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EU Adopts New Renewable Energy Directive

EU To Adopt 42.5% Renewable Energy Ambition For 2030, Mandating Its Uptake For Various Sectors

Anu Bhambhani
  • The European Council has adopted the new RED, putting in motion the EU's plans to aim for 42.5% renewable energy target by 2030, instead of 32% 
  • Member states have now been instructed to have binding targets for sectors like transport, industry, building, heating and cooling 
  • Renewable energy projects will be fast-tracked to meet the targets under REPowerEU 

The European Union (EU) has reached the final step to officially raise its 2030 renewable energy target to reach a maximum of 45% after the European Council adopted the new Renewable Energy Directive (RED). 

While the target will now be revised to 42.5% from the current 32%, the bloc will aspire to reach 45% eventually. All member states will need to contribute to achieving this common target. 

According to the commission, this means the existing renewable energy share will be 'almost' doubled. Under REPowerEU, the bloc aims to commission around 600 GW AC solar PV capacity by 2030 (see EU Announces 600 GW AC Solar Target By 2030). 

Under the RED, the commission has now set sector-specific targets for various industries where the integration of renewables has been slower. These are:  

  • Transport: For this sector, by 2030, the member states can either aim for a binding target of 14.5% reduction in GHG intensity from the use of renewables, or opt for a binding share of at least 29% of renewables in the final energy consumption 
  • Industry: Member states will need to increase renewable energy use annually by 1.6%, and agree for 42% of the hydrogen used in this sector to come from renewable fuels of non-biological origin (RFNBOs) by 2030 and 60% by 2035 
  • Buildings, heating and cooling: The commission has established an indicative target of a minimum 49% renewable energy share in buildings in 2030, while for heating and cooling there will be a binding increase of 0.8%/year at the national level, to be increased to 1.1% from 2026 to 2030 

Efforts will be made to accelerate permit procedures for renewable energy projects to fast-track their deployment and meet the targets under the REPowerEU plan. The plan is EU's blueprint to becoming free of Russian fossil fuels. 

Renewable energy deployment will be presumed to override public interest in a bid to limit possible legal objections for new installations.  

Spain's acting Minister for the Ecological Transition Teresa Ribera said, "This is a great achievement in the framework of the 'Fit for 55' package which will help to achieve the EU's climate goal of reducing EU emissions by at least 55% by 2030. It is a step forward which will contribute to reaching the EU's climate targets in a fair, cost-effective and competitive way."  

The European Council's decision follows the European Parliament recently voting to raise the share of renewables in the bloc's final energy consumption by 2030 (see EU Votes To Boost Renewable Energy Deployment). 

The RED will now take another 20 days to come into force once it is published in the EU's official journal. Member states get 18 months to incorporate it into national legislation.