The International Energy Agency (IEA) regularly conducts in-depth peer reviews of the energy policies of its member countries. This process supports energy policy development and encourages the exchange of international best practices and experience. This report on the European Union (EU) discusses the energy challenges facing the continent and recommends possible solutions to help it achieve a secure and sustainable energy future.

The European Commission under President Ursula von der Leyen took office in late 2019 with an ambitious programme for the five years to come. The centrepiece initiative is the European Green Deal, which aims to prepare the EU for climate neutrality by 2050. The EU’s impressive track record of decarbonising power systems through renewable energy technologies, notably offshore wind but also solar PV, offers an inspiring example for many economies around the world. It also provides a sound basis for the broader decarbonisation of Europe’s economy in the longer term. To achieve climate neutrality, EU policy efforts need to focus on transport, industry and buildings, alongside policies that support energy system integration.

This policy review commends the progress made by the EU, such as the creation of an internal energy market and enhancement of energy security and climate policies. The IEA provides a range of recommendations for the successful implementation of the European Green Deal in the coming years. The report also outlines opportunities for boosting shortand long-term actions for a resilient, sustainable and just recovery of the European economy.