This week in Brussels, the European Commission presented its proposal for the next Multiannual Financial Framework (MFF – the EU’s long-term budget for 2028–2034). Thanks to new own resources, the budget would total nearly €2 trillion. The proposal now launches a two-year negotiation process with the Council of the EU and the European Parliament, ahead of its entry into force on 1 January 2028. SolarPower Europe has issued the following statement in response.
“This EU budget proposal offers important signals for solar but lacks clarity at this stage,” said Dries Acke, Deputy CEO of SolarPower Europe.
EU urged to earmark funds for energy communities in next budget
“By boosting support for the clean transition, doubling research and innovation funding, and multiplying energy infrastructure funding fivefold, the European Commission takes a step in the right direction to deliver on the energy transition,” Acke underlined.
The 35% horizontal spending target for climate and environmental objectives would also help direct funding where it is most needed, including to renewable energy projects.
Competitiveness Fund too small
However, from SolarPower Europe’s perspective, the European Competitiveness Fund is too small and lacks sufficient certainty. For reference, €67 billion is the annual investment needed for distribution grids alone. In this proposal, the budget pools all related priorities into a single basket alongside dozens of other areas, assigning €67 billion in total for seven years.
Double investments in power distribution or lose race to net-zero
Dries Acke: “How can solar manufacturers, for example, bet on EU support for their projects, without any certainty on the available budget, format, or timeline of funding for cleantech manufacturing? How can storage and smart grid developers bet on EU support when their sector is bundled with heavy industry and building renovations? We call on the European Commission to provide clarity on how much funding will be allocated to the pillars of the transition: cleantech manufacturing, distribution grids, and flexibility.” (hcn)
