The European Commission recently released a report “Subsidies and costs of EU energy” unveiling for the first time data on costs and subsidies across various generation technologies in the electricity sector in all EU Member States.
EGEC welcomes the release of this timely study and is pleased with the transparent debate and consultation of the relevant stakeholders that was carried out by the European Commission during the preparatory work.¨
The geothermal sector is all the more ready to deploy new innovative technologies and to take an active part in the energy transition in Europe.
Unfortunately, the support dedicated to geothermal energy in the EU is negligible compared to other power generation technologies. In 2012, geothermal only received €70million, compared to €14.7 billion for solar PV and €6.6 billion for nuclear! Geothermal cannot live up to its promises without adequate support.
EGEC therefore calls for the swift rebalancing of support across all power generation technologies. Geothermal should therefore benefit from exemptions set out in the EU new state aid rules, for instance to avoid the mandatory application of auctioning, which does not fit the technology-specific risk profile of geothermal technologies.