Global | REPowerEU: One, two, three

Summary

One event, the Russian invasion of Ukraine, affects both the price and supply of energy and leads the EU to three sets of measures to mitigate the damage and accelerate the transition to renewable energy.

Key points

• Key points:
• First, replenishing gas reserves for the coming winter by increasing the required minimums and reducing pipeline tariffs.
• Second, a plan to phase out dependence on Russia (by 2030). The plan aims to cover 40% of Russia's gas supply with other suppliers, another 50% by fast-tracking the introduction of biofuels and green hydrogen, and the remainder from promoting further electrification and energy efficiency.
• National initiatives on the wholesale electricity market—subject to authorization by the European Commission—must be provisional, with justification of the proposed caps, not detrimental to competition and not affecting international electricity flows.
• The key to this transition is that investments to achieve secure supply must be complementary to the decarbonization strategy, and that emergency reforms must be just that — provisional in response to a situation of need.

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