European Commission proposes action plan to roll out electricity grids

The commission has already put in place a supportive legal framework for the rollout of electricity grids across Europe. With the EU markets fully integrated, a modernised infrastructure network will ensure citizens and business can benefit from cheaper and cleaner energy, the commission said in a release.

Electricity consumption in the EU is expected to rise by around 60 per cent between now and 2030.

Networks will have to accommodate a more digitalised, decentralised and flexible system with millions of rooftop solar panels, heat pumps and local energy communities sharing their resources, more offshore renewables coming online, more electric vehicles to charge, and growing hydrogen production needs.

With 40 per cent of EU distribution grids more than 40 years old and cross-border transmission capacity due to double by 2030, €584 billion in investments are needed.

The proposed action plan aims to address the main challenges in expanding, digitalising and better using EU electricity transmission and distribution grids.

It identifies concrete and tailor-made actions to help unlock the needed investment to get European electricity grids up to speed. The actions focus on implementation and swift delivery to make a difference in time for the commission’s 2030 objectives.

The objectives include improving the long-term planning of grids to accommodate more renewables and electrified demand, including hydrogen, in the energy system by steering the work of system operators as well as national regulators; and introducing regulatory incentives through guidance on anticipatory, forward-looking investments and on cross-border cost sharing for offshore projects.

The commission aims at incentivising a better usage of the grids with enhanced transparency and improved network tariffs for smarter grids, efficiency, and innovative technologies and solutions by supporting the cooperation between system operators and recommendations by the Agency for the Cooperation of Energy Regulators (ACER).

It also aims at improving access to finance for grids projects by increasing visibility on opportunities for EU funding programmes, especially for smart grids and modernisation of distribution grids.

The action plan was presented alongside the selection of key cross-border energy infrastructure projects for the first Union list of Projects of Common and Mutual Interest that will help bring the EU's energy infrastructure in line with its climate goals.

Fibre2Fashion News Desk (DS)