Almost 80% of European consumers not active in energy transition finds survey

Despite increasing adoption of clean energy solutions by households across Europe, an awareness gap and affordability concerns continue to hinder their active participation in the energy transition, finds a survey by Eurelectric and Accenture.

According to the consumer survey, Power2People, most participants (78%) do not actively take part in the energy transition.

The reasons are two-fold.

Awareness and affordability

First, according to the survey, is an awareness gap. More than one in two participants were not aware of their energy suppliers’ offering of products and services for electrification and/or better control over their energy costs.

For example, 60% of households, Eurelectric adds, remain unaware of utility programmes like dynamic tariff rates, bill-reducing tools or financing options.

The second relates to affordability.

When it comes to using energy at home, consumers reported a lack of control – 11% feel less in control of their energy costs than they did 12 months ago.

82% of people surveyed do not use electric heating and cite upfront payments as the primary hurdle and 77% say they are unlikely to adopt an EV in the next 12 months.

Additionally, when trying to take concrete action, many consumers stay within the limits of low-cost measures despite strong environmental awareness (8 in 10 consumers care about their impact on the environment). While 68% use energy-efficient lightbulbs, 55% have reduced their overall energy use, and 47% have purchased energy-efficient appliances.

On the retailer’s side, 40% cite the impact of rising energy bills due to growing share of taxes and levies as a main barrier hampering their ability to deliver impact, followed by the lack of appropriate market structures to leverage demand response programmes (40%).

Commenting in the publication was Vera Pinto Pereira, EDP Executive board member: “Clean energy growth is accelerating – but not fast enough.

“About 50% of emission reductions on the road to carbon neutrality will come from choices we all make, such as choosing an electric car, having a more efficient home or heating water with electric heat pumps. Together, we must act faster to build a sustainable future.”

More from Eurelectric:
Electrification key for industrial competitiveness finds Eurelectric study
Eurelectric announces new presidency with Fortum CEO at the helm

Short-term savings

According to survey, consumers are focused on short-term savings, rather than behavioural change. For example, 80% of customers report cutting power use or switching tariff rates, but only 23% have adopted electrified solutions.

Although adoption of EVs increased 2.5x since 2021, only 5% of consumers own an EV today, indicating that current progress is still far from what’s needed to meet the 2040 climate goals.

Solar panel use doubled, reaching 18% and signalling growing interest in renewable self-generation. However, 82% of households still rely on gas heating, and 77% are unlikely to buy an EV in the next year, underscoring inertia in high-impact sectors.

Additionally, 81% of consumers consistently express concern about their impact on the planet, yet their actions tend to focus on simple, cost-effective measures that do not entail direct electrification and have a more limited impact.

Increasing awareness

Despite the figures, the survey says there is still opportunity to boost participation by residential energy consumers.

It says that consumers are perceiving a better interaction with their energy suppliers who are addressing their essential needs.

Additionally, adoption of clean technologies such as solar panels and EVs has more than doubled since 2021.

Switching was also found to be on the rise, with 31% of consumers changing their energy supplier in the last year (+8 percentage points since 2021), reflecting the competitiveness of retail energy markets.

Finally, and importantly, says the survey, satisfaction is very high among adopters, showing strong potential for scaling positive engagement.

Said Kristian Ruby, secretary general of Eurelectric: “The energy crisis drove short-term savings, but not sufficient long-term changes. To accelerate electrification, we must make sure that all consumers feel supported by lowering upfront costs and increasing simplicity.”

Commitments and policy asks

In response to the survey’s findings, Eurelectric in a release lists five commitments from the power sector, as well as policy asks for each:

• To communicate smarter with personalised, multilingual advice and real-time alerts.

Eurelectric recommends consideration of national ‘energy spots’ offering tools and assistance programmes for savings. These centres would provide tailored advice on reducing monthly bills, optimising rates to highlight price trends and peak hours, and accessing payment assistance programmes for vulnerable households.

• To engage all consumers, including vulnerable groups, renters and digitally excluded.

Eurelectric recommends introduction of tax rebates for EVs, heat pumps and solar installation, as electricity remains 1.4x more taxed than gas, distorting price signals and discouraging electrification. Additionally, social policies should be strengthened and national energy poverty observatories be created.

• To boost efficiency through tailored energy-saving tips, smart tools and renovation support.

Eurelectric recommends that governments find ways to derisk investments into energy efficiency measures and offer fund free or low-cost energy audits. These audits would highlight opportunities to reduce water and energy waste, such as upgrading HVAC systems or adopting smart meters.

Additionally, renovation grants and appliance subsidies should be offered, and social housing upgrades and self-consumption models should be supported.

• To simplify energy services with intuitive apps, automated tools and better product access.

Eurelectric recommends that national standards be established for smart device interoperability, ensuring seamless integration of time-based rate tools and consumption tracking across apps, simplifying bill management.

Additionally, support should be given to independent product and contract comparison tools and innovation space should be kept open with stable, market-driven regulation.

• To promote demand flexibility to help consumers save and support grid resilience.

Eurelectric calls for smart meter rollout to accelerate to 95% EU coverage by 2027, prioritising regions with grid congestion and ensure device compatibility. These demand response devices would empower customers to monitor hourly rates and shift usage to off-peak hours, lowering bills while supporting grid stability and prices.

They also call for Article 5 of the EU Electricity Directive to be enforced to empower demand response and phase out fossil-fuel subsidies.

Finally, they recommend that secure, user-consented data sharing be enabled across actors.

Eurelectric and Accenture’s research surveyed over 2,500 customers across 12 EU countries, engaged more than 70 suppliers and consulted with 60+ stakeholders including regulators, utilities, system operators, and consumers associations.

Originally published on Enlit.World.