The European Commission has proposed a 90% GHG emissions reduction target by 2040, outlining key strategies to achieve SolarPower Europe, including guidance on network tariffs, designated grid and storage areas, and innovative renewables. SolarPower Europe welcomed the move, calling it a strong signal for investment in clean energy and urging the Commission to set post-2030 sub-targets for renewables, electrification, and flexibility. This announcement came with a strategy for the EU to get there.
It includes three key pieces of guidance:
- A methodology for incentivising flexibility through network tariffs
- A communication on the establishment of areas for grids and storage
- Guidance on the development of innovative forms of renewables
SolarPower Europe has issued the following statement in reaction.
“Today’s 2040 target proposal is a welcome reaffirmation of the EU’s commitment to the energy transition. It sends a key signal to businesses and investors that decarbonization is not a cost but an investment in Europe’s competitiveness, energy security and industrial development.”
“We now expect the European Commission to put forward the post-2030 framework that will enable us to achieve this target. This should include three sub-targets for renewable energy deployment, electrification, and flexibility. Solar and storage are ready to play a central role as the most scalable, affordable and secure technologies available.”
– Dries Acke, Deputy CEO of SolarPower Europe.
“The commission’s guidance can help member states roll out advanced network tariffs that facilitate the system-friendly grid integration of renewables and electrification technologies. We strongly support time-of-use tariffs, which allow users to optimize consumption in line with grid needs, ultimately reducing the required network buildout.”
“We also strongly support removing double charges on network tariffs for electricity that passes through storage. Removing this disproportionate burden will recognize the role of storage in lowering price volatility for end-users.”
“Overall, we welcome efforts to harmonize approaches across Europe and encourage member states to properly incentivize flexibility and align tariffs with other tools to ensure consistent investment and efficient system use.”
– Jan Osenberg, Head of System Integration at SolarPower Europe.
“The European Commission’s document on innovative technologies and forms of renewables represents a strong first step in supporting Member States to unlock the potential of such technologies (as agrisolar or floating PV). It also addresses the main challenges, including regulatory, technical, and financial barriers.”
“The guidance on grid and storage infrastructure is particularly timely, as permitting remains one of the main bottlenecks to renewable energy and related renewable infrastructure deployment. To enable harmonized RES planning and ensure accelerated permitting for grids and storage infrastructure in designated areas, we now need member states to deliver a coordinated mapping exercise.”
– Lina Dubina, Policy Advisor at SolarPower Europe.
This 2040 target proposal sets an intermediate milestone between the 2030 (-55%) and 2050 (net zero) climate targets. The EU Commission also released a communication on the Clean Industrial Deal, a key pillar of its competitiveness agenda, including a recommendation on state aid and tax incentives to support clean tech investment, renewables and grid infrastructure.
The EU Commission will develop a plan to mitigate the risk of carbon leakage for EU exporters under the Carbon Border Adjustment Mechanism (CBAM). As part of the Affordable Energy Action Plan, the EU Commission also released targeted guidance to scale renewables and flexibility on future-proof network charges, grid and storage areas, and innovative renewables.