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Integrated National Energy and Climate Plan for the Republic of Croatia for the Period 2021-2030

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Integrated National Energy and Climate Plan for the Republic of Croatia for the Period 2021-2030 REPUBLIC OF CROATIA MINISTRY OF ENVIRONMENT AND ENERGY Integrated National Energy and Climate Plan for the Republic of Croatia for the period 2021-2030 December 2019 Contents SECTION A: NATIONAL PLAN ............................................................. 6 1. Overview and Process for Establishing the Plan .......................... 7 1.1 Summary ............................................................................................................. 7 1.2 Overview of current policy situation ....................................................................15 1.3 Consultations and involvement of national and Union entities and their outcome 47 1.4 Regional cooperation in preparing of the plan .....................................................50 2. National Objectives and Targets .................................................. 52 2.1 Dimension decarbonisation .................................................................................52 2.2 Dimension energy efficiency ...............................................................................61 2.3 Dimension energy security ..................................................................................65 2.4 Dimension internal energy market .......................................................................71 2.5 Dimension research, innovation and competitiveness .........................................77 3. POLICIES AND MEASURES .......................................................... 80 3.1 Dimension decarbonisation .................................................................................80 3.2 Dimension energy efficiency ............................................................................. 133 3.3 Dimension energy security ................................................................................ 161 3.4 Dimension internal energy market ..................................................................... 165 3.5 Dimension: research, innovation and competitiveness ...................................... 170 SECTION B: ANALYTICAL BASIS .................................................... 175 4. CURRENT SITUATION AND PROJECTIONS WITH EXISTING POLICIES AND MEASURES ........................................................ 176 4.1 Projected evolution of main exogenous factors influencing energy system and GHG emission developments ..................................................................................... 176 4.2 Dimension decarbonization ............................................................................... 182 4.3 Dimension: energy efficiency ............................................................................ 189 4.4 Dimension energy security ................................................................................ 192 4.5 Dimension internal energy market ..................................................................... 196 4.6 Dimension research, innovation and competitiveness ....................................... 212 5. IMPACT ASSESSMENT OF PLANNED POLICIES AND MEASURES ...................................................................................................... 222 2 5.1 Impacts of planned policies and measures described in section 3 on energy system and GHG emissions and removals, including comparison to projections with existing policies and measures (as described in section 4) ............................... 222 5.2 Macroeconomic and, to the extent feasible, the health, environmental, employment and education, skills and social impacts, including just transition aspects (in terms of costs and benefits as well as cost-effectiveness) of the planned policies and measures described in section 3 at least until the last year of the period covered by the plan, including comparison to projections with existing policies and measures .......................................................................................................................... 227 5.3 Overview of investments needs......................................................................... 229 5.4 Impacts of planned policies and measures described in section 3 on other Member States and regional cooperation at least until the last year of the period covered by the plan, including comparison to projections with existing policies and measures .......................................................................................................................... 230 6. REFERENCES .............................................................................. 231 7. LIST OF FIGURES ........................................................................ 232 8. LIST OF TABLES ......................................................................... 235 9. LIST OF ABBREVIATIONS .......................................................... 237 10. APPENDICES ............................................................................... 239 Report on Parameters and Variables Used (xls) .......................................................... 239 Energy balance and indicators .................................................................................... 239 Article 7 Measures and methods for implementing (doc) ............................................. 239 Policies and measures (xls) ......................................................................................... 239 Report on Greenhouse Gas Emissions by sector and type of gas (xls) ....................... 239 3 INTRODUCTION In a communication from the European Commission on A Framework Strategy for a Resilient Energy Union with a Forward-Looking Climate Change Policy of 25th February 2015, it has been noted that integrated management is needed to ensure that all energy-related activities at the Union, regional, national and local level contribute to the objectives of the Energy Union. The objectives will be achieved through five key dimensions of the Energy Union: 1. energy security, 2. an internal energy market, 3. energy efficiency, 4. decarbonisation and 5. research, innovation and competitiveness. The Conclusions of the European Council on the Governance of the Energy Union of 26th November 2015 recognized that the governance system of the Energy Union will be an essential tool for the efficient and effective construction of the Energy Union and the achievement of its objectives. The Conclusions stressed that the governance system should be based on the principles of integration of strategic planning and reporting on the implementation of climate and energy policy and on coordination between actors responsible for climate and energy policy, at EU, regional and national level. Therefore, on 11th December 2018, Regulation (EU) 2018/1999 of the European Parliament and of the Council on the Governance of the Energy Union and Climate Action, amending Regulations (EC) No. 663/2009 and (EC) No. 715/2009 of the European Parliament and of the Council, Directives 94/22/EC, 98/70/EC, 2009/31/EC, 2009/73/EC, 2010/31/EU, 2012/27/EU and 2013/30/EU of the European Parliament and of the Council, Council Directives 2009/119/EC and (EU) 2015/652 and repealing Regulation (EU) No. 525/2013 of the European Parliament and of the Council has been adopted (hereinafter referred to as the Regulation on the Governance of the Energy Union and Climate Action). This Regulation stipulates the development of integrated national energy and climate plans for a ten-year period. The first Integrated Energy and Climate Plan (hereinafter referred to as the Integrated Energy and Climate Plan) should cover the period from 2021 to 2030. The achievement of the objectives of the Energy Union is to be ensured through a combination of Union initiatives and consistent national policies set out in integrated national energy and climate plans. The Integrated National Energy and Climate Plan for the period 2021-2030 builds on existing national strategies and plans. It provides an overview of the current energy system and the energy and climate policy. It also provides an overview of the national targets for each of the five key dimensions of the Energy Union and the appropriate policies and measures to achieve those targets, for which an analytical basis should be established. In the Integrated Energy and Climate Plan, particular attention should be paid to the targets to be achieved by 2030, which include the reduction in greenhouse gas emissions. energy from renewable sources, energy efficiency and electricity interconnection. It should be ensured that the Integrated Energy and Climate Plan is consistent with and contributes to the Sustainable Development Goals. 4 The Integrated National Energy and Climate Plan for the period 2021-2030, pursuant to Article 12 of the Act on the Strategic Planning and Development Management System of the Republic of Croatia (Official Gazette No. 123/17), shall be adopted by the Government of the Republic of Croatia at the proposal of the Ministry of the Environment and Energy. The table below includes the most important targets that the Plan sets for 2030. Indicator Target Reduction in greenhouse gas emissions for the at least 43%1 ETS sector, compared to 2005 Reduction in greenhouse gas emissions for non- at least 7% ETS sectors, compared to 2005 Share of RES in gross final energy consumption 36.4% Share of RES in final energy consumption in 13.2% transport Primary energy consumption (total energy 344.38 PJ (8.23 ktoe) consumption without non-energy consumption) Final energy consumption 286.91 PJ (6.85 ktoe) 1 The target for Croatia is indicative
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