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4 michael krug_energijas_kopienas_vacija

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4 michael krug_energijas_kopienas_vacija

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4 michael krug_energijas_kopienas_vacija

  1. 1. This project has received funding from the European Union’s Horizon 2020 research and innovation programme under grant agreement no 764717. The sole responsibility for the content of this presentation lies with its author and in no way reflects the views of the European Union. Renewable energy communities - good practice examples from Germany Michael Krug (Freie Universität Berlin, Environmental Policy Research Centre) WinWind Policy Roundtable/Thematic Workshop Challenges of Policy and Social Acceptance for On-shore Wind Energy Development in Latvia Riga, 25 April 2019
  2. 2. 1. Definition, context and drivers 2. Community Wind Farm in Neuenkirchen (Schleswig Holstein) 3. Key Lessons Overview
  3. 3. Definition Community energy means the economic and operational participation and/or ownership by citizens or members of a defined community in a renewable energy project (IRENA 2018).
  4. 4. Gross power production in Germany 1990-2017 in TWh, by source Source: Clean Energy Wire, data: AG Energiebilanzen 2017, 2017 data preliminary
  5. 5. Ownership structure of installed renewable power generation capacity, 2016 Source: Clean Energy Wire, Data: trend:research, AEE 2017
  6. 6. Community wind farms in Germany • Common legal forms: limited partnerships, cooperatives • Most common type: limited partnership in which the general partner is a limited liability company (Gesellschaft mit beschränkter Haftung & Compagnie Kommanditgesellschaft – GmbH & Co. KG) ➢ Hybrid of a limited liability company (GmbH/SIA) and a limited partnership (KG)
  7. 7. Limited partnership with a limited company as general partner General partner Limited company (GmbH, SIA) Limited partners (liability limited to the partner´s capital contribution Limited partnership Source: Hanus, Müller-Wrede & Partner
  8. 8. Socio-political acceptance
  9. 9. Community acceptance
  10. 10. Key drivers of community wind energy • Favorable national policy framework and comparatively low market risks • Guaranteed minimum remuneration via feed-in tariffs/premiums (Renewable Energy Sources Act) • Low market risks and high investment security: farmers, local communities, and cooperatives to access finance and invest in wind energy projects. • Region-specific driving factors • Example Schleswig-Holstein ➢ Long standing tradition and high share of community wind farms (80%) ➢ Traditionally high level of community acceptance
  11. 11. Drivers of community wind energy in Schleswig-Holstein • Favourable wind conditions • Early attempts of pioneering farmers to become energy autonomous (“wind farmers”, wind millers”) • Structural weakness of the coastal regions and rural depopulation • Inspiration from early community wind projects in Denmark • Political commitment and continuous policy support • Early technology and industry development
  12. 12. Installed wind energy capacity per square kilometer (2017, in kW) Sources: Agentur für Erneuerbare Energien, BNetzA 2018a, Statistische Ämter des Bundes und der Länder, Wikipedia
  13. 13. Context: Wind energy zoning • Spatial plans are widely used to concentrate wind farm developments in designated areas (e.g. priority areas or suitable areas for wind energy) • Organisation of spatial planning varies among the 16 federal states ➢ Regional level: Regional plans ➢ Municipal level: Land-use plans • Multi-step approach based on consecutive exclusion of „hard“ and „soft taboo zones“
  14. 14. Multi step approach 1. Hard taboo zones 2. Soft taboo zones Potential areas (Potenzialfläche) Priority zone (Vorrangfläche)
  15. 15. This project has received funding from the European Union’s Horizon 2020 research and innovation programme under grant agreement no 764717. The sole responsibility for the content of this presentation lies with its author and in no way reflects the views of the European Union. Community wind farm in Neuenkirchen (Schleswig-Holstein)
  16. 16. Neuenkirchen – regional context • 1,035 inhabitants • Location close to the North Sea coast • Rural, peripheral region • Low population density, large number of small municipalities • Flat, open, forest poor marsh landscape • Intensive agricultural use • Located in one of the wind energy pioneer regions of Germany (Dithmarschen) • Very high density of wind turbines • Neuenkirchen is a latecomer regarding wind energy
  17. 17. Community wind farm Neuenkirchen • Commissioned in 2015 • 12 x 3 MW Senvion turbines on 3 sites plus 1 x 3 MW Enercon turbine • Total investment cost: 56.5 million EUR • Initiators: local farmers, land owners • 7 founding shareholders • Financial participation of citizens (in total 145 shareholders as limited partners) • Land lease pool model (Flächenpoolmodell) • Benefit sharing via civic association (Bürgerverein) • http://www.buergerwindpark- neuenkirchen.de/projekt/infos/
  18. 18. Key technical and economical data Technical data Manufacturer: Senvion SE (former REpower) Type: 3.2 M 114 Nominal capacity: 12 x 3,200 kW Rotor diameter: 114 m Hub height: 93 m Total height: 150 m Setback distances Distance to church: 2,000 m (historical heritage) Distance to single houses: 450 m Distance to settlements: 800 m Economical data Investment: 56.5 mEUR Revenues (2017): 10.83 mEUR Annual profit (2017): 5.13 mEUR Business tax payments: 0.64 mEUR
  19. 19. Wind energy zoning
  20. 20. Chronology Year Steps Before 2008 Plans by local land owners to develop a community wind farm 2008 Municipal elections, change of mayor 2009 Council decision to propose wind energy suitable areas to the district administration 2009 Foundation of a local citizens’ group opposing the wind farm plans. Initiates local referendum 2009 → 1st referendum: rejects council decision 2011 Mayor and council initiate a 2nd referendum about the notification of 4 suitable areas → 2nd referendum positive → Council proposes to include 4 wind energy suitable areas in the regional plan 2012 Regional plan takes effect (designation of 3 of the 4 proposed suitable areas) 2013 Foundation of Bürgerwindpark Neuenkirchen UG & Co. KG 2014-2015 Construction works 2015 Commissioning of the plant 2016 Foundation of a civic non profit association (1% of the annual profits)
  21. 21. Active financial participation of citizens • 20% of the total investment cost to be covered by equity capital (11 million EUR) • Direct financial participation of citizens as limited partners ➢ Minimum deposit 500 EUR, maximum deposit 50,000 EUR ➢ No investor to own more than 25% of voting rights ➢ 145 citizens finally registered as limited partners (July 2014) ➢ Municipality obtained shares (20,000 EUR) ➢ Municipal councilors
  22. 22. Passive financial participation of citizens Individuals Land lease pooling model ➢ Land owners receive financial compensation for the use of their land ➢ 5% of the annual remuneration for the electricity fed into the grid Land owner group Share Land owners on whose land the turbines are installed 20% All land owners in the wind energy suitable zone 70% Owners of land used for road transport and other infrastructure measures 10% Community ➢ Benefit sharing via a civic non-profit association (Bürgerverein) ➢ Agreement: 1 % of annual profit flow to a association ➢ Association receives donations also from other local organizations ➢ Revenues used to purchase community bus, PC equipment for school, construction of community building, etc.
  23. 23. Passive financial participation (II) Community level ➢ Community business tax revenues (Gewerbesteuer) (2017: 640,000 EUR) Other benefits ➢ Compensation/mitigation measures nature and landscape effects ➢ Monetary compensation to offset negative landscape impact ➢ Problem: revenues are often not used locally, but regionally, only limited local benefits
  24. 24. Acceptance drivers Formal and informal participation of citizens and municipalities in zoning, planning and permitting Transparent information disclosure by the project initiators Trustworthiness of initiators Municipality as "leader by example" Mayor as facilitator/mediator Community Acceptance
  25. 25. Acceptance drivers (II)
  26. 26. Lessons for policy • Supportive policy framework • Ensure calculability for investors, reduce market risks • Create opportunities for active and passive financial participation of citizens • Enabling framework for community energy (see also RED II!), e.g. seed money facilities • Promote awareness raising and training for municipalities • Promote pilot projects, disseminate good practices • Ensure procedural participation of citizens • Support municipalities and communities by providing neutral information
  27. 27. Liels paldies par Jūsu uzmanību!
  28. 28. This project has received funding from the European Union’s Horizon 2020 research and innovation programme under grant agreement no 764717. The sole responsibility for the content of this presentation lies with its author and in no way reflects the views of the European Union. winwind-project.eu info-winwind@PolSoz.FU-Berlin.de @winwind_eu WinWind Project Michael Krug, FU Berlin, mail: mikru@zedat.fu-berlin.de
  29. 29. Additional slides
  30. 30. Definition of „renewable energy community“ (a) which, in accordance with the applicable national law, is based on open and voluntary participation, is autonomous, and is effectively controlled by shareholders or members that are located in the proximity of the renewable energy projects that are owned and developed by that legal entity; (b) the shareholders or members of which are natural persons, SMEs or local authorities, including municipalities; (c) the primary purpose of which is to provide environmental, economic or social community benefits for its shareholders or members or for the local areas where it operates, rather than financial profits. Renewable Energy Directive (EU) 2018/2001, Art. 2,16 Renewable energy community’ means a legal entity:
  31. 31. Quantitative targets of the German Energiewende
  32. 32. Share of energy sources in gross German power production in 2017 Source: Clean Energy Wire, data: AG Energiebilanzen 2017, 2017 data preliminary
  33. 33. Composition of average electricity prices in €ct/kWh for German households*, 2006-2018 * Annual electricity consumption of 3,500 kWh Source: Clean Energy Wire, Data: BDEW 2017
  34. 34. Auctions: Average rates (volume weighted) Tender Date Type of installation €ct/ kWh Highest successful bid Lowest successful bid 5/2017 Wind onshore 5,71 5,78 5,25 8/2017 Wind onshore 4,28 4,29 4,16 10/2017 Wind onshore 3,40 3,82 2,20 2/2018 Wind onshore 4,73 5,28 3,80 5/2018 Wind onshore 5,73 6,28 4,65 8/2018 Wind onshore 6,16 6,30 5,30 10/2018 Wind onshore 6,26 6,30 6,12
  35. 35. Percentage of average annual electricity demand covered by wind, 2017
  36. 36. Context: Key responsibilities Federal level • Overall strategy, framework setting • National support scheme • Framework for Authorization/Permitting (BImschG) • Environmental Impact Assessment Renewable Energy Sources Act (EEG) Federal Pollution Control Act (BImSchG) Federal state level • Complementary support schemes • Spatial planning, designation of wind suitable/priority zones Regional level • Spatial planning, designation of wind suitable/priority zones District level • Permitting/authorization („One stop shop“) Municipal level • Spatial planning, designation of „concentration zones“ • Participation in permitting/authorization (consent)
  37. 37. Types of financial participation of citizens in the operation of wind farms Active participation of citizens Direct • Citizens as owners/shareholders of the plants (e.g. co- operative, limited liability company, limited partnership, other legal forms etc.) Indirect • Citizens as creditors/lenders Source: Energieagentur Nordrhein-Westfalen 2014
  38. 38. Types of financial participation of citizens in the operation of wind farms (II) Passive participation of citizens Level of individuals • Land lease payments for land owners • Land lease bonus payments for local residents • Special electricity tariffs for local residents Community level • Community foundations/trusts, community associations • Compensation payments for the community • In-kind benefits for the community • Municipality as shareholder/owner of the plant • Tax revenues from the operation of wind plants Source: Energieagentur Nordrhein-Westfalen 2014
  39. 39. Selected exclusion criteria in Mecklenburg-Vorpommern Source: Hoffmann, G., Mossbauer, M., and Grünes, J. 2017, Ministry of Energy, Infrastructure and Digitalization Mecklenburg-Vorpommern; Landt, C.C., Kjaer, T. (2018). 1 Residential areas with setback distances 2 Priority areas according to Spatial Development Programmes 3 Landscapes under protection 4 Forests and waters 5 Protected areas according to the Nature Conservation Act 6 Breeding sites for bird with setback distances 7 Areas with building restrictions
  40. 40. Levels of social acceptance Forms Acceptance object Acceptance subject Socio- political acceptance RES-technology in general, Renewable Energy Legislation, „Energiewende“ General public, political decision makers etc. Community acceptance Concrete RES projects, grid projects Local population and local communities; local politicians, stakeholders, etc. Market acceptance RES-“products“ or services (e.g. wind turbines, RES based electricity) Investors, consumers, etc. Source: based on Wüstenhagen et al. 2007, Forschungsgruppe Umweltpsychologie 2008, Wunderlich/AEE 2012 Socio-political (of technologies and policies, by the public, stakeholders and policy- makers) Community (procedural and distributional justice, trust) Social acceptance Market (consumers, investors, intra- firm)
  41. 41. Forms of acceptance Source: adapted from Hildebrandt 2018, Zoellner, Rau & Schweizer-Ries 2009 Action Passive Active Assessment Positive SUPPORT INDIFFERENCE SUPPORT/ ENGAGEMENT Negative TOLERATION REJECTION RESISTANCE/OPPOSITION (70,7%) (10,8%) (15,3%) (3,2%)
  42. 42. Diminishing local acceptance • In recent years hundreds of anti-wind initiatives were founded. • Effective networking and professionalization • National association "Vernunftkraft” • Association speaks of 900 citizens’ initiatives in the association. This number is controversial, some experts consider approximately 500 citizens' initiatives realistic. • Populist parties try to ride the protest (e.g. AfD very active in East Germany) https://muehlhausen.thueringer- allgemeine.de/web/muehlhausen/startseite/detail/-/specific/Mit- dem-Windpark-waechst-die-Wut-1536121245
  43. 43. The dimension of dissent Local initiatives Regional initiatives https://www.windwahn.com/karte-der- buergerinitiativen
  44. 44. Inakzeptanz/Akzeptanz-Skala Inakzeptanz Stufe 1 Stufe 2 Stufe 3 Stufe 4 Stufe 5 Stufe 6 Stufe 7 Stufe 8 Aktive Gegner- schaft Ablehnung Zwiespalt Gleich- gültigkeit Duldung Konditio- nale Akzeptanz Zustim- mung Engage- ment Akzeptanz Quelle: Sauer et al. 2005
  45. 45. Recommended setback distances for wind turbines in spatial planning Category Region/ federal state Responsibility for designating priority/suitability zones Setback distances for residential areas Setback distances for individual dwellings, splinter settlements Target region Thuringia Regional Planning Associations Turbines <150m: 750 m Turbines >150m: 1,000 m 600 m Target region Saxony Regional Planning Associations No uniform setback distances No uniform setback distances Model region Brandenburg Regional Planning Communities 1,000 m 1,000 m (lower distances possible) Model region Schleswig- Holstein State Planning Authority (state level) 800 m (planned: 1,000 m) 400 m (planned: 500 m)
  46. 46. Timeline of average ENERCON wind turbines sizes