New report illustrates why energy giants want to keep EU dependent on imported fossil fuels | WPN World People News

As European Union (EU) leaders prepare to decide on the future of Europe’s energy supply, a new report details why our largest energy companies want the EU to continue to rely on imported fossil fuel despite the political, environmental and financial cost to Europeans.

This reliance on polluting energy imports has hamstrung Europe’s diplomatic response to the Ukraine crisis and comes at a crippling financial cost. Every year, the EU spends more than €400 billion buying more than half of its energy (53 per cent) from abroad.

Greenpeace’s report ”Tied down: Why Europe’s energy giants want to keep us hooked on imported fossil fuels”, shows Europe’s eight biggest power companies rely on imports for a third of their revenue from EU sales of power and gas. In 2011, they generated €116 billion in revenue on the basis of gas and coal imported from outside of the European Economic Area (EEA).

The three utilities making the most revenues from these imports are German company E.ON, estimated to have made €36 billion in revenue from these imports in 2011; French company GDF Suez, an estimated €23 billion; and Italian company ENEL, €18 billion.

These businesses depend on maintaining Europe’s geopolitical vulnerability.

Six of these eight companies are part of the so-called Magritte Group, a self-named group of companies that lobbies EU politicians to oppose progressive energy policies.

Some power companies such as EnBW, SSE, Dong and Verbund, are in favour of more efficiency and renewable energy. Others, like the Magritte Group, reject any targets to increase the share of renewables and reduce energy consumption by 2030; although these policies would also help Europe tackle the global threat of climate change.

The Magritte Group is putting pressure on EU governments ahead of a crucial EU summit on 23 and 24 October where climate and energy policy for 2030 will be decided.

Greenpeace EU energy policy director Franziska Achterberg said: “This is a crucial time for Europe. We have a chance to free ourselves from the whim of any political or industrial giant who wants to turn off the tap to Europe. Companies whose business depends on importing fossil fuels from politically volatile countries such as Russia and Algeria make poor advisors on how to reduce Europe’s dependence on energy imports. We need our leaders to back strong targets to boost renewables and energy savings, the best form of energy security.”

Greenpeace is calling on Europe’s politicians to include a 45 per cent share of renewables, 40 per cent energy savings and a 55 per cent cut in domestic carbon emissions for 2030.

Source: Greenpeace EU Unit