New analysis of flexible support mechanisms in the RES Directive

The Nordic Council of Ministers’ Working Group for Renewable Energy has commissioned an evaluation of the usefulness and consequences of utilising the flexible support mechanisms of the RES Directive in the Nordic Countries.

The co-operation mechanisms of the EU’s RES Directive are new and consequently it is still not fully clear how these flexible mechanisms should be used, nor their consequences on the electricity market and renewable energy sources. The Working Group for Renewable Energy therefore commissioned GreenStream Plc to carry out the study.

According to Juha Ruokonen, project manager from GreenStream, the RES co-operation mechanisms market is still in infancy. “These mechanisms are new in the renewable energy sector but similar type mechanisms are in use in the global carbon markets. Luckily we can use lesson learnt in the carbon market in developing practicalities of RES cooperation mechanisms”.

The Nordic countries have a long history in co-operating on the electricity market. The long-term objective of Nordic countries is to promote an efficient, competitive, secure and sustainable energy supply. The EU countries have set a binding target to increase the share of renewable energy to 20% by 2020. This target is further divided to national targets varying from 11% to 49%. Countries can meet their obligations either by; increasing domestic use of renewable energy sources; co-operate by implementing joint projects or implement common renewable energy support systems.

Download the study

Download the full press release: