Energy communities: Insights from scientific publications on community-based renewable energy

Energy communities: Insights from scientific publications on community-based renewable energy

Energy communities: Insights from scientific publications on community-based renewable energy

The clean energy transition in Europe is gaining momentum, driven by a surge of community-led initiatives harnessing renewable energy sources (RES) to power their neighborhoods and beyond. These energy communities (ECs) are emerging as dynamic grassroots solutions, redefining the landscape of energy generation, distribution, and consumption. As the EU’s Clean Energy for All Europeans package sets the stage, a wealth of scholarly research has delved into the multifaceted aspects of these innovative models.

Conceptual Foundations of Energy Communities

Definitions and Characteristics

At the core, ECs are legal entities composed of citizens, small businesses, and local authorities who jointly invest in and manage RES projects. They enable prosumers—consumers who also produce their own energy—to take an active role in the energy transition. The EU’s Renewable Energy Directive (2018/2001) defines ECs as “legal entities where members or shareholders are natural persons, SMEs or local authorities, and whose primary purpose is to provide environmental, economic or social community benefits rather than financial profits.”

Theoretical Frameworks

Scholars have drawn on diverse theoretical lenses to understand the dynamics of ECs, including the socio-technical transitions framework, common-pool resource management, and collaborative consumption. These approaches highlight the community-centric, collective, and sustainable nature of ECs, which challenge the traditional centralized energy system.

Drivers and Motivations

The proliferation of ECs is driven by a range of factors, such as heightened environmental awareness, the desire for energy autonomy, the pursuit of cost savings, and the goal of fostering local economic development. Importantly, many ECs emerge in response to the growing concern over energy poverty and the need for more inclusive and equitable energy solutions.

Renewable Energy Technologies in Energy Communities

Solar Power

Rooftop solar photovoltaic (PV) systems are a popular technology choice for ECs, allowing members to generate their own electricity and potentially feed the surplus into the grid. Community-owned solar farms are also gaining traction, enabling broader participation in renewable energy generation.

Wind Power

While less prevalent than solar, community wind projects are emerging in various European regions. These initiatives harness the power of local wind resources, often through cooperatively owned and operated wind turbines.

Hydropower

In areas with suitable water resources, community hydropower schemes have been implemented, tapping into the potential of small-scale or micro-hydropower systems to meet local energy needs.

Organizational Structures of Energy Communities

Cooperative Models

Many ECs are structured as energy cooperatives, where members collectively own and manage the renewable energy assets. This model fosters a sense of community ownership and control over the energy system.

Citizen-Led Initiatives

Grassroots, citizen-driven ECs can also take the form of non-profit associations or informal community groups, often relying on crowdfunding or local government support to finance their projects.

Utility-Driven Approaches

In some cases, traditional energy utilities or distribution system operators (DSOs) have taken the lead in establishing ECs, leveraging their technical expertise and financial resources to facilitate community engagement.

Socio-Economic Aspects of Energy Communities

Equity and Inclusiveness

ECs strive to promote energy democracy by ensuring equitable access to renewable energy, particularly for marginalized or low-income groups. This includes initiatives aimed at addressing energy poverty and fostering social cohesion.

Economic Benefits

Beyond environmental benefits, ECs can generate economic advantages for their members, such as reduced energy bills, new job opportunities, and increased local investment and economic development.

Community Engagement

The community-centric nature of ECs fosters a sense of collective ownership and empowerment, enabling residents to actively participate in the energy transition through decision-making, knowledge-sharing, and collective action.

Regulatory and Policy Landscape

Supportive Policies

The EU’s Clean Energy for All Europeans package has been a key driver for the proliferation of ECs, mandating member states to create a supportive legal and regulatory framework. National and regional policies, such as feed-in tariffs, investment subsidies, and tax incentives, have further bolstered the growth of these community-based initiatives.

Governance Frameworks

Effective governance models are crucial for the success of ECs, encompassing aspects like organizational structure, decision-making processes, and the allocation of benefits and responsibilities among members.

Barriers and Challenges

Despite the promising trends, ECs still face various barriers, including access to financing, grid integration challenges, and regulatory uncertainties. Navigating the complex legal and administrative requirements can also pose significant hurdles for community-led initiatives.

Community Engagement and Participation

Decision-Making Processes

ECs often embrace participatory and democratic decision-making, empowering members to have a voice in the development and management of their local energy systems. This fosters a sense of collective ownership and commitment.

Collective Action

The collaborative nature of ECs enables communities to pool resources, share knowledge, and leverage their collective bargaining power to overcome challenges and achieve their renewable energy goals.

Capacity Building

To ensure the long-term success of ECs, capacity-building initiatives focused on technical, managerial, and financial skills are crucial. This helps communities develop the necessary expertise to manage their energy projects effectively.

Impacts and Outcomes of Energy Communities

Environmental Benefits

By facilitating the deployment of renewable energy technologies, ECs contribute to the reduction of greenhouse gas emissions and the mitigation of climate change. They also promote the efficient use of local energy resources.

Social Impacts

Beyond the environmental advantages, ECs can foster social cohesion, empower marginalized groups, and enhance local resilience and self-sufficiency in the face of energy crises.

Energy Resilience

The distributed and community-driven nature of ECs can enhance the overall resilience of the energy system, reducing vulnerabilities and increasing the capacity to withstand disruptions.

Future Directions and Research Agenda

Scaling and Replication

As the EC model gains traction, understanding the pathways for scaling and replicating successful initiatives across different contexts will be crucial to amplify their impact.

Technological Advancements

Innovations in areas like energy storage, smart grids, and digitalization hold the potential to further enhance the capabilities and integration of ECs within the broader energy landscape.

Interdisciplinary Collaboration

Fostering collaborations between researchers, policymakers, and industry stakeholders can yield valuable insights and propel the development of more effective policies and business models to support the growth of ECs.

The burgeoning field of energy communities presents a promising avenue for Europe’s clean energy transition. By drawing on the wealth of scholarly research, policymakers, and practitioners can harness the transformative potential of these community-based initiatives to accelerate the shift towards a sustainable, equitable, and resilient energy future. Continued exploration and innovation in this domain will be essential to unlock the full benefits of renewable energy for local communities across the European continent.

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