In a significant move towards bolstering its commitment to combat climate change and accelerate the transition to renewable energy sources, the European Parliament voted last week to raise the European Union’s renewable energy target to 42.5% by 2030. This decision marks a substantial increase from the previous target of 30% and is seen as a response to the global push for cleaner and more sustainable energy alternatives.
The EU’s green energy target hike comes at a crucial juncture when the continent’s solar and wind power industries are voicing concerns about their financial stability. European solar module manufacturers have warned of potential bankruptcy due to fierce competition from Chinese companies enjoying significant state subsidies and low labor costs.
The approval of this new target was not without its challenges, as it required last-minute concessions to gain the support of various member states. France and several eastern European countries, concerned about the implications of abandoning nuclear power, successfully negotiated concessions to preserve this low-carbon energy source. While nuclear power is low in carbon emissions, it does produce radioactive waste, which has raised environmental concerns.
Despite opposition from some right-wing politicians and abstentions from a few French lawmakers, nearly three-quarters of European Parliament members voted in favor of the increased renewable energy target. The legislation also advocates streamlining permitting procedures for renewable energy projects, aiming to reduce approval times to a maximum of two years by recognizing projects as having overriding public interest.
Kadri Simson, the EU’s energy commissioner, hailed the upgraded target as “the right signal to attract the massive investment required” and lauded the simplification of permitting procedures as a “game-changer for renewable deployment.” Currently, approximately 130 GW of renewable energy projects, equivalent to about 120 billion cubic meters of gas, await approval within the EU, according to the European Commission.
The global momentum towards cleaner energy was further highlighted during a G20 summit where leaders representing 80% of greenhouse gas emissions committed to tripling renewable energy capacity by 2030. However, they failed to establish a timeline for phasing out fossil fuels.
The European Union’s decision to revise its renewable energy targets gained urgency as Russia reduced its gas supply to the EU in the wake of the Ukraine invasion. This underscored the need for the EU to reduce its dependence on Russian gas.
While the renewables directive is part of the EU’s ambitious Green Deal climate law, aimed at positioning the bloc as a global leader in environmental regulations, it has faced criticism for not keeping pace with the global clean technology race. Markus Pieper, a German politician who led negotiations on the renewables law, emphasized the need for an “import strategy” for green hydrogen, recognizing that the EU cannot entirely fulfill its clean energy needs domestically.
Controversy has also surrounded the EU’s renewables law, specifically related to allowances for burning biomass for energy. Environmental campaigners argue that using scarce and valuable wood and other primary biomass sources risks undermining EU climate and nature targets. Elise Attal, head of EU policy at Principles for Responsible Investment, a UN-backed agency, urged future revisions to exclude tax benefits or other support for biomass heating and power generation.
The European Union’s commitment to increasing its renewable energy target is seen as a pivotal step towards a greener and more sustainable future. By setting more ambitious goals and simplifying permitting procedures, the EU aims to attract substantial investment in renewable energy projects and take a leading role in the fight against climate change. However, the challenges of balancing environmental concerns, energy security, and economic interests within the EU’s diverse membership remain evident as the bloc strives to transition towards a cleaner energy future.
Journalist covering politics, economics, commodities, and more.