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EU Recovery: secure and green energy for households and enterprises

EP committees adopted the inclusion of RePowerEU measures in national recovery plans to foster independence from Russian fossil fuels and accelerate green transition

According to the text adopted by the Budgets and Economic and Monetary Affairs committees, EU countries that submit an amended recovery and resilience plan after the entry into force of this proposal will be required to include measures to save energy, produce clean energy and diversify energy supplies, as foreseen in the RePowerEU plan.

Boost independence and fight energy poverty

MEPs amended the proposal to ensure that the new REPowerEU chapters include measures to reduce energy vulnerabilities that would potentially affect the next few winter seasons. The new rules would cover measures starting from 1 February 2022 onwards.

MEPs also agreed that measures included in the RePowerEU chapters should prioritise investments to tackle energy poverty for vulnerable households, SMEs and micro-enterprises.

Funding

MEPs agreed that the additional EUR 20 billion in grants, proposed by the Commission, should come from an earlier auctioning of national emission allowances under the EU Emissions Trading System, instead of using allowances from the Market Stability Reserve.

MEPs also call on the Commission to identify additional sources to complement the financing of REPowerEU actions, including by providing the flexibility to use unspent funds, particularly from the period 2014-2020.

They propose that these additional grants are distributed to member states taking into account their energy dependency rate, the increase of energy-related costs for households and the share of fossil fuels in gross inland energy consumption.

MEPs also agreed member states should be allowed to ask for pre-financing, up to 20% to finance its REPowerEU chapters and that the input from regional authorities, NGOs and social partners should be taken into account when implementing the new measures.

Cross border measures and climate

MEPs agreed that the “do no significant harm” principle should apply to the REPowerEU chapters, unless several cumulative conditions are met and only for measures in operation by 31 December 2024.

Finally, they call on EU countries to ensure that at least 35% of their spending under REPowerEU chapters is allocated to measures that have a multi-country dimension or effect, even if carried out by one EU country, and unless the Commission grants a derogation under specific circumstances.

Click here for the full press release

 

Original article link: https://www.europarl.europa.eu/news/en/press-room/20221024IPR45721/eu-recovery-secure-and-green-energy-for-households-and-enterprises

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