EU could save €2.5 trillion on energy bills by 2040

47 million people in EU Member States live in energy poverty. This means they have no money to heat their homes. Plus, businesses are complaining that high energy prices make them much less competitive with companies in the US and China.  

But, the EU Commissioner for Energy and Housing told Euronews that a plan has been put together to save a total of €2.5 trillion over the next 15 years:

"Renewable energy is much cheaper than the fossil alternative. So that will bring the prices down. Also, if we are better connected in Europe, our electricity system, so we are more grids, we are more interconnectors, that will bring down the prices as well. And finally, the gas market, they need to be better controlled so that we make sure that they don't have profits that are too high" explained Dan Jørgensen.

The plan includes administrative measures such as further reducing the time needed to obtain permits for renewable energy, promoting energy efficiency solutions and reviewing the components of residential energy bills, namely network and system costs, taxes and levies and supply costs.

A Commission will make recommendations to the member states to lower national taxes on electricity and enable consumers to switch suppliers more easily towards cheaper energy offers, among others.

Member states have a key role to play in lowering electricity bills in the short term. The Commission will offer them support, especially in the areas of taxation and network charges, where immediate action can be taken.

The Commission will issue a recommendation to member states on how to lower electricity taxation levels effectively and how to best take advantage of existing possibilities to decrease taxes for energy-intensive industries and households.

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