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05.02.2026

Europe’s Affordable Energy Challenge: Progress, Gaps, and the Way Forward

How to bring energy prices down in a way that supports industrial competitiveness, protects households, and sustains public support for the energy transition? This is one of the most heated political debates in Europe today.

After years of crisis management marked by record-high electricity prices, the EU has put forward some emergency measures and innovative tools that have helped improve the energy price predictability. 
This briefing focuses on concrete policy instruments that helped achieve this goal, drawing on emerging best practices across the EU
In particular, it looks at how tools such as contracts for difference can be brought to life to stabilise energy prices and reduce investment risk.
The key challenge ahead is no longer short-term emergency response, but the development of a structural framework that delivers affordable energy across the economy.
The current EU debate centres on how to move beyond crisis response toward a structural framework that aligns affordable energy with long-term clean investment.

More details in the briefing, please download here.

Written by by Reghina Dimitrisina, Policy Advisor at FES Competence Centre Climate and Social Justice.

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Friedrich-Ebert-Stiftung Climate and Social Justice

Cours Saint Michel 30e
1040 Brussels, Belgium
+32 23 29 30 33
justclimate(at)fes.de

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