Directive (EU) 2018/2001 on the promotion of the use of energy from renewable sources

WHAT IS THE AIM OF THE DIRECTIVE?

It establishes a common system to promote energy from renewable sources1 across the different sectors. In particular, it:

• sets a binding European Union (EU) target for its share in the energy mix in 2030;
• regulates self-consumption for the first time; and
• establishes a common set of rules for the use of renewables in electricity, heating and cooling, and transport in the EU.

It aims to increase the use of energy from renewable sources to combat climate change, protect the environment and reduce EU energy dependency, and to contribute to the EU’s technological and industrial leadership and the creation of jobs and growth, including in rural and isolated areas.

KEY POINTS

Renewable energy

• Promoting renewable forms of energy is one of the goals of EU energy policy.
• The increased use of energy from renewable sources is an important part of the package of measures needed to reduce greenhouse gas emissions and to comply with the 2015 Paris Agreement and the EU policy framework for climate and energy (2020 to 2030).
• The clean energy for all Europeans package sets out comprehensive EU rules on renewable energy, energy efficiency and governance.

2023 amendments

The EU has updated its energy rules as part of the European Green Deal and its ‘fit for 55’ package, which aim to ensure that those rules are aligned with its 2050 climate neutrality objective and with its objective of reducing net greenhouse gas emissions by at least 55% by 2030 compared to 1990 levels.

These rules have also been amended to implement the REPowerEU plan, which aims to reduce EU dependence on Russian oil and gas.

The directive has been amended by Directive (EU) 2023/2413.

The directive includes:

rules for cost-effective and market-based financial support for electricity from renewable sources;

protection of support schemes from modifications that put existing projects at risk;

cooperation mechanisms between EU Member States, and between Member States and non-EU countries;

rules helping electric vehicles and batteries provide flexibility to our energy system by feeding renewable electricity into the grid when needed;

rules allowing consumers to produce their own electricity, individually or as part of renewable energy communities, without undue restrictions;

accelerated permit procedures for renewable energy projects;

strengthened requirements for supporting and using biomass for energy, to reduce the risk of unsustainable bioenergy production.

Targets

A binding overall target of 42.5% by 2030 for the share of renewables in the EU’s overall energy consumption, with an additional 2.5% indicative top-up for achieving a target of 45%.

For the transport sector, Member States can choose between:

• a binding target of a 14.5% reduction in greenhouse gas intensity in transport from the use of renewables by 2030; or
• a binding share of at least 29% of renewables within the final consumption of energy in the transport sector by 2030.

For the industrial sector:

• an indicative annual average increase in the use of renewable energy of 1.6%;
• 42% of the hydrogen used in industry to come from renewable fuels of non-biological origin by 2030 and 60% by 2035.

For the building sector and the heating and cooling sector:

• an indicative target of at least a 49% renewable energy share in buildings in 2030;
• a gradual increase in renewable targets for heating and cooling of 0.8% per year at the national level until 2026 and 1.1% from 2026 to 2030.

Delegated acts and implementing acts

• Several delegated and implementing acts have been adopted by the European Commission.
• Among these, Delegated Regulation (EU) 2021/2003 establishes the EU’s renewables development platform, which aims to support Member States interested in renewable energy cooperation mechanisms and, in particular, statistical transfers.

FROM WHEN DO THE RULES APPLY?

Directive (EU) 2018/2001 had to be transposed into national law by 30 June 2021.

Most of the rules introduced by amending Directive (EU) 2023/2413 have to be transposed by 21 May 2025, although most of those regarding the permit-granting procedures have to be transposed by 1 July 2024.

BACKGROUND

For further information, see: Renewable energy (European Commission).

DIRECTIVE CONTENT

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Translator: Nguyễn Minh Đức

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