Local Energy Communities, Emergence, Places, Organizations, Decision Tools
Edited By Gilles Debizet, Marta Pappalardo, Frédéric Wurtz
ISBN 9781032190693 - 376 Pages ,42 B/W Illustrations - Published May 27, 2024 by Routledge
Local Energy Communities (LECs) and Renewable Energy Communities (RECs) are touted, especially in the EU, as vital for a Just Transition. They constitute a visionary and practical approach, combining renewable energy with economic democracy—a win-win. They are increasingly seen as a useful tool for climate justice, for urban regeneration, allowing renewable energy production as close as possible to the place of consumption, reducing energy transmission losses, promoting local acceptance of cleaner, renewable energy, reducing energy poverty, and supporting the local economy and jobs. As decentralised energy systems, they may also prove more resilient against cyberattacks and disruptions from extreme weather events. On the other hand, naysayers fear that they make local grids unstable, that funding and technical expertise are in very short supply, and regulations are a nightmare.
Energy communities are certainly not a pipe dream: since the early 2010s, the energy community model has become popular, and the European RED II and IEMD directives have defined energy communities and enabled national and local policies. Already there are over 10,000 in the EU involving up to 2 million citizens, EUR 11bn of investment, and 10 gigawatts of installed energy. At the same time, RECs still represent less than 1% of renewable energy production.
The book originated in a 2020 online conference from which editors chose the best presentations, which were then probably reworked/expanded. It covers energy communities in Canada, Colombia, France, Germany, India, the Netherlands, Spain, Switzerland, and the United Kingdom and focuses on collective self-consumption, citizen cooperatives, and peer-to-peer digital platforms. The authors include academics (urban planners, architects, psychologists, economists, engineers), policy-makers and energy practitioners such as electrical engineers.
The 14 chapters offer insights beyond individual case studies, encompassing various disciplines in the humanities, social sciences, and engineering sciences. The discussion is split into 5 sections, with two to four chapters each. The first section analyzes the motivations behind the establishment of an energy community and their internal dynamics. The second examines regulatory frameworks and their controversies. The third section, clearly the most interesting, focuses on citizen cooperatives, their dilemmas and contradictions, and how they can be scaled up. Section four examines digital services for peer-to-peer communities, while the final section, which is more technical, deals with the design of more complex public private energy communities. Conveniently, each section begins with a summary of the results of the previous one, while nearly all chapters also have a conclusion. Five types of energy communities are addressed: residents' cooperatives sharing production facilities, collective self-consumption operations, citizens' production cooperatives, consumer cooperatives, and digital peer-to-peer services.
Some key points made in the book are the following:
- an energy community may range from a few participants to several thousand, extending over vast territories. The concept varies across countries: German-speaking literature focuses on citizen energy, local energy initiatives, and energy ownership, while English-speaking literature centers on the internal organization of the energy community. French literature emphasizes the territorialization of energy and the organization of energy actors, and debates on economic models and democratic systems.
- project participants often create organizations like associations or cooperatives, highlighting decision-making autonomy. The desire to engage in energy sobriety and escape energy monopolies are central motivations. Horizontal governance systems and informal dynamics influence communities' directions.
- most energy communities are centered around a place, with members residing or active nearby. Local energy communities are seen as emancipatory from the state and large energy suppliers however, tensions between privacy and rule-setting can arise.
- local actors, such as local authorities, social housing bodies, and urban real estate companies, initiate and carry out energy projects
- citizen projects and collective self-consumption initiatives do not benefit from economies of scale, but networks can leverage and share knowledge and pool purchases.
- energy communities raise governance issues shaped by existing infrastructure and regulations. Citizens reclaim control over energy resources, with democratic involvement varying from simple consumers to active cooperative participants.
- the implementation of energy democracy appears in various forms. While some projects aim for energy democracy, others become democratic laboratories through energy. This leads to a differentiation between individual and collective dimensions. Each type of energy community can be seen as a different and often competing type of niche for renewable energy implementation, with dynamics opened up by EU directives in uncertain directions.
- the book also calls for the production and circulation of new knowledge on the socio-technical dynamics linking communities, energy systems, and society.
Tourism and hospitality are not discussed, while short-term rentals are briefly mentioned as a possible P2P model for energy in a chapter on digital technologies. This is an academic work, not a political position document, so there is no focus on the green and/or socialist politics that may underlie the motivations of participating citizens. That said, there is a more political chapter on Enercoop, a citizen energy cooperative in France. The authors do acknowledge tensions between political and economic commitments, economic/social inequalities, and conflicts of interest between members of energy communities. As always, there are two (academic and professional) sides (at least): the neoliberal faction in the renewable energy sector generally emphasizes financial incentives and individual consumer choices, while progressives advocate a disruption of the social architecture and a new socio-technical order. Neither side could dispute that there are difficult interconnected ideological questions about private property, remuneration, sharing, social organization, and many more. Are energy cooperatives ethically allowed to make a profit, especially if the profit comes from poor households? And practical ones: who and how will decide if your roof is a public, community, or private resource in terms of renewable energy production? One roof, one vote, or do all the people living under the roof, even if they are renting, get to vote? The answers are political. A more realistic/cynic way to see this would be that energy communities are too complicated/dysfunctional as a model (compared to state or corporate energy producers) thus, to succeed (or the ones that will survive) end up being closer to shareholding (popular) capitalism than to any original, radical, economic democracy plan. So we end up with business-friendly, streamlined LECs that turn a profit and are 'flexible' and hierarchical rather than democratic so as to overcome financial, regulatory, technical, and organizational barriers placed by governments and competing, major energy producers. They are more about moving towards an internet of (cleaner, not even cheaper) energy rather than providing free, clean energy for all citizens—more hipster than hippie! Then again, there are different local traditions and conditions that will also influence the structure and evolution of an energy community.
Even though the regulatory and technological framework is changing rapidly, this book should be of great interest for some time to citizens, investors, and consultants interested in energy communities, students of energy studies, and other energy professionals and academics.
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