On 25 October, the EP Committees for Budgets (BUDG) and for Economic and Monetary Affairs (ECON) adopted in a joint vote their report on the inclusion of REPowerEU chapters in the national recovery plans.

CEMEP welcomes the push to support Member States to end dependency on fossil fuels and ramp up investments for the green transition. In particular, we strongly support the proposal to upscale existing energy savings solutions to incentivise reduction of energy demand, under Article 21(c) which details the objectives of the REPowerEU chapter in the recovery plans.

We also welcome the proposals that the reforms and investments laid out in the REPowerEU chapter should be stated from 1 February 2022 onwards, with their corresponding milestones and targets and quantification of the energy savings. Such detailed assessment of the energy savings and corresponding milestones and targets should be developed as soon as possible to prepare all relevant stakeholders moving forward with the energy transition.

Such proactive proposals can enable the support of the most relevant technologies to enable energy efficiency and energy savings, core to the ambitions of the REPowerEU and Green Deal. While the EU & Member States strive to increase electrification in key sectors, such as buildings, transport, and industry, upgrading inefficient equipment with new best-in-class devices, such as variable speed drives, can lead to immediate energy savings, typically with short payback times which can reduce reliance on unstable fossil fuel sources.

The latest IEA & Commission’s report, about the available options to empower and protect SMEs to mitigate the impact of the energy crisis, shows that increased control over motor operating parameters can reduce energy use by 15%-40%. Replacing a conventional motor driven pumping system with an energy efficient system can result in a 57% reduction in energy use. In addition, the report notes that the energy cost of the typical electric motor over 20 years of service is 50 times its purchase price. For every euro invested in improving the energy efficiency of motor-driven systems, at least seven will be saved in energy use over the lifetime of the equipment

As the Parliament and Council will soon come together to review the proposal following the plenary session, CEMEP strongly calls for alignment on upscaling energy savings solutions, including technologies such as variable speed drives, to overcome the EU’s current energy crisis and achieve the REPowerEU objectives.