Green Alarm Over EU Plan To Abolish Renewable Energy Subsidies
European Commission proposals on Wednesday to phase out subsidies for renewable energy producers have met with accusations of a “corporate capture” of EU policymaking.
Speaking to reporters in Brussels, competition commissioner Joaquin Almunia said the subsidies, partly paid through levies on big energy intensive industries, are distorting the internal energy market and increasing consumer costs.
“Our objective now is to ensure renewable support is sustainable by gradually integrating the electricity generated through renewables into the market,” he said.
Almunia described the larger solar and wind energy sectors as mature enough to enter the open market.
“It is time that these technologies respond to market signals and that public support is allocated through a competitive process,” he said.
The six-year plan or the so-called energy and environmental state guidelines kicks off in July, replacing existing 2008 rules.
The guidelines were adopted a day after Germany’s government passed legislation to scale back its renewable energy ambitions in an effort to stem rising electricity prices.