Cabinet presents strategy for energy system of the future | News item

News item | 03-07-2023 | 2:00 PM

The Netherlands wants to be climate neutral by 2050. This has major consequences for the future energy system. It changes how we generate, transport, store and use energy. And offers economic opportunities and space for new revenue models. In order to have a sustainable energy system in 2050, we must start working on it now and prepare for it. The choices we make in the coming years will determine 2040 and beyond. Climate and energy minister Jetten today spoke on behalf of the cabinet with the National Energy System Plan and Program Main Energy Structure presented the strategy, directional choices and plan for the space required for the energy system in 2050.

With the National Energy System Plan (NPE), the government is already mapping out what the energy system of the future should look like and what it will take to get there. We do not do this project by project or energy source by energy source, but we look at what is needed in 2050 and then reason back to today. The government is committed to a more guiding role for the national government in the field of energy supply and infrastructure, space, distribution and savings.

Guiding choices for the energy system of the future

From an energy system that ran almost entirely on coal, oil and gas, we are moving to a very diverse system with almost exclusively renewable sources. It is a first choice that the cabinet makes maximize the offer of energy, by stimulating as much domestic production and import as possible, and building the necessary infrastructure as quickly as possible. The government will therefore assume the scenarios with the highest demand in the future and adjust policy and investments accordingly. We do not only expand infrastructure when there is sufficient demand, but we expand it systematically.

Sustainable energy and energy infrastructure will remain scarce in the coming years because supply and demand do not always coincide. That is why the government chooses to continue to focus strongly on energy saving. Because we do not have to generate, pay for, import, store or transport energy that we do not use. As of 1 July, the energy saving obligation has been tightened and the government is working out savings targets for each sector.

The government focuses as much as possible on the prevention of scarcity and the use of scarce energy in places where there is no good or affordable alternative. For example, hydrogen is mainly used to make industry more sustainable and (heavy) mobility. Infrastructure that plays an important role for the entire energy system, such as the hydrogen backbone, is given priority in the construction and licensing. These have been and will be included in the Multi-year Infrastructure Energy & Climate Program (MIEK).

As a transit country with large ports and as a major producer of wind energy in the North Sea, the Netherlands has the potential to remain an important energy hub for Europe. In the energy system of the future international cooperation and international connection of our energy systems is even more important. For example, the government wants to make agreements with other North Sea countries about the development of energy hubs in the North Sea so that the Netherlands is even better connected to the energy systems of other countries.

Spatial integration of the energy system

A sustainable energy system requires more space than a fossil system. With the Program Main Energy Structure (PEH) the cabinet is mapping out in concrete terms how much space is needed for the future energy system, where specific parts such as electrolysers and batteries could be used, and how we can organize this smartly. By means of to find and reserve space now for large-scale energy projects after 2030, construction can be accelerated. The final image is leading. This means that we take into account (additional) infrastructure that will be needed in 2050, instead of what is needed now.

The most efficient form of space use is reuse of space that we already have for the fossil system. For the transport of hydrogen, existing gas pipelines can largely be used in the reserved pipeline strips. The 21 sites now designated for power plants, including previously closed coal plants, remain destined for sustainable power plants. Because much more electricity will be produced and used in the future, it has already been mapped out where more high-voltage lines and high-voltage substations will be needed in the future. In addition, the cabinet wants to enable new spatial design principles, such as extending a submarine cable from an offshore wind farm underground to Limburg via a pipeline strip.

The Netherlands has great ambitions for the production of hydrogen using electrolysis. The Cabinet is therefore now designating the places where electrolysers may be installed in the future: in places where power cables from offshore wind farms come ashore. Fewer high-voltage lines will then be needed to the hinterland. The national government also makes agreements with provinces and network operators about the desired distribution of large batteries.

Minister Jetten (Climate and Energy): “A climate-neutral society in 2050 requires a major renovation of our energy system. This makes the Netherlands less dependent on foreign countries, our air is cleaner and it offers economic opportunities. But to get there, we now have to look ahead and make choices. We do that with this strategy for the energy system of the future.”

Follow-up

For the draft plans, input from discussions with many experts and stakeholders, the Expert Team Energy System 2050 and participants of the Energy Consultation was used, among other things. On the basis of these draft versions, the government will enter into discussions with all kinds of stakeholders and interested parties in the near future. The plans will therefore be tightened and further supplemented to be finalized at the end of 2023. The government has asked the Netherlands Environmental Assessment Agency to reflect on the NPE. The NPE functions as an overarching strategy for future policy, is updated every five years and is included in the new Energy Act. The PEH is updated every four years.

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