of advanced bio-

5 Directive 2003/30/EC on the promotion of the use of biofuels or other renewable fuels for transport.

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energy technologies based on lignocellulosic materials will also have long-term implica-tions for agricultural policy, since increasing demand for this type of feedstock may call for dedicated woody or herbaceous crops, and their inclusion into agricultural policy.

An important aspect that policy must consider is the agricultural productivity increase that will be needed to meet long-term demand for food, feed, and bioenergy, without requiring natural areas to be converted to new agri-cultural land. For agricultural policy, the chal-lenge is to support agricultural development by measures, such as supporting investments by farmers and enhancing technology R&D.

3.3.2 Forestry policiesThe generation of heat and power from bio-energy relies mostly on woody biomass, pre-dominantly from forestry and wood processing residues. Policies that affect the productivity of forests and the wood processing industry therefore have a direct impact on feedstock availability for bioenergy.

3.3.3 Land use planning policiesClosely related to agricultural, forestry and environmental policies, land-use planning and spatial policies can also strongly affect bioen-ergy, mainly in terms of feedstock availability. Nature reserves, too, are usually protected through spatial policies. This is particularly relevant to the discussion of sustainability, because the conversion of nature reserves into land for energy crops can lead to significant penalties in terms of biodiversity and soil carbon losses.

3.3.4 Trade policiesSeveral aspects of trade policy also affect bioenergy. Import and export tariffs can apply to feedstocks as well as to end-products, such as liquid biofuels. Generally, tariffs on end-products are higher than those on feedstocks, favouring industrial processing in the importing country. Another issue related to trade is the

absence of a trading platform for bioenergy feedstocks and corresponding quality stand-ards. In particular, trade in woody materials, such as pellets, could benefit significantly from the introduction of a trading platform, as this usually makes the market more transparent and liquid. Heterogeneous streams, such as woody residues, also need standardisation in terms of their material characteristics.

3.3.5 Environmental policiesBioenergy technologies can have environmen-tal impacts all along their production chains: in feedstock production, conversion, end-use and logistics. Obviously, existing regulations are in place to address environmental issues. However, the introduction of new bioenergy routes often calls for dedicated measures. In the case of new conversion technologies, for example, the lack of experience in best prac-tices and achievable emission limits can be a barrier to introduction as local regulators lack suitable references for environmental permits. Guidelines from central government can help to reduce this obstacle to implementation.

3.3.6 Communication with the public and education of professional groupsCommunication about bioenergy is essential to build public support. Information and educa-tion should also be directed towards profes-sional groups who need to become acquainted with different bioenergy technologies.

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3.4 Sustainability policies and certification

With the rapid development of bioenergy, attention to its potentially negative impacts is also increasing. For example, production of biomass energy crops and excessive removal of biomass residues from forest and agricul-tural systems can result in negative ecological impacts, changing land-use patterns, socio-economic impacts and GHG emissions. With a considerable further increase in bioenergy expected, the sustainability of bioenergy is becoming a key concern and is currently being considered as a possible requirement for market access.

Defining sustainability criteria and setting standards are logical strategies to help ensure that biofuels are produced in a sustainable manner. Sustainability has environmental, social and economic dimensions, and in all parts of the bioenergy chain safeguarding sus-tainability is complex and multi-dimensional. Currently, much discussion focuses on mecha-nisms to safeguard sustainability, particularly certification. Certification is the process whereby an independent third party assesses the quality of management in relation to a set of prede-termined requirements (standards).

The current status of this topic in the EU is presented in the next chapter.

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4.1 EU policy framework

The principles of EU energy policy are based on the need for sustainable, competitive and secure energy. In 2007, the EU committed to becoming a highly energy-efficient, low-carbon economy. In response to this commit-ment, a climate change and energy package was introduced in 2009, with a set of binding legislation that aims to ensure the EU meets three ambitious targets: a 20% reduction in EU greenhouse gas (GHG) emissions; raising the share of EU energy produced from renewable resources to 20%; and a 20% improvement in the EU’s energy efficiency. In line with these objectives, the ‘EU policy framework for bio-energy use’ addresses how to reduce GHG emissions, reduce dependence on imported fossil fuels and diversify sources of energy. However, bioenergy policies are also directed towards generating employment in agricultural and rural areas, and promoting innovation and technology development.

The Renewable Energy Directive (2009/28/EC) sets ambitious targets for all Member States to achieve by 2020, not only the 20% share of total energy from renewable sources but also a 10% share of renewable energy in the transport sector. Bioenergy is expected to make a substantial contribution to supplying Europe’s renewable energy demand. Accord-ing to the National Renewable Energy Action Plans submitted to the Commission, biomass accounts for almost 19% of the renewable electricity and 80% of the renewable heat targets. The contribution of bioenergy to gross

4. Policy context

electricity and heat consumption is expected to increase from 9% to 13% by 2020, with a significant increase in absolute values (Beur-skens et al., 2011).

The EU’s Energy Roadmap 2050 (EC, 2011) also foresees a central role for bioenergy in delivering an 80–95 % reduction in EU GHG emissions by 2050.

The Strategic Energy Technologies Plan (SET-Plan), launched by the Commission in 2007 (COM(2007) 723 final), establishes an energy technology policy for Europe to accelerate the development and deployment of cost-effective, low-carbon technologies.

Among the European Commission’s long-term policy plans, the ‘Roadmap for moving to a competitive low-carbon economy in 2050’ (Low-Carbon Roadmap) and the ‘Energy Road-map 2050’ aim to facilitate the sustainable use of resources. While these roadmaps acknowledge the importance of bioenergy, they also highlight the increasing demand for biomass feedstocks and the resulting environ-mental and socio-economic impacts.

The supply of bioenergy from agriculture and forestry and the use of bioenergy on farms and in rural areas are also encouraged by the Common Agricultural Policy (CAP). The Rural Development Policy6 (COM(2011) 627 final/2) provides a variety of measures to support bio-energy production and consumption. The most important measures supporting bioenergy are:

6 Proposal for a Regulation of the European parliament and of the Council on support for rural development by the European Agricultural Fund for Rural Development (EAFRD).

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investment in physical assets;

farm and business development;

basic services and village renewal in rural areas;

setting up producer groups;

agri-environmental climate measures;

cooperation measures.

The EU Policy Framework for Climate and Energy in the Period from 2020 to 2030 (COM(2014) 15 final) proposes a reduction target of 40 % for domestic EU GHG emis-sions in 2030, relative to 1990. Such a GHG target should by itself encourage a greater share – at least 27 % – of renewable energy in the EU. The Commission therefore proposes that 27 % should be the target for the share of renewable energy consumed in the EU by 2030. In contrast to the current framework, this EU target would not be translated into national targets via EU legislation. This would give Member States greater flexibility to meet their GHG reduction targets in the most cost-effective manner in accordance with their specific circumstances, energy mixes and abil-ity to produce renewable energy.

It is expected that in the period between 2020 and 2030 established renewable energy sources will become grid-competitive, imply-ing that subsidies and exemptions from bal-ancing responsibilities should be gradually phased out. The Guidelines on State Aid for Environmental Protection and Energy (2014/C 200/01), adopted in April 2014, apply to the period up to 2020. However, they should pre-pare the ground for achieving the objectives set in the 2030 Framework. These Guidelines will ensure the transition to a cost-effective delivery through market-based mechanisms.

4.1.1 Current policy issuesSustainability issues around biofuel produc-tion for transport are addressed under the RES Directive through a set of mandatory

criteria to achieve GHG reductions compared to fossil fuels and to mitigate risks related to areas of high biodiversity value and areas of high carbon stock. The mitigation criteria cover emissions related to direct land-use changes.

The European Parliament and Council asked the European Commission to examine the indirect land-use change issue and how to avoid it. In 2012 the Commission presented its proposal for an amendment of the RES Directive and the Fuel Quality Directive. This proposal aims to limit the contribution of food-based biofuels to 5 %, within the overall 10 % renewable target for transport.

In 2010 the Commission presented a report on sustainability requirements for the use of solid biomass and biogas in electricity, heating and cooling. The report recommends sustain-ability criteria to be used by those Member States that wish to introduce schemes at national level, in order to avoid obstacles to the functioning of the internal market for bio-mass. A proposal to set sustainability criteria for biomass for electricity and heat has been drafted by the Commission.

4.1.2 Relevant policy initiativesIn 2009 the SET-Plan launched six European Industrial Initiatives, among which was the European Industrial Bioenergy Initiative (EIBI). The EIBI aims to boost the contribution of sustainable bioenergy to EU 2020 climate and energy objectives, with a focused approach leveraging public-private partnerships to man-age the risks and share the financing. The EIBI will support demonstration or reference plants for innovative bioenergy value chains that are not yet commercially available and that could be deployed at large scale. It covers four thermochemical and three biochemical value chains (Figure 2).

In parallel, the European Energy Research Alli-ance (EERA) has been working to align the R&D activities of individual research organisations with SET-Plan priorities to determine a joint

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programming framework at EU level. The Joint Programme on Bioenergy, launched in 2010, will develop new technologies and improve the competiveness of next-generation biofuels through five main sub-programmes (Figure 3):

thermo-chemical processing;

sugar platform;

algae-based biofuels;

cross-cutting topics, such as raw material supply, energy systems and sustainability;

stationary bioenergy.

Alongside the EERA, eight EU Member States and Associated Countries – the UK, Denmark,

Finland, Germany, Portugal, Spain, Sweden and Switzerland – are implementing an ERA-NET Plus activity entitled Bioenergy Sustaining the Future (BESTF). This activity will provide funding and support to collaborative bioenergy projects that demonstrate one or more innovative steps resulting in demonstration at a pre-commercial stage. BESTF funds will be used to support bio-energy demonstration projects that fit into one or more of seven EIBI value chains. In December 2013 a second joint call for industry-led bioen-ergy demonstration projects was published by the BESTF2 consortium. The consortium brings together ministries and funding agencies from Denmark, Germany, the Netherlands, Spain, Sweden, Switzerland and the UK.

Figure 2: EIBI thermochemical (1-4) and biochemical (5-7) value chains

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Figure 3: EERA Bioenergy main sub-programmes

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4.2 Bioenergy outlook

In 2011, the European Commission set long-term targets by adopting the Low-Carbon Roadmap 2050 (covering all sectors of the economy) and the Energy Roadmap 2050 (especially for the energy sector). Through these two documents the EU committed to reducing greenhouse gas emissions to 80–95% below 1990 levels by 2050. The Roadmaps serve as a basis to develop a com-mon long-term European framework in energy and climate change.

The EU policies and measures put in place to achieve the Energy 2020 goals will continue to deliver beyond 2020, helping to reduce emissions by about 40% by 2050.

To keep the global average temperature increase below 2°C, the European Council in February 2011 reconfirmed the EU objective of

reducing greenhouse gas emissions by 80–95% by 2050 compared to 1990. The transition towards a competitive low-carbon economy means that the EU should prepare for reduc-tions of 80% in its domestic emissions by 2050 compared to 1990 (COM(2011) 112 final).

In the Energy Roadmap 2050 the Commission explores the challenges posed by delivering the EU’s decarbonisation objective while at the same time ensuring security of energy supply and competitiveness. Five decarbonisation sce-narios have been defined7, alongside the two current trend scenarios8. As Figure 4 shows, in all the decarbonisation scenarios electricity will have to play a much greater role than now (almost doubling its share of final energy demand, to 36–39%, by 2050) and will have to contribute to the decarbonisation of transport and heating/cooling (COM(2011) 885 final).

Figure 4: Percentage of final energy demand provided by electricity under both the current trend and various decarbonisation scenarios

7 High energy efficiency, diversified supply technologies, high renewable energy sources, delayed CCS, and low nuclear scenario.

8 Reference scenario and current policy initiatives (CPI).

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In every scenario, the biggest share of energy supply in 2050 will come from renewables. The share of renewable energy rises substan-tially in all decarbonisation scenarios, reaching at least 55% of gross final energy consump-tion by 2050, up 45 percentage points from today’s level of around 10 %. The share of RES in electricity consumption reaches 64% in a high-energy-efficiency scenario, and 97% in a high-renewables scenario that includes significant electricity storage to accommo-date varying renewable energy supply even at times of low demand (COM(2011) 885 final).

The large share of RES in the scenarios is driven by an implicit facilitation of renew-able energy. For biomass this includes policies such as:

agricultural policies stimulating the produc-tion of energy crops; and

increased collection of residues, and/or increased yield of crops.

The challenge for Europe is to enable market actors to drive down the costs of renewable energy through improved research, industriali-sation of the supply chain, and more efficient policies and support schemes. This could require greater convergence in support schemes and greater responsibilities for system costs among producers, in addition to TSOs. Renewables will move to the centre of the energy mix in Europe, from technology development to mass production and deployment, from small-scale to large-scale, integrating local and more remote sources9, from subsidised to competitive. This changing nature of renewables requires changes in policy as they develop further (see also Chapter 3). Incentives in the future, with increasing shares of renewables, have to become more efficient, create economies of scale, lead to more market integration and, as a consequence, move to a more ‘European’ approach. Such changes will have to build on the full potential of the existing legislation (Directive 2009/28/EC) and the common prin-ciples of cooperation among Member States and with neighbouring countries, and possibly further measures.

Renewable heating and cooling are vital to decarbonisation. A shift in energy consump-tion towards low-carbon and locally-produced energy sources and renewable energy, including through district heating systems, is needed.

Decarbonisation will require a large quantity of biomass for heat, electricity and transport. The total use of biomass in some scenarios is shown in Table 1. The reference and CPI scenarios require about 4 EJ more biomass use in 2050 compared with today’s level. The Diversified Supply Scenario requires around 3 EJ more biomass. For the High RES Scenario the additional biomass use amounts to around 5 EJ (SEC(2011) 1565 final).

9 Balancing intermittent renewable energy generators (solar and wind) with, for example, bioenergy, whose supply can, in principle, be regulated, albeit at some potential extra cost (Baxter, 2014).

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Carbon pricing can provide an incentive for the development of efficient, low-carbon tech-nologies across Europe. A higher carbon price creates stronger incentives for investment in low-carbon technologies, but may increase the risk of carbon leakage. The ETS is the central pillar of European climate policy and its role will have to expand. The ETS is designed to

be technology-neutral, cost-effective and fully compatible with the internal energy market. The scenarios show that carbon pricing can coexist with instruments designed to achieve particular energy policy objectives, notably research and innovation, promotion of energy efficiency and development of renewables.

2005 2030 2050

Total domestic biomass 3 613

Of which biofuels 131

Biofuels in bunkers 0

Total use of biomass 3 613

Reference Scenario

Total domestic biomass 7 522 7 782

Of which biofuels 1 476 1 547

Biofuels in bunkers 0 0

Total use of biomass 7 522 7 782

Current Policy Scenario

Total domestic biomass 7 368 7 909

Of which biofuels 1 436 1 629

Biofuels in bunkers 6 97

Total use of biomass 7 374 8 007

Diversified Supply Scenario

Total domestic biomass 7 207 10 601

Of which biofuels 1 096 2 975

Biofuels in bunkers 23 753

Total use of biomass 7 231 11 355

High RES Scenario

Total domestic biomass 7 899 12 636

Of which biofuels 1 101 3 033

Biofuels in bunkers 23 756

Total use of biomass 7 923 13 392

Table 1: Non-exhaustive list of EU regulation and policy documents relevant for Smart Cities

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This chapter outlines EU R&D programmes that have funded projects contributing to bioenergy. Each programme is briefly described and the relevant sub-programmes are mentioned.

5.1 Seventh Framework Programme (FP7)

FP7 was the chief EU instrument for funding scientific research and technological develop-ment over the period 2007–2013.

5.1.1 FP7 Cooperation – EnergyFor bioenergy, the relevant activities within FP7 Cooperation – Energy were:

renewable electricity generation: increasing conversion and cost efficiency and lowering the environmental burden;

renewable fuel production: improving fuel production and conversion of solid, liquid and gaseous fuels from biomass;

renewables for heating and cooling: devel-oping passive heating and cooling systems with the use of renewable energy sources.

5.1.2 FP7 Cooperation – Knowledge-Based Bio-Economy (KBBE)The primary aim of funding the biotechnol-ogy research theme for food, agriculture and fisheries was to build a European Knowledge-Based Bio-Economy (KBBE). The scope of this programme included energy, since it addressed the cultivation and use of biomass, as well as energy efficiency in the agricultural sector.

5. Research programmes

5.2 Competitiveness and Innovation Framework Programme (CIP)

The CIP supported innovation activities and provided better access to finance with the aim of enhancing the competitiveness of EU businesses, in particular SMEs. The CIP had three operational programmes:

Intelligent Energy Europe Programme (IEE);

Entrepreneurship and Innovation Programme (EIP);

ICT Policy Support Programme (ICT PSP).

The total budget of the CIP was EUR 1 554 million for the period 2007–2013.

5.2.1 Intelligent Energy Europe (IEE)Intelligent Energy Europe (IEE), launched in 2003 by the European Commission, supports EU energy efficiency and renewable energy policies with a view to reaching the EU 2020 targets.

Within the area of new and renewable resources (ALTENER), funding is provided to increase the share of renewables in the pro-duction of electricity, heat and cooling, and to integrate them into local energy systems.

The total budget for the three areas of IEE (SAVE, ALTENER, and STEER) is EUR 727 mil-lion for the period 2007–2013. IEE is mainly managed by the Executive Agency for Com-petitiveness and Innovation (EACI).

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5.3 Horizon 2020

As of 2014, FP7 has been replaced by the new Framework Programme called Horizon 2020, which will run until 2020. It combines and strengthens activities currently funded under FP7, the innovation parts of the CIP and the new European Institute of Innovation and Technology. Horizon 2020 has two priority areas relevant to bioenergy:

low-cost, low-carbon electricity supply;

alternative fuels and mobile energy sources.

5.4 Directorates-General and Executive Agencies

5.4.1 Directorate-General for Energy (DG ENER)DG ENER is responsible for developing and implementing a European energy policy. This DG supports the Europe 2020 programme, whose energy aims are outlined in the Energy 2020 strategy. Apart from developing poli-cies for the energy sector, DG ENER aims to facilitate energy technology innovation by supporting energy research and demonstra-tion projects through European Framework Programmes such as FP7 and Horizon 2020.

5.4.2 Directorate-General for Research and Innovation (DG RTD)DG RTD’s mission is to develop and implement European research and innovation policy with a view to achieving the goals of Europe 2020

and the Innovation Union. DG RTD supports research and innovation through European Framework Programmes, such as FP7 and Horizon 2020, co-ordinates and supports national and regional research and innova-tion programmes, contributes to the creation of the European Research Area by developing the conditions for researchers and knowledge to circulate freely, and supports European organisations and researchers in cooperating at international level.

5.4.3 Executive Agency for Competitive-ness and Innovation (EACI)The EACI is one of the Executive Agencies that have been established to help the Commis-sion manage EU programmes more efficiently. The EACI managed the IEE, among other pro-grammes. As of 1 January 2014, the EACI was replaced by EASME, the Executive Agency for Small and Medium-sized Enterprises.

5.4.4 Innovation and Networks Execu-tive AgencyThe Innovation and Networks Executive Agency (INEA) officially started its activities on 1 January 2014, implementing a number of EU programmes. Among these are two parts of Horizon 2020: ‘Smart, green, and integrated transport’ and ‘Secure, clean and efficient energy’. The INEA’s main objective is to increase the efficiency of the technical and financial management of the programmes it manages.

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6.1 Introduction

This chapter covers research results, their ben-efits and their implications for bioenergy policy.

6.1.1 Sources of informationThe main sources of information for this chapter are the EU-funded IEE projects on bioenergy policy, followed by the EU-funded FP7 and FP7-KBBE projects.

The selection criteria for projects are:

6. Research benefits and implications

published after 2007;

completed projects with publicly available results;

currently running projects, for which results are not yet available.

6.1.2 List of projects sorted by themeTable 2 presents the projects considered within this Policy Brochure, sorted by theme.

Project Acronym Project titleType / start–end

Project budget (EUR)

Link

Them

e 1:

Bio

mas

s fe

edst

ock

supp

ly a

nd s

usta

inab

ility

issu

es

BIOMASS TRADE CENTRES

Supporting the organisation of spot market supply for wood chips and firewood

IEE 2007–2010

641 800www.biomasstradecentres.eu

BIOMASS TRADE CENTRE II

Development of biomass trade and logistics centres for sustainable mobilisation of local wood biomass resources

IEE 2011–2014

1 580 683www.biomasstradecentre2.eu

ENCROPPromoting the production and utilisation of energy crops at European level

IEE 2007–2010

1 202 845 www.encrop.net

FORESTFostering efficient long-term supply partnerships

IEE 2010–2012

1 284 810 www.forestprogramme.com

RECOILPromotion of used cooking oil recycling for sustainable biodiesel production

IEE 2012–2013

1 519 796www.recoilproject.eu/index.php/en/

SOLID STANDARDS

Enhancing the implementation of quality and sustainability standards and certification schemes for solid biofuels

IEE 2011–2014

1 353 106 www.solidstandards.eu

PELLCERTEuropean pellet quality certification

IEE 2011–2014

901 623 www.pellcert.eu

FABBIOGASBiogas production from organic waste in the European food and beverage industry

IEE 2013–2015

1 105 045 www.boku.ac.at

GR3

Grass as a green gas resource: energy from landscapes by promoting the use of grass residues as a renewable energy resource

IEE 2013–2016

1 572 705 www.dlv.be

Table 2 List of projects sorted by themes

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EPIC 2020Symbiotic bio-energy port integration with cities by 2020

IEE 2013–2016

1 928 423 www.epic2020.eu

BASISBiomass availability and sustainability information system (BASIS)

IEE 2013–2016

975 936 www.aebiom.org

Them

e 2:

Tec

hnol

ogy-

rela

ted

supp

ort

polic

ies

and

barri

ers

FARMAGASBiogas production from agricultural wastes in European farms

IEE 2009–2011

580 580 www.farmagas.eu

GERONIMO II-BIOGAS

A focussed strategy for enabling European farmers to tap into biogas opportunities

IEE 2011–2013

1 755 936 www.energy4farms.eu

BIO-METHANE REGION

Promotion of bio-methane and its market development through local and regional partnerships

IEE 2011–2014

1 653 636www.bio-methaneregions.eu

URBANBIOGASUrban waste for bio-methane grid injection and transport in urban areas

IEE 2011–2014

1 170 240 www.urbanbiogas.eu

Them

e 3:

Sec

tor-

rela

ted

polic

ies

MADEGASCAR (Biofuels)

Market development of gas-driven cars, including supply and distribution of natural gas and biogas

IEE 2007–2010

1 411 558 www.madegascar.eu

GASHIGHWAY (Biofuels)

Promoting the uptake of gaseous vehicle fuels, biogas and natural gas in Europe

IEE 2009–2012

1 741 734 www.gashighway.net

WHS Woodheat solutionIEE 2008–2011

972 450 www.woodheatsolutions.eu

RES-H POLICY (RES-H&C)

Policy development for improving RES-H/C penetration in European Member States

IEE2008–2011

1 449 255 www.res-h-policy.eu

RE-SHAPINGShaping an effective and efficient European renewable energy market

IEE 2009–2011

1 772 880www.reshaping-res-policy.eu/

CROSS BORDER BIOENERGY

Cross-border markets for the European bioenergy industry

IEE 2010–2013

865 690www.crossborderbioenergy.eu

BIOREGIONSRegional networks for the development of a sustainable market for bioenergy in Europe

IEE 2010–2013

1 491 384 www.bioregions.eu

BIOGRACE (Biofuels)

Align biofuel GHG emission calculations in Europe

IEE 2010–2013

1 187 289 www.BioGrace.net

BIOGRACE – II (RES-E / RES-H&C)

Bioenergy greenhouse gas emissions: align calculations in Europe

IEE 2012–2015

1 194 202 www.BioGrace.net

BEYOND2020Design and impact of a harmonised policy for renewable electricity in Europe

IEE 2011–2013

1 762 297www.res-policy-beyond2020.eu

GREENGASGRIDSBoosting the European market for biogas production, upgrade and feed-In into the natural gas grid

IEE 2011–2014

1 998 129 www.greengasgrids.eu

PROMOBIOPromotion to regional bioenergy initiatives

IEE 2011–2014

922 797 www.promobio.eu

RESCUE (RES-H&C)

Renewable smart cooling for urban Europe

IEE 2012–2014

1 276 064 www.rescue-project.eu

BIOGASHEATDevelopment of sustainable heat markets for biogas plants in Europe

IEE 2012–2015

1 361 271 www.biogasheat.org

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Better (RES-E)

Bringing Europe and third countries closer together through renewable energies

IEE 2012–2015

2 002 389 www.better-project.net

DIA-COREPolicy dialogue on the assessment and convergence of RES policy in EU Member States

IEE 2013–2016

1 774 950 www.fraunhofer.de

CA-RES

Concerted Action supporting the transposition and implementation of Directive 2009/28/EC (RES Directive)

IEE 2010–2013

5 659 250 www.ca-res.eu

CA-RES II

Concerted Action supporting the transposition and implementation of Directive 2009/28/EC on the promotion of the use of energy from renewable sources (RES Directive)

IEE 2013–2016

5 432 078 www.ca-res.eu

BERSTBioeconomy regional strategy toolkit

FP7-KBBE 2013–2015

1 276 461 www.wageningenur.nl/nl.htm

Them

e 4:

Com

petit

ion

with

non

-ene

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sect

or a

nd b

iom

ass

use

for b

iore

finer

y

BIOREF-INTEG

Development of advanced biorefinery schemes to be integrated into existing industrial fuel producing complexes

FP7 2008–2010

1 451 550 www.bioref-integ.eu

STAR-COLIBRIStrategic research targets for 2020 – collaboration initiative on biorefineries

FP7 2009–2011

2 410 000

www.star-colibri.eu

Sister projects:www.suprabio.euwww.eurobioref.orgwww.biocore-europe.org

GLOBAL-BIO-PACT

Global assessment of biomass and bioproduct impacts on socio-economics and sustainability

FP7-KBBE 2010–2013

1 342 336

SAHYOG

Strengthening networking on biomass research and biowaste conversion – biotechnology for Europe India integration

FP7-KBBE 2011–2014

1 921 875www.sahyog-europa-india.eu

INFRESInnovative and effective technology and logistics for forest residual biomass supply in the EU

FP7-KBBE 2012–2015

4 355 273 www.infres.eu

KBBPPSKnowledge based biobased products Pre-Standardisation

FP7-KBBE 2012–2015

3 852 826 www.nen.nl

Them

e 5:

Com

mun

icatio

n w

ith th

e pu

blic

BIOGASACCEPTED

Promoting biogas in European regions – transfer of a supporting acceptance tool for stationary and mobile applications

IEE 2007–2010

842 560 www.biogasaccepted.eu

BIOGASINSustainable biogas market development in Central and Eastern Europe

IEE 2010–2012

1 508 188 www.biogasin.org

RESCOOP 20-20-20Foster social acceptance of RES by stakeholder engagement

IEE 2012–2015

1 958 047 www.rescoop.eu

CO-POWERCommunity power: enabling legis-lation to increase public acceptance for RES projects across Europe

IEE 2013–2016

1 562 431 www.foeeurope.org

BIOEUPARKSExploiting the potentialities of solid biomasses in EU parks

IEE 2013–2016

1 333 116 /www.bioeuparks.eu

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6.2 Theme 1: Biomass feedstock supply and sustainability issues

The BIOMASSTRADECENTRES project aims to create a more transparent market for wood and fuels and to mobilise the huge potential of biomass not yet available to the market. The creation of a BT&LC (Biomass Trade & Logistic Centre) regional network for producing and trading top-quality wood fuels, run by local farmers and/or forest entrepreneurs, has been considered one of the essential approaches for a quick and sustainable switch from fossil fuels towards renewable energy sources. The main lesson learned, apart from the concept of trade and logistics centres, is that quality assurance and quality control (QA/QC) are deci-sive in increasing the market’s consumption of energy from biomass. BIOMASSTRADECENTRE II aims to increase the production and use of energy from wood biomass through motiva-tional events that will engage target groups to invest in producing energy from biomass. The main focus of the project is quality assurance and quality control.

ENCROP promotes the production and use of lignocellulosic energy crops at European level by increasing knowledge along the whole production chain. ENCROP aims to resolve potential bottlenecks and increase the effi-ciency of the energy production chain. It is also improving public perception of energy crops. Project results indicate that:

Interest in energy crops is high among both farmers and energy producers, as long as prices are appropriate. The main problem today is the profitability of cultivation.

Crop-to-energy production chains still need development and economic compensation. In recent years several R&D projects have attempted to optimise crop-to-energy pro-duction chains. But there is still a lot to do in terms of logistics, handling at the plant, feeding to the boiler and ash handling. The

whole crop-to-energy production chain has to be further developed to minimise costs.

FOREST’s objective was to work directly with businesses in the biomass supply chain, from farmers and foresters to architects and design-ers, to develop and consolidate long-term supply partnerships that would increase end-user confidence and so encourage greater investment in renewable heat from biomass. Results show that:

Customers must have complete confidence in the whole supply chain in terms of cost management, technological reliability, fuel security and sustainability, before they can be convinced to adopt biomass over fossil fuels.

The market for biomass cannot be developed through supply-side initiatives alone. Action is also required on the demand side. Govern-ment incentives and grants, for example, can help to offset initial capital costs, while carbon taxes and regulations can increase the relative costs of polluting technologies. At the same time awareness-raising cam-paigns need to be maintained to keep con-sumers informed about the energy agenda.

RECOIL aims to increase sustainable biodiesel production and its local market uptake by boosting the collection and transformation of household used cooking oil (UCO). The biodiesel market will be promoted by improving public awareness of the importance of recycling UCO. The project’s main result is an on-line guide to UCO collection, transformation and com-mercialisation. The final goal of RECOIL is to increase UCO collection and biodiesel produc-tion, without competing with other land uses, leading to a reduction in GHG emissions.

In the SOLIDSTANDARDS project, players in the solid biofuels industry will be trained in

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standards and certification. The core of the project is the organisation of training events for producers and end-users of solid biofuels, so as to increase their ability to implement standards and certification for quality and sustainability. As a contribution to the discus-sion on binding sustainability criteria for solid biofuels, project activities include analysing sustainability certification systems as case studies to assess their applicability in practice.

The key objective of the PELLCERT project is to create and implement a uniform cer-tification system for pelleted biofuels in Europe (‘ENplus’) that can be used by the heat, CHP and power markets. Currently the majority of pellet producers are not certified and significant fluctuations in the quality of pellets are the consequence. Combined with the immaturity and unregulated character of the pellet trade, this is causing problems in appliances. Reinforced quality control will be even more crucial in the future as the raw materials for pellet production diversify to include various agricultural by-products as well as whole trees and energy crops. At the moment, widely varying qualities and certification approaches represent a signifi-cant barrier to trade, yet international trade is essential to provide a sufficient supply of pellets to the EU. Consistent quality is also a prerequisite for sustained market growth. To ensure that sufficient pellets are available on the heat market during very cold winters, it would also be a good idea to have similar standards for residential and industrial pellets, so that the power sector could balance out any shortages in the heating sector. ENplus will include sustainability criteria endorsed by market actors after consultation with stakeholders.

The ongoing debate related to the Europe 2020 strategy about the availability of sus-tainable bioenergy resources and the food-or-fuel discussion have revealed the urgency

of using untapped waste streams. Anaerobic digestion of industrial waste provides a prom-ising alternative to standard waste treatment. The FABBIOGAS project aspires to change the mindsets of all the stakeholders in the waste-to-energy chain by promoting waste from the food and beverage (FaB) industry as a new and renewable energy source for biogas production. Project outputs will support the diversification of energy sources within FaB companies, leading to widespread valorisa-tion and efficient integration of FaB wastes into energy systems and boosting the grow-ing number of biogas projects in Austria, the Czech Republic, France, Germany, Italy and Poland. Activities will include establishing a solid information base on FaB waste use for biogas production; organising awareness-rais-ing events for FaB waste suppliers, users and policy stakeholders to increase the visibility of existing best practice and future potential; and setting up national contact points in FaB associations in all partner countries to estab-lish decentralised knowledge hubs.

The GR3 (GRass as a GReen Gas Resource) project will promote the use of grass and other herbaceous residues from landscape manage-ment as a resource for biogas in Belgium, Italy, Germany, Denmark and Portugal. The overall expected result is the wider use of grass resi-dues as a biogas feedstock throughout the partner regions. This will improve the percep-tion of biogas production amongst local stake-holders, such as municipalities. It is expected that communicating the advantages of grass residue digestion (such as local job creation) will reduce the ‘not in my back yard’ (NIMBY) bottlenecks that currently hinder increased biogas production.

EPIC 2020 aims to promote the use of the untapped bioenergy resource potential of ports and their surrounding areas by applying an industrial symbiosis approach through the following activities:

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Developing a symbiosis between ports and their neighbouring cities based on bioen-ergy resources, and creating networks and dialogue to promote this approach both at individual ports and at European level.

Assessing the bioenergy resource potential of ports by creating a clear picture of the interlinkage between biomass and bioenergy flows at port sites. This will allow the crea-tion of know-how concerning joint priorities, obstacles, potentials and best practices for assessment in port areas.

Triggering exchanges of bioenergy resources (supply chains) and business activities by providing a clear picture of how to stimulate the establishment of biomass conversion businesses by combining downstream and upstream approaches. A biomass communi-cation and logistics tool will be developed to stimulate bioresource-based development at port sites.

Creating implementation strategies at a decision-making level by developing a vision and a roadmap for bioresource-based symbiotic port development, a pro-filing framework and guidelines for public/private partnerships.

BASIS aims to give bioenergy project develop-ers and investors a comprehensive view of the supply of wood chips for boilers, including market competition. This will be based on intuitive maps of the EU27 Member States at the NUTS 2 level, which divides the EU into 270 regions. Information on wood supply potential, combined with existing use of wood chips and sustainability aspects influencing supply, is used to provide in-depth information on the regional supply and demand for wood chips through a comprehensive and easy-to-use map-based tool. The project is expected to increase the transparency of wood chip markets. Project developers will use BASIS to find attractive locations for new projects.

Investors will use BASIS for risk assessments of projects at the pre-development stage, assessing whether a region has enough feed-stock potential to provide a sustainable supply of wood chips over the investment period. Feedstock suppliers will use it to find new customers and develop their biomass supply. National and regional policy-makers, and the European Commission, will gain a compre-hensive overview of biomass use in plants above 1 MW capacity, including bioenergy conversion efficiency and a detailed insight into sustainability from a market perspective.

6.3 Theme 2: Technology-related support policies and barriers

FARMAGAS aims to promote anaerobic digestion of agricultural residues on Euro-pean farms. This will be achieved through knowledge transfer to farmers in new Mem-ber States – Romania, Hungary and Poland – selected for their high potential for biogas production. It will also promote the formation of biogas energy clusters among farmers. The main barriers to be tackled relate to:

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Administrative procedures: the steps needed to get planning and environmental permits for a new biogas plant should be clear to both potential investors and local authori-ties. Procedures for connecting to the local electricity or gas grid should also be less time-consuming.

Funding: specific conditions for getting financial help should be clear to potential investors. Biogas plants require substantial investments and hence long-term financial confidence.

GERONIMO II-BIOGAS works closely with dairy and pig farmers at grassroots level to quantify the biogas potential of their farms and enable them to draw up robust business plans for biogas facilities. Best practice in pro-biogas policies, schemes and incentives from frontrunner regions, such as Germany, Austria and Denmark, will be transferred to other EU regions. This will create pro-biogas regional frameworks to remove the high-level barriers that currently prevent the uptake of biogas technology on farms. Rapid changes in policy frameworks for renewables constitute an important barrier to the uptake of biogas, complicating administrative procedures and reducing trust among farmers. Non-technical aspects, such as the availability of gas grids, administrative constraints and the current eco-nomic situation, also have to be considered.

BIOMETHANE REGIONS seeks to stimulate the market development of anaerobic digestion (AD), with particular emphasis on biomethane production. The overall objective is to establish AD, biomethane in the gas grid and biometh-ane as a transport fuel as viable and attrac-tive options to investors, individuals, private waste and energy companies, public utilities and governments. Monitoring of digesters is very important and significant improvements in yield have been shown to be achievable through better monitoring.

URBANBIOGAS promotes waste-to-biogas (WtB): the use of the untapped fraction of organic urban waste for biogas production. The resulting biomethane can then be injected into the natural gas grid and used as a trans-port fuel in European cities. The objective is to prepare five European cities – Zagreb (Croatia), Abrantes (Portugal), Graz (Austria), Rzeszów (Poland), and North Vidzeme Region, including the City of Valmiera (Latvia) – for the production of biomethane from waste. Support activities will include city task force meetings, training courses, promotional cam-paigns, study tours, and consultation events. The results of these activities will be included in the official city development plans, with business agreements and investment being stimulated as the first steps towards real biogas projects. Finally, the large existing network of official partner cities will be used to promote WtB beyond the five target cities.

6.4 Theme 3: Sector-related policies

MADEGASCAR (biofuels) sets out to increase the use of gas-driven vehicles, powered by both natural gas and biogas, by addressing both consumers and providers. It promotes the benefits of such cars to fleet owners, car dealers, local authorities and fuel station own-ers using training seminars and promotional campaigns. The project also looks at increas-ing the supply of biogas and integrating it into gas networks. Successful market development needs not only top-down initiatives, such as European and national targets, regulations and market stimulation (including subsidies and tax reductions for the fuel), but also initiatives at regional and local levels to raise interest and knowledge among market actors, politi-cians and the public, thereby creating demand. Reference projects, from which to learn, are essential for actual implementation of pro-jects, such as the purchase of natural gas vehicles (NGVs) and the construction of gas

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upgrading plants. Ideally these reference pro-jects are to be found within the same region. In regions where this has not been the case, experience and best practice from more devel-oped regions have played an important role.

GASHIGHWAY (biofuels) aims to promote the uptake of gaseous vehicle fuels (biomethane and compressed natural gas (CNG)) by creating a network of filling stations for biomethane and CNG spanning Europe from north (Finland and Sweden) to south (Italy). In the absence of stable legislation this is a difficult task, and investors are sceptical. Continuous com-munication to key decision-makers and local authorities is needed to overcome market bar-riers to the development of an infrastructure for gas refuelling and upgrading.

WHS (Woodheat Solution) aims to boost bio-energy in the UK, Slovenia and Croatia by using examples of strategies from Finland and Austria. The project particularly addresses the barriers of insufficient cooperation, informa-tion and training within the agricultural and forestry sectors and the lack of public aware-ness among decision-makers.

The RES-H Policy project helps Member States prepare for the implementation of the RES Directive (2009/28/EC) in respect of renewable heating and cooling (RES-H&C). Governments are supported in setting up national sector-specific 2020/2030 RES-H&C targets. The pro-ject also launches participatory national policy processes, in which selected policy options to support RES-H&C are assessed qualitatively and quantitatively. This results in tailor-made policy recommendations as to how best to design a support framework for increased RES-H&C penetration in the national heating and cooling markets of six target countries and regions (Austria, Greece, Lithuania, the Neth-erlands, Poland and the UK). At the European level, an assessment of options for coordinating and harmonising national policy approaches results in common design criteria for a general

EU framework for RES-H&C policies, and an overview of the costs and benefits of different harmonised strategies.

In a similar but more wide-ranging way, the core objective of the RE-SHAPING project was to help Member State governments prepare to implement the RES Directive (2009/28/EC) and to guide a European policy for RES in the medium- to long-term. The past and present success of policies for renewable energy was evaluated and recommendations derived to improve future RES support schemes. The effectiveness of current and future RES sup-port schemes was analysed with specific focus on the European market for renewable electricity products. Increased cooperation between Member States appeared beneficial from an economic perspective, considering, in particular, the expenditure related to RES policy intervention. On the other hand, early harmonisation of support conditions right across Europe, if carried out in a simplistic manner, may harm progress achieved in previ-ous years in several Member States.

The general objective of CROSSBORDERBIO-ENERGY is to help SMEs evaluate bioenergy markets in Europe in the context of cross-border investments, thereby making SMEs less dependent on fluctuating domestic mar-ket conditions and strengthening the whole bioenergy industry. Five different bioenergy market sectors have been considered: biogas, small-scale heating, district heating, CHP, and biofuels for transportation. Criteria for market attractiveness were identified in collaboration with companies for each of these sectors. The market attractiveness was assessed in relation to 50 criteria, summarised in eight categories and with more than 370 indicators. Sector Handbooks and EU Market Handbooks were produced for the five bioenergy market sectors. A geographic information system (GIS) tool was also developed to visualise the market in terms of its attractiveness for investment.

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BIOREGIONS fostered the development of bioenergy regions at EU level (in Ireland, Latvia, the Czech Republic, France and Bul-garia), building on the work of two of the most advanced areas (in Sweden and Germany) and documenting their experience in a way that can be easily replicated. The process of developing an action plan by bringing the vari-ous stakeholders together is very important, and its impact may be even more significant than the plan itself. Visits to view best practice and the project’s own activities have been important in raising awareness, transferring knowledge and inspiring the target regions, and have helped to overcome the reluctance of local stakeholders to adopt new biomass technologies.

BIOGRACE (biofuels) aims to harmonise calcu-lations of life-cycle GHG emissions for biofuels that are required in the EU under legislation implementing the Renewable Energy Directive and the Fuel Quality Directive. The project aims to provide guidance to the stakeholders (economic operators, auditors and advisors), who will make these GHG calculations. The two Directives give a GHG calculation methodology but do not include the conversion factors to be used. BIOGRACE provides a common set of conversion factors. An Excel-based GHG calculation tool has been built which shows, for the 22 biofuel production pathways listed, how the default values in Annex V.A and V.D of the RES Directive were calculated. A list of standard values, a list of additional stand-ard values, a set of calculation rules and a user manual were produced. Together, these allow economic operators to make accurate calculations.

BIOGRACE – II (RES-E / RES-H&C) will help to harmonise the calculations of GHG emis-sions for electricity and heat from biomass. It builds on the earlier BIOGRACE project, which harmonises GHG calculations for biofuels for transport. As a key step in the project will be the development of an Excel-based tool

for GHG calculations for electricity and heat from biomass. The expectation is that this will reduce barriers to biomass trading and simplify the verification of sustainability information; both of these achievements will reduce admin-istrative costs and facilitate the development of high-volume biomass supply chains.

BEYOND2020 looks beyond 2020 by designing and evaluating feasible pathways to a harmo-nised European policy framework. The project’s strategic objectives are to contribute to a European vision of a joint future RES policy framework in the medium- to long-term and to provide guidance on improving policy design. The work will include five different policy paths: uniform quota; quota with technology banding; fixed feed-in tariffs; feed-in premiums; and no dedicated RES support besides the ETS. An impact assessment will be undertaken to assess and contrast different instruments. This involves a quantitative analysis of future RES deployment and corresponding costs based on the Green-X model. The final outcome will be a policy package, offering a concise representation of key outcomes, a comparison of the pros and cons of each policy pathway and roadmaps for practical implementation.

The GREENGASGRIDS project aims to leverage the market development of biomethane by means of know-how transfer from ‘forerunner’ to ‘starter’ countries, helping the latter find solutions to market barriers, bringing together potential business partners and promoting biomethane projects in countries with high potential but few activities. In forerunner coun-tries (countries with operating biomethane projects) the project focuses on the most pressing issues of trade, technical standards, legislation and sustainable biomethane, bring-ing together key market actors and pushing for solutions to existing market problems. In starter countries (countries with projects in preparation, and/or high potential) compre-hensive biomethane strategies are targeted to provide decision-makers (ministries, regula-

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tors and state agencies) with technical and legislative advice, enabling them to introduce cost-efficient support measures. Market play-ers (the gas industry, plant constructors and project developers) from both forerunner and starter countries will be involved in effective business matchmaking that will trigger invest-ment, creating a win-win situation for all the players. Transnational cooperation, especially between forerunners and emerging markets, is an essential success factor, with political will also critical for biomethane markets to appear and flourish. Finally, trade opportunities will significantly influence future biomethane market developments.

PROMOBIO will provide support to regional bioenergy initiatives and facilitate new bio-energy business projects in Eastern European countries where the potential of forest and agricultural biomass, in particular, has not yet been sufficiently harnessed for renew-able energy. Best bioenergy practices and successful business models from the partner countries Finland and Austria will be tested and transferred to the target regions. The aim is to provide local stakeholders with the means to make informed decisions in developing bioenergy markets in their regions. The project will provide concrete supporting actions both to decision-makers and to companies starting or developing bioenergy businesses. Another important objective is to improve the ability of trainers to give professional education in bio-energy issues, in order to distribute knowledge and best practice to a wider audience. New investment in bioenergy requires the building of trusted relationships and good networks.

RESCUE (RES-H&C) will address key challenges to the further development and implementa-tion of district cooling (DC). Taking DC beyond its current small market share will enable local communities to reap the environmental and economic benefits of this mature technology. A support package, consisting of a method-ology, a toolset and practical guidance for

policymakers, energy planners and technical staff, will be developed and pilot implementa-tions will take place in a number of cities and local government areas. It is intended that a number of cities will begin feasibility studies with the aim of exploring DC as an option for their sustainable energy action plans.

The BIOGASHEAT (RES-H&C) project addresses the problem of how best to use heat from existing and future biogas plants. A set of policies, best practices, field tests and project implementation measures will be developed. The project builds on market analysis on the use of biogas heat, developing promising busi-ness models and entrepreneurial strategies for the use and recovery of biogas heat. These models and strategies will be field tested in cooperation with relevant key actors, such as farmers, biogas operators, municipalities and district heating companies.

The BETTER (RES-E) project will address RES cooperation between the EU and third coun-tries. The RES Directive allows Member States to cooperate with third countries to achieve their 2020 RES targets in more cost-efficient ways. The core objective of BETTER is to assess, through case studies, stakeholder involve-ment and integrated analysis, to what extent this cooperation can help Europe achieve its RES targets for 2020 and beyond, trigger the deployment of RES electricity projects in third countries and create win-win circumstances for all parties involved. Case studies focusing on North Africa, the Western Balkans and Turkey will investigate the technical, socio-economic and environmental aspects of RES cooperation. Additionally, an integrated assessment will be undertaken from the ‘EU plus third countries’ perspective, including a quantitative cost-ben-efit evaluation of feasible policy approaches, as well as strategic power system analyses. Impacts on the achievement of EU climate targets, energy security and macro-economic aspects will be also analysed.

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The RES Directive (2009/28/EC) sets out the policy framework for RES up to 2020. The aim of the DIA-CORE project is to ensure continuous assessment of the existing policy mechanisms and to establish a fruitful stakeholder dialogue on future policy needs for RES in all sectors (electricity, heating and cooling, and transport). DIA-CORE will therefore facilitate convergence in RES support across the EU and enhance invest-ment and coordination between Member States. Assessments build on detailed, quantitative evaluations of policy performance in terms of effectiveness, efficiency and the resulting total costs and benefits. DIA-CORE will complement the EC’s monitoring of Member States’ progress towards the 2020 RES targets and builds on approaches successfully applied in previous IEE projects, such as RE-Shaping. The future consequences of policy choices will be analysed using the Green-X model, highlighting additional policy needs to achieve the 2020 targets and contributing to upcoming 2030 discussions. A key focus of DIA-CORE is the design optimi-sation of individual RES policies (in terms of FITs, premiums and quotas) and cooperation mechanisms in line with future policy needs. The project will develop innovative concepts and design elements, as well as measures to remove non-economic barriers and simplify financing.

The CA-RES and CA-RES II projects can be described as a structured and confidential dialogue supporting the effective implementa-tion of the RES Directive (2009/28/EC). CA-RES is a platform for the exchange of experience and good practice between participating coun-tries. The projects facilitate cross-learning at European level, promote coordination between the participating countries and encourage the development of common approaches to RES legislation.

The aim of the BERST project is to catalogue the bioeconomic potential and bioeconomy strategies of a range of different regions in Europe; and hence to understand the possi-bilities and challenges in expanding biobased economies. The project provides tools to help regions in their trajectory of bioeconomic development. Tools include sets of criteria, catalogues of instruments, measures, good practices and case studies, and guidelines for developing regional profiles to prepare for smart specialisation strategies. The results of the project will be linked to each region’s standard development processes and will therefore provide additional tools for the regions to enhance their bioeconomies. BERST will also help to promote stakeholder relations within bioregions, so that entrepreneurs can guide regional priorities in the development of the bioeconomy.

6.5 Theme 4: Competition with the non-energy sector and use of biomass in biorefineries

Activities related to the biobased economy use natural and renewable resources to replace fossil resources. These activities cover a wide range of technologies and sectors through the production chain, with the common aim of creating added value from natural and renewable resources. The biobased economy is part of the bioeconomy (Figure 5), which integrates improved food supply with the production of renewable resources for the biobased economy.

Biorefining is the sustainable processing of biomass into a spectrum of marketable biobased products (food and feed ingredients, chemicals and materials) and bioenergy (bio-fuels, power, heat and cooling)10.

10 IEA: www.iea-bioenergy.task42-biorefineries.com

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Figure 5: How the biobased economy relates to the bioeconomy and the energy system (Kwant & van Leeuwen, 2013)

The main objective of the BIOREF-INTEG project was to develop advanced biorefinery schemes to be integrated into existing indus-trial (fuel-producing) complexes. The project provided critical insight into the technical, economic and environmental considerations associated with integrating seven specific biomass-related sectors (bioethanol, biodiesel, pulp and paper, conventional oil refining, power generation, agriculture and food) into biore-finery concepts at existing fuel production facilities.

The STAR-COLIBRI project has three main objectives. The first is to overcome frag-mentation and promote cross-fertilisation in biorefining research. The second is to support innovation by speeding up and facilitating the industrial exploitation of research results in biorefining. The third is to promote coordina-tion in future R&D funding and facilitate the creation of public-private partnerships. The project has a wiki to facilitate the collection and exchange of information between biore-finery stakeholders. It has published three documents to help shape European policies on biorefineries: a European biorefinery 2030 vision document; a European biorefinery joint strategic research roadmap for 2020; and a lead market initiative on biobased products.

The objective of the GLOBAL-BIO-PACT project is to avoid negative socio-economic effects by developing and harmonising global sus-tainability certification systems for biomass production, conversion systems and trade. A functioning and sustainable certification scheme requires reliable data and detailed research on the impacts of biomass produc-tion, yet at the moment the sustainability debate is hampered by a lack of data on socio-economic impacts. In addition, most of the work has been on biofuels, while the impacts of bioproducts have been neglected. A harmonised certification scheme for biofu-els and bioproducts is required. This project

focuses on a detailed assessment of the socio-economic impacts of raw material production and a variety of biomass conversion chains.

The objective of the SAHYOG project is to link activities carried out within EU research programmes with related programmes in Indian national institutions. Targeted research areas concern biotechnological approaches for biomaterials and bioenergy production, and sustainable conversion of biowastes. At present the EU has large quantities of unused waste streams in the form of agricultural resi-dues and municipal wastes and these are the first priority to be used as raw materials for the biobased economy. However, biorefining will only be practical, if crucial bottlenecks along the entire value-chain can be removed. Valorisation in the agricultural sector can be achieved in the short-term through the use of wastes, proper rural development and the creation of additional income from local processing of biomass. In the longer term we need to develop ‘smart agriculture’ with

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an integrated supply of both food and sus-tainable resources. Biomass can be valorised by biorefineries and/or a cascade approach, in which optimal value is realised along the chain: from the field, through the agricultural and forestry industries, to the final consumer. Research results can be valorised through cooperation between farmers, industry and researchers. In recent years extensive research has been carried out and this now needs to be put into practice in fields and factories in the form of pilot studies, demonstrations and full-scale plants.

INFRES aims to enable efficient, precise deliv-eries of woody feedstock to heat and power plants and biorefineries by:

producing innovation to aid the development of new harvesting, transport and storage technology for forest fuels;

demonstrating new solutions in complete supply chains, from harvesting to transport and storage, and in real operating environ-ments;

spotting the technological, economic, regula-tory and other bottlenecks in the innovation structures for the forest energy sector;

assessing the environmental, economic and social sustainability of these new logistics systems, including scenarios for different fuel sources, methods, technologies and transport distances; and

disseminating R&D outcomes.

The KBBPPS project aims to hasten the uptake of standards and certification systems for biobased products. The application of stand-ards and certification systems in the European biobased product industry will have positive long-term effects on the overall development of markets for biobased products. Trade barri-ers will be reduced and the development of a pan-European market for biobased products will be promoted. Finally, public acceptance

of biobased products will be increased by ensuring and verifying the sustainable sourc-ing of raw materials, stating the effective bio-content and indicating clearly how the functionality of biobased products compares to their conventional equivalents.

6.6 Theme 5: Communication with the public

Biogas projects are often not well accepted by their neighbours. The BIOGASACCEPTED project has therefore created tools to increase the acceptance of biogas through an inter-active process supported by questionnaires, evaluation, local public presentations and communication. Avoiding odour problems should be a key aim for biogas operators, as this is often a major reason for acceptance problems. Communication with neighbours is necessary for the operation of a plant, and the earlier in the process that neighbours are contacted, the better for acceptance.

BIOGASIN aims to develop a sustainable biogas market in Central and Eastern Europe (CEE), using know-how and expertise from the most developed biogas markets in Europe. The project results show that countries with estab-lished biogas markets need non-technical support in particular, since bioenergy, includ-ing biogas and biomethane, faces continual criticism. There is a need to improve biogas value chains to raise public acceptance. This includes reducing environmental hazards and improving plant safety, using mixed energy crops, increasing efficiency of heat use and consulting the public on new projects.

The RESCOOP 20-20-20 project is helping to improve social acceptance of RES power generation, with the goal of speeding up the creation of RES projects and related coopera-tives in various Member States. The project’s model is to involve local citizens through RES cooperatives. Support for emerging coop-erative RES projects can be achieved with a

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toolbox that integrates the learning from more than 400 existing RES cooperatives and the involvement of volunteer mentors trained in best practice.

The CO-POWER project will develop EU and national legislation and financing to increase ‘community power’ in Europe. Community projects can transform public opposition into support for new RES installations and infrastructure, and so contribute to reaching the 2020 RES target. The project will raise awareness among policymakers of the ben-efits of community RES ownership, create a large and stable pool of capital investment, provide financial benefits for the local commu-nity and local government, and increase local contracting and employment. CO-POWER will compile case studies of legal conditions across Europe and come up with recommendations

for seven target countries: the Czech Republic, Denmark, Spain, Hungary, Ireland, the UK and Belgium. It will analyse and promote innova-tive public-private financing mechanisms to make EU funds available to community RES projects in six CEE countries (Bulgaria, the Czech Republic, Hungary, Latvia, Poland and Slovakia) in particular.

BIOEUPARKS aims to start up local biomass supply chains in nature parks in five EU coun-tries, promoting short chains and small-scale installations. To overcome possible social con-flicts the project will develop a methodology, involving discussions, sharing and co-planning. A participatory approach will be used, involving local key actors in the decision-making process through, for example, round tables, to create agreements in the form of memoranda of understanding.

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This chapter summarises the results from the projects reviewed and their policy implications at European level, according to theme.

Biomass supply and sustainability

The ongoing debate related to the Europe 2020 strategy about the availability of sus-tainable bioenergy resources and the food-or-fuel discussion have revealed the urgency of using untapped waste streams. For biogas production via anaerobic digestion, waste from the food and beverage (FaB) industry has been promoted as a new and renewable energy source. This resource can be harnessed by, for instance, organising awareness-raising events addressing the relevant target groups – FaB waste suppliers, users and policy stakehold-ers – to highlight existing best practice and future potential. Grass and other herbaceous wastes from landscape management will also be promoted as sources of biogas. This will improve the perception of biogas production among local stakeholders, such as municipali-ties. The expectation is that communicating the advantages of grass waste digestion, such as local job creation, will reduce the NIMBY bottlenecks that hinder increased biogas pro-duction.

For the production and local marketing of sustainable biodiesel, the focus has been on improving the collection and transformation of household used cooking oil (UCO). The bio-diesel market will be promoted by improving public awareness of the importance of recy-cling UCO, leading to biodiesel production without competition with other land uses.

7. Policy implications at EU level

Use of the untapped bioenergy resource potential of ports and their surrounding areas will be promoted by applying an industrial symbiosis approach. Among other things, this means establishing a dialogue with stake-holders to create a European transnational network, assessing the bioenergy resource potential, triggering bioenergy resource exchanges (supply chains) and business activi-ties, and creating implementation strategies at a decision-making level.

To provide in-depth information on supply and demand for sustainable wood chips in the regions of all EU27 Member States, a comprehensive and easy-to-use map-based tool will be developed. This will be helpful for project developers, investors, feedstock sup-pliers, national and regional policymakers, as well as the European Commission.

Work is ongoing to create and implement a European certification system, including sus-tainability criteria, for biofuel pellets used in the heat, CHP and power markets. Currently the majority of pellet producers are not certified; the consequence is significant fluctuations in the quality of pellets, which in turn cause prob-lems for appliances. Reinforced quality control will be even more crucial in the future as the raw materials for pellet production diversify to include by-products from agriculture as well as whole trees and energy crops. At the moment, widely varying qualities and certifi-cation approaches form a significant barrier to trade, yet international trade is essential to provide Europe with a sufficient supply of pellets. Consistent quality is also a prerequisite for sustained market growth.

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The production and use of lignocellulosic energy crops at European level have been promoted by increasing knowledge along the whole pro-duction chain. Interest in energy crops is high among farmers and energy producers. However, the main problem today is the profitability of cultivation. Although several R&D projects have been carried out in recent years to optimise crop-to-energy production, there is still a lot to do in terms of logistics, handling at the plant, feeding to the boiler and ash handling.

The creation of a regional network of Biomass Trade & Logistic Centres (BT&LCs) has been considered one of the essential approaches for a quick and sustainable switch from fossil fuels towards renewable energy sources. BT&LCs are run by local farmers and/or forest entrepreneurs, who produce and trade top-quality wood fuels. Quality assurance and quality control (QA/QC) are also decisive in persuading energy markets to move towards biomass.

Technology-related support policies and barriers

Plant-based agricultural wastes from Euro-pean farms, manure from dairy and pig farms and organic urban waste in Europe still have considerable untapped fractions that can be used for biogas production through anaerobic digestion (AD). Besides using biogas for heat and/or power applications, biogas is increas-ingly being upgraded to biomethane to be injected into the natural gas grid, and to be used as a transport fuel in European cities.

An important barrier to biogas projects con-cerns the administrative procedures needed for environmental permits and connections to the electricity and gas grids. Another barrier is created by the investment risks caused by policy instability. Frequent changes in renewa-bles policy frameworks constitute a significant barrier to the uptake of biogas, complicating the non-technical and administrative pro-cedures and reducing trust among farmers.

Dissemination of know-how and knowledge transfer to farmers in new Member States can greatly promote the production of biogas by anaerobic digestion. One way to achieve this is to transfer best practices in pro-biogas poli-cies, schemes and incentives from ‘frontrunner’ regions to other EU regions.

Sector-related policies

Renewable heating and cooling have a large untapped potential for helping the EU achieve its RES target. In particular, district cooling cur-rently has only a small market share, despite being a mature technology. It is therefore necessary to address key challenges to the further development and implementation of this renewable energy option. This can be done through practical guidance for policy-makers and energy planners, pilot plants and feasibility studies.

Due to the similarities in the specifications for biomethane and natural gas (NG), expansion of biomethane delivery and filling station networks can take advantage of some of the existing NG infrastructure and know-how. Successful market development of gas-driven vehicles, powered by biomethane or CNG, needs top-down initiatives, such as Euro-pean and national targets, regulations and market simulation. It also requires initiatives at regional and local levels to raise inter-est and knowledge among market actors, politicians and the public. Know-how transfer from ‘forerunner’ to ‘starter’ countries, and reference projects to learn from – ideally within the same region, but otherwise from the more developed regions – are essential for the effective implementation of projects. Promotion of gaseous vehicle fuels requires, among other things, the creation of a Euro-pean network of filling stations for biom-ethane and CNG. This is difficult, however, since investors are sceptical in the absence of stable legislation.

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In Eastern European countries, large potential RESs in the form of forest and agricultural bio-mass, have been insufficiently utilised. Transfer of best bioenergy practices and successful business models from forerunner countries to these countries will help local stakeholders make informed decisions in developing the bioenergy markets of their regions.

RES cooperation between the EU and third countries needs to be addressed through case studies, stakeholder involvement and integrated analysis. This will help to show the extent to which such cooperation can help Europe achieve its RES targets for 2020 and beyond in a more cost-efficient way. Meas-ures to remove non-economic barriers and to simplify financing need to be developed.

Providing European regions with supporting tools, including guidelines, sets of criteria, examples of good practice and case stud-ies will help regions in their trajectory of bioeconomic development. This, in turn, will enhance the regions’ bioeconomies, improve stakeholder relations within bioregions and promote the role of stakeholders in guiding regional priorities to develop the bioeconomy.

Competition with the non-energy sector and use of biomass in biorefineries

Activities related to the biobased economy (BBE) use natural and renewable resources as replacements for fossil resources. The BBE com-prises a wide range of technologies and sectors through the production chain, all with the aim of creating added value from these natural and renewable resources. The BBE is part of the wider bioeconomy, which aims simultaneously to provide both an improved food supply and renewable resources for the BBE.

Many types of biomass streams are cur-rently used to produce bioenergy and so make progress towards the EU’s renewable

energy target. EU policy on renewable energy policy plays a leading role here. In the short term, biobased processes could therefore be adopted by integrating biorefinery concepts into existing bioenergy production facilities. This would allow wastes and by-products from bioenergy-related processes to be used to produce high-value products, improving the economic competitiveness of the main product, i.e. bioenergy. In this way, biobased processes can contribute to the success of bioenergy projects and to an overall biobased economy.

The application of standards and certification systems to the biobased product industry will have positive long-term effects on the overall development of markets for biobased prod-ucts, reducing trade barriers and promoting the development of a pan-European market for biobased products. Public acceptance of biobased products will also increase as cer-tification helps to ensure and verify the sus-tainable sourcing of raw materials, sets out the effective bio-content and indicates clearly how biobased products perform compared to conventional products.

Communication with the public

Communication about bioenergy projects is essential to build public support. The earlier stakeholders are involved in the decision-making process, the better for acceptance. Public consultation for new bioenergy projects is therefore highly recommended. A participa-tory approach, involving local key actors in the decision-making process, will help to overcome possible social conflicts.

The most interesting form of public engage-ment in bioenergy projects is via community RES ownership. Community projects can trans-form public opposition into support for new RES installations and infrastructure, create a large and stable pool of capital invest-

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ment, provide financial benefits for the local community and local government, increase local contracting and employment and help to reach the EU 2020 RES target. Sharing

© iStockphoto

experience from existing RES cooperatives and best practices will help to promote this innovative financing mechanism.

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Based on the results achieved, the following recommendations have been made concerning how bioenergy research policy can address future (research) developments and current gaps.

Pellet certification

Creation and implementation of a European certification system for pellets used in the heat, CHP and power markets is beneficial for trade both within and beyond the EU. This will help to ensure a sufficient supply of pellets for Europe’s needs, with consistent quality.

Crop-to-energy production

Although several R&D projects have been carried out during recent years to optimise crop-to-energy production, there is still a lot to do in terms of biomass mobilisation and logistics, handling at the plant, feeding to the boiler and ash handling.

Anaerobic digestion

Wet biomass wastes in Europe still have considerable untapped potential that can be used for biogas production through anaerobic digestion. However, administrative procedures and investment risks caused by policy instabil-ity are important barriers to realising biogas projects. Rapid changes in renewables policy frameworks should be avoided, as they will complicate non-technical and administrative procedures and reduce trust among farm-

8. Recommendations on future research directions

ers. Finally, dissemination of know-how and knowledge transfer to farmers in new Member States can greatly promote the production of biogas by anaerobic digestion.

Biomethane as a transport fuel

Due to the similarities in the specifications for biomethane and natural gas (NG), expan-sion of biomethane delivery and filling station networks can take advantage of some of the existing NG infrastructure and know-how. Suc-cessful market development of vehicles pow-ered by biomethane or CNG needs top-down initiatives, as well as initiatives at regional and local levels. Know-how transfer from ‘forerunner’ to ‘starter’ countries is essential for successful implementation of projects. Stable legislation will help to create a Euro-pean network of filling stations for biomethane and CNG, which is an important requirement for the promotion of gaseous vehicle fuels.

Renewable heating and cooling

Renewable heating and cooling has a large untapped potential for achieving the EU RES target. In particular, district cooling currently has only a small market share, despite being a mature technology. It is therefore necessary to address key challenges to further develop-ment and implementation of this renewable energy option, by developing practical guid-ance for policymakers and energy planners, pilot implementation and feasibility studies.

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Enhancing the economic efficiency of bioenergy technologies

Linked to the expected decreases in state aid for renewables, especially in the period from 2020 to 2030, it is necessary for future research to focus on further increasing the economic efficiency of bioenergy technologies, among other targets.

Promoting bioenergy initiatives in Eastern Europe

In Eastern European countries, the large potential of forest and agricultural biomass as renewable energy sources has been under-utilised. Transfer of best bioenergy practices and successful business models from forerun-ner countries to these countries will provide local stakeholders with the tools they need to make informed decisions in developing the bioenergy markets of their regions.

Supporting bioeconomy in regions

Providing European regions with supporting tools, including guidelines, sets of criteria, examples of good practice and case studies, will help regions in their trajectory of bio-economic development, thus enhancing their bioeconomies, promoting stakeholder relations within bioregions and expanding their role in guiding regional priorities in the development of the bioeconomy.

RES cooperation

RES cooperation between the EU and third countries needs to be further addressed, in order to assess to what extent such coopera-tion can help Europe achieve its RES targets for 2020 and beyond in a more cost-efficient way. Measures to remove non-economic bar-riers and to simplify financing need to be developed.

Competition with the non-energy sector and biomass use for biorefineries

Certification systems and standards for biobased products will have positive long-term effects on the overall development of markets for biobased products. Providing European regions with supporting tools will help regions in their trajectory of bioeconomic development.

Public acceptance

Communication about bioenergy projects is essential to build public support. Public consultation for new bioenergy projects is highly recommended. Community projects can transform public opposition into support for new RES installations and infrastructure, contributing to the achievement of the EU 2020 RES target.

Valorisation of research results

Research results can be valorised through cooperation between farmers, industry and researchers. In recent years a great deal of research has been carried out. This work now needs to be turned into practical results in fields and factories through pilot projects, demonstration units and full-scale plants.

© iStock

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Bauen, A. et al. (2009), Bioenergy – a sustainable and reliable energy source. A review of status and prospects. IEA BIOENERGY: ExCo: June, 2009/

Baxter, D. (JRC, Petten), Personal communication, July 10, 2014.

Beurskens, L.W.M. and Hekkenberg, M. (2011), Renewable energy projections as published in the National Renewable Energy Action Plans of the European Member States; Covering all 27 EU Member States. ECN-E--10-069, February 2011.

European Commission, Directive 2003/30/EC on the promotion of the use of biofuels or other renewable fuels for transport, May 8, 2003.

European Commission, COM(2007) 723 final: A European strategic energy technology plan (SET-Plan); Towards a low-carbon future. Brussels, November 22, 2007.

European Commission, Directive 2009/28/EC of the European Parliament and the Council of 23 April 2009 on the promotion of the use of energy from renewable sources and amending and subsequently repealing Directive 2001/77/EC and 2003/30/EC, April 23, 2009.

European Commission, Directive 2009/30/EC amending Directive 98/70/EC as regards the specification of petrol, diesel and gas-oil and introducing a mechanism to monitor and reduce greenhouse gas emissions and amending Council Directive 1999/32/EC as regards the specifica-tion of fuel used by inland waterway vessels and repealing Directive 93/12/EEC, April 23, 2009.

European Commission, COM(2010) 11 final: Report from the Commission to the Council and the European Parliament on sustainability requirements for the use of solid and gaseous biomass sources in electricity, heating and cooling. Brussels, February 25, 2010.

European Commission, COM(2011) 112 final: Communication from the Commission to the European Parliament, the Council, the European Economic and Social Committee and the Committee of Regions; A Roadmap for moving to a competitive low-carbon economy in 2050, March 8, 2011.

European Commission, COM(2011) 627 final/2: Proposal for a regulation of the European Parliament and of the Council on support for rural development by the European Agricultural Fund for Rural Development (EAFRD), October 19, 2011.

European Commission, COM(2011) 885 final: Communication from the Commission to the European Parliament, the Council, the European Economic and Social Committee and the Committee of Regions; Energy Roadmap 2050. December 15, 2011.

European Commission, COM(2014) 15 final: Communication from the Commission to the European Parliament, the Council, the European Economic and Social Committee and the Committee of Regions; A policy framework for climate and energy in the period from 2020 to 2030. January 22, 2014.

European Commission, COM(2014) 2322: Communication from the Commission; Guidelines on State aid for environmental protection and energy 2014–2020. April 9, 2014.

References

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DG ENER: http://ec.europa.eu/dgs/energy/index_en.htm

DG RTD: http://ec.europa.eu/research/index.cfm?pg=dg

EACI (now EASME): http://europa.eu/agencies/executive_agencies/eaci/index_en.htm

EERA: www.eera-set.eu

EIBI: http://ec.europa.eu/energy/technology/initiatives/initiatives_en.htm

FP7-Energy: http://cordis.europa.eu/fp7/energy/

FP7-KBBE: http://cordis.europa.eu/fp7/kbbe/

Horizon 2020: http://ec.europa.eu/programmes/horizon2020/en/

IEE: http://ec.europa.eu/energy/intelligent/, http://ec.europa.eu/energy/intelligent/projects/?

Kwant, K; R. van Leeuwen (2013): Strategic advice on biobased research. SAHYOG project Grant Agreement no: 289615 (www.sahyog-europa-india.eu), July 2013.

M475 (2010): Mandate to CEN for standards for biomethane for use in transport and injection in natural gas pipelines. Brussels, November 8, 2010.

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List of AcronymsAD Anaerobic digestion

BBE Biobased economy

BESTF Bioenergy Sustaining the FutureBT&LC Biomass Trade and Logistic Centre

CAP Common Agricultural Policy

CEE Central and Eastern Europe

CEN European Committee for Standardisation

CHP Combined heat and power

CIP Competitiveness and Innovation Framework Programme

CNG Compressed natural gasCPI Current Policy Initiatives

DC District cooling

DG ENER Directorate-General for Energy

DG RTD Directorate-General for Research and Innovation

EACI Executive Agency for Competitiveness and Innovation

EASME Executive Agency for Small and Medium-sized Enterprises

EC European Commission

EERA European Energy Research Alliance

EIBI European Industrial Bioenergy Initiative

EIP Entrepreneurship and Innovation Programme

ERA European Research Area

ERKC European Research Knowledge Centre

ETS Emissions Trading System

EU European Union

FaB Food and beverage

FIT Feed-in tariff

FP7 Seventh Framework Programme

FQD Fuel Quality Directive

GHG Greenhouse gas

GIS Geographic information system

H2020 Horizon 2020 Programme

ICT Information and Communications Technology

ICT PSP ICT Policy Support Programme

IEA International Energy Agency

IEE Intelligent Energy – Europe

INEA Innovation and Networks Executive Agency

KBBE Knowledge-Based Bio-Economy

KBBPPS Knowledge Based Bio-based Products’ Pre-Standardization

MS Member State

Mtoe Million tonnes of oil equivalent

NG Natural gas

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NGV Natural gas vehicle

NIMBY Not in my back yard

NREAP National Renewable Energy Action Plan

NUTS Nomenclature des unités territoriales statistiques / Nomenclature of territorial units for statistics

PPP Public-private partnership

QA Quality assurance

QC Quality control

R&D Research and development

RD&D Research, development and demonstration

RED Renewable Energy Directive

RES Renewable energy sources

RES Directive Renewable Energy Directive

RES-E Renewable electricity

RES-H Renewable heating

RES-H&C Renewable heating and cooling

SET-Plan Strategic Energy Technology Plan

SETIS Strategic Energy Technology Information System

SME Small and medium enterprise

SRC Short rotation coppice

SRF Short rotation forestry

TSO Transmission system operator

UCO Used cooking oil

WtB Waste-to-biogas

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The European Union is committed to significantly reducing greenhouse gas emissions, while at the same time ensur-ing the EU’s security of energy supply and competitive-ness. A focus on the development of low-carbon energy technologies is thus crucial. Low-carbon heat, power and fuel supply is an area that covers a large number of topics, including bioenergy.

Bioenergy is seen as a tool to stimulate rural devel-opment and provide new markets for the agricultural and forestry sectors. The European Union’s policies on renewable energy have been increasing the demand for bioenergy. The Renewable Energy Directive, issued in 2009, sets mandatory renewable energy targets for 2020 to supply 20% of total final energy consumption from renewable energy sources. Bioenergy is expected to make a substantial contribution to supplying Europe’s renewable energy demand.

This Policy Brochure reviews the most relevant bioenergy research projects. The brochure includes a brief analysis of the scope of the topic and a policy review, in which the main policy developments at EU level are summarised. The Policy Brochure concludes with a synthesis of the main findings.