Category: Knowledge Center Europe

Luxembourg Energy Policy Review: Report

Luxembourg’s climate and energy goals are aligned with the EU targets for a 55% reduction in greenhouse gas emissions by 2030 and a 90% reduction by 2040, and it has legally enshrined net zero emissions by 2050. Despite rapid population and economic growth, energy-related emissions have already fallen by 40% since 2005, reflecting the success of early measures. Public support for climate action is also robust, providing a strong foundation for the next phase of the transition. To meet its targets, however, Luxembourg will need to implement more ambitious decarbonisation policies while carefully managing energy security and affordability considerations. 

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Austria Energy Policy Review: Report

Austria has one of the most ambitious climate and energy targets in the world; achieving them requires actionable delivery strategies and adequate funding. Austria has the highest share of renewable energy in electricity consumption in the European Union and is the first European country to develop a pioneering approach to integrated energy system planning. However, the gap between ambition and delivery is widening. This report provides advice on how Austria can achieve its policy goals with particular focus on two areas: energy system flexibility and industrial competitiveness and decarbonisation.

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Energy Transition in the Western Balkans: Report

The Western Balkans are entering the energy transition under structurally more demanding conditions than most EU Member States. High carbon intensity, ageing energy infrastructure, and continued reliance on coal and hydropower intersect with increasing pressures stemming from EU climate policy, market integration, and the introduction of the Carbon Border Adjustment Mechanism. This report examines the implications of decarbonisation for competitiveness, energy security, and economic development across the Western Balkans. While renewable energy deployment is accelerating, progress is constrained by outdated grid infrastructure, limited institutional capacity, and restricted access to finance. 

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Accelerating Solar and Storage Deployment in EU: Report

The report demonstrates that scaling up solar power and battery storage, as the cheapest and most versatile forms of power generation, offers the most effective and immediate pathway to deliver on all three pillars of the energy trilemma: sustainability, affordability, and security. The report identifies a sweet spot where consumers benefit from lower average prices, while preserving the business case for large-scale solar investments, which has become increasingly unattractive as more frequent negative price-hour events decrease the value of solar power.

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Germany’s Battery Opportunity: Report 

Germany hosts around a quarter of the EU’s total large-scale battery capacity, with over 2.5 GW operational by the end of 2025 which is more than double the capacity of just two years earlier. Germany has a strong grid-scale battery pipeline, but the lack of an ambitious clean flexibility strategy and the preferential treatment of gas in forthcoming auctions risk slowing deployment, causing the country to forego the benefits of batteries and remain locked into gas import dependency for decades. Empowering batteries will help fortify Germany’s energy security. 

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European EV Market Monitor: Report

In January–March 2026, Europe’s battery electric car registrations recorded a 20% market share, up 4 percentage points from the same period in 2025. Germany and Italy, currently Europe’s largest car markets, registered battery electric market shares of 23% and 8%, respectively, representing increases of 6 and 3 percentage points compared with January–March 2025. France and Spain, the third and fourth largest European markets, also saw growth, with battery electric shares at 28% and 9%, respectively, 10 and 2 percentage points up from January–March 2025.

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Global Energy Review 2026: IEA Report

Solar PV, the largest single source of growth, met more than 25% of higher demand, followed by natural gas, which contributed 17%. This was the first time on record that a modern renewable source contributed the largest share of global energy demand growth. Demand for oil, natural gas and coal all grew in 2025, but at a slower rate than in 2024. Low-emissions sources combined – solar, wind, nuclear, hydropower and other renewables – contributed nearly 60% of the growth in global demand. Coal demand in 2025 grew only modestly above 2024 levels, rising by around 0.4%.

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Plug-in PV Adoption in Germany: Report

The report presents Germany’s experience, where removing administrative and technical enabled barriers the rapid expansion of plug-in solar. It provides detailed analysis from the perspectives of policy design, market development, safety standards, and applications in multi-family housing. Plug-in solar is a new type of small-scale, low-cost, and easy-to-install solar system that has been rapidly expanding, particularly in Germany. Even people living in apartment buildings can generate their own electricity by installing systems on balconies or similar spaces, significantly broadening access to solar power.

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Grid Capacity Limitations in EU: Report

Europe’s energy security depends on reducing imported fossil fuel reliance through electrification and rapid expansion of homegrown renewable power. Meanwhile, Europe’s competitiveness relies on connecting new industrial demand. Analysis of available grid capacity shows that grids are not fully prepared for the continent’s ambitions. Europe needs to take swift action to address grid bottlenecks. This includes reforming administrative processes and deploying non-wire solutions.

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Global Energy Outlook 2026: Report

Electricity demand is surging. Projections for power consumption around the world have been revised upward in recent years, incorporating rising demand from data centers and the electrification of end-use sectors such as transportation. Although these trends vary across regions, they add up to a rapidly electrifying world. World coal demand has grown faster than expected. Under most scenarios, wind and solar grow to account for more than half of global electricity generation by 2050.

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Energy Storage Deployment in Europe: Report

Energy storage technologies are crucial for a secure, resilient and low-carbon energy system, but their implementation is hindered by a range of challenges. This report provides an analysis of the deployment of energy storage technologies in Europe, identifying the current status and the policy framework. Key findings highlight the growing expectations of lithium ion battery storage, the continued importance of pumped-storage hydropower and the significant potential of energy storage to support the integration of renewable energy sources.

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Energy Shocks Remind Europe of Gas Reliance: Report

The first ten days following the escalation of the conflict in the Middle East have been a painful reminder of the EU’s fossil reliance. The rise in fossil prices increased the EU’s fossil import bill, which could have a knock-on effect on electricity prices. The cost of gas-fired power across Europe has increased by more than 50% due to the gas price spike since February 28. The EU paid an additional €2.5bn for fossil fuel imports in the first 10 days of the conflict.

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Sheltering from Global Oil Shocks: Report

The report details demand-side options open to households, businesses and governments to shelter themselves from today’s oil shock and relieve the strains on affordability, based on the agency’s energy security expertise as well on specific country examples. Governments can take the lead, both by setting an example and by facilitating these actions, but many can be adopted by individuals and businesses directly. Most of these options relate to consumption of road transport fuels, but they also cover fuel use for air transport, cooking and industry.

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Energy Communities Potential in EU: Report

The EU set a target for the share of renewable energy of at least 42.5 % by 2030 (up from 25.4 % in 2024). The Commission estimated that half of the EU’s citizens could produce up to 50 % of the EU’s renewable energy by 2050. The report concludes that the EU is unlikely to have at least one renewables-based energy community in every municipality with more than 10 000 inhabitants by 2025, as it had reached only 27 % of its objective by January 2025.

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Merchant BESS Viability in Germany: Report

Germany’s BESS market has expanded rapidly on the basis of merchant, unsubsidized investment and has become a key enabler of renewable integration and system flexibility. As storage requirements rise materially in the 2030s, preserving investable market conditions for merchant BESS is of systemic importance. This study evaluates the economic sensitivity of merchant BESS viability to these instruments, identifying the mechanisms that most strongly affect project economics and the conditions under which storage remains investable.

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Securing EU’s Critical Mineral Supply Chain: Report

To ensure the secure supply of critical raw materials, the EU aims to diversify imports, increase domestic production, and manage resources more sustainably, but finds it difficult to overcome challenges in reaching these objectives. While the Critical Raw Materials Act sets a strategic course, its targets lack justification and underlying data is not robust. Efforts to diversify imports have yet to produce tangible results and bottlenecks hamper progress in domestic production and recycling. While strategic projects can benefit from faster permitting and more visibility, many projects will struggle to secure supply for the EU by 2030.

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Scaling Biomethane in Europe: Report

European biogas and biomethane production has experienced robust growth but remains dependent on policy support. Production increased by 34 per cent between 2015 and 2024, reaching 232 TWh or 22 Bcm, with Europe now accounting for nearly half of all global output. However, biomethane continues to face a persistent cost disadvantage relative to natural gas, with limited evidence of production cost reductions since the 2010s. The EU is unlikely to meet the REPowerEU biomethane ambition, signalling a subtle recalibration of gas decarbonisation expectations.

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Global Electricity Trends and 2030 Forecast: Report

Global electricity demand is forecast to increase at a brisk average annual rate of 3.6% over the 2026-2030 forecast period, supported by rising consumption from industry, electric vehicles, air conditioning and data centres. Half of the world’s electricity is forecast to come from renewables and nuclear by 2030. Although coal generation is set to lose ground globally, it remains the single largest source of electricity in 2030. The Age of Electricity requires a fast and efficient expansion of grids and system flexibility.

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State of Advanced Biofuels in EU: Report

This CETO 2025 report provides an analysis of the state of advanced biofuels in the European Union. EU advanced biofuels sector is key for achieving the binding targets set by the Renewable  Energy Directive (RED III), including the target of at least a 42.5% renewable energy share by 2030. The transport sector is mandated to reach a 29% renewable energy share, which includes a binding combined sub-target of 5.5% for advanced biofuels and renewable fuels of non-biological origin (RFNBOs).

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European Electricity Review 2026: Report

Wind and solar reached 30% of EU electricity, higher than fossil power (29%) for the first time on record, and up from 20% just five years prior. By 2025 wind and solar generated more power than all fossil sources in 14 of the 27 EU countries. Solar grew in every EU country and accounted for more than a fifth of electricity in Hungary, Cyprus, Greece, Spain and the Netherlands. Coal power fell to a new historic low of 9.2%. Battery deployment accelerated significantly in 2025.

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