Energy efficiency and renewables have been prioritised by the EU Commission in its Clean Energy Package.
It has set a target to cut energy use by 30% by 2030, which it aims to meet by setting a framework to improve energy efficiency in buildings and providing more financing for smart construction projects.
The Commission has also set new measures to be “the global leader” on clean energy and source half of the region’s electricity from renewables by 2030 and become completely carbon-free by 2050.
It has pledged to set a regulatory framework that gives investors certainty and allows a level playing field for all technologies without jeopardising the EU’s climate and energy targets.
Wholesale markets will have to develop and provide adequate rules allowing shorter term trading to reflect the necessities of variable generation.
That means renewable producers will be able to earn revenues from the market.
By introducing trading closer to the time of delivery, well integrated short term electricity markets will also reward flexibility for generation, demand and storage, the EU stated.
The package has also introduced a limit of 550 grams of CO2/kWh for subsidies paid to new plants, including coal sites.
These measures is also expected to help the EU reduce its carbon emissions by 40% by 2030.
Other EU measures include the accelerated deployment of smart meters and ensuring consumers have access to dynamic electricity price contracts to help them get better deals and engage in the market.
Vice President for Energy Union Maroš Šefčovič said: “Today’s package will boost the clean energy transition by modernising our economy. Having led the global climate action in recent years, Europe is now showing example by creating the conditions for sustainable jobs, growth and investment.
“Today’s proposals touch upon all clean energy related sectors: research and innovation, skills, buildings, industry, transport, digital, finance to name but a few. These measures will equip all European citizens and businesses with the means to make the most of the clean energy transition.”