Europe’s distribution grids matter states cross-industry call
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A coalition of 16 European cross-sectoral associations have called for distribution grids to be put at the centre of attention of the European agenda for the next five years.
In a statement the coalition members refer to the DSOs as the central players that contribute to driving the energy and digital transitions on the ground for the benefits of all European citizens, enterprises, and industries.
The distribution grids are incorporating an increasing amount of renewables and are becoming more customer driven, the statement reminds. With more than 70% of renewables to be connected to the distribution grid by 2030, the DSOs are the key technical enablers of the 42.5% EU’s renewable energy target.
Additionally, the distribution grids are central to Europe’s security and resilience with the DSOs contributing to ensuring the stability of a growing decentralised energy system.
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The DSOs also are a significant economic factor with regards to investments in the EU supply industry and a credible employer of services of general interest.
However, despite the recognition of DSOs in the EU’s action plan for the grids, the challenges are still numerous and pressing, the statement continues, referencing the up to €67 billion average annual investment in distribution grid infrastructure required between 2025 and 2050 estimated by Eurelectric.
The statement presents four requests to policymakers.
1. Create a new dedicated grids facility, possibly under the EU Competitiveness Fund, and align the EU financing instruments with the net zero targets and DSOs’ needs to gear investments towards the required development of the distribution grid.
2. Introduce a grid mainstreaming approach to ensure DSOs’ needs are considered in every new and revised regulation, including the new Clean Industrial Deal, and that grid expansion does not lag behind.
3. Ensure the Green Deal’s implementation on the ground by enabling anticipatory investments, ensuring faster permitting procedures, supporting the supply chain by reducing technical complexities and enhancing visibility, and providing suitable and forward-looking regulatory frameworks to guarantee the right investment-friendly environment.
4. Launch a European Grid Academy within the framework of the EU’s net zero academies to build and develop the right skills in the direct and indirect grid value chain.
All of this should be accompanied by the continuation of an open dialogue on energy and critical infrastructure for EU stakeholders.
In conclusion, the statement reads: “The next five years will be crucial for delivering the Green Deal objectives while at the same time ensuring a competitive and resilient continent. This will only be possible with strong and empowered grids.”
The coalition signatories are (in alphabetical order) Avere, CEDEC, ChargeUp Europe, CurrENT, DSO Entity, E.DSO, European Heat Pump Association, EREF, ESMIG, Eurelectric, EuropaCable, GEODE, SGI Europe, SolarPower Europe, T&D Europe and Transport & Environment.
