Renewable heating: Perspectives and the impact of policy instruments

In the light of the EU directive for renewable energy (2009/28/EC) this paper deals with the question how various policy instruments could impact the development of renewable heating technologies. The paper applies the simulation model Invert/EE-Lab for the building related heat demand in selected European countries (Austria, Lithuania and United Kingdom). The resulting scenarios up to 2030 are compared to RES-Heat targets from literature, stakeholder consultation processes and the targets in the national renewable energy action plans submitted by EU Member States in 2010. The results demonstrate that use obligations for renewable heating can be effective in achieving RES-Heat market growth. However, in order to attain a balanced technology mix and more ambitious targets, policy packages are required combining use obligations with economic incentives and accompanying measures. Technology specific conclusions are derived. Moreover, conclusions indicate that the action plans are not always consistent with policy measures in place or under discussion.