Europe could save up to £215 billion a year through accelerated electrification, according to a new report from global energy technology company Schneider Electric.
The research, Europe energy security and competitiveness – supercharging electrification, reveals that the EU currently spends around £325 billion a year on imported energy, with nearly 60% of its supply coming from abroad.
The study also finds that faster electrification and greater support for prosumer initiatives could generate up to 1 million new local jobs.
Europe’s electrification rate currently stands at just 21%, a level unchanged for a decade and 10% behind China.
The report warns that this stagnation threatens energy affordability and security across the continent.
Average residential energy costs in the EU are £0.23 per kWh, compared with £0.13 in the US and £0.07 in China.
This means European households pay around three times more for energy than their Chinese counterparts.
While the EU has cut emissions by 37% since 1990, Schneider Electric says dependency on imported fossil fuels continues to inflate costs and delay sustainability goals.
Laurent Bataille, Executive Vice President, Europe Operations at Schneider Electric, said: “Europe must break free from electrification stagnation urgently. The technology is here, ready to deploy. Now, policy must incentivize and businesses must drive implementation to unlock the economic and environmental gains we need to see today.”
The report calls on policymakers to close the price gap between gas and electricity by phasing out fossil fuel subsidies and reforming energy taxes.
It also urges faster financing for clean energy projects, including easier access to investment and targeted incentives for small and medium enterprises.
Schneider Electric adds that mandating electrification in new buildings, boosting deployment of heat pumps and electric vehicles and supporting local manufacturing will be essential.
Electrification could save Europe £215 billion appeared first on Energy Live News.