The European Commission’s Electrification Action Plan aims to raise electrification of final energy demand from 23% to 46% by 2040, cutting annual fossil fuel import costs by an estimated €240 billion while accelerating the deployment of clean energy technologies.
The European Commission on Friday published its Electrification Action Plan, which aims to reduce Europe’s dependence on imported fossil fuels – a key driver of higher energy prices for households and industry in recent years.
While renewable electricity now accounts for 70% of the EU’s power mix, the electrification of final energy demand has remained stuck at 23% over the past decade. “We therefore need to accelerate the electrification of energy-consuming sectors, particularly industry, transport and buildings,” the European Commission said.
As part of the post-2030 Energy Union package, the Commission will assess an indicative electrification target of 46% by 2040. It estimates that reaching this goal could reduce annual fossil fuel import costs by €240 billion ($274.5 billion) by 2040.
The Commission acknowledged that significant barriers remain. Electricity prices are often three times higher than gas prices, grid connection approvals can take years, and businesses still lack sufficient incentives to replace fossil fuels with electric technologies.
