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Renewable energy in the European Union

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The largest renewable energy category for Europe in 2023 was solid, liquid, and gaseous biomass, which comprised half of all renewable energy consumption that year. In particular, wood is the leading source of renewable energy in Europe, far ahead of solar and wind. In 2023, renewables provided 26.2% of total EU energy consumption in heating and cooling, marking an 11.7% increase since 2004. In electricity, renewables accounted for 45.3% of gross energy consumption, led by wind (38.5%) and hydro-power (28.2%), followed by solar (20.5%), solid biofuels (6.2%) and other renewable sources (6.6%). In transport, the share of renewable energy used reached 10.8%. Renewable electricity generation reached 50% of total EU electricity in the first half of 2024.

In 2023, Sweden led among EU countries with 66.4% of its gross final energy consumption derived from renewable sources, followed by Finland (50.8%), Denmark (44.9%), and Latvia (43.2%). Conversely, Luxembourg reported the lowest renewable energy proportion with only 11.6%, followed by Belgium (14.7%), Malta (15.1%), and Ireland (15.3%).

The renewable energy directive enacted in 2009 lays out a framework for individual member states to share the overall EU-wide 20% renewable energy target for 2020. Promoting the use of renewable energy sources is important both to the reduction of the EU's energy dependence and in meeting targets to combat global warming. The directive sets targets for each individual member state taking into account the different starting points and potentials. Targets for renewable energy use by 2020 among different member states varied from 10% to 49%. 26 EU member states met their national 2020 targets. The sole exception was France, which had aimed for 23% but only reached 19.1%. As of 2023, Ireland had also dropped below its 2020 target.

Policy

The Maastricht Treaty signed in 1992 set an objective of promoting stable growth while protecting the environment. The Amsterdam Treaty of 1997 added the principle of sustainable development to the objectives of the EU. Since 1997, the EU has been working towards a renewable energy supply equivalent to 12% of the total EU's energy consumption by 2010.

The Johannesburg Summit in 2002 failed to introduce the radical changes targeted for ten years after the Rio Summit. No specific goals were set for the energy sector, which disappointed many countries. While the EU had proposed an annual increase in the use of renewable energy at a rate of 1.5% worldwide until 2010, Johannesburg's action plan did not recommend such a "substantial" increase, with no concrete goals nor dates being set. The EU was unwilling to accept this result and with other nations formed a group of "pioneer countries" that promised to establish ambitious national or even regional goals to achieve global targets. The Johannesburg Renewable Energy Coalition (JREC) has a total of more than 80 member countries; the EU members, Brazil, South Africa and New Zealand amongst them.

In the European Conference for Renewable Energy in Berlin in 2004, the EU defined ambitious goals of its own. The conclusion was that by 2020, the EU would seek to obtain 20% of its total energy consumption requirements with renewable energy sources. Up until that point, the EU had only set targets up to 2010, and this proposal was the first to represent the EU's commitment up to 2020.

Renewable energy directives and targets

In 2009, the Renewables Directive set binding targets for all EU Member States, such that the EU will reach a 20% share of energy from renewable sources by 2020 and a 10% share of renewable energy specifically in the transport sector. By 2014, the EU realized a 16% share of energy from renewable sources with nine member states already achieving their 2020 goals. By 2018, this had risen to 18% with twelve member states meeting their 2020 targets early.

Article 4 of the Renewables Directive required Member States to submit National Renewable Energy Action Plans by 30 June 2010. These plans, to be prepared in accordance with the template published by the commission, provide detailed roadmaps of how each Member State expects to reach its legally binding 2020 target for the share of renewable energy in their final energy consumption. Member States must set out the sectoral targets, the technology mix they expect to use, the trajectory they will follow, and the measures and reforms they will undertake to overcome the barriers to developing renewable energy. The plans are published by the EC upon receipt in the original language, allowing public scrutiny. The commission will evaluate them, assessing their completeness and credibility. In parallel, the plans will be translated into English. In addition, the Energy Research Centre of the Netherlands was contracted by the European Environment Agency to create an external database and quantitative report of the reports received so far.

In 2014, negotiations about EU energy and climate targets until 2030 were initiated. Whilst seven Central and Eastern European member states had already met their 2020 targets by 2016 (amongst the eleven EU wide), a small number of others are likely to attempt to slow down the transformation process. The key parts of the European renewable energy targets agreement set in 2014 are as proposed by a Shell lobbyist in October 2011. Shell is the sixth biggest lobbyist in Brussels, spending between €4.25-4.5m a year lobbying the EU institutions. Agreement has no binding targets for member states on energy efficiency or renewable energy.

On 30 November 2016, the Commission presented a proposal for a revised Renewable Energy Directive to ensure that the target of at least 27% renewables in the final energy consumption in the EU by 2030 is met and to ensure that the EU is a global leader in renewable energy.

In April 2024, the Ember think tank released a report titled "Empowering Central and Eastern Europe." The report focuses on the progress and potential of renewable energy in Central and Eastern European (CEE) countries, with an emphasis on the Three Seas Initiative (3SI) participants. According to the report, renewable energy surpassed coal for the first time in 2023, accounting for 39% of electricity generation in Three Seas countries. The decreasing costs of wind and solar energy have made them the most cost-effective sources of electricity in the region. The updated National Energy and Climate Plans (NECPs) demonstrate heightened ambition, with some countries having already achieved their 2030 renewable electricity targets. The analysis presented in the report suggests that the 3SI countries have the capacity to deploy 200 GW of solar, 60 GW of onshore wind, and 23 GW of offshore wind by 2030, potentially raising the renewable energy share in electricity generation to 67%. Nonetheless, the report acknowledges challenges, including inadequate progress in offshore wind targets and a lack of policy support in specific regions. The report recommends measures such as prioritizing funding, implementing risk mitigation strategies, and enhancing cross-border infrastructure to maximize the CEE region's renewable energy potential.

By 2023, greentech was one of the few sectors in the EU where venture capital investments matched those in the United States, highlighting the impact of the EU's ambitious climate goals and government subsidies. This targeted investment has helped narrow the gap between the US and EU in sectors such as energy storage, the circular economy, and agricultural technology, and can be attributed to the European Green Deal and other government regulations.

Underlying many of the European Union's energy policy proposals is the goal to limit global temperature changes to no more than 2 °C above pre-industrial levels, of which 0.8 °C has already taken place and another 0.5–0.7 °C (for total warming of 1.3-1.5 °C) is already committed. 2 °C is usually seen as the upper temperature limit to avoid 'dangerous global warming'. However some scientists, such as Kevin Anderson, professor of energy and climate change in the School of Mechanical, Aeronautical and Civil Engineering at the University of Manchester and former director of the Tyndall Centre, the UK's leading academic climate change research organisation, have argued that to be consistent with the science, 1 °C is a more accurate threshold for "dangerous" climate change.

Initiatives

Specific EU renewable energy and energy efficiency initiatives includes:

  • BUILD UP
  • The Covenant of Mayors is a cooperative network of mayors and local authorities working to implement energy initiatives.
  • Sustainable Energy Europe Campaign
  • CONCERTO
  • ManagEnergy
  • Intelligent Energy – Europe (IEE)
  • U4energy is an initiative funded under the IEE programme to improve energy consumption in schools and their local communities.
  • Eco-innovation

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