New Study Reveals Urgent Need for Action to Close Europe’s Energy Price Gap
A new study published today by BusinessEurope, in collaboration with Compass Lexecon, highlights the urgent need for swift action by EU legislators to address the energy price gap and ensure a competitive energy transition.
High energy prices are severely impacting the global competitiveness of European companies. Securing energy at competitive prices is essential for preserving Europe’s industrial base. The study indicates that even with a managed transition and supportive EU energy policies, energy costs in Europe will be at least 50% higher than in the US, China, and India by 2050. This poses a serious competitive disadvantage for European companies.
The findings underscore the necessity of enhancing the security of Europe’s energy systems and reducing the overall cost of the transition. For instance, the study found that developing and installing renewables for electricity generation in the European least costly locations, such as Portugal, and removing development roadblocks could reduce wholesale power prices by almost 40%.
Moving Forward, EU policymakers must take decisive action to bridge the energy competitiveness gap, ensuring that Europe can achieve climate neutrality by 2050 without deindustrialising.
#EnergyTransition #RenewableEnergy #Sustainability #ClimateChange #IndustrialDecarbonisation
