Second agreement on statistical transfers of renewable energy amounts between Estonia and Luxembourg

Last week a second cooperation agreement on a statistical transfer of renewable energy amounts was signed between two EU Member States, Estonia and Luxembourg. It follows a first arrangement on a statistical transfer that was signed between Lithuania and Luxembourg just a few weeks ago.

The Commission welcomes this new example of successful cooperation in the field of renewable energy. It will allow for a transfer of surplus renewable energy from Estonia to Luxembourg, helping the latter to achieve its national renewable energy target in the framework of the cooperation mechanisms of the Renewables Directive.

Director-General for Energy Dominique Ristori :

I congratulate Estonia and Luxembourg on this promising agreement. Within only a few weeks we have seen two excellent examples of how cooperation can help Member States to reach their national renewable energy objectives. These agreements are strong signals that show how European cooperation can create true win-win-situations and enable Member States to jointly deploy energy potentials more cost-effectively. It underlines the increased role of European cooperation that we emphasize with the Clean Energy Package.

The agreement stipulates that Estonia will transfer a minimum volume of renewable energy target amounts in 2018 and 2020 to help Luxembourg fulfil its 2020 national renewable energy target. The agreement includes the option for additional transfers in the future. The revenues received by Estonia from Luxembourg are to be used to finance projects in the areas of renewable energy or energy efficiency.

The option for statistical transfers was introduced in the Renewable Energy Directive (2009/28/EC) to allow EU countries with more abundant and cheaper renewable energy sources to cooperate with other countries to reach their national renewable energy target at lower costs. The continuation of these cooperation mechanisms is foreseen in the Commission's proposed revision of the Renewable Energy Directive for the post-2020 period. Transfers become effective only after all countries involved in the transfer have notified the European Commission.

The Directive sets mandatory national targets for the share of renewable energy for each EU country, to be reached in 2020. The national targets are set with a view to achieving the EU 20% renewable energy target in 2020. Estonia's national renewable energy target for 2020 is 25%. In 2015, Estonia achieved a share of 28.6% of renewable energy in its gross final energy consumption.

Luxembourg's national renewable energy target for 2020 is 11%. Luxembourg achieved a 5% renewable energy share in its gross final energy consumption in 2015. Luxembourg stated in its national renewable energy action plan, and its latest renewable energy progress report, that it intends to use cooperation mechanisms on statistical transfer to reach its 2020 target.