For Full Energy Independence, the EU Requires €2 Trillion and Over 10 Years
The European Union has the potential to abandon the use of coal and other fossil fuels and establish an energy sector that is self-sufficient. According to a new study by the Potsdam Institute for Climate Impact Research, achieving this goal by 2040 would necessitate an investment of approximately €2 trillion in solar, wind, and other renewable energy sources. Reuters reports on this development.
The report states that Europe needs to make annual investments of €140 billion by 2030 and €100 billion per year in the following decade to attain energy independence.
"These figures are substantial, but it is important to remember that European countries spent an additional €792 billion just last year on maintaining the status quo in order to protect consumers from the energy crisis caused by Russian aggression in Ukraine," the study notes.
While a significant portion of these investments will be directed towards expanding offshore wind energy, solar, hydrogen, and geothermal resources will also play a crucial role in this strategy, enabling Europe to meet its electricity needs solely through renewable sources by 2030.
The research emphasizes that the next decade will be pivotal for transitioning the entire energy system, including heating currently reliant on oil or gas, to renewable energy sources.
Last month, European legislators finalized legally binding targets for accelerating the expansion of renewable energy within this decade. This is a central component of the EU's plans to combat climate change and phase out the use of fossil fuels.
The law also sets EU targets for the use of renewable energy, requiring 42.5% of the EU's energy to come from renewable sources by 2030, replacing the previous target of 32%.
The aforementioned scientific study was commissioned by Aquila Capital, one of the largest private investors in renewable energy in Europe. According to the study, the supply of renewable energy needs to increase by 20% annually to meet the expected demand for electricity by 2030.