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European council adopts new renewables energy directive for 2030

10 Oct '23
3 min read
Pic: Shutterstock
Pic: Shutterstock

Insights

  • The European Council has approved the Renewables Energy Directive, aiming for renewable energy to constitute 42.5 per cent of the EU's energy by 2030, with the potential to reach 45 per cent.
  • The directive fast-tracks renewable incorporation in various sectors, including transport and industry.
  • The move seeks to reduce dependency on Russian fossil fuels.
The European Council has taken a definitive step towards environmental sustainability by ratifying the new Renewables Energy Directive. This landmark decision is set to elevate the share of renewable energy in the EU’s overall energy consumption to an impressive 42.5 per cent by 2030. An additional aspiration to add a 2.5 per cent top-up might bring this target to a potential 45 per cent. Every member state within the EU is expected to play their part in achieving this collective goal.

The directive has set ambitious targets across various sectors, aiming to fast-track the incorporation of renewables, especially in sectors where the transition has been historically slower. In the transport sector, member states are presented with two distinct options. They can either commit to a binding target to diminish greenhouse gas intensity from renewables by 14.5 per cent by 2030 or ensure that renewables constitute at least 29 per cent of the final energy consumption in transport by the same year.

There's also a combined ambition to achieve a 5.5 per cent representation for advanced biofuels and renewable non-biological fuels, which prominently includes renewable hydrogen. A stipulation is in place to ensure that, by 2030, at least 1 per cent of these fuels derive from non-biological renewable sources.

Industrial sectors aren't exempt from this green wave either. There's a directive for industries to boost their renewable energy use by 1.6 per cent annually. By 2030, it is anticipated that 42 per cent of the hydrogen used industrially should originate from renewable non-biological sources, with an ambitious target of 60 per cent by 2035. However, there's a provision allowing member states to decrease this contribution by 20 per cent under specific conditions, European Council said in a press release.

Furthermore, the directive places a renewed focus on the sustainability of bioenergy. Stricter benchmarks have been laid out for the energy use of biomass to curtail the risks associated with unsustainable bioenergy practices. The emphasis is firmly on upholding cascading principles and providing steadfast support at the national level.

In a strategic move, and as a part of the EU’s REPowerEU plan to curtail dependency on Russian fossil fuels post Russia's invasion of Ukraine, the permit granting procedures for renewable projects will witness significant acceleration. To facilitate this, member states are tasked with establishing 'renewables acceleration areas'. These areas will be characterised by streamlined and simplified permit-granting processes. In addition, considering renewable energy as an ‘overriding public interest’ is expected to considerably reduce legal objections to new renewable installations.

In terms of immediate next steps, with the directive's formal approval, its publication in the EU’s official journal is imminent. The directive will spring into action twenty days after its publication. Thereafter, member states will have a window of 18 months to assimilate and enact it within their national legislations.

“This is a great achievement in the framework of the ´Fit for 55´package which will help to achieve the EU’s climate goal of reducing EU emissions by at least 55 per cent by 2030. It is a step forward which will contribute to reaching the EU´s climate targets in a fair, cost-effective and competitive way,” said Teresa Ribera, Spanish acting minister for the ecological transition.

Fibre2Fashion News Desk (DP)

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