A new report by the Institute for Energy Economics and Financial Analysis (IEEFA) reveals that if the European Union (EU) meets its solar and wind deployment targets, it could cut gas demand by around one-quarter by 2030.
This saving is equivalent to twice the volume of liquefied natural gas (LNG) the EU could import from Qatar by 2030.
Between 2021 and 2025, the EU recorded an 84% increase in imports of LNG.
The IEEFA highlights that expanding wind, solar power, and heat pumps is the most effective way to reduce LNG dependence. It estimates the EU would need to install at least 4 million heat pumps, 75 gigawatts (GW) of solar, and 22GW of wind annually over the next five years to meet those targets.
Scaling up clean energy technologies alongside grid investment will help the EU achieve its new 2040 electrification target, which is part of the new push to cut the bloc’s dependence on imported oil and gas amid the ongoing Middle East crisis.
Between 2021 and 2024, the EU reduced its gas demand by 78.5 billion cubic metres, equivalent to a 20% decline. The IEEFA reports that renewables and heat pump deployment, combined with gas demand reduction policies, were drivers of this decline.
During the same time, EU households cut gas consumption by 24%, industry by 20%, commercial and public services by 19%, and electricity and heat generation by 18%.
Over the past decade, heat pump deployment across the EU grew rapidly, primarily in residential and commercial buildings. The EU deployed around 7.6 million heat pumps over 2022–2024.
France installed the most, with roughly 2 million units installed, followed by Italy (1.5 million) and Germany (nearly 1 million).
EU countries also installed 146GW of solar photovoltaics from 2022–2024, led by Germany, Spain, Poland, Italy, France, and the Netherlands. The IEEFA’s report highlights that utility-scale solar makes up 39% of the EU’s cumulative solar capacity, with the rest installed on rooftops.
More than 43GW of wind capacity was also installed across EU countries from 2022–2024, led by Germany, Finland, Sweden, France, Spain, the Netherlands, and Poland.
IEEFA is a global team of energy finance analysts, communication experts, and management professionals. The organisation is based across Asia, Australia, Europe, North America, and South Asia.
Write to Aaliyah Rogan at Mining.com.au
Images: European Commission
