Three EU Nations Call for New 2040 Renewable Energy Goal

Three EU nations, Spain, Portugal, and Luxembourg, have called upon the European Union to establish renewable energy targets for 2040. The energy ministers of these member states argue that the EU should expedite its clean energy transition to mitigate dependence on fossil fuels and address geopolitical risks. In a letter to European Energy Commissioner Dan Jørgensen, the ministers emphasized the urgency of action, citing the implications of events such as the blockage of the Strait of Hormuz.

They argue that a clear 2040 renewable energy target would signal to investors and markets the importance of the shift. Currently, the EU has set binding renewable energy targets for 2030, with a goal of at least 42.5% renewable energy in the energy mix. However, the EU lacks such a target for 2040, which is a crucial step towards achieving climate neutrality by 2050.

The EU currently has an emissions target of 90% reduction by 2040 compared to 1990 levels, with domestic targets of 85% and potential use of up to 5% international carbon credits. This call for 2040 renewable energy targets comes shortly after renewable energy associations and stakeholders urged EU Energy Ministers to establish binding 2040 targets.

These stakeholders highlighted the benefits of solar power in reducing EU gas imports for power generation, saving over 30 billion euros ($34 billion) in just six months since the Middle East conflict began. Despite these advantages, the industry body warns of a potential decline in solar deployment this year due to reduced policy support.