Positions

The Electrification Alliance's new Manifesto outlines key policies to accelerate the uptake of direct, smart electrification in Europe. The Manifesto calls for a dedicated Electrification Action Plan in the first 100 days of the incoming European Commission’s mandate.

This Electrification Action Plan should set a target of 35% electrification of final energy use across the EU by 2030. It should ensure electrification becomes an integral element of Member States’ National Energy and Climate Plans (NECPs).

The Manifesto also calls on the incoming Commission to ramp up investments in electricity grids. Europe needs to overhaul its energy infrastructure planning– starting with an immediate reform of the TEN-E Regulation and Ten-Year Network Development Plan processes for both transmission and distribution system operators. Crucially, grid planning needs better coordination and more political oversight to ensure it delivers on net zero.

Other concrete policy actions in the Manifesto include programmes to attract skilled workers, the prioritisation of direct, smart electrification in the EU’s funding and financing programmes and the empowerment of end-users to utilise the full potential of demand side management.

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The Electrification Alliance establishes the priorities for the Fit for 55 package with dedicated recommendations on key legislative files:

1. Carbon pricing and energy taxation e.g. to:
• Ensure a level playing field between energy carriers Set standards to avoid double taxation of end-use flexibility solutions
• Renewable energy – revision of the
2. Renewable Energy Directive e.g. to:
• Increase the 2030 renewable energy target to levels in line with the European Commission impact assessment
• Promote and accelerate demand-side flexibility efforts
• Remove obstacles to solar, wind & electricity grid deployment, e.g. in relation to permitting
• Keep the RED II unambiguously for renewable energies
3. Energy system efficiency – revision of the Energy Efficiency Directive e.g. to:
• Increase the 2030 energy efficiency target
• Ensure that the energy efficiency first principle is applied at system level
• Review the Primary Energy Factor (PEF) for electricity
4. Electrification of buildings – revisions of the Energy Performance in Buildings Directive e.g. to:
• Integrate buildings and transport sectors through direct electrification ready for smart charging
• Increase the required shares of renewables and energy efficiency improvements in heating and cooling systems
• Accelerate the deployment of on-site renewable electricity and demand-side flexibility sources
5. Electrification of road transport – revisions of the CO₂ emission performance standards for cars and vans Regulation and the Alternative Fuels Infrastructure Directive e.g. to:
• Tighten the CO₂ emission standards for cars and vans for 2025 and 2030
• Set an ambitious framework for a goal-driven, intelligent and dynamic roll out of charging infrastructure in Europe
• Prioritise roll-out flexible charging infrastructure (smart charging)

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The Electrification Alliance welcomes the proposal put forward by the European Commission for the revision of the TEN-E Regulation. A revision of the Regulation is much needed in light of the EU’s 2030 and 2050 objectives and in order to channel investments in smart, reliable and efficient infrastructure that can deliver the transition to a net zero economy. There are still a number of areas in which changes could be made to improve the revised TEN-E Regulation, notably on:

1. PCI selection criteria;
2. Governance; and
3. Network optimisation, transformation and decentralisation.

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The Electrification Alliance welcomes the initiative by the European Commission (EC) to revise the Trans-European Networks – Energy regulation (TEN-E) as part of its Green Deal agenda. The revision offers an important opportunity for the EU to give priority and funding to future-proof Europe’s energy infrastructure, in a cost-effective manner. The priority corridors and areas, as well as the eligibility criteria set out in the TEN-E regulation, were defined in 2013 with market integration and security of supply as the ultimate goal. That approach is no longer in line with the 2030 and 2050 decarbonisation goals. Getting energy infrastructure regulation right is central to reaching these objectives.

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The Electrification Alliance welcomes the initiative by the European Commission to review the Renewable Energy Directive and the Energy Efficiency Directive to allow a cost-efficient integration of renewables in all energy end uses, to increase demand-side flexibility and system efficiency. And the Alliancerecommends the following actions for a successful revision of the Renewable Energy and Energy Efficiency Directives:

1. Adopt an upwards revision of the EU’s 2030 renewable and energy efficiency targets to support the increased 2030 greenhouse gas emissions target, including an update of the sectoral target for the use of renewable energy in heating Prioritize direct electrification of all end-use sectors combined with energy demand reduction and the deployment of renewable electricity sources, as the most cost-effective way to decarbonise the EU
2. Ensure that administrative procedures support the development of renewable energy projects to successfully meet the EU renewable energy target Enhance demand-side flexibility across all sectors to smartly manage an energy system with large shares of renewables and to reduce unnecessary grid investments Ensure the Primary Energy Factor supports increased system efficiency delivered by electrification in end-use sectors
3. Create a Clean Energy Package Implementation Platform to promote best practices in Member States’ decarbonisation strategies and share technical guidance
4. Renewable-based indirect electrification could play an important role to decarbonise “hard to abate” sectors such as heavy industry, aviation, and shipping, where direct electrification may be less cost effective

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The Electrification Alliance welcomes the upcoming Renovation Wave initiative of the European Commission. We believe that the following 10 principles will help make it a success and speed-up the full decarbonisation of the EU building stock:

1. Acknowledge the multiple benefits for EU citizens and the energy system
2. Take an ambitious approach to building renovation and electrification
3. Prioritise the electrification of heating and cooling in buildings
4. Accelerate on-site renewable electricity generation
5. Deploy e-mobility smart charging infrastructure
6. Foster the demand-side flexibility of buildings
7. Align internal electrical installations with a higher level of ambition and safety
8. Encourage innovative business models enabled by digitalization
9. Set up up-to-date skills programmes for workers
10. Make the best use of the Clean Energy Package laws

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The Electrification Alliance welcomes the initiative by the European Commission to set out a comprehensive strategy for smart sector integration, which, we believe, can greatly contribute to a “green” and “digital” recovery from the COVID-19 crisis. Enhanced smart sector integration is mostly a matter of making electrification work. Direct electrification must be the top priority of the Strategy as we must ramp up rates of direct electrification from today’s 24% to at least 50% by 2050. Investing in power grids and in the technologies and supply chains that will deliver climate neutrality must be central to the EU’s plan for a speedy and future-proof recovery.

Here are the 5 priorities of the Alliance for a successful roadmap on the Smart Sector Integration Strategy:

1. Prioritise direct electrification, as it is the most cost-effective way to decarbonise the EU economy
2. Enhance demand-side flexibility across all sectors to smartly manage an energy system with large shares of renewables and reduce costs for grid extension
3. Accelerate the deployment of a smart and climate-resilient electricity grid infrastructure
4. Revise the Energy Taxation Directive to ensure that all energy sources can compete on an equal footing, promote clean innovative technologies and ensure competitive energy costs in Europe
5. Allow renewable-based indirect electrification to play a key role for “harder to abate” sectors

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