Community energy: A practical guide to reclaiming power

Part 6

Making It Happen

24

Barriers & challenges: Be prepared

The path to a successful community energy project is not always an easy one. Many barriers and challenges await you.

New EU directives should make it easier for you, as national governments must assess barriers to local community energy (see text box). Checking if your government has already carried out this work, and published it, could be one step towards identifying these barriers.

New energy rights for everyone under EU law

Community energy is unequally developed in Europe. For projects to succeed, good laws and rules need to support such initiatives. Projects flourish in countries where it’s easier to set them up; while in countries with regulatory uncertainty, it takes very dedicated activists to push forward. Adding to difficulties, national laws often change.

Since 2018, community energy is recognised in EU law, as part of the legislative package governing the EU’s energy system for this next crucial decade. This could be game-changing for anyone who wants to get involved in community energy.

The revised Renewable Energy Directive and the Electricity Market Directive both recognise the vital role that communities will play in the energy transition. There are enforceable rights for you to engage in community energy, and it is the responsibility of your national government to ensure that unfair barriers do not block your path.

  • Checklist | Key Aspects of the new EU law More info
    • The importance of citizens and communities in the energy transition is recognised;
    • Community energy projects are legally defined (see definitions box),
    • Through a renewable or citizen energy community, citizens, SMEs and local authorities can set up a legally recognised entity to collaborate,
    • Everyone has a right to produce, store, share, consume and sell their own renewable energy,
    • You have the right not to be unfairly charged for energy you produce yourself,
    • You have the right to participate in a renewable energy community,
    • You have a right to awareness-raising materials and trainings to help you participate,
    • National governments must assess the barriers and potential of community energy in their territories,
    • National governments must create an enabling framework to support community energy in their country,
    • There must be one place (a one-stop shop) for citizens to go for advice, to gain permits to participate in the energy system.

Below is a list of barriers that can result in projects failing. However, if you are prepared and have patience, these barriers can be overcome. Breaking the barriers down and developing ideas to overcome them step by step can make them less daunting. It’s also likely that the barriers you face have been faced before by other community energy initiatives. Seeking advice and mentorship from others is always key to success.

Here are a few challenges to be prepared for:

1) Internal group conflicts

As outlined in the chapter on group dynamics, it is almost inevitable that there will be internal conflicts in your group at some stage. This could be around power, differing visions or other problematic behavior. Read the chapters about group dynamics and don’t be surprised or disheartened if these kinds of problems do come up.

You can also prevent certain problems before they arise by having a clear group agreement and agreed ways of working. Try not to take things personally and remember the big picture. The people can be what makes community work challenging, but it’s also what makes it uniquely rewarding.

2) Lack of finance

Finding money can be one of the biggest challenges, and some projects have to stop or alter their plans because they can’t get access to the money they need. Be prepared to spend some time and energy in your group thinking about money. Chapter 26 is dedicated to information on finance for each different stage of your project. It’s also good to look for someone with previous experience or expertise.

If lack of finance keeps blocking your project, you might want to downsize your ideas and start with something smaller, like applying for a grant for renovating a few homes in the community. You can then build up a track record of success which can help you access funding in future. The good news is that there are always options, so if at first you don’t succeed, try and try again.

3) Planning permission

Getting planning permission is one of the key milestones in any project. Without a permit to build what you want, your project will need to change direction. It’s good to research early what is possible in your area. Proximity to something like an airport or a nature protection area can be a problem for wind projects for example.

When you do the feasibility study, the ability for the project to get planning will be one of the main things to assess, along with natural resources (evaluating if there’s enough sun or wind, for example). Working with a professional consultant with experience of local rules on planning can be a huge advantage. See more about planning permission in the text box below.

4) Administrative burden 

There will be many permits and applications to apply for, as well as planning permissions. Applying for grid connect, and dealing with national and sometimes regional agencies and banks requires a lot of time and energy. Often these processes are designed with big businesses in mind, which have professionals who can spend a lot of time to do this. Be prepared to fill in a lot of forms and spend some evenings on the computer dealing with project administration.

Make sure this work doesn’t fall on one or two individuals. A team or working group of between 3 and 6 is needed here. Teamwork is always more effective and enjoyable than working alone. You might want to set up a shared drive online where you can keep all your documents and past applications for things, to sometimes copy and paste work that’s already done.

5) Grid connection

Depending on where you are and your local grid, connecting your project to the grid can be very challenging. This is a good thing to research early on in your project. Sometimes work will be needed to upgrade the energy grid, and you may be expected to pay for this. Many grid operators are not sympathetic to renewables, especially smaller projects.

This is one of the reasons you might want to think about taking ownership of your local grid, so that you can run it in a way that supports the switch to an efficient, decentralised renewable system. See the story of EWS Schönau in chapter 13.

6) Lack of understanding of what community energy is

Sometimes people won’t even know what a community energy project is. In countries where the concept of community action on energy is not well developed or well known, this can be a barrier. It could make it more difficult for you to get a loan from the bank, your local authority might not understand what you want to do, and even applying for grid connection or planning permission will be more challenging because you will be considered a new kind of “market actor”. In some instances, in Eastern Europe for example, there may even be a negative connotation to the word “cooperative” due to the Soviet era.

Samso energy Island, Denmark.

You can overcome these barriers by using some of the examples in this book to explain what community energy is and how it works. You might want to organise a presentation for your community, to show some examples from all over Europe that could work in your community. It is possible that someone from REScoop, Energy Cities or Friends of the Earth Europe could help you with this presentation, or potentially come and support you in person.

7) Local opposition to renewables

Some people see renewables as an unpleasant piece of infrastructure. Wind and solar farms do have a visual impact on the landscape. It’s understandable that people don’t want to put up with this, especially when all the benefits are flowing out of the community. For this reason, some people might object to your planning application. You might even be unlucky enough to live somewhere where there is an organised group against wind energy.

You will need to demonstrate to as many people in your community as possible that this project will bring local benefits. Inform people as early as possible about your plans to hopefully avoid local opposition.

Planning permission

Planning permits are crucial. In Germany for example, planning a windpark can be a complex undertaking. In theory, wind turbines are privileged structures that can be built everywhere in the country, including non-inhabited areas. However, federal states (Länder) or municipalities effectively limit the development of wind turbines to certain zones in their land-use planning. Therefore, it’s important to find out where land-use planning allows the development of wind energy in your particular area. Most federal states offer advice and handbooks on how this is regulated. In other countries, renewable associations can also offer resources or advice.

It is possible that at the planning stage, especially for wind, there might be objections. Be prepared for this and make sure you are still reaching out to the wider community as much as possible to address concerns and possibly change your plans based on concerns.