European Grids Package

Key points: 

The EESC:

• emphasises that a sustainable, secure and affordable energy supply must be recognised as a public good and cornerstone of the EU’s prosperity, competitiveness and social cohesion;
• calls for cost-reflective grid tariffs and for raising EU caps on feed-in charges to enable differentiated tariffs that incentivise grid-supportive behaviour, ensure investment predictability and reduce the financial burden on consumers;
• supports expanding decentralised energy generation, which can reduce the need for grid expansion and strengthen public acceptance of the energy transition;
• calls for stronger EU coordination in grid governance while maintaining Member States' responsibility for planning and oversight when the costs of grid expansion, congestion management and stability are primarily national, and underlines the importance of accelerating the digitalisation of electricity networks and ensuring network development plans align with NECPs;
• calls for increased funding under CEF and emphasises public co-financing for grid expansion, including through institutions such as the EIB, ensuring European value creation, SME participation and timely project delivery while respecting labour-law (as per EU and national law) and collective bargaining, while preventing undue discrimination against certain types of companies or Member States. It also suggests introducing state-backed hybrid capital instruments to reduce financing costs and ensure the advantages are passed on to network users through more affordable tariffs;
• stresses that investment in infrastructure must contribute to socio-economic stability and regional development, including creating employment opportunities for workers from transitioning carbon-intensive sectors;
• calls for recognising grid expansion as a security-relevant measure and its inclusion in the financing and support mechanisms of the SAFE Regulation, while ensuring accelerated permitting procedures, by equipping authorities with sufficient resources.