Fossil Free Futures Lessons from Sweden

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Fossil Free Futures Lessons from Sweden

• Energy Technologies and Policy
• 8th September 2008, Birmingham, UK
• Dr. Kes McCormick
• Research Associate

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Lund and Melbourne

• Lund University
• IIIEE
• Research, education and outreach
• Energy (bioenergy, efficiency)
• Products/services
• Buildings

• Melbourne University
• ACSIS
• Research and outreach
• Biotechnology
• Distributed systems (food, energy, water)
• ICT

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Background

• Swedish Government - create conditions necessary
  to break dependence on fossil fuels by 2020 in
  Sweden.
• This new commitment is really a continuation of
  a long-term strategy since the 1970s.
• Oil share 77 in 1970
• Oil share 32 in 2006
• Ambiguity associated with the concept of breaking
  dependence
• National policy by Swedish Government
• Local action (Växjö, Kristianstad and Hässleholm)

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Context

• New energy era
• Climate and security
• Supply focus ? systems perspective!
• How a society, country or region reduces
  dependence on (imported) fossil fuels.
• Similar initiatives across the EU.
• Significant EU policy on climate change, energy
  efficiency and renewable energy.

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National Level (1)

• Consumers to have real options when heating
  houses and driving vehicles (and using
  electricity).
• Special group formed, aptly named the Oil
  Commission. Why? Allows increase in natural gas.
  Coal very little contribution in Sweden.
• Major advantages for an economy divorced from oil
  market fluctuations and opportunity to create an
  export industry for alternative energy
  solutions (know-how and technologies).

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National Level (2)

• Major focus on efficiency and bioenergy (and
  wind).
• Residential space heating from fossil fuels to
  heat pumps and bioenergy (pellets, DHS and CHP).
  Clear cost hierarchy created by policy.
• Industry oil consumption in space heating is
  being targeted, natural gas options.
• Transport mode shifts, fleet shifts and fuel
  shifts (paradigm change).

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Bioenergy in Sweden

• Bioenergy provides 27 final energy
• Heat (residential and industrial)
• DHS and CHP
• Bioelectricity and biofuels
• Forest ? Agriculture (potentials and challenges)
• Carbon tax on heat in the 1990s
• Why? Clear and stable, effects investment
  decisions
• How? Sectors with no international competition

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Biofuels in Sweden

• Over 1000 E85 pumps of total 4000 service
  stations.
• Law to offer renewable fuels
• Import tariffs for E85 (competitive with petrol)
• Over 100,000 flexi-fuel cars (E85) of total 4.2
  million cars.
• 20 of new car sales, and used car market
• Rebates and special conditions on environmental
  cars
• Import 1st gen. ? Domestic 2nd gen.

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Local Level (1)

• Municipalities working on fossil free futures
  since 1990s.
• What has been achieved, how and why it was
  organised, and what major barriers remain to
  truly break dependence.
• Municipalities often own local energy companies
  (heat and electricity) can steer decisions and
  recognise valuable spin-off effects.

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Local Level (2)

• Renewable/distributed energy (bioenergy, wind and
  solar) for both heat and electricity.
• Public buses and community fleets (biogas and
  ethanol).
• Major challenges transport and demand side
  management.

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Local Lessons

• Long history and political support (unanimous).
• No silver bullet instead many factors/projects
  that combine to create successful conditions.
• National policy filters down to local level,
  often when funds available (KLIMP and LIP).
• Ownership models critical for trust in
  developments.

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Policy Lessons

• Create favourable investment conditions and
  reduce risks.
• Support new innovative organisations and learning
  processes that bring costs down.
• Establish rules that support the growth of infant
  industries.
• Develop political legitimacy and public
  understanding.

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• Any comments
• or questions?