TOPAZ Institute has commissioned a new study on energy development in the Czech Republic. The material with up-to-date information is freely available for download.
The policy paper can also be found in the article Rozvoj obnovitelné energie v Česku do roku 2030 (2/23) – TOPAZ (top-az.eu)
What does the REPowerEU strategy propose?
To reduce dependence on fossil fuels from Russia and increase energy security, the European Commission (EC) presented the REPowerEU strategy in May 2022. Among other things, it reinforces the objectives of the Fit for 55 legislative package currently under discussion and proposes:
→ Increase the share of renewable energy sources (RES) in EU energy consumption to 45% in 2030
→ Reduce energy consumption (= increase energy efficiency) by an additional 13% by 2030 compared to the EC 2030 reference scenario
Individual EU Member States set their own targets within the National Energy and Climate Plan (NECP). An update of the NECP is currently being prepared in the Czech Republic, and this document should reflect the REPowerEU ambitions.
The Czech Republic has a large amount of EU funding available to implement its NECP.
Could we have twice as much renewable energy in the Czech Republic in 2030 as today?
Yes, it's possible. Currently, the share of renewable energy in the total consumption of the Czech Republic is 17%, with the vast majority of this energy coming from various forms of biomass. This study considers the Czech Republic's contribution to the EU's climate and energy targets to be adequate, with a share of renewable energy in the range of 32-35% by 2030, and also outlines a detailed scenario for how to achieve this share.The development of solar and wind energy, which is the cheapest source of electricity worldwide today and, moreover, has a potential many times greater than what we are still using, is crucial for the Czech Republic. The promotion and development of these sources is currently the main thrust of the energy transformation in other European countries and elsewhere in the world. In addition to the gradual change in the energy mix in the Czech Republic, measures to increase energy efficiency (mainly "insulation", significantly higher use of heat pumps and the development of electromobility) are equally important.The use of sustainable biomass, such as wood and agricultural waste, plays only a complementary role in the further development of renewable energy - simply because biomass is and will be a limited resource.2
A detailed analysis of solar and wind energy options (details in Chapter 2) shows two main conclusions:
- The production of electricity from the sun and wind can cover a substantial part of the consumption in the Czech Republic. By 2030, the production of renewable electricity can be increased by up to 20 TWh per year without jeopardising the security of electricity supply. As before, variable generation from RES can initially be supplemented by controllable coal and gas-fired power plants.
In the next phases of decarbonisation, these fossil sources will be gradually replaced by low-emission sources (e.g. efficient biomass cogeneration), solar and wind electricity will be stored more in batteries, and the strategic development of consumption flexibility will also be key. - As solar energy develops significantly, the value of the electricity produced will gradually decrease. This will reduce the return on investment in solar energy. In the long term, it is therefore essential to significantly develop wind power, which will suffer less from this phenomenon.
What steps will help the development of solar and wind energy in the Czech Republic?
1. Thoughtful strategy
Without a strategy, everything, including legislation, stagnates. The energy policy of the Czech Republic needs a clear direction set by strategic documents.
→Czech Republic urgently needs a well-thought-out and ambitious State Energy Concept (SEC) and NECP.
→The Czech Republic has the opportunity to influence the shape of the pending RED III and RED IV directives (Renewable Energy Directives) on the promotion of the use of energy from renewable sources.
2. Agile permitting processes
Permitting processes for the construction of wind power plants in the Czech Republic can take more than 7 years. In such an environment, it is not possible to undergo a successful transformation.→The Czech Republic needs to define "go-to zones" for the development of different types of RES.→An easier alternative to "go-to zones" is to translate wind energy targets into national spatial planning.
3. A distribution network that moves with the times
The current infrastructure in the Czech Republic is not ready for the necessary increase in the share of renewable energy sources. Applicants for connection often face insufficient grid capacity.
→Czech Republic needs accessible information on the current capabilities of the network as well as investment to strengthen it.
→The energy market must be opened up to new players who will provide local consumption and flexibility services.
4. Smart Energy
The Czech energy sector is based on large resources and strong centralisation. This is also reflected in the laws, which do not yet recognize some of the modern institutions that are necessary for the energy transformation.
→The Czech Republic needs to quickly transpose the so-called Winter Package of European regulations and enable the creation of energy communities and appropriate conditions for accumulation and aggregation.
→The roll-out of smart metering needs to be accelerated and equal access to data needs to be ensured for all market participants.
