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Market favors EU Green Deal but increased volatility likely

March 04, 2021

Future Power Technology:

On the face of it, Europe is well placed to succeed in its aim to cut carbon emissions, promote renewables, and push forward with its green economy agenda.

The continent is a success story, supported by head-spinning facts and figures that are physically represented by the abundance of new, often large-scale renewable energy infrastructure.

Since 2005, the EU has almost doubled its power generation via renewables, providing around 34% of the bloc’s energy supply in 2019. That is just shy of the 38% generated by fossil fuels in the same year. Given the EU’s ambitions to lead the world in combatting climate change, these figures are promising. 

Arjun Flora, UK analyst at the Institute for Energy Economics and Financial Analysis, says: “The Green Deal aims to drive the EU towards its goal of having net-zero greenhouse gas emissions by 2050, while also providing an engine for sustainable economic growth and just transition across its member countries and affected industries.”

As part of this goal, the EU says that increasing offshore wind power production will be essential.

“It ticks the boxes, not only for domestic clean energy production and job creation, but also for the EU’s brand, being a world-leading European industry,” says Flora. 

[Andrew Tunnicliffe]

More: Ambition, progress, and discord: the EU’s offshore wind ambitions

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