Impact of support schemes and barriers in Europe on the evolution of cogeneration

This paper analyses the effectiveness of different support measures to promote cogeneration in the European Union. The analysis looks into the average progress of cogeneration between two different periods. The economic effect of the support measures in each country is quantified with the help of a cost-benefit analysis carried out by the Cogeneration Observatory and Dissemination Europe (CODE) project. The scope of this study is necessarily affected by the need to limit the number of projects and support measures. However, there is no evidence of a relationship between the economic advantage offered by support measures and the deployment of cogeneration in the Member States. The study considers the effect of different barriers (reported by the Member States) on the promotion of cogeneration. The individual analyses of the barriers differ widely in quality and depth. When some barriers are reported, there is an increase of the variability of the penetration of cogeneration. This counter-intuitive fact leads us to conclude that there is a lack of consistency in the barriers reported, and a clear need for consistent reporting on barriers. The possible effect of competition between measures supporting combined heat and power and renewable energy sources is also analysed.