Plans and Priorities
The Netherlands has formally joined Mission Innovation in September 2016. The Netherlands is convinced that research, development and demonstration of clean energy technologies, in addition to the necessary market creation (by right legislation and rules, price incentives etc.), will help achieve the long-term goal of a sustainable low-carbon energy system.
With a view to joining Mission Innovation, the Netherlands reaffirms its commitment to stepping up its efforts on clean energy research and development by 2020. In the 2013 Energy Agreement for Sustainable Growth, concluded with major stakeholders from the private sector, research organisations, local governments and NGOs, the Dutch government committed to an ambitious level of public investment on clean energy RD&D, most notably in the demonstration phase of clean energy technologies, giving a strong boost to investments in this field. The Netherlands therefore proposes taking the fiscal years from 2013 to 2015 as its baseline. The following ambitions of the National Energy Agreement for Sustainable Growth form the core of the Dutch government’s public funding commitments up to 2020:
- In 2014 the Dutch government introduced a grant program for demonstration projects in the area of energy innovation, which have considerable export potential. Under this program, Dutch companies may receive up to 6 million euros per project to demonstrate new sustainable energy technologies and energy efficiency innovations.
- The Netherlands will also invest in offshore wind energy projects demonstrating innovative techniques and aimed at achieving a cost reduction of 40% (through process innovation).
- From 2016 to 2019 the Netherlands will provide 50 million euros per year (from the Stimulation of Sustainable Energy Production (SDE+) operating fund) for energy innovation aimed at making renewable energy production more cost-effective.
- More public funding is available for innovative energy-efficiency projects in the built environment, with a view to accelerating the cost-effective adoption of energy efficiency technologies. Funding is available for projects in the social housing sector, e.g. zero-energy buildings, and in the owner-occupied sector, through a joint approach by municipalities, businesses and other parties offering innovative product-market combinations.
- The Energy Agreement also announced a demonstration project for Carbon Capture and Storage (CCS), the ‘Rotterdam Opslag en Afvang Demonstratieproject’ (ROAD).
- The Netherlands’ baseline also includes ongoing research and innovation activities specifically targeting clean energy. From 2016 to 2020 funding will be maintained at more or less current levels for activities in the following areas:
- Fundamental research on clean energy technologies.
- Public funding for clean energy technologies in collaboration with the private sector and knowledge institutions, within the Top Sector for Energy.
- Applied research into energy innovation.
The above-mentioned measures add up to average spending in this area of 237 million euros per year from 2016 to 2020, compared to average spending of 100 million euros per year in the baseline years 2013 to 2015 – a doubling of investment by the Netherlands on the basis of existing commitments from the Energy Agreement for Sustainable Growth.
It is foreseen that by the summer of 2019 the Climate Agreement will be finalized. The Netherlands has set in this agreement an ambitious CO2-reduction target of 49% in 2030, with a view of 95% reduction in 2050. The cabinet has also assigned an additional M€300 per year, with the focus on pilots and demonstration projects. With this additional budget the Netherlands has met the MI doubling targets in the third year of being a MI-member.
Methodology for determining baseline
The baseline is the average annual budget in the fiscal years 2013, 2014 and 2015. It includes the main programs for research, development and demonstration activities (RD&D) in the area of clean energy innovation currently funded by the Ministry of Economic Affairs and the Ministry of the Interior and Kingdom Relations.
Country definition of clean energy R&D investment
In the Netherlands the following clean energy technologies are eligible for funding from research, development and demonstration programs: renewable energy technologies (including offshore and onshore wind), energy efficiency technologies, carbon capture and storage, carbon capture and usage, and other cross-cutting technologies.