WindEurope has called on Europe to accelerate the shift to home-grown renewable electricity following the closure of the Strait of Hormuz.
The organisation, headed by CEO Tinne Van der Straeten (pictured), said the disruption highlights Europe’s continued dependence on unreliable fossil fuel imports and the need to focus on electrification and domestic clean energy.
WindEurope added that policymakers should lower electricity taxes, channel emissions trading system revenues towards industrial electrification and expand the EU Industrial Decarbonization Bank.
The trade group also noted that industrial consumers need greater access to renewable power through Power Purchase Agreements and called for a larger role for the European Investment Bank.
The EIB’s current €500m guarantees for PPAs are too small to support the scale of demand, it added.
Market interventions designed to increase gas-powered electricity generation or alter electricity market pricing could disrupt trading and undermine investment in new wind capacity, the association stated.
“Powering our economy with abundant renewable electricity is Europe’s only future-proof energy strategy,” a statement read.
“Accelerating electrification will dramatically lower the impact of the next energy shock.”