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EU Commission proposes directive to safeguard environment in union territories

At the ongoing Energy Minister's Conference in Brunsbuettel, Kathrin Moosdorf, the Senator for Environment, Climate, and Science, is pushing for the development of Renewable Energy Communities within industrial zones. These industrial and commercial buildings, with their substantial rooftops,...

Proposal Approved for Directive on EU Environmental Protection
Proposal Approved for Directive on EU Environmental Protection

EU Commission proposes directive to safeguard environment in union territories

In the ongoing Energy Ministers' Conference in Bremen, Senator Kathrin Moosdorf, the Senator for Environment, Climate, and Science in Bremen, has proposed the prompt implementation of an existing EU directive on 'energy sharing' in Germany. Her call for action has received unanimous support from the participants, as documented in a photo taken during the conference.

The EU directive, if implemented effectively, would enable companies in industrial areas to supply their climate-friendly electricity to neighboring businesses, tapping into the significant potential for PV expansion offered by industrial and commercial properties with large roof areas.

To make this a reality, the German government can take several targeted steps:

1. **Legal Framework Adaptation**: Germany needs to update or create legislation that explicitly allows and facilitates peer-to-peer or shared renewable energy arrangements within industrial parks. This involves amending national energy laws and grid codes to recognize energy sharing as a legitimate and supported mechanism, ensuring legal certainty for participants.

2. **Regulation of Grid Access and Tariffs**: Implement rules that simplify grid access for companies sharing renewable energy locally, including fair and transparent grid fees or exemptions for energy sharing within defined local areas.

3. **Incentives and Quota Adjustments**: Align the implementation with the updated EU Renewable Energy Directive (RED III), which Germany is already incorporating through tightening greenhouse gas reduction quotas and renewable fuel requirements. For example, incentivizing renewable energy production and sharing through quota benefits or financial support can motivate industrial users to participate.

4. **Technical and Metering Standards**: Set clear technical standards for metering and tracking shared renewable energy flows among companies.

5. **Support Infrastructure and Funding**: Provide funding or subsidies to develop the infrastructure needed for energy sharing, such as shared storage, local grids, or digital platforms that enable energy transactions between businesses.

6. **Pilot Projects and Stakeholder Engagement**: Launch pilot schemes in industrial clusters to test and refine energy sharing models in practice, involving local companies, grid operators, and regulators to identify and address practical challenges.

Currently, the distribution of generated electricity is prevented by legal regulations, but with these measures, the implementation of the EU directive on "energy sharing" can pave the way for a more sustainable and energy-efficient industrial sector in Germany.

The focus on implementing RED III through legislative drafts that aim to increase renewable shares and greenhouse gas reduction quotas is ongoing, but the specific aspect of energy sharing within industrial areas would require specialized regulatory attention beyond the general renewable targets and fuel quotas. Adjustments in grid access policies and local market frameworks will be essential to enable decentralized renewable energy distribution among neighboring companies.

[1] [EU Renewable Energy Directive (RED III)](https://ec.europa.eu/energy/en/topics/renewables/european-renewable-energy-directive-red-iii) [2] [Germany's Energy Transition: The Energiewende](https://www.bundesregierung.de/breg-en/themen/energie/energiewende-1674728)

In the context of the Energy Ministers' Conference in Bremen, the proposed implementation of the EU directive on 'energy sharing' in Germany could offer significant potential for PV expansion within industrial areas, allowing companies to supply their climate-friendly electricity to neighboring businesses.

To make this vision a reality, the German government should create a legal framework that allows and facilitates peer-to-peer energy arrangements, regulate grid access and tariffs, offer incentives and adjust quotas in line with the EU Renewable Energy Directive (RED III), establish technical standards for metering, and provide support infrastructure and funding.

Pilot projects and stakeholder engagement in industrial clusters will help test and refine energy sharing models in practice, with the focus beyond general renewable targets and fuel quotas, specifically addressing grid access policies and local market frameworks.

The implementation of the 'energy sharing' directive could pave the way for a more sustainable and energy-efficient industrial sector in Germany, aligning with Germany's ongoing efforts to increase renewable shares and greenhouse gas reduction quotas as part of its Energy Transition (Energiewende).

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