Ref. Ares(2020)7906432 - 23/12/2020
ENGIE is and aims to remain a key player in renewable energies
. It is the leader in
wind and solar in France, leader in micro-grids in the world and 2nd in the world for
electric vehicle recharging station.
ENGIE has 24.8 GW of installed renewable capacity
(66% hydro, 22% onshore wind,
9% solar, 3% other sources).
ENGIE is committed to doubling its installed renewable energy generating capacity to
16,000 MW by 2025.
ENGIE would like to increase the share of new renewable energy projects dedicated
to specific customers to 50% by 2021.
The renewable strategy focuses on making zero-carbon transition possible for
business and local authorities through the development of integrated solutions “as a
service” (smart, energy-efficient equipment, powered using carbon-free energy,
drastically reducing consumption).
LINES TO TAKE
The Commission is preparing a Strategy on “Energy sector
”, which we intend to adopt on 8 July.
“Energy sector integration” is a broad term, and covers several
o the direct electrification of buildings, transport, industry
o the use of decarbonised fuels in these sectors, such as
biogas, hydrogen, or synthetic fuels
o but also the move towards a more “circular” energy
system, where we make better use of waste heat and
Sector integration is about looking at our energy system
holistically, as a whole, and creating stronger links between the
electricity, gas, buildings, transport, agriculture and industry. It
is essentially about optimising our energy system as a whole!
Sector integration is not really an option. If we are serious
about reaching carbon neutrality (and we are!), then we need
to make our energy system work as efficiently and as smartly as
possible. Only by doing so can we limit the cost of the energy
transition for our citizens.
The Strategy will present the vision of the Commission for a
smart energy system of the future, consistent with the
ambition of the Green Deal, and building on the Long Term
Strategy that the Commission presented in 2018.
It will also propose a set of actions that the Commission will
take in the coming months and years, to implement this vision,
and get Europe ready on track for a smart, carbon-neutral
We foresee actions in the following areas:
Create a more circular energy system
, with “energy-efficiency-
first” at its core
: Too much energy or potential energy is
wasted in our current system, from heat and gases that are
released into the atmosphere, to by-products of industrial
processes and energy production, which could be captured and
used for other purposes.
Accelerate electrification, and build a largely renewables-
based power system
: To meet our emissions reduction goals in
the power sector we need more electricity to be generated
from renewables and to power areas such as buildings,
industry, and transport.
Promote renewable and low-carbon fuels, including hydrogen,
for hard-to-decarbonise sectors
: Some sectors, like heavy
transport and industry, are harder to electrify, so we need to
invest in cleaner fuels to power them.
Adapt energy markets for decarbonisation and distribution of
: Customer information, choice and access is essential
to enable and encourage smarter energy use and tackle energy
poverty. We will ensure a more level-playing field across all
energy carriers, making electricity and gas markets fit for
decarbonisation. The role of flexibility is crucial in this regard
(including the one provided by flexible – increasingly carbon-
free - generation alongside demand response and storage)
The work also started on adapting the gas market design to the
decarbonised gases where we plan to facilitate an uptake of
clean hydrogen and biomethane and prevent market
fragmentation when such locally produced gases will gain
importance. A proposal is planned for 2021 (Q3).
Build a more integrated energy infrastructure
: by adopting a
new holistic approach for both large –scale and local
infrastructure planning for district heating, electricity, gas,
hydrogen, and CO2.
Set up a digitalized energy system and a supportive
: by upgrading market design for digital
services and supporting research and innovation framework.
The Recovery Package underlines the importance of a green,
digital and resilient
recovery. The Commission proposed to
reinforce the financial strength of the MFF to benefit such
While the financing instruments for the recovery are largely
horizontal, (cross-sectoral), 25% will be earmarked for
delivering the climate goals of the Green Deal. Energy
investment and reforms are good for the recovery as they
create growth and jobs, as also recently underlined by the
International Energy Agency in their proposal for a recovery
plan. Moreover, from past experience we are confident that
energy can provide a quick pipeline of “shovel-ready” projects
to invest the new money, as the financial reinforcement that
the Commission proposed for the MFF will be concentrated in
the first years of the MFF.
ENERGY EFFICIENCY AND RENOVATION WAVE
Meeting our ambitious climate objectives will require pushing
the boundaries in every field – also energy efficiency, even if
more and more energy comes from renewable source.
In line with the European Green Deal the Commission will strive
to address energy efficiency as a matter of priority. In this
context, we will try to ensure that the energy-efficiency-first
principle is followed across the board and applied in all parts of
energy systems and the whole value chain.
In times of crisis, the energy efficiency first principle becomes
ever more compelling, because energy efficiency investments
can be directed to modernise industries, to reduce operating
costs, and contribute to affordable energy bills for energy
consumers, local jobs supporting employment, a smarter and
healthier environment for all people.
Indeed, energy efficiency investments and buildings renovation
fit under the dual challenge we are facing currently: the energy
sector decarbonisation and the green recovery after the COVID
The Renovation Wave is a flagship area under the Recovery
Plan for Europe. Financing the renovation of buildings is one of
the most urgent and immediate action that the EU can take to
stimulate the economic recovery and help achieve
decarbonisation of our economy.
This is as a flagship initiative of the European Green Deal, and
central to the Recovery package
With buildings being the largest energy consumer (40% of
energy use in the EU) and responsible for 36% of greenhouse
, they are indispensable for reaching the EU’s
carbon neutrality, energy efficiency and renewable energy
The initiative’s aim is at least doubling the rate of renovation of
existing building, lowering energy bills and improving living and
In addition to the reinforced regulatory and financial support,
the aim is to remove barriers to renovation (e.g. whether
regulatory, financial, lack of skills or information, skills or
Utilities have an essential role to play for energy efficiency of
buildings, and for building renovation by proposing affordable
and innovative products and services to consumers.
We know ENGIE is engaged in this endeavour notably
digitalisation, smart technologies and services.
The TEN-E revision to be presented by the end of the year will
be crucial in ensuring that our infrastructure policy fully
supports the Green Deal, but also to kick-start the economic
recovery post the COVID 19 pandemic.
This revision will strengthen the focus on electrification and
renewables integration, including offshore, the need to scale
up smarter grid solutions, and address the different
opportunities to decarbonise the gas grid by looking into the
potential of hydrogen and other carbon neutral/renewable
gases, retrofitting of existing infrastructure and elements of
smart sector integration.
The revised TEN-E, as well its funding priorities under the
Connecting Europe Facility will continue to be fully dedicated to
the accelerated deployment and financing of sustainable
OFFSHORE ENERGY STRATEGY
The Strategy on Offshore Renewable Energy – planned for
autumn 2020 - will provide a vision and a series of policy
initiatives for steering the multi-dimensional step change
necessary to achieve a massive, rapid, cost-effective and
sustainable scale up of offshore renewable energies in the
whole EU up to 2050.
Background on energy system integration
Energy sectors that used to be separate are becoming more and more interlinked as the
economy transitions towards carbon neutrality. The electrification of transport is a good
example. Electric vehicles connect the transport sector and power sector, but also buildings,
where charging points are often located.
Smart sector integration is a way to anticipate, plan and accelerate the transition to the
sustainable energy system of the future, making sure that it happens in a cost-effective way
that benefits all citizens and where all sectors of the economy play their part.
This integration is required because of changes in energy supply, in energy demand and
advances in energy technologies. Over the last decades, the bulk of energy demand has
moved from traditional heavy industries towards transport and service industries.
Simultaneously, the European energy supply is changing, away from fossil fuels and towards
renewable energy. This transformation of the whole energy system will continue over the
next 30 years as we progress towards our objective of a climate-neutral economy. Sector
integration combined with decentralised energy technologies, digitalisation, changing
consumer needs, and environmental constraints are also changing when, where, and by
whom energy is used and produced. .
These changes in energy demand and supply creates opportunities to rethink how the
energy system and its infrastructure is organised and regulated. By looking at how different
sources and carriers of renewable energy can be coupled with end-use sectors the total
investment and operation cost of renewable energy production, transmission, transport,
distribution, storage and energy conversion can be minimised.