Oct 24 2015

Successor programme to NER300, “NER400”, agreed

As part of their deliberations on the EU’s Framework for Climate and Energy 2020-2030, European leaders last night mandated the creation of a successor programme to NER300, “NER400”, which would be “initially endowed with 400 million carbon allowances”. The current programme raised 2.1 bn EUR for innovative renewable energy projects and one CCS project. The next one would raise over 9 bn EUR on the assumption of a carbon price of 23 EUR/tonne. This price is a forecast made in August 2014 by Thomson Reuters for the period 2021-2030.

The European Council wants NER400 to cover “low carbon innovation in industrial sectors” as well as CCS and renewables. A reference to “small projects” has been included in the four lines devoted to the topic in the summit’s Conclusions.

  1. NER400.com’s comment

    The creation of NER400 turned out to be one of the less contentious parts of last night’s deal. According to a source, the form of words had been agreed last week. What a difference six years makes. As this account from a similar European summit in 2008 shows, the setting up of the original NER300 was a much harder fought battle.