Commission presents measures to increase EU’s energy independence and affordability

On Tuesday, the European Commission presented first initiatives to boost investment in homegrown clean energy solutions, increase resilience and reduce energy prices. The current geopolitical context again reminds us of the risks related to Europe’s reliance on imported fossil fuels. Citizens and industries are rightly concerned about high energy prices. Clean energy sources remain the most affordable and safe, and the only mid-term response to reduce our exposure to price volatility.

To make the most of our own energy sources, Europe needs a step change in its energy system and infrastructure. The Commission´s Clean Energy Investment Strategy will help bridge the gap between the private capital currently available and the investments needed. It will help de-risk projects and mobilise private finance for grids, innovative clean energy technologies and energy efficiency.

The Commission will deliver this Strategy in close partnership with the European Investment Bank Group which intends to deliver more than €75 billion of financing over the next 3 years in support of the objectives of clean energy transition. In particular, the EIB Group will make a commitment with an indicative amount of up to €500 million to the Strategic Infrastructure Investment Fund. This will provide anchor capital to invest in specific energy infrastructure projects, providing a financial boost to the objectives of the European Grids Package.

Cheaper energy is key to support our industry and competitiveness. But Europe also needs an energy system that puts citizens at the centre – to deliver more affordable energy and support most vulnerable consumers. With the Citizens Energy Package, the Commission proposes concrete actions to reduce energy bills, empower citizens to produce and share their own clean energy and fight against energy poverty. Consumers can benefit from faster supplier switching, lower taxes and levies on their electricity bills, and more transparent information on energy bills and contracts.

Homegrown, clean energy technologies are key to ensuring reliable and affordable energy and reinforcing the EU’s leadership in net-zero technologies. Strengthening European content and building a robust EU supply chain will be essential to reduce import dependencies and ensure strategic autonomy. The Strategy for Small Modular Reactors (SMRs) proposes actions that enable EU Member States pursuing this technology to deploy the first operational SMRs in the early 2030s. The Strategy will support industry in accelerating their development and deployment, particularly through the work of the European Industrial Alliance on SMRs.

The Commission will consider an additional €200 million InvestEU top-up from the Innovation Fund until 2028 to support the deployment of initial commercial units of innovative nuclear technologies through de-risking guarantees. Today’s Strategy sets a vision for building a truly scalable European supply chain. This is essential for securing technological and industrial leadership in the EU and for developing the right skills and strengthening regulatory cooperation while ensuring the highest safety standards.

The proposed measures deliver on the Affordable Energy Action Plan to strengthen Europe’s competitiveness, reduce energy dependencies and increase affordability for households. The Commission will present further measures in due course.

Source: European Commission