The European Commission will propose an energy package that entails an additional investment of €210 billion by 2027 for the European Union (EU) to become independent of Russian energy and meet environmental targets.
In the draft communication to be released this Wednesday, to which the Lusa agency had access, one reads that "the Commission's analysis indicates that the [new energy package] REPowerEU implies an additional investment of 210 billion Euros by 2027, beyond what is needed to achieve the goals of the Objective 55 package", which foresees a green transition with a 55% reduction in pollutant emissions by 2030.
According to Brussels, "such an investment will pay off," as both the energy and environmental packages will allow the EU to save "80 billion euros in gas import spending, 12 billion euros in oil import spending, and 1.7 billion euros in coal import spending per year."
At issue is REPowerEU, a plan to increase the resilience of the European energy system and make Europe independent from Russian fossil fuels before 2030, following the Ukraine war and supply problems.
The plan then aims to diversify supplies, replace fossil fuels by transitioning to clean energy, combine investments and reforms, and still save energy, goals aligned with the Goal 55 program, which envisions a 55% reduction in pollutant emissions by 2030.
In the communication quoted by Lusa, the EU executive stresses that the measures included in the package aim at "structurally transforming the EU's energy system" at a time of severe crisis in the sector and when prices are hitting record highs.
But the main goal of REPowerEU is to "rapidly reduce [Europe's] dependence on Russian fossil fuels by rapidly advancing the clean transition and joining forces to achieve a more resilient energy system and a true Energy Union," Brussels highlights.
Admitting that "rapid decoupling of energy imports from Russia could lead to higher and more volatile energy prices," the European Commission proposes measures to "keep prices under control and protect individuals from energy poverty," including a social climate fund to support vulnerable households and small businesses.
Brussels will also go ahead with an awareness campaign for energy saving and efficiency.
To finance this energy package, Brussels wants to encourage countries to incorporate reforms under the National Recovery and Resilience Plans and to use cohesion funds, state aid, and EU programs such as the InvestEU investment program, the Connecting Europe Facility, and the Innovation Fund.
The European Commission's communication comes at a time of conflict in Ukraine caused by the Russian invasion, geopolitical tensions that have been affecting the European energy market, as the EU imports 90% of the gas it consumes, with Russia accounting for about 45% of these imports, at varying levels among member states.
Russia also accounts for about 25% of oil imports and 45% of coal imports from the EU.
On average in the EU, fossil fuels (such as gas and oil) have a weight of 35%, compared to 39% for renewables, but this is not the case in all member states, given the differences between the energy mix of each of the 27 member states, with some more dependent than others.
Brussels has been advocating the need to ensure the EU's energy independence from unreliable suppliers and volatile fossil fuels.