EU Proposes €25B Battery Fund to Boost Green Energy Transition
The European Commission has proposed a €25 billion EU battery fund to bolster the continent's battery manufacturing industry. Transport & Environment (T&E) has welcomed this initiative and called for a shift in public investments towards green energy infrastructure.
T&E, an NGO promoting clean transportation, has urged the EU to redirect funds from traditional infrastructure projects like roads and airports towards modern energy systems such as grids and charging points. According to a new T&E study, this shift could attract significant private investment.
The study projects that if Europe continues to embrace green alternatives, total private and public investment in the sector could reach €507 billion (£389 billion) annually by 2040. T&E suggests that Europe needs to redirect around €39 billion (£32 billion) in public investments annually from fossil fuel subsidies and road building to support green fuels. This would, in turn, stimulate an additional €271 billion (£208 billion) in private spending on green tech in Europe up to 2030, through initiatives like electric vehicle (EV) social leasing, green fuels, battery manufacturing, and charging infrastructure.
The EU battery fund, along with T&E's proposed investment shift, aims to accelerate Europe's transition to sustainable energy. By supporting green technologies, the EU seeks to stimulate private investment, create jobs, and reduce its carbon footprint.
