Competitive Low Carbon Energy (RES)

Paul Verhoef DG RTD – G3/Head of Unit

HORIZON 2020

THE EU FRAMEWORK PROGRAMME FOR RESEARCH AND INNOVATION

Low Carbon Energy - Orientations

•The previous work-programme 2014-2015 •Context – Policy & Activities •The approach and considerations

Lessons Learned from 2014-2015 calls

Over-subscription in term of available budget: • 2 stage evaluation: Stage 1 – a factor 20 • Single stage evaluation: a factor 3 to 5

In the renewable/fuels area, all TRLs have been addressed: • The full development chain is positive

International Cooperation • Coordinated call with Brazil did not happened • Morocco (1,1M€), USA

Low Carbon Energy Outcomes (553,8M€) Fields (eranet+berlin)? 2014 2015 Total

Alternative fuels 6 4,5 10,5

Biofuels/Bioenergy (CHP) 56,1 26,6 82,7

CSP 27,1 11,5 38,6

Geothermal 24,1 45,6 69,6

Ocean Energy 17 41,4 58,4

Photovoltaic 9,5 8,8 18,3

Solar Heating & Cooling 4,4 4,4

Wind 21,3 34 55,3

New Knowledge Technology 18,3 18,3

SSH 13,6 7,7 21,3

Market Uptake measures 20,3 18,5 38,8

Decarbonisation of the use of fossil fuels 33,3 34,3 67,6

MS Joint Actions (ERANET&CSA) 33,8 36,1 69,9

Total 280,4 273,4 553,8

Looking at the past and the present Considering what we have

• FP7 Projects & Outcome of the 2014 and 2015 H2020 sub-calls • Industrial sectors

Considering the sectorial needs

• SET-Plan Integrated Roadmap • SET-Plan Industrial Initiatives Implementation Plan • European Technology Platforms Strategic Research Agenda

Considering the EU Energy Policies and climate change

• Energy Union • Renewable Energy Directive • …

Defining over-arching aims

Per sector to complement past and present activities • Pursuing technology development to be more cost efficient and cost

competitive. • To push emergent technologies

Globally to achieve policy objectives

• European industries to be world leaders (technology & market) • Motivate deployment of new technologies • Develop a new energy system

• Support market uptake of renewable technologies • Measures to overcome bottlenecks

• Develop new financing tools for First of the Kind installations

• Launch of InnovFin Energy Demonstration Projects (EDP) facility to support energy innovators

• Better coordinate EU and MS activities

• Building synergies and benefits

• Better understand the human aspect in the energy system • The social science and humanity issues are important in an integrated energy

system

Global issues

New Emerging Technologies

Rationale ● FP7 Future Emerging Technology (FET) topics have been successful in

identifying and promoting new technologies, especially in energy

● FP7 "FET pro-active" topics have been successfull in focusing emerging technologies

● Open bottom-up challenges help to identify and to validate new concepts

● Focused challenges on emerging concepts help to consolidate technologies

and applications

Renewable Energy integration in the energy system

Rationale ● The integration of an increasing share of renewable energy into the energy

system requires that we need to rethink the "system"

● How to manage the system with non traditional service providers? ● What are the "generation-side" solutions?

Hydropower

Rationale ● European industries remain the world leaders but competition is underway,

particularly with Asia.

● Mature industrial sector ● Long technology cycles linked to basic research and improvement of existing

technology.

● Limited potential if only focused on power production but high potential in grid balancing.

● Operating flexibility is essential for further growth

● Reduction of environmental impacts is also necessary

Solar - Photovoltaics

Rationale ● Rapid growth in Europe and worldwide with strong industrial competition.

● Power generation potential is high

● Reducing the total cost of installed solar energy systems and grid-integration

bottlenecks remains a priority for the sector ● PV R&D is necessary to re-launch an innovative and worldwide competitive

industry relying on the existing PV technology knowledge-base in Europe.

● Broadening the knowledge-base through advanced research on technologies, in view to achieving further cost reduction and efficiency gain

Solar - CSP

Rationale ● Strong European industrial presence but the larger share of the market is

outside Europe. The competition is growing.

● For the sector to remain competitive, there is a need to reduce further the capital and the operational costs

● System operations and performances can still be further improved.

● Environmental footprint should be reduced, in particular the water consumption

Solar – Heating and Cooling

Rationale ● Mature technology exists but it still remains under-exploited

● New technology is needed to enlarge the application sectors.

● Issues of cost, performance and operability still exist

● Industrial applications have been addressed in the past

● Residential and public building application have been less well covered

Geothermal

Rationale ● Geothermal energy is under-used and a wider use would benefit to a

diversified energy mix.

● For "shallow geothermal", retroffiting insisting installations with improved technology (high performance, low environmental impact and low cost) is becoming an issue for the sector.

● For enhanced geothermal systems (EGS), reduction of the drilling costs and risks remain the top objectives of the sector, together with the demonstration of viable technologies to create new reservoirs.

Combined heat and power (CHP)

Rationale ● CHP installations are already in use and commercial applications exist and

have been supported under previous framework programmes

● The sector sees a market potential for residential scale and for specific industrial applications to increase generation flexibility.

● Cost reduction, performance improvement, reliability and ease of operation with a wider spectrum of feedstocks would be needed to raise to the challenge of these new markets.

● Innovative micro and small-scale systems have been identified in the 2014-2015 work-programme.

Wind

Rationale ● European industries are still world leaders but the competition is growing.

● The sector has identified cost reductions to be essential, in particular for

offshore, in all the components.

● Offshore is seen as the future market and large turbines would need to be demonstrated

● Issues remain on environmental and social impact, and on public acceptance

Ocean

Rationale ● European industries are leading the emergence of the technologies.

● Many devices are being developed and prototypes build and tested, but the

market potential has yet to be realised.

● Demonstration of reliable and survivable systems is essential

● Research is needed for performance improvements, and for increasing reliability and operationability.

● Environmental, social and public impacts need to be addressed as well

Biofuels

Rationale ● European industries have leading technologies, but there is little deployment

in Europe at the moment

● Biofuels are the medium term solution for road and maritime transports and the only solution for the air transport.

● Both biological and thermo-chemical pathways are necessary to provide the necessary technology diversity and opportunities for a successful deployment, but the challenges in each of them are different.

● Large scale demonstrations are needed to boost market access

● Research is still needed to reduce cost, to improve environmental impact and performance efficiency.

Decarbonisation of fossil fuels

Rationale ● Fossil fuels will be used in Europe's power generation as well as in industrial

processes for decades to come.

● Meeting our 2050 climate target requires an evolution towards a decarbonised yet robust and secure energy system.

● A forward-looking approach to carbon capture and storage (CCS) and carbon capture and use (CCU) for the power and industrial sectors will be critical to reaching the 2050 climate objectives in a cost-effective way.

● Shale gas can contribute to our energy security, provided that issues of public acceptance and environmental impact are adequately addressed.

● The integration of (fluctuating) renewable electricity generation in our energy system requires new solutions for fossil fuel power plants to provide highly flexible yet efficient back-up power to stabilise the grid.

Low Carbon Energy 2016-2017 Overall :

• Budget: 258,1M€ in 2016 and 256,5M€ in 2017 • Single stage evaluation

Number of topics: 31 • Demonstration topics separated by fields • New knowledge technologies and market uptake measures focused • ERANET and joint actions • SSH

International Cooperation • Coordinated topic with Mexico and Brazil

HORIZON 2020

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