Endesa provides solutions to the challenges posed by climate change in both the company itself and in the wider society through its 2008-2012 Sustainability Plan and Climate Change Programme, focusing on five priority areas:
- Actively participating in the development of renewable energies.
- Spearheading new developments in technology leading to reduced CO2 emissions and a change to the energy model.
- Development of energy efficiency and cogeneration opportunities.
- Leading the development of a sustainable transport model based on electric vehicles.
- Development of a Clean Development Mechanism (CDM) portfolio
Endesa's involvement in combating climate change extends to all the areas for which the company is responsible and its entire workforce.
Endesa's Environment and Sustainable Development Committee
Endesa's Environment and Sustainable Development Committee is ultimately responsible for steering the company's policy, guidelines and objectives relating to the environment and climate change. Nevertheless, Endesa's involvement in combating climate change extends to all the areas for which the company is responsible and its entire workforce. Endesa Carbono was also established in 2008, comprising an international team of professionals with a proven track record from private and public companies in the energy and international finance sectors, NGOs, the engineering industry and the World Bank.
During 2009, Endesa continued to lead the way on developing technologies to reduce CO2 emissions through European carbon capture and storage (CCS) and combined cycle projects, as well as the installation of cutting edge capacity, etc. The purpose of this work is to comply with the EU's energy policy responding to the new regulatory framework.
Advances in the development of carbon capture and storage (CCS) technologies are particularly significant in the context of the European Parliament Environment Committee’s proposal to reduce the allocation of specific emission rights to 500 g/kWh from 2015 for new plants with capacities exceeding 300 MW. Endesa is involved in developing plants employing the three CCS technologies currently being studied:
- Pre-combustion through the ELCOGAS project.
- Post-combustion: the Compostilla 3 500-kWt pilot plant (amines); the La Pereda 1-MWt pilot plant (carbonation-calcination), jointly with Hunosa and CSIC-INCAR.
- Oxyfuel combustion at the 30-MWt CIUDEN pilot plant and the 1-MWt CAMNET project.
Testing capture
Testing CO2 capture using chemical absorption at the Compostilla facility (2006-2009) The objectives of this project are to design, manufacture, assemble, commission and operate a pilot plant to capture CO2 using chemical absorption. New chemical absorbers, based on amines, are also developed and evaluated. These are more resistant to combustion gas pollutants (O2, SO2, NOx) which have a lower energy requirement for regeneration. Endesa Generación is involved in this project along with Técnicas Reunidas, Duro Felguera, Besel, Inerco and Alquimia.
Carbonation-calcination at the La Pereda plant (2008-2011) This project aims to identify an affordable carbon capture process which is valid for existing and new plants. The project entails developing and rolling out a 1-MWt carbon capture plant through post-combustion using carbonisation-calcination cycles which will validate this technology for pre-industrial use. During 2008 and 2009, small-scale laboratory tests were conducted to improve the design of the plant, which is forecast to be commissioned in 2011. Endesa participates in this project with the Hunosa Group and CSIC.
Endesa-CIUDEN pilot plant Endesa and CIUDEN are developing a 30-MWt pilot plant in El Bierzo to demonstrate the feasibility of oxycombustion technology in circulating fluid bed plants, a laboratory for testing carbon storage, and the identification and location of potential sites for industrial carbon storage. Building started on this pilot plant in 2009 and it is of great importance to the development of the OXYCFB300 project.
OXYCFB500 project using circulating fluid bed oxycombustion technology (2008-2011) This proposed project, submitted by Endesa and Foster Wheeler to the EU's Seventh Framework Programme (FP7) to cover technological development (2009-2011), aims to be one of the 10-12 commercial fossil fuel plants using carbon capture planned by the EU. Involving carbon capture and storage, it will be Endesa's first commercial CCS plant. The EU began supporting Endesa's CCS proposals in 2009 after the project developed by Endesa was selected as one of six to receive funding through the EEPR programme (European Energy Program for Recovery). This decision confirms the company's position as a pioneer and leader in adapting current facilities and technologies to the challenges and opportunities posed by climate change.
Endesa has developed an Energy Efficiency Plan, PE3, designed to bring together all the energy efficiency solutions that the company offers commercially into a single framework and unlock their value and to promote the use of alternative sustainable energy by customers. This plan establishes three key priorities:
- Promoting value-added products and services (VAPS) for existing customers in relation to clean energy and efficiency.
- Developing efficient alternatives and clean energy for the future.
- Positioning Endesa as a leader in efficiency through a plan of specific measures related to the initiatives launched onto the market.
Products "low cost"
In 2009, Endesa Energía developed new products such as "low cost" batteries, inverters, etc. in order to develop VAPSs. Other outstanding initiatives have been the Ilumina Plan and the design of leasing solutions for solar photovoltaic plants.
Technical improvements are being made at the company's power generation facilities to boost the efficiency of the energy transformation processes.
In Spain, repowering, technology migration, and efficiency gains have raised the performance of thermal and hydroelectric power stations.
Endesa has cut CO2 emissions from its power facilities by 12.5 million tonnes over the last five years, thanks to a range of initiatives the company has implemented in its generation plants and distribution networks. This implies an annual reduction of 2.5 million tonnes, equivalent to 5% of the company’s total annual emissions.
The company is also developing projects in the power generation area which will enable it to cut CO2 emissions by 900,000 tonnes each year and save 150,000 equivalent tonnes of primary energy oil.
These measures have involved substantial investment, totalling over Euro 1,300 million to date.
Endesa's 2010-2014 Energy Efficiency Global Plan (PGE3) was also drawn up in 2009 within the framework of its 2008-2012 Sustainability Plan. (Further information in the chapter on commitment to efficiency and innovation).
Endesa has also launched several sustainable communication campaigns such as the Twenergy webpage (further information in the chapter on establishing local ties, 1H09 page 227), to promote energy efficiency or the use of YouTube to spread information and raise public awareness of the importance of energy demand.
CDM portfolio
Following the creation of Endesa Carbono which is responsible for identifying clean development mechanism (CDM) projects, Endesa has raised its international profile in this area, becoming the leading utility and one of the five most active companies in this field with 6% of the total credits granted by the United Nations. In 2009, 29.7 million tonnes of free CO2 emission rights were granted to the group: 25.6 million tonnes for Spain, 2.7 for Portugal, and 1.4 for Ireland.
International consolidation in the field of CDM
Facilities in Spain used 28.74 million tonnes of emission rights (of which 1.07 were carbon credits relating to CDM projects), while those in Portugal consumed 2,835 million tonnes and those in Ireland 0.554 million tonnes of emissions rights.
Following the creation of Endesa Carbono, the company dedicated to identifying clean development mechanism (CDM) projects, Endesa has raised its international profile in this area, becoming the leading utility and one of the five most active companies in this field with 6% of the total credits granted by the United Nations.
In 2009, Endesa's CDM/JI portfolio amounted to 83.6 million Certified Emissions Reductions (CER)/Emission Reduction Units (ERU), 77.2 million of which correspond to Emissions Reduction Purchase Agreements (ERPA), and 6.37 million to letters of intent.
In 2009, 10 new CDM/JI projects were registered. Endesa's CDM/JI projects generated 13 million CERs/ERUs during 2009, which, added to those issued in previous years, take the total to 20.6 million CERs/ERUs.
At the end of 2009, Endesa had a portfolio of 52 CDM projects, which represent a reduction of more than 82 million tonnes of CO2. It is also involved in seven different carbon funds.
- Carbon funds.
- International panorama.
- Emissions trading:
- Endesa participates actively in the main European wholesale markets trading emissions (NordPool, Powernext and ECX) and maintains accounts with the records from Denmark, France and Spain (Renade) to optimize the management of their position in allowances. Until 2012, the European framework is governed by the Kyoto Protocol started in 2008 with the second phase of emission trading. The European system of emission trading is articulated through the National Allocation Plans (NAPs).
- National Allocation Plan
CO2 Capture