EU to Issue Guidelines for Joint Development of Major Renewable Energy Projects

The European Union is set to release new guidelines to help member countries jointly develop major renewable energy projects, aiming to prevent delays caused by disputes over cost-sharing. As Europe’s transition to low-carbon energy accelerates, countries are planning significant new wind farms and other offshore energy projects that will connect multiple nations.

The document, seen by Reuters, outlines the European Commission’s draft guidelines, which are expected to be published this week. These guidelines will provide a framework for governments to negotiate agreements on large-scale offshore renewable energy projects. The goal is to avoid conflicts that could impede the development of these crucial green energy hubs.

“We don’t underestimate the potential for conflicts, disputes, and delays in projects of this complexity,” a senior EU official stated. One proposed solution is for countries to allocate a portion of congestion revenues to a fund that could invest in future renewable energy projects benefiting multiple countries. This approach could address persistent investment gaps in major cross-border energy projects.

The draft also suggests other methods to bridge financing gaps, such as “statistical transfer” deals. In these agreements, one country invests in a renewable project in another country in exchange.