Speciality

EU to launch 565 billion euro energy plan

Seetao 2022-09-23 16:54
  • EU needs a more resilient energy network as electricity demand in the region grows
  • Future will build solar and wind energy systems that are more susceptible to weather changes, while also directing electricity to where it is most needed in the EU
Read this article
6 Minutes

Wholesale energy prices in the EU have soared to more than 10 times the average price over the past five years as Russia continues to cut gas supplies. In order to get rid of dependence on Russian natural gas and accelerate the transition to renewable energy, the EU has come up with new strategies.

EU plans to launch energy system digitization plan

The EU executive branch will develop a new plan to digitize the energy grid. The action plan, called the Energy System Digitization Initiative, is due to be unveiled by the European Commission next week, according to a draft document.

The plan would require the EU to invest 565 billion euros in infrastructure by 2030 to achieve its green plan and end its reliance on Russian fossil fuels. Under the proposal, the EU seeks to push for the sharing of electricity usage data from 2024 to help increase flexibility in the region's energy market, such as allowing electric vehicles to feed electricity back into the grid.

The document proposes several green action plans: installing solar panels on the roofs of all commercial and public buildings in the EU by 2027; installing solar panels on all new residential buildings in the EU by 2029; Install 10 million heat pumps over the next 5 years; put 30 million zero-emission vehicles on the road by the end of 2030.

According to the action plan, the conflict between Russia and Ukraine and the current high energy prices make it more necessary for the EU to increase its independence and strategic sovereignty and security over Russian fossil fuel imports in the creation of a digital energy system.

As electricity demand in the region grows, the EU needs a more resilient energy network that can accommodate solar and wind systems that are more vulnerable to weather changes, while also directing electricity to where it is most needed in the EU.

EU will also discuss plans to lower fuel prices

According to EU diplomats, the European Commission will also release a document on September 28 detailing measures the EU may take to reduce fuel prices amid the current surge in energy market prices, as well as measures to ease energy market volatility and increase The measures taken by the transaction volume.

On September 30, 2022, EU energy ministers will discuss proposals to impose a windfall tax on low-cost electricity producers and cut electricity demand. The EU will set up a group by March 2023 to promote energy data sharing between EU member states and businesses. The EU will also support transmission system operators in creating a digital twin of the grid, which will help increase the efficiency of the grid.Editor/XingWentao