Commission presents measures to increase EU energy independence and affordability

The European Commission presented the first initiatives to boost investment in local clean energy solutions, increase resilience and reduce energy prices. The current geopolitical context reminds us once again of the risks associated with Europe’s dependence on imported fossil fuels. Citizens and industries are rightly concerned about high energy prices. Clean energy sources remain the most affordable and secure, and the only medium-term answer to reducing our exposure to price volatility.

To make the most of our own energy sources, Europe needs a radical change in its energy system and infrastructure. TheCommission’s Clean Energy Investment Strategy will help bridge the gap between currently available private capital and the investments needed. It will help reduce project risk and mobilise private financing for networks, innovative clean energy technologies and energy efficiency. The Commission will implement this Strategy in close cooperation with the European Investment Bank Group,which aims to provide more than €75 billion in financing over the next three years in support of clean energy transition objectives. In particular, the EIB Group will commit an indicative amount of up to €500 million to the Strategic Infrastructure Investment Fund. This will provide anchor capital to invest in specific energy infrastructure projects, providing a financial boost to the objectives of the European Networks Package.

Cheaper energy is key to boosting our industry and competitiveness. But Europe also needs an energy system that puts citizens first: offering more affordable energy and supporting the most vulnerable consumers. With the Citizen Energy Package,the Commissionis proposing concrete measures to reduce energy bills, empower citizens to produce and share their own clean energy, and combat energy poverty. Consumers can benefit from faster switching, lower taxes and levies on their electricity bills, and more transparent information on energy bills and contracts.

Clean and indigenous energy technologies are key to ensuring reliable and affordable energy and strengthening the EU’s leadership in net-zero technologies. Strengthening European content and building a robust supply chain in the EU will be essential to reduce import dependency and ensure strategic autonomy. The Small Modular Reactors(SMR)Strategyproposes actions to enable EU Member States using this technology to deploy the first operational SMRs in the early 2030s. The Strategy will support industry in accelerating its development and deployment, in particular through the work of the European Industrial Alliance on SMRs. The Commission will consider an additional €200 million InvestEU supplementfrom the Innovation Fund until 2028 to support the deployment of the first commercial units of innovative nuclear technologies through risk reduction guarantees. The Strategy presented today sets out a vision for building a truly scalable European supply chain. This is essential to ensure technological and industrial leadership in the EU, develop the right capabilities and strengthen regulatory cooperation, while ensuring the highest safety standards.

The proposed measures are in line withthe Action Plan for Affordable Energy,which aims to strengthen Europe’s competitiveness, reduce energy dependence and increase affordability for households. The Commission will present further measures in the near future.

Background

The initiatives included in the Package are the result of continuous and prolonged efforts to increase energy security, competitiveness and affordability. To reinforce these efforts, in October the Commission outlinedmeasures to reduce energy prices and thus alleviate the situation for industries and consumers.

The Affordable Energy Action Plan, adopted in February 2025, presented actions to reduce energy bills in the short term, while also pointing to more structural measures to modernise Europe’s energy system, provide stable and predictable energy costs, increase efficiency and expand renewable generation, ensuring that businesses can remain competitive while consumers benefit from affordable energy. The EU has made progress on many of these actions, which are beginning to show their first effects on the ground. In December, it presented the European Networks Package to modernise the EU’s energy infrastructure and increase energy security. The EU is also increasing financial support for infrastructure. As part ofthe Multiannual Financial Framework 2028-2034, the Commission proposed to increase the ESI Fund’s energy budget fivefold, from €5.84 billion to €29.91 billion.

Together with today’s package, these initiatives mark a new phase for the transition to clean energy, where industrial strength and energy affordability are mutually reinforcing drivers of Europe’s long-term competitiveness and resilience.

More information: European Commission