The next steps in the debate on the Draghi Plan and energy initiatives within the European Commission are focused on translating proposed measures into regulatory and financial frameworks.

Jorge Viñuelas González, European Affairs Coordinator at beBartlet, highlights the following key milestones on the European agenda:

• Publication of a legislative draft on the Industrial Decarbonisation Acceleration Act: The European Commission is expected to formally present the final draft of this legislation within the year. This framework will define mechanisms to reduce bureaucracy in renewable projects and establish direct financial incentives.
• Expansion of the aggregated demand mechanism: In the coming months, progress will be made on including hydrogen and critical raw materials in the EU’s joint procurement scheme. This initiative aims to stabilise prices and ensure access to key inputs for the renewable industry.
• Defining measures to mitigate price volatility: The Commission is working on the implementation of an Affordable Energy Action Plan, which will include measures to reduce uncertainty in production costs. Among the proposed tools, contracts for difference (CFD) are being considered to provide financial stability for renewable projects in their early stages.
• Administrative simplification and reduction of regulatory burdens: Over the coming months, the Commission is expected to adopt measures reducing bureaucratic requirements in the energy sector by between 25% and 30%. This will include reforms in corporate reporting regulations, certification processes, and permitting procedures.
• Design of the Competitiveness Fund: Although its implementation is planned within the next multiannual financial framework (2028-2034), discussions are already underway on sectoral priorities and financing structures. The Commission has begun debates on the allocation of these resources, which could be directed towards electrical infrastructure, energy storage, and strategic renewable energy projects.

In this context, renewable energy companies must closely monitor the decisions made by the Commission in the coming months, as they will determine access to new funds, incentives, and key regulations that will shape the sector’s competitiveness.

In a discussion with Strategic Energy Europe, Viñuelas González describes the Draghi Plan as a “call to action” and outlines the five priority areas that will shape the industry in the coming years.

1. Industrial decarbonisation acceleration act

One of the core elements of the Draghi Plan is the approval of the Industrial Decarbonisation Acceleration Act, aimed at removing barriers that currently delay the deployment of renewable energy across the continent.

This legislative framework seeks to streamline administrative procedures, shorten project approval timelines, and facilitate investment in energy infrastructure.

Brussels acknowledges that the current permitting process is a significant obstacle for the sector. Viñuelas González explains that “the aim is to reduce bureaucracy and establish more efficient mechanisms that allow companies to deploy renewable energy infrastructure in less time.”

This initiative also includes a financial dimension, with the creation of an incentive scheme combining public and private capital to drive strategic renewable energy projects. The European Commission is advocating for an investment model where funds and banks play a central role in financing the energy transition, coordinated through resources from the EU budget.

2. Joint procurement and hydrogen integration into the energy matrix

The Draghi Plan proposes expanding the aggregated demand mechanism introduced during the gas crisis, with the objective of extending it to strategic sectors such as hydrogen and critical raw materials.

This scheme, which allowed EU member states to coordinate gas procurement at more competitive prices, would now be applied to essential inputs for the renewable energy industry.

“The European Union aims to consolidate a joint procurement model that ensures more stable prices and a secure hydrogen supply,” says Viñuelas González. This approach seeks to reduce market volatility and reinforce Europe’s energy autonomy, in a context where competition for key resources such as lithium and cobalt has intensified.

Beyond joint procurement, the European Commission emphasises the need to develop dedicated infrastructure for hydrogen transportation and storage, as the existing gas pipeline network is not currently suitable for hydrogen use. Discussions are underway on the creation of a harmonised regulatory framework to facilitate the construction of hydrogen pipelines and establish common technical standards across the EU.

3. Action plan for energy market stability

Another key aspect of the Draghi Plan is the implementation of an Affordable Energy Action Plan, designed to mitigate price volatility in the energy sector.

Unpredictable production costs have been one of the major challenges for renewable energy companies, affecting investment predictability and project profitability.

Although the full details of this plan have yet to be finalised, Brussels is considering contracts for difference (CFD) as a key tool to stabilise revenues in the sector. These contracts would allow states to offset price gaps in emerging technologies until they reach commercial maturity, enabling them to compete on equal terms.

“The contracts for difference model has proven to be an effective tool for reducing risks associated with energy cost volatility,” notes Viñuelas González. This mechanism is expected to be complemented by new regulations to enhance electricity market stability and promote long-term investments in renewable energy generation.

4. Administrative simplification and reduction of regulatory burdens

In recent years, there has been growing consensus within the European Union on the need to reduce the bureaucratic burden faced by energy companies.

Within this context, the Draghi Plan includes a review of existing regulations, with the objective of streamlining administrative procedures and improving the efficiency of regulatory frameworks applicable to the renewable industry.

“The European Commission estimates that the proposed reforms could reduce administrative burdens by between 25% and 30%,” states Viñuelas González. This simplification will involve adjustments to corporate reporting regulations, sustainability certification, and technical standards, aiming to eliminate obstacles that hinder the execution of clean energy projects.

The private sector has repeatedly highlighted the complexity of the current regulatory landscape, which in many cases creates additional costs and slows down the implementation of strategic initiatives. The review of these regulations is intended to facilitate access to financing and accelerate the clean energy transition across the region.

5. Competitiveness fund for infrastructure and clean energy

One of the most significant announcements within the Draghi Plan is the potential creation of a European Competitiveness Fund, designed to mobilise investment in critical infrastructure and renewable energy.

This mechanism would coordinate efforts at the EU level and ensure the availability of financial resources for strategic projects.

“This fund would operate similarly to the post-COVID recovery funds, but with a focus on energy infrastructure development and industrial competitiveness,” Viñuelas González explains.

Although its implementation is scheduled for the next multiannual financial framework (2028-2034), the European Commission has already initiated discussions on its design and sectoral priorities.

The fund is expected to play a key role in financing electricity networks, energy storage, and clean technologies, ensuring that Europe maintains its leadership in the global energy transition.

The Draghi Plan represents a turning point in the European Union’s energy strategy, with concrete measures to strengthen the competitiveness of the renewable energy industry and secure the region’s energy independence.

A combination of new regulations, strategic financing, and the reduction of bureaucratic barriers aims to accelerate the transition towards a more sustainable model and ensure that the European renewable sector remains globally competitive.

Companies in the sector must closely monitor the evolution of these initiatives, as the decisions made in Brussels will define investment opportunities and the regulatory framework that will govern the market in the coming years.