– The European Round Table for Industry (ERT) found that €800 billion of investment is needed in energy infrastructure by 2030 for net zero goals
– The investment gap for power grids, hydrogen, and CO₂ is projected to reach €2.5 trillion by 2050
– Private and public capital collaboration, regulatory support, and faster infrastructure development are key recommendations to bridge the investment gap and achieve sustainable energy transition goals.
The European Round Table for Industry (ERT) has identified a need for €800 billion in combined public and private sector investment to be directed towards energy infrastructure by 2030 to support the EU’s net zero goals. A report by Boston Consulting Group (BCG) titled Strengthening Europe’s Energy Infrastructure highlighted a significant investment gap in power grids, hydrogen, and CO₂ infrastructure, which may increase to €2.5 trillion by 2050. The EU must double its annual spending on grid investments to reach its climate targets.
The ERT emphasizes the importance of a strong regulatory framework and collaborative effort between private and public capital to bridge the investment gap in energy infrastructure. Infrastructure modernization is crucial for achieving the goals set under the Green Deal, and policymakers need to provide incentives to attract private investment urgently. The report suggests fast-tracking energy infrastructure development, facilitating cross-border cooperation, and incentivizing interconnector planning and development as key recommendations for a successful energy transition.
Companies led by ERT members are calling for regulatory changes and a rethink of Europe’s policy pathways to achieve climate targets. The Strengthening Europe’s Energy Infrastructure report, along with another report on the competitiveness of European energy-intensive industries, aims to inform policymakers and stakeholders about the challenges and opportunities in the transition to sustainable energy sources.