Bioenergy and Sustainability Policy Netherlands 2008

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Dar es Salaam, 20 Feb 2008: Bioenergy Netherlands

Bioenergy and Sustainability Policyin the Netherlands

Kees Kwant

SenterNovem


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1. Energy situation in the Netherlands

primairy energy in NL (3100 PJ/a)

natural gas

48%

oil

36%

coal

11%

nuclear

1%

electricity

import

2%rest

2%

secondary energy in NL (3100 PJ/a)

electricity

11%

transportation

fuels

15%

heat

31%

losses

32%

products

11%


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2. Energy Transition needed Transition from fossil-based fuels and raw materials to a sustainable

energy housekeeping

Clear Goal: 50% CO2 emission reduction by 2050

Long term strategy

Significant changes in technology, infrastructure,

socio-economic environment, government policy

Methods : Public private approach Vision, goals, transition paths, experiments Interdepartemental collaboration


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Biobased Raw Materials PlatformTransition to replace fossil based raw materials to biobased raw materials

Transition paths:

Sustainable development and production of biomass Sustainable import chains

Co-production of chemicals, transport fuels, electricity and heat

Production of SNG (synthetic natural gas) for the natural gas

infrastructure

Innovative use of biobased raw materials and increasedsustainability of processes and products in the chemical industry


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Governmental OpinionBiobased Economy, October 2007

-Positive but Careful & Sustainable

-Should contribute to GHG savings

-Match Economic strength :

chemicals, logistics, food, research

-Cooperate internationally

-No-Regret Policy Agenda:

- Biorefinery: more efficient use ofbiomass- Worldwide sustainable

production- Encourage green power & gas- Develop Market


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3. Renewable Energy Policy in the Netherlands

Objectives in The Netherlands:

9% renewable electricity in 2010. (EU directive)

20% renewable Energy in 2020 (new Government)

14% renewable Energy obliged by EC directive

Liquid Biofuels: replacement of gasoline and diesel

5.75% in 2010 obligation on fuel suppliers

10 % - 20% in 2020


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Dutch biofuel policy

Obligation: 2% in 2007 rising to 5,75% (energy content) in 2010

From 1-1-2009: Reporting on sustainability including GHG balance

5,75%

4,50%

3,25%

2,00%Total DieselPetrol

3,5% 3,5%2010

3,0% 3,0%2009

2,5% 2,5%2008

2,0%2,0%2007


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4. Status Renewable Energy Development2007: 2.5% , and 5.6 % Renewable Electricity

0

10

20

30

4050

60

70

8090

100

1990 1995 2000 2001 2002 2003 2004 2005 2006 2007

PJ

biofuels

biogas

combustion

cofiring

wasteheatpump

solar

wind

hydro

*

* 2007 preliminary data

* 2007: estimation


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GROWING PUBLIC CONCERN


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5. NEED FOR SUSTAINABILITY CRITERIA

Environmental groups and Parliament areconcerned about sustainability of biomass

Application of criteria for sustainability in

relevant policy instruments for biofuels andelectricity production

A wider application of sustainability indicatorsby private sector is desirable


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SELECTION OF THEMES

Greenhouse gas balance Competition with food, local energy supply,medicines and construction materials

Biodiversity

Environment Economic prosperity Well-being


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GREENHOUSE GAS BALANCE

Greenhouse gas balance is positive

Net emission reduction related to fossil fuels of at least30% for biofuels and 50-70% for electricity production.Assuming differentiation of policy instruments aiming at

better performances

Assessment based on specific methodology

Whole chain is taken into account (includingapplication); performance depends on fossil reference


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COMPETITION WITH FOOD

The production of biomass for energy must notendanger the food supply and other localapplications for biomass (such as for medicinesor building materials).

Insight in land use changes, and changes in prices ofland and food

Reporting on request of the Dutch government.Objective is to support the monitoring at macro-level


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BIODIVERSITY

Biomass production will not affect protected areas orvaluable ecosystems; active protection wherepossible

Comply with national legislation and regulations No deterioration of biodiversity in protected areas or

other areas with valuable ecosystems. Preservation or recovery of biodiversity within biomass

production units Restoration of biodiversity, where possible


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ENVIRONMENT

Soil, water and air quality are maintained or improvedin the production and processing of biomass

Comply with national legislation and regulations

Application of Best Practices No competition between use of residual flows and

other applications to maintain soil quality No use of water from not renewable sources No use of fires to construct or maintain biomass

production units


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ECONOMIC PROSPERITY

Biomass production contributes to local and nationalprosperity

Positive contribution of production activities to local

economy and local industries

Reporting on the basis of specific economicperformance indicators of the Global Reporting

Initiative


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WELL-BEING

Production of biomass contributes to the well-beingof workers and local population

No negative effects on working conditions of workers

and human rights No violation of prosperity rights and rights of use Positive contribution to social conditions of local

population

No violation of integrity


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CRITERIA AT MACRO-LEVEL

Important for: greenhouse gas balance, biodiversity competition with food and other biomass applications

Monitoring of (indirect) land use change is needed,at macro-level

Primary responsibility of Dutch government


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CRITERIA AT MACRO-LEVEL (2)

Relevant effects: Prices of land and food Availability of food Change of food production and animal husbandry

Deforestation Loss of nature reserves Changes in vegetation types


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FOLLOW-UP ACTIVITIES

Implementation

Implementation of criteria in government policy Development of criteria and monitoring at macro level

Supporting the private sector in starting the certificationprocess


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Sustainability reporting in the Netherlands

Implementation as minimum requirements is not possible;

therefore: Implementation as a reporting obligation for electricity

generation (biomass) and transport fuels Batch reporting: confidential

Annual public report: aggregated information; policies andplans

Following a metastandard approach: using existingcertificates where possible


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Current situation: limited number of sustainabilitystandards

CoverCriteria

Cover current biofuel crops

FSC

SAN/RA

Basel

ACCS

EurepGAP

SAI

RSPO

LEAF


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European Commission: January 2008:Sustainability criteria comparing

CramerGreenhouse Gas Balance/

carbonreservoirscompetition with food and

local useBiodiversityEnvironmentProsperityWellbeingNL-> Obliged reporting

EC ProposalYes, minimum 35% /YesNo

YesInside Europa

NoNoEC-> Stricter not allowed


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Next steps

Macro monitoring

Benchmark: evaluation of existing standards

Certification: based on a standard develop scheme

Development of standards

Pilots and dialogue to assess applicability

Further development of CO2 tool


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Conclusion

Development for Renewable Energy and Biofuels starts Huge demand for biomass and biofuels Need for Sustainable Production and Application

Set of Criteria available

Set up of Pilots to assess the criteria

Development and experience with certification scheme needed

International cooperation required

Bioenergy and Sustainability Policy Netherlands 2008

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