UK Electric cars will cost more if Sunak fails to strike Brexit deal


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UK-EU EV Tariffs 2024 threaten a 10% levy under Brexit rules of origin, raising electric vehicle prices, straining battery supply chains, and risking a price war for manufacturers, consumers, and climate targets across automotive market.

 

Key Points

Tariffs from Brexit rules of origin imposing 10% duties on EVs, raising UK prices amid battery and supply chain gaps.

✅ 10% tariffs if rules of origin thresholds are unmet

✅ Price hikes on UK EVs, led by Tesla Model Y

✅ Battery supply gaps strain UK and EU manufacturers

 

Electric cars will cost British motorists an extra £6,000 if Rishi Sunak fails to strike a post-Brexit deal with the EU on tariffs, industry bosses have told The Independent.

UK manufacturers warned of a “devastating price war” on consumers, echoing UK concern over higher EV prices across the market – threatening both the electric vehicle (EV) market and the UK’s climate change commitments – if tariffs are enforced in January 2024.

In the latest major Brexit row, the Sunak government is pushing the European Commission to agree to delay the costly new rules, even as the UK readies for rising EV adoption across the economy, set to come in at the start of next year as part of Boris Johnson’s Brexit trade deal.

But Brussels has shown no sign it is willing to budge – even as Washington has announced a 100% tariff on Chinese-made EVs this year – leaving business leaders in despair about the impact of 10 per cent tariffs on exports on Britain’s car industry.

The tariffs would increase the price of a new Tesla Model Y – the UK’s most popular electric vehicle – by £6,000 or more, according to a new report by the Independent Commission on UK-EU Relations.

“For the sake of our economy and our planet, the government has a responsibility to get round the table with the EU, fix this and fix the raft of other issues with the Brexit deal,” said commission director Mike Buckley.

The new rules of origin agreed in the Brexit trade and cooperation agreement (TCA) require 45 per cent of an electric car’s value, as the age of electric cars accelerates, to originate in the UK or EU to qualify for trade without tariffs.

The British auto industry has warned the 2024 rules pose an “existential threat” to sales because of the lack of domestic batteries to meet the rules, even as EV adoption within the decade is widely expected to surge – pleading for a delay until 2027.

The VDA – the lobby group for Germany’s car industry – has also called for an “urgent” move to delay, warning that the rules create a “significant competitive disadvantage” for European carmarkers in relation to China, where tariffs on Chinese EVs are reshaping global trade, and other Asian competitors.

The new report by the Independent Commission on UK-EU Relations – backed by the manufacturers’ body Make UK and the British Chamber of Commerce – warns that the January tariffs will immediately push up costs and hit electric vehicle sales, despite UK EV inquiries surging during the fuel supply crisis in recent years.

 

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Vancouver seaplane airline completes first point-to-point flight with prototype electric aircraft

Harbour Air Electric Seaplane completes a point-to-point test flight, showcasing electric aircraft innovation, zero-emission short-haul travel, H55 battery technology, and magniX propulsion between Vancouver and Victoria, advancing sustainable aviation and urban air mobility.

 

Key Points

Retrofitted DHC-2 Beaver testing zero-emission short-haul flights with H55 batteries and magniX propulsion.

✅ 74 km in 24 minutes, Vancouver to Victoria test route

✅ H55 battery pack and magniX electric motor integration

✅ Aims to certify short-haul, zero-emission commercial service

 

A seaplane airline in Vancouver says it has achieved a new goal in its development of an electric aircraft.

Harbour Air Seaplanes said in a release about its first electric passenger flights timeline that it completed its first direct point-to-point test flight on Wednesday by flying 74 kilometres in 24 minutes from a terminal on the Fraser River near Vancouver International Airport to a bay near Victoria International Airport.

"We're really excited about this project and what it means for us and what it means for the electric aviation revolution to be able to keep pushing that forward," said Erika Holtz, who leads the project for the company.

Harbour Air, founded in 1982, uses small propeller planes to fly commercial flights between the Lower Mainland, Seattle, Vancouver Island, the Gulf Islands and Whistler.

In the last few years it has turned its attention to becoming a leader in green urban mobility, as seen with electric ships on the B.C. coast, which would do away with the need to burn fossil fuels, a major contributor to climate change, for air travel.

In December 2019, a pilot flew one of Harbour Air's planes — a more than 60-year-old DHC-2 de Havilland Beaver floatplane that had been outfitted with a Seattle-based company's electric propulsion system, magniX — for three minutes over Richmond.

Since then, the company has continued to fine-tune the plane and conduct test flights in order to meet federally regulated criteria for Canada's first commercial electric flight, showing it can safely fly with passengers.

Harbour Air's new fully electric seaplane flew over the Fraser River for three minutes today in its debut test flight.
Holtz said flying point-to-point this week was a significant step forward.

"Having this electric aircraft be able to prove that it can do scheduled flights, it moves us that step closer to being able to completely convert our entire fleet to electric," she said.

All the test flights so far have been made with only a pilot on board.

Vancouver seaplane company to resume test flights with electric commercial airplane
The ePlane will stay in Victoria for the weekend as part of an open house put on by the B.C. Aviation Museum before returning to Richmond.

A yellow seaplane flies over a body of water with the Vancouver skyline visible in the background.
A prototype all-electric floatplane made by B.C.'s Harbour Air Seaplanes on a test flight in Vancouver in 2021. (Harbour Air Seaplanes)
Early in Harbour Air's undertaking to develop an all-electric airplane, experts who study the aviation sector said Harbour Air would have to find a way to make the plane light enough to carry heavy lithium batteries and passengers, without exceeding weight limits for the plane.

Werner Antweiler, a professor of economics at UBC's Sauder School of Business who studies the commercialization of novel technologies around mobility, said in 2021 that Harbour Air's challenge would be proving to regulators that the plane was safe to fly and the batteries powerful enough to complete short-haul flights with power to spare.

In April 2021 Harbour Air partnered with Swiss company H55 to incorporate its battery technology, reflecting ongoing research investment to limit weight and improve the distance the plane could fly.

Shawn Braiden, a vice-president with Harbour Air, said the company is trying to get as much power as possible from the lightest possible batteries, a challenge shared by BC Ferries' hybrid ships as well. 

"It's a balancing act," he said.

In December, Harbour Air announced it had begun work on converting a second de Havilland Beaver to an all-electric airplane, copying the original prototype.

The plan is to retrofit version two of the ePlane with room for a pilot plus three passengers. If certified for commercial use, it could become one of the first all-electric commercial passenger planes operating in the world.

Seth Wynes, a post-doctoral fellow at Concordia University who has studied how to de-carbonize the aviation industry, said Harbour Air's progress on its eplane project won't solve the pollution problem of long-haul flights, but could inspire other short-haul airlines to follow suit, alongside initiatives like electric ferries in B.C. that expand low-carbon transportation. 

"It's also just really helpful to pilot these technologies and get them going where they can be scaled up and used in a bunch of different places around the world," he said. "So that's why Harbour Air making progress on this front is exciting."

 

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America's Largest Energy Customers Set a Bold New Ambition to Achieve a 90% Carbon-free U.S. Electricity System by 2030 and Accelerate Clean Energy Globally

Clean Energy Buyers Alliance 2030 Goal targets a 90% carbon-free U.S. grid, accelerating power-sector decarbonization via corporate renewable energy procurement, market and policy reforms, and customer demand to enable net-zero electrification across industries.

 

Key Points

The Alliance's plan to reach a 90% carbon-free U.S. electricity system by 2030 via customer-driven markets and policy.

✅ Corporate buyers scale renewable PPAs and aggregation

✅ Market and policy reforms unlock clean power access

✅ Goal aligns with net-zero and widespread electrification

 

The Clean Energy Buyers Association (CEBA) and the Clean Energy Buyers Institute (CEBI), which together make up the Clean Energy Buyers Alliance, have announced a profound new aspiration for impact: a 90% carbon-free U.S. electricity system by 2030 and a global community of energy customers driving the global energy transition forward.

Alongside the two organizations’ bold new vision of the future – customer-driven clean energy for all – the Alliance will super-charge the work of its predecessor organizations, the Renewable Energy Buyers Alliance (REBA) and the REBA Institute, which represent the most iconic global companies with more than $6 trillion dollars in annual revenues and 14 million employees.

“This is the decisive decade for climate action and especially for decarbonization of the power sector,” said Miranda Ballentine, CEO of CEBA and CEBI. “To achieve a net-zero economy worldwide by 2050, the United States must lead. And the power sector must accelerate toward a 2030 timeline as electrification of other industries will be driving up power use.”

In the U.S. alone, more than 60% of electricity is consumed by the commercial and industrial sectors. Institutional energy customers have accelerated the deployment of clean energy solutions over the last 10 years to achieve increasingly ambitious greenhouse gas reduction targets, even as a federal coal plan remains under debate, and further cement the critical role of customers in decarbonizing the energy system. The Clean Energy Buyers Association Deal Tracker shows that 7.9 GW of new corporate renewable energy project announcements in the first three quarters of this year are equivalent to 40% of all new carbon free energy capacity added in the U.S. so far in 2021.

“With our new vision of customer-driven clean energy for all, we are also unveiling new organization brands,” Ballentine continued. “I’m excited to announce that REBA will become CEBA—the Clean Energy Buyers Association—and will focus on activating our community of energy customers and partners to deploy market and policy solutions for a carbon-free energy system. The REBA Institute will become the Clean Energy Buyers Institute (CEBI) and will focus on solving the toughest market and policy barriers to achieving a carbon-free energy system in collaboration with policymakers, leading philanthropies, and energy market stakeholders. Together, CEBA and CEBI will make up the new Clean Energy Buyers Alliance.”

To decarbonize the U.S. electricity system 90% by 2030, a goal aligned with California's 100% carbon-free mandate efforts, and to activate a community of customers driving clean energy around the world, the Clean Energy Buyers Alliance will drive three critical transformations to:

Unlock markets so that energy customers can use their buying power and market-influence, building on a historic U.S. climate deal this year, to accelerate electricity decarbonization.

Catalyze communities of energy customers to actively choose clean energy through Mission Innovation collaborations and to do more together than they could on their own.

Decarbonize the grid for all, since not every energy customer can or will use their buying power to choose clean energy.

“The Clean Energy Buyers Alliance is setting the bar for what energy buyers, utilities and governments should and need to be doing to achieve a carbon-free energy future,” said Michael Terrell, CEBA board chair and Director of Energy at Google. “This ambitious approach is a critical step in tackling climate change. The time for meaningful climate action is now and we must collectively be bolder and more ambitious in our actions in both the public and private sectors – starting today.”

This new vision of customer-driven clean energy for all is an unprecedented opportunity for every member of the Clean Energy Buyers Alliance community – from energy customers to providers to manufacturers – to all parties up and down the energy supply chain to lead the evolution of a new energy economy, which will require incentives to double investment in clean energy to rise to $4 trillion by 2030.

 

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ABB claims its Terra 360 is the "world's fastest electric car charger"

ABB Terra 360 EV Charger offers 360 kW DC fast charging, ultra-fast top-ups, and multi-vehicle capability for Ionity, Electrify America, and depot installations, adding 100 km in under 3 minutes with compact footprint.

 

Key Points

ABB's Terra 360 is a 360 kW DC fast charger for EVs, powering up to four vehicles simultaneously with a compact footprint.

✅ 360 kW DC output; adds 100 km in under 3 minutes

✅ Charges up to four vehicles at once; small footprint

✅ Rolling out in Europe 2021; US and beyond in 2022

 

Swiss company ABB, which supplies EV chargers to Ionity and Electrify America amid intensifying charging network competition worldwide, has unveiled what it calls the "world's fastest electric car charger." As its name suggests, the Terra 360 has a 360 kW capacity, and as electric-car adoption accelerates, it could fully charge a (theoretical) EV in 15 minutes. More realistically, it can charge four vehicles simultaneously, saving space at charging stations. 

The Terra 360 isn't the most powerful charger by much, as companies like Electrify America, Ionity and EVGo have been using 350 kW chargers manufactured by ABB and others since at least 2018. However, it's the "only charger designed explicitly to charge up to four vehicles at once," the company said. "This gives owners the flexibility to charge up to four vehicles overnight or to give a quick refill to their EVs in the day." They also have a relatively small footprint, allowing installation in small depots or parking lots, helping as US automakers plan 30,000 new chargers nationwide. 

There aren't a lot of EVs that can handle that kind of charge. The only two approaching it are Porsche's Taycan, with 270 kW of charging capacity and the new Lucid Air, which allows for up to 300 kW fast-charging. Tesla's Model 3 and Model Y EVs can charge at up to 250 kW, while Hyundai's Ioniq 5 is rated for 232 kW DC fast charging in optimal conditions. 

Such high charging levels aren't necessarily great for an EV's battery, and the broader grid capacity question looms as the American EV boom gathers pace. Porsche, for instance, has a battery preservation setting on its Plug & Charge Taycan feature that lowers power to 200 kW from the maximum 270 kW allowed — so it's essentially acknowledging that faster charging degrades the battery. On top of that, extreme charging levels don't necessarily save you much time, as Car and Driver found. Tesla recently promised to upgrade its own Supercharger V3 network from 250kW to 300kW, with energy storage solutions emerging to buffer high-power sites. 

ABB's new chargers will be able to add 100 km (62 miles) of range in less than three minutes. They'll arrive in Europe by the end of the year and start rolling out in the US and elsewhere in 2022.

 

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California looks to electric vehicles for grid stability

California EV V2G explores bi-directional charging, smart charging, and demand response to enhance grid reliability. CPUC, PG&E, and automakers test incentives aligning charging with solar and wind, helping prevent blackouts and curtailment.

 

Key Points

California EV V2G uses two-way charging and smart incentives to support grid reliability during peak demand.

✅ CPUC studies feasibility, timelines, and cost barriers to V2G

✅ Incentives shift charging to align with solar, wind, off-peak hours

✅ High-cost bidirectional chargers and warranties remain hurdles

 

California energy regulators are eyeing the power stored in electric vehicles as they hunt for ways to avoid blackouts caused by extreme weather.

While few EV and their charging ports are equipped to deliver electricity back into the grid during emergencies, the California Public Utilities Commission wants more data on it as the agency rules on steps utilities must take to ensure they have enough power for this summer and next year. A draft CPUC decision due to be discussed this week asks about the feasibility of reversing the charge when needed (Energywire, March 8).

“Very few [EVs], maybe a couple of thousand at the most, can give power to the grid, and even fewer are connected into a charger that can do it,” said Gil Tal, director of the Plug-in Hybrid & Electric Vehicle Research Center at the University of California, Davis. EVs that feature the ability “have it at a more experimental level.”

The issue arises as California, where about half of all U.S. EVs are purchased, examines what role the vehicles can play in keeping lights on and refrigerators running and how a much bigger grid will support them in the long term. Even if grid operators can’t pull from EV batteries en masse, experts say cash and other incentives can prompt drivers to shift charging times, boosting grid stability.

“What we can do is not charge the electric cars at times of high demand” such as during heat waves, Tal said.

The EV focus comes after California’s grid manager last summer imposed rolling blackouts when power supplies ran short during a record-shattering heat wave. State energy regulators across the U.S., as EVs challenge state grids, are also looking at their disaster preparedness as Texas recovers from a winter storm last month that cut off electricity for more than 4 million homes and businesses there.

California’s EV efforts can help other states as they add more renewable power to their grids, said Adam Langton, energy services manager at BMW of North America.

That automaker ran a pilot program with San Francisco-based utility Pacific Gas & Electric Co. (PG&E) looking at whether money and other incentives could prompt EV drivers to charge their cars at different times. The payments successfully shifted charging to the middle of the night, when wind power often is plentiful. It also moved some repowering to mornings and early afternoons, when there’s abundant solar energy.

“That can be a tool that the utilities can use to deal with supply issues,” Langton said. “What our research has shown is that vehicles can contribute to [conservation] needs and emergency supply by shifting their charging time.”

Such measures can also help states avoid having to curtail solar production on days when there’s more generation than needed. On many bright days, California has more solar power than it can use.

“As more states add more renewable energy, we think that they’re going to find that EVs complement that really well with smart charging, because grid coordination can get that charging to align with the renewable energy,” Langton said. “It allows to add more and more renewable energy.”

High-cost equipment a hurdle
The CPUC at a future workshop plans to collect information on leveraging EVs to head off power shortages at key times.

But Tal said it will probably take a decade to get enough EVs capable of exporting electricity back to utilities “in high numbers that can make an impact on the grid.”

Barriers to reaching such “vehicle to grid” integration are technical and economic, he said. EVs export direct current and need a device on the other side that can convert it to alternating current, similar to a solar power inverter for rooftop panels.

However, the equipment known as a V2G capable charger is costly. It ranges from $4,500 to $5,500, according to a 2017 National Renewable Energy Laboratory report.

PG&E and Los Angeles-based Southern California Edison already have “expressed doubt that short-term measures could be developed in time to expand EV participation by summer 2021” in V2G programs, the draft CPUC proposal said. The utilities suggested instead that the agency encourage EV owners to participate in initiatives where they’d get paid for reducing power consumption or sell electricity back to the grid when needed, known as demand response programs.

Still, almost all major EV automakers are looking at two-directional charging, Tal said.

“The incentive is you can get more value for the car,” he said. “The disincentive is you add more miles in a way on the car,” because an owner would be discharging to the grid and re-charging, and “the battery has limited life.”

And right now, discharging a vehicle to the grid would violate many warranties, he said. Car manufacturers would need to agree to change that and could call for compensation in return.

Meanwhile, San Diego Gas & Electric Co., a Sempra Energy subsidy, plans to launch a pilot looking at delivering power to the grid from electric school buses. The six buses in the pilot transport students in El Cajon, Calif., east of San Diego.

“The buses are perfect because of their big batteries and predictable schedule,” Jessica Packard, SDG&E spokesperson, said in an email. “Ultimately, we hope to scale up and deploy these kinds of innovations throughout our grid in the future.”

She declined to say how much power the buses could deliver because the project isn’t yet operating. It’s set to start later this year.

Mobility needs
While BMW and PG&E did not review vehicle-to-grid power transfers in their own 2017 research ending last year, one study in Delaware did. But it was in a university setting about eight years ago and didn’t look at actual drivers, said Langton with BMW.

In their own findings from the San Francisco Bay Area pilot program, BMW and PG&E found that incentives could quickly change driver behavior in terms of charging.

Technology helps: Most new EVs have timers that allow the driver to control when to charge and when to stop charging. Langton said the pilot program got drivers to have their cars charge from roughly 2 to 6 a.m., when electricity rates typically are lowest.

There can be a lot of solar energy during the day, but in summer, optimum charging times get more complicated in California, he said. People want to run their air conditioners during peak heat hours, so it’s important to be able to get EV drivers to shift to less congested times, he said.

With the right incentives or messaging, Langton said, the pilot persuaded drivers to move charging from 10 a.m. to 2 p.m. or noon to 4 p.m. BMW technology allowed for detailed information on battery charge level, ideal charging times and other EV data to be transmitted electronically after plugging in.

The findings are a good first step toward future vehicle-to-grid integration, Langton added.

“One of the things we really pay attention to when we do smart charging is, ‘How does the driver’s mobility needs figure into shifting their charging?'” he said. “We want to make sure that our customers can always do the driving that they need to do.”

The pilot included safeguards such as an opt-out button if the driver wanted to charge immediately. It also made sure the vehicle had a certain level of minimum charge — 15% to 20% — before the delayed smart charging kicked in.

Vehicle-to-grid technology would need to wrestle with the same concepts in a different way. If a car is getting discharged, the driver would want assurances its battery wouldn’t dip below a level that meets their mobility needs, Langton said.

“If that happened even once to a customer, they would probably not want to participate in these programs in the future,” he said.

One group adding charging stations across the country said it isn’t tweaking pricing based on when drivers charge. That’s to help grow EV purchases, said Robert Barrosa, senior director of sales and marketing at Volkswagen AG subsidiary Electrify America, which operates about 450 charging stations in 45 states.

The company has installed battery storage at more than 100 sites to make sure they can provide power at consistent prices even if California or another state calls for energy conservation.

“It’s very important for vehicle adoption that the customer have that,” Barrosa said.

The company could sell that battery storage back to the grid if there are shortfalls, but some market changes are needed first, particularly in California, he said. That’s because the company buys electricity on the retail side but would be sending it back into the wholesale market.

With that cost differential, Barrosa said, “it doesn’t make sense.”

 

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Renewables Poised to Eclipse Coal in Global Power Generation by 2025

IEA Electricity 2024 Renewables Outlook projects renewable energy surpassing coal in global electricity generation by early 2025, with nuclear power rebounding, clean energy expansion, electrification, and grid upgrades cutting emissions and decarbonizing power systems.

 

Key Points

IEA forecast: renewables beat coal by 2025, nuclear rebounds, speeding cleaner power and deeper emissions cuts by 2026.

✅ Renewables surpass coal by 2025; nuclear output hits records by 2025-2026.

✅ Power demand grows 3.4% avg to 2026 via EVs, data centers, electrification.

✅ Gas displaces coal; grids need investment; drought and supply chains pose risks.

 

The International Energy Agency's latest Electricity 2024 report predicts that renewable energy sources will surpass coal in global electricity generation by early 2025, reaching over one-third of the world's total power output. Additionally, nuclear power is expected to achieve record production levels by 2025, recovering from recent downturns and reflecting low-carbon electricity lessons from the COVID-19 period.

By 2026, the report estimates that renewables and nuclear will jointly contribute to nearly half of the global power generation, up from less than 40 percent in 2023. This shift is crucial as the United Nations emphasizes the transition to clean energy, with Asia to use half of electricity by 2025 highlighting the scale of the challenge, as a key factor in limiting global warming to 1.5 degrees Celsius above preindustrial levels.

IEA Executive Director Fatih Birol highlighted the promising trends of renewables, led by affordable solar power and the resurgence of nuclear power, as key factors covering almost all demand growth over the next three years.

At the COP28 climate summit in Dubai, participants agreed on a plan for phasing out fossil fuels and committed to tripling renewable capacity by 2030. This shift in the electricity mix is expected to reduce emissions from the power sector, which is currently the largest source of carbon dioxide emissions worldwide.

Despite a modest 2.2 percent growth in global electricity demand in 2023, an acceleration to an average annual increase of 3.4 percent is projected from 2024 to 2026. This surge in electricity demand is driven by factors like home and business electrification, the proliferation of electric vehicles, and industrial expansion.

Significant growth in electricity usage from data centers worldwide is anticipated, potentially doubling between 2022 and 2026, as global power demand has surged above pre-pandemic levels. Regulatory updates and technological advancements are essential to manage this energy consumption increase effectively.

Emissions from the electricity sector are expected to decrease following a 1 percent rise in 2023, with a more than 2 percent reduction projected in 2024 and continued declines in subsequent years. This reduced carbon intensity in electricity generation will enhance the emissions savings from electrifying cars and appliances.

Natural gas-fired power is predicted to see a modest increase over the next three years, primarily replacing coal power. While Europe has witnessed sharp declines in gas power, EU wind and solar beat gas last year, growth in the United States, Asia, Africa, and the Middle East is expected due to available liquefied natural gas supplies.

By 2026, fossil fuels are forecasted to account for 54 percent of global generation, dropping below 60 percent for the first time in over five decades. The U.S. is anticipated to boost renewable generation by approximately 10 percent annually between 2024 and 2026, surpassing coal generation in 2024.

The report warns of potential risks to clean energy trends, including droughts impacting hydropower, extreme weather affecting electricity reliability, and supply chain interruptions threatening new renewable and nuclear projects, and a generation mix sensitive to policies and gas prices that could shift trajectories.

Keisuke Sadamori, IEA’s director of energy markets and security, underscores the need for continued investment in grid infrastructure to integrate incoming renewable energy and sustain the power sector's trajectory towards emissions reduction goals.

 

 

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Solar Power Becomes EU’s Top Electricity Source

Solar has become the EU’s main source of electricity, marking a historic turning point in Europe’s energy mix as solar power surpasses nuclear and wind, accelerates renewable expansion, lowers carbon emissions, and strengthens the EU’s clean energy transition.

 

Why has Solar Become the EU’s Main Source of Electricity?

Solar has become the EU’s primary source of electricity due to rapid solar expansion, lower installation costs, and robust clean energy policies, which have boosted generation, reduced fossil fuel dependence, and accelerated Europe’s transition toward sustainability.

✅ Surging solar capacity and falling costs

✅ Policy support for renewable energy growth

✅ Reduced reliance on oil, gas, and coal

 

For the first time in history, solar energy became the leading source of electricity generation in the European Union in June 2025, marking a major milestone in the continent’s transition toward renewable energy, as renewables surpassed fossil fuels across the bloc this year. According to new data from Eurostat, more than half of the EU's net electricity production in the second quarter of the year came from renewable sources, with solar power leading the way.

Between April and June 2025, renewables accounted for 54 percent of the EU’s electricity generation, a 1.3 percent increase compared to the same period in 2024. The rise was driven primarily by solar energy, with countries like Germany seeing a solar boost amid the energy crisis, which generated 122,317 gigawatt-hours (GWh) in the second quarter—enough, in theory, to power around three million homes.

Rob Stait, a spokesperson for Alight, one of Europe’s leading solar developers, described the achievement as “heartening.” He said, “Solar’s boom is because it can generate huge energy cost savings, and it's easy and quick to install and scale. A solar farm can be developed in a year, compared to at least five years for wind and at least ten for nuclear. But most importantly, it provides clean, renewable power, and its increased adoption drastically reduces the reliance of Europe on Russian oil and gas supplies.”

Eurostat’s data shows that June 2025 was the first month ever when solar overtook all other energy sources, accounting for 22 percent of the EU’s energy mix, reflecting a broader renewables surge across the region. Nuclear power followed closely at 21.6 percent, wind at 15.8 percent, hydro at 14.1 percent, and natural gas at 13.8 percent.

The shift comes at a critical time as Europe continues to navigate the economic and energy challenges brought on by Russia’s ongoing war in Ukraine. With fossil fuel markets remaining volatile, countries have increasingly viewed investment in renewables as both an environmental and strategic imperative. As Stait noted, energy resilience and renewable infrastructure have now become a “strategic necessity.”

Denmark led the EU in renewable energy generation during the second quarter, producing 94.7% of its electricity from renewable sources. It was followed by Latvia (93.4%), Austria (91.8%), Croatia (89.5%), and Portugal (85.6%). Luxembourg recorded the largest year-on-year increase, up 13.5 percent, largely due to a surge in solar production. Belgium also saw strong growth, with a 9.1 percent rise in renewable generation compared to 2024, while Ireland targets over one-third green electricity within four years.

At the other end of the spectrum, Slovakia, Malta, and the Czech Republic lagged behind, producing just 19.9%, 21.2%, and 22.1% of their electricity from renewable sources, respectively.

Stait believes the continued expansion of renewables will help stabilize and eventually lower electricity prices across Europe. “The accelerated buildout of renewables will ultimately lower bills for both businesses and other users—but slower buildouts mean sky-high prices may linger,” he said.

He added a call for decisive action: “My advice to European nations would be to keep going further and faster. There needs to be political action to solve grid congestion, and to create opportunities for innovation and manufacturing in Europe will be critical to keep momentum.”

With solar energy now taking the lead for the first time, Europe’s clean energy transformation appears to be entering a new phase, as global renewables set new records and momentum builds—one that combines environmental sustainability with energy security and economic opportunity.

 

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