The European Commission is set to publish its Electrification Action Plan in July 2026, announced
in the Affordable Energy Action Plan (COM/2025/79), in February 2025.

Clean electrification is one of the most impactful and cost-effective ways to decarbonise industry while
increasing competitiveness and reducing dependence on volatile fossil fuel markets. However,
the rate of industrial electrification of the EU has stagnated at around 33% over the past few decades.

Ageing and undersized grid infrastructure, outdated grid planning that still assumes continued fossil fuel
use, volatile electricity prices, tax regimes that favour fossil fuels over electricity, supply chain
vulnerabilities, and slow and uneven national implementation of EU electricity market rules undermine
the economic case for fuel-switching in industry and households.

The Electrification Action Plan is an opportunity to address these structural barriers that hold back fuel-
switching. A well-designed plan should align industrial strategy, energy pricing, network investment, and
climate ambition into a coherent and durable framework to send the long-term signals that investors and
industrial consumers need to commit to electrification at scale. To ensure climate integrity, the plan must
be built with clear climate safeguards, ensuring that electrification genuinely displaces fossil fuels rather
than simply adding to energy demand.

Read more in our article below.

• An Electrification Plan to Deliver Real Decarbonisation (pdf)