Brussels, September 11 (FinanceFlashNews.com) – The European Commission (EC) has released its 2024 State of the Energy Union report, highlighting the European Union’s successful navigation of unprecedented energy challenges over the past five years. The report, endorsed by Executive Vice President for the European Green Deal Maroš Šefčovič and EU Energy Commissioner Kadri Simson, underscores how the EU has managed to secure its energy supplies, stabilize energy markets, and advance toward climate neutrality.
Key Achievements
The report states that by the first half of 2024, 50% of the EU’s electricity production came from renewable sources, and the EU significantly reduced its reliance on Russian gas, lowering imports from 45% in 2021 to 18% by June 2024. Meanwhile, imports from Norway and the US increased. Between August 2022 and May 2024, the EU cut its gas demand by 138 billion cubic meters.
Additionally, the EU achieved its gas storage target of 90% by August 19, well ahead of the November 1 deadline, and energy prices have remained stable, falling below the peak levels seen during the 2022 energy crisis.
Emission Reductions and Renewable Energy Progress
The EU’s greenhouse gas emissions have decreased by 32.5% since 1990, while its economy has grown by 67%. The renewable energy sector has seen significant strides, with wind energy surpassing gas as the second-largest source of electricity after nuclear. Wind energy alone contributed to 50% of renewable electricity production in the first half of 2024.
Future Challenges and Goals
The report highlights future challenges, including disparities in renewable energy goals, rising energy poverty, and the need for a decisive EU-wide response to meet 2030 climate goals. The document also stresses that all member states must submit their final National Energy and Climate Plans to ensure the EU meets its targets.
The report further acknowledges the EU’s support for Ukraine, noting that 40% of donations from EU member states have been directed toward Ukraine’s energy sector following Russian attacks.
Industrial Alliances and Hydrogen Projects
The report celebrates the role of European industrial alliances, such as the Battery Alliance and Clean Hydrogen Alliance, in driving the EU’s renewable energy transition. The European Hydrogen Bank, backed by the EU’s Innovation Fund, recently allocated €720 million to support seven renewable hydrogen projects across Europe.
Keywords: EU, energy union, renewable energy, gas reduction, Maroš Šefčovič, Kadri Simson, hydrogen bank, Ukraine, climate goals
