Europe’s electricity grid planning was designed for a slower, fossil-based energy system. Today, rapid renewable deployment, rising electricity demand and the emergence of hydrogen call for a new institutional framework. This factsheet outlines how forward-looking, coordinated planning can help achieve climate neutrality by 2050. It recommends that Member States develop spatial energy plans, that stronger unbundling rules prevent conflicts of interest, and that an Independent EU Energy System Planner be created to improve cross-border coordination and efficiency.
The EU and the UK are holding their first post-Brexit summit on 19 May. Since coming to power in July 2024, the focus of Labour’s much-vaunted ‘reset’ with the EU has been on building friendly relations with EU institutions and Member States. Whilst these overtures have been positively received, (substantive) progress has been slow. The summit will therefore be crucial in determining whether the two sides can move from ambition to action.
Europe has set out on the path to achieve climate neutrality by 2050, and all countries must identify how to deliver this objective. While various technology options are available, the need for vast amounts of cheap renewable energy is certain. The shallow, windy northern seas have long been recognised as a key opportunity to deliver renewable electricity at scale and recent reductions in the costs of offshore wind have led countries to set ambitious targets for deployment.
Core services, including energy, food, water, housing and healthcare, are essential for a decent standard of living. The economic dynamics of these services in Europe, however, vary greatly, particularly in the extent of commercialisation. Essential healthcare stands out as a service delivered largely outside of the market; by contrast, food and energy are commercialised in most
European countries. The commercialised status of energy in Europe can have an impact on living standards, particularly when accompanied by inadequate regulation.
