Renewable Energy Share in European Industry: Analysis and Extrapolation of Trends in EU Countries

Abstract

The strategic objective of world climate policy is the decarbonization of industries, aiming to achieve “net-zero” emissions by 2050, as outlined in the European Green Deal and the Paris Agreement. This transition entails increasing the utilization of renewable energy sources (RES) in industrial energy consumption, thereby transforming economies from reliance on fossil fuels to sustainable alternatives. However, this shift poses a significant challenge for many EU countries, with varying degrees of success in adaptation. This paper investigates the process of decarbonizing industries by analyzing trends in the adoption of RES in EU countries and evaluating their progress toward climate targets. Utilizing time series analysis of production, total energy usage, and the proportion of renewables in industrial energy consumption, the study compares two groups of countries: longstanding EU members and newer additions. The aim is to forecast the trajectory of RES integration in industry and assess the feasibility of meeting the targets outlined in the European Green Deal. The findings reveal a considerable gap between the set targets and projected outcomes, with only a few countries expected to meet the EU’s 2030 goals. This is highlighted by disparities in RES shares across member states, ranging from 0.0% to 53.8% in 2022. Despite notable increases in the absolute use of renewable energy, particularly in central and eastern European nations, substantial challenges persist in aligning industrial sectors with EU decarbonization objectives.