ABSTRACT
Chapter 3 shows how cogeneration was influenced during different stages of the European energy market reform, being tracked from the zero phase of energy liberalisation, through the First and Second Energy Package, to the Third Energy Package with First Electricity Directive (Directive 96/92/EC), Second Electricity Directive (Directive 2003/54/EC), and Third Electricity Directive (Directive 2009/72/EC). As well as the assessment of the approach applied to CHP in each package, the chapter also analyses such issues as the regime on public utilities’ procurement with respect to production of electricity and heat (Directive 90/531/EEC and Directive 93/38/EEC), or the 1997 Strategy on CHP with the proposal of an 18% goal for cogeneration in the total gross electricity generation of 2010. Moreover, the chapter delves into the CHP Directive considering it from a perspective of energy market reform, outlining its regulatory tools, and presenting the assessment of the Directive’s role in the development of combined heat and power in the EU, evaluated as a “soft failure”.
