European Commission Pledges €5 Billion for North African Renewables

The European Commission pledged €5 billion in EU funds on Tuesday for renewable energy projects in North Africa and the Middle East. The money is intended to support solar, wind, hydrogen, and grid infrastructure that could eventually send electricity to Europe.

The initiative, called T-MED, targets at least 15 gigawatts of new renewable capacity by 2035, more than 100,000 jobs, and expanded electricity connections across the Mediterranean. Officials said the funding is meant to draw private capital and reach a total of €25 billion in investment.

The Commission estimates North Africa and the Middle East hold roughly 2,300 gigawatts of renewable potential. It also estimates solar and wind power can be produced there 30 to 40 percent more cheaply than in Europe. The Commission said the region will require well over €100 billion in investment by the end of the decade to fully develop that potential.

Officials described the €25 billion target as an initial step.

EU energy chief Dan Jørgensen said the EU's fossil fuel import bill rose more than €47 billion in the past 100 days. He linked the new program to recent energy market volatility and argued that security should rest on electrified systems based on clean energy and modern grids.

Mediterranean Commissioner Dubravka Šuica said the goal is to turn potential into projects, projects into investments, and investments into jobs and growth. The new T-MED investment platform is scheduled to begin operations in September.