Eurelectric Sounds Alarm as Europe's Crumbling Power Grid Struggles to Keep Up with Green Energy Demand
Drastic infrastructure improvements are necessary for EU power grid to prevent impending power outages.
From the desk of Nina Chestney, Reuters, London
In the aftermath of Spain and Portugal's catastrophic power outage last week, experts are urging Europe to invest heavily in modernizing its aging power grid and bolstering energy storage capabilities to avoid similar disasters.
This deadly wake-up call comes as Europe grapples with the imperative to transition to a greener energy landscape and shore up its power infrastructure against cyber threats and escalating electricity demand.
Illustration: Mountain People
As a relic of the past century, Europe's power grid features half a century's worth of obsolete lines. Coupled with the surge in low-carbon energy production and the growing demand from data centers and electric vehicles, the grid's outdated state calls for a comprehensive overhaul. Moreover, these modernized grids should be equipped with cutting-edge digital protection to safeguard against cyber-attacks.
Industry experts concur that investments into renewable energy have surged since 2010, yet grid investments have remained stagnant at around $300 billion per year. However, the International Energy Agency (IEA) asserts that grid investments should double to over $600 billion by 2030 to accommodate the necessary overhauls[3][5].
However, the European Commission's estimated investment required for grid upgrades by 2050 ranges between $2.0 trillion and $2.3 trillion[1][4]. Yet, it is unclear precisely how these expenditures would be allocated annually to cover the transformation of Europe's power grid.
While the root cause of Spain-Portugal's blackout remains under investigation, Kristina Ruby, secretary general at Eurelectric, believes the incident underscores the urgent and unavoidable need for electricity grid modernization across Europe.
Tracing the roots of the blackout, analysts point to rising renewable energy use in Spain, particularly after Russia's invasion of Ukraine in 2022, triggering a disruption in oil and gas supplies. Consequently, EU efforts have been focused on reducing fossil fuel dependence, with the share of renewables peaking at 47 percent in the EU's power mix last year.
Spain plans to phase out coal and nuclear power, with renewable generation hitting a record high of 56 percent last year. However, wind and solar projects are significantly quicker to build compared to the grid itself, which can take over a decade to upgrade.
Experts argue that the complexity and cost of transforming a grid over vast distances contribute to the problem. Yet, the interconnected nature of the grid and its importance for regional stability necessitate an aggressive investment strategy. Jose Luis Dominguez-Garcia from Spain's energy research center IREC in Catalunya suggests Spain needs more links to France and Morocco.
One solution to address the growing renewable energy reliance lies in enhancing grid connectivity to ensure a more robust power supply. To this end, some EU members have set a target to increase interconnection, aiming to import at least 15 percent of their power production capacity from neighboring countries[2].
Spain aims to reinforce connections with France, saying a new link via the Bay of Biscay would double interconnection capacity between the two countries. Nevertheless, as some countries lag behind in grid modernization, the challenges are far from over.
As the energy landscape continues to evolve and renewables gain traction, the need for energy storage, back-up generation, and advanced grid technology becomes increasingly critical to ensuring a reliable power supply and averting blackouts.
- The International Energy Agency (IEA) suggests that grid investments should double to over $600 billion by 2030 to accommodate the necessary overhauls.
- Kristina Ruby, secretary general at Eurelectric, believes the Spain-Portugal blackout underscores the urgent and unavoidable need for electricity grid modernization across Europe.
- One solution to address the growing renewable energy reliance lies in enhancing grid connectivity to ensure a more robust power supply.
- As some countries lag behind in grid modernization, the challenges are far from over, and the need for advanced grid technology becomes increasingly critical to averting blackouts.