EU: The European Commission’s Clean Energy Investment Strategy aims to accelerate investment in Europe’s clean energy transition.
According to the Commission, delivering the transition will require around $766 B (€660 B) of investment each year until 2030, rising to $806 B (€695 B) annually between 2031 and 2040. The strategy is intended to help mobilise additional private capital, while using public financing to reduce project risk and attract a wider range of investors.
The European Investment Bank Group intends to provide more than $87 B (€75 B) of financing over three years to support the strategy and the wider objectives of the energy transition.
Commissioner for Energy and Housing Dan Jørgensen said Europe needs to increase the pace and scale of investment to ensure secure, affordable and clean energy. He said public financing alone is not enough and that private capital must be used strategically.
The strategy sets out four main measures. These include improving access to capital markets for electricity grid operators, including equity financing through a strategic infrastructure investment fund with an indicative EIB commitment of up to $580 M (€500 M).
It also aims to support bank lending to grid operators, provide targeted public funds to de-risk innovative clean energy technologies and strengthen energy efficiency financing. This includes a $580 M (€500 M) pilot scheme for “energy efficiency as a service” models.
The Commission and EIB also plan to support research on small modular nuclear reactors in Europe.
A new Energy Transition Investment Council will bring together policymakers and the investment community to support long-term private investment in the energy sector.
Source: European Comission
