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In a bid to bolster its energy security and safeguard the future of its offshore wind industry, Europe has intensified efforts to reduce dependence on China. The wind sector, responsible for approximately 16% of the EU's electricity consumption, has faced challenges over the past two years, including slow permitting processes, disruptions in the supply chain, rising costs, and increased pressure from international competitors, particularly China.
To counter these challenges, the European Union (EU) is focusing on enhancing its competitiveness in the global clean energy supply chain. Several proposed EU acts aim to minimize risks to energy infrastructure security and boost domestic manufacturing in the green energy sector. Recent incidents, such as damage to the Balticconnector pipeline in the Baltic Sea, have highlighted security risks in Europe's offshore energy infrastructure, further emphasizing the need for protective measures.
Elisabeth Braw, a senior associate fellow at the European Leadership Network, underscores the importance of monitoring offshore infrastructure and promoting domestic clean energy manufacturing. Despite efforts by the EU, challenges persist, with the WindEurope association warning of the potential loss of European manufacturing unless policies are revised.
China's significant role in the global supply chain for clean energy technology poses additional concerns, with the International Energy Agency projecting substantial shares for China in various sectors by 2030. To address these challenges, the European Commission recently unveiled the European Wind Power Action Plan, aiming to ensure the clean energy transition aligns with industrial competitiveness.
European Commissioner for Energy, Kadri Simson, expressed concern over Europe's loss of leadership in the wind market to the Asia Pacific region. To counter this trend, the European Parliament has backed the Net-Zero Industry Act, setting ambitious targets for Europe to produce 40% of its annual deployment needs in net-zero technologies by 2030. Talks between the Parliament and the EU Council will determine the final shape of this crucial legislation.
Source: oilprice.com