EU energy dependence and consumption

Since 2005, the EU’s total energy consumption has been on a declining path, thanks to more efficient energy use (see Figure 26). During that period, the composition of the EU’s energy mix has also been changing. Many Member States chose to reduce the use of polluting coal in their energy production mix. Similarly, many EU countries were already moving away from nuclear energy in the first decade of the new millennium, a trend that continued following the 2011 nuclear accident in Fukushima. At the same time, the contribution from renewable energy continued to rise: by 2021 EU had reached a 21.8 % share of its gross final energy consumption from renewable sources, more than doubling its share since 2004. However, renewable energy is not yet ready to compensate for the decrease in other sources, although the Commission’s RePowerEU plan is certainly an important step towards increasing their share. As a result, during that period, Member States increased their consumption of gas, while they decreased their own production (for example in the North Sea). The result was a sharp rise in gas imports, and with it, continued high overall energy dependence. In 2021, nearly three quarters of the EU’s imports of natural gas came from Russia (44 %), Norway (16 %) and Algeria (12 %). Moreover, apart from the need to guarantee physical energy supplies for Member States, industry and citizens, as well as meeting the targets the EU has set in relation to the climate transition, the COVID 19 pandemic and Russian invasion of Ukraine highlight another important concern: energy prices. Given that energy use accounts for a high and growing share of consumer spending, there is a tangible risk of growing energy poverty and a wider negative impact on economic competitiveness and economic growth. This explains the identification in the Global Strategy, the Normandy Index and the EU Strategic Compass of energy security as one of the EU’s main external vulnerabilities.