The Oxford Analytica Daily Brief delivers timely, impartial and actionable analysis of emerging trends and developments in the global political economy, using a unique combination of external experts and in-house analysts. 

On Tuesday, January 4th, one of our Daily Briefs shared actionable insights into the breakthroughs the EU are looking to make regarding some of its Fit-for-55 proposals in the coming year. 

The EU has a busy legislative agenda in 2022, which will be dominated by the Fit-for-55 package that was launched in July 2021. Although the exact details of the package remain subject to clarification and amendment, it requires a much broader decarbonisation effort beyond the power sector, as well as public-sector financial commitments to higher-risk energy transition technologies such as hydrogen and carbon capture and storage.

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Germany’s new government will help strengthen the momentum of the EU’s legislative agenda, which so far is making more progress in the transport and energy sectors. Expansion of the renewable energy sector, particularly wind and solar photovoltaics (PV), will gain substantially from the increased level of ambition adopted at the EU level. Nevertheless, policy progress will expose significant gaps between member states in terms of policy formulation and implementation.

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