Resilient Grids to Keep EU Energy Transition on Track
MEP Anna Stürgkh explains how Europe must accelerate grid expansion, digitalisation, and cross-border cooperation to keep the energy transition on track.
The EU expects a 60% increase in electricity consumption by 2030, driven largely by the energy transition. What key measures should be taken to integrate renewable energy sources into the grid and ensure system resilience?
The big question is whether our grid system is ready for a 60% increase in demand and the broader energy transition. The answer is no, it isn’t. So, what needs to be done? I see two key priorities.
The first is the traditional approach: grid build-out. We need new transmission lines to connect wind farms, solar parks, and hydropower, as well as to support the electrification of industry. This is something we’ve done before, but now it needs to happen much faster and on a much larger scale.
The second is digitalisation. By deploying tools like smart meter rollouts, real-time thermal data, and other digital solutions, we can unlock demand flexibility and make more efficient use of the existing grid. It’s not just about building new infrastructure – it’s also about squeezing more capacity out of the system we already have.
By deploying tools like smart meter rollouts, real-time thermal data, and other digital solutions, we can unlock demand flexibility and make more efficient use of the existing grid.
If we combine these two approaches, expansion and digitalisation, we’ll be able to integrate renewables effectively and ensure that electrification is met with a resilient and reliable grid.
Are there specific regulatory or planning hurdles that are slowing down grid development and modernisation across the EU?
Yes, there are several. The first is permitting. It often takes longer to obtain a permit than to actually build the grid, creating a huge delay between identifying the need and delivering the solution. We simply can’t afford that. Faster and more streamlined permitting processes are essential.
The second issue concerns grid connection agreements. In many countries, we still use a “first-come, first-served” approach. This can be inefficient, because early applicants are not always the most advanced or strategic projects. Instead, we need to prioritise well-developed projects and those critical to the energy transition, ensuring that they connect to the grid more quickly.
Third, planning. While there are promising developments at both the national and EU levels, we still lack sufficient strategic planning, particularly for cross-border infrastructure. Too few projects are materializing. To address this, we need binding targets and stronger financial instruments to make cross-border projects economically viable for the countries involved.
We still lack sufficient strategic planning, particularly for cross-border infrastructure.
Your report on electricity grids notes that while power generation investment has increased by around 40% over the past five years, grid investment has not kept pace. What practical steps can be taken to close this investment gap?
In recent years, we’ve seen a surge of investment in renewables, which is great. But the energy transition depends on what I call the “holy trinity”: renewables, grids, and storage. And investment in the latter two has lagged behind.
To close the gap, we need a strong financial and regulatory framework. EU funds managed by member states must be channeled more effectively into grids, not just renewables. We also need to ensure that grid investments are economically viable by giving system operators a clear return on investment.
Mobilising private capital is crucial, but this requires regulatory certainty. Currently, investment tends to focus on physical build-out rather than digitalisation, largely because of how regulation is designed. We must ensure that financing covers both capital expenditure and operational expenditure and allow for anticipatory investments, so that system operators can invest ahead of demand without facing regulatory pushback.
Currently, investment tends to focus on physical build-out rather than digitalisation.
If we don’t fix these issues, grids will continue to lag behind renewable deployment, undermining the energy transition.
Looking beyond the EU, are there promising examples of cross-border cooperation with non-EU countries that are helping to strengthen regional grid integration? What further actions should the European Commission and Member States take to build on this momentum?
Yes, there are positive examples. One is the interconnection between Spain and Morocco. During a massive blackout that left millions without electricity for almost 24 hours, the cooperation with Morocco played a key role in restoring supply relatively quickly. That shows the value of strong cross-border links.
Another example is the UK, which has shown real willingness to expand energy market cooperation – particularly important for offshore projects in the North Seas, where the UK’s role is pivotal.
That said, the challenge remains the same as within the EU: making cross-border infrastructure economically attractive. Mechanisms like cross-border cost allocation exist, but they aren’t strong enough yet. We need to strengthen these tools to ensure that both EU and non-EU partners see real benefits in investing in shared infrastructure.