A smarter system can capture the full benefits of homegrown wind and solar power

Policy action can accelerate a cost-effective transformation of the EU power system. To swiftly capture the full benefits of renewable power, EU member states and governing institutions need to put the following priority actions on top of the policy agenda in 2026:

Implement rules for clean flexibility

• Remove barriers to battery deployment in national legislation — such as streamlined permitting for co-located assets, ending double grid charging, clear rules and technical standards
• Implement a clear framework to reward consumers for their demand flexibility to lower consumer bills and provide grid stability
• Collaborate to accelerate permitting for key cross-border power lines and secure finance for a stronger power grid, implementing a new planning approach in line with the proposed Grids Package 
• Member States must immediately implement non-wire solutions that can rapidly increase grid capacity
• The European Commission must ensure Member States implement existing rules and be held accountable for non-compliance.

Boost smart electrification through clear policy signals and support

• Put in place a clear policy for electrifying transport, heating, and industry, starting with the forthcoming Electrification Action Plan. Electrification can halve fossil import dependence and unlock investments in wind and solar. 
• Support investment in heat pumps and other electric technologies through state aid and by rebalancing taxes and energy costs.
• Use electrification strategies to reward the rollout of smart electric technologies that adjust their consumption in response to electricity prices, opening access to cheap clean electricity
• Implement permitting reforms at the national level to enable renewables to meet rising electrification demand.

Improve energy security

• Prioritise the quick delivery of legislation to ban Russian gas and LNG imports by 2027, while avoiding a shift of the dependency to imported LNG that exposes EU consumers to global price shocks and unstable suppliers.
• Secure power lines against sabotage and deploy new interconnectors to protect against disruption from blackouts and attacks, especially in regions with the highest risk of incidents.
• Government, energy, financial and military stakeholders should collaborate to strengthen and protect grids and renewables.