US Media: Energy Prices Surge, Green Electricity Becomes More Popular in Europe

How can historical experience predict the sustainability of the green energy boom?

【Global Times Report by Yang Shuyu】“As energy prices soar, European consumers are turning to solar energy and electric vehicles.” Bloomberg reported on the 18th that, especially in Germany and the UK, interest in rooftop solar and electric vehicles is increasing daily, as they seek to offset rising energy costs.

German renewable energy company Enpal BV said that since the U.S. and Iran conflict, inquiries about solar panels and related products have increased by about 30%. UK energy supplier Octopus Energy also stated that during the week the conflict broke out, inquiries about domestic solar energy rose by 27%.

Bloomberg New Energy Analyst Lala Heim said, “Historical experience shows that fuel price volatility and unstable power supply often act as ‘accelerators’ for small-scale solar adoption. This phenomenon has occurred before in Europe, Pakistan, and other regions, and it seems history is repeating itself.”

A survey released on the 18th by Ipsos shows that 84% of Britons are concerned that tensions in the Middle East will impact energy prices, a figure comparable to the early days of the Russia-Ukraine conflict in 2022. To address this crisis, the UK government is currently promising to simplify the process for consumers to install plug-in solar panels. These products are already widely used in other parts of Europe and can be installed in gardens, on walls, or balconies. Officials say new standards will be introduced and regulations fine-tuned to bring these solar panels to market as soon as possible.

However, the report also notes that rising semiconductor prices could increase the cost of solar energy and slow its adoption.

Beyond rooftop energy, the shift away from oil in transportation has also accelerated significantly due to oil price fluctuations. According to Carwow Deutschland, a German automotive consumer platform, searches related to electric vehicles now account for 60% of total searches, up from 55%. CEO Philipp said, “This indicates that consumers are highly sensitive to economic conditions like rising energy costs.”

Meanwhile, the European Commission is preparing multiple measures to ease energy cost pressures, including reducing grid fees and energy taxes. According to a letter disclosed by Politico on the 16th, EU Commission President von der Leyen has proposed several responses to member states to slow the rise in energy costs. These include allowing governments to provide compensation to affected households and businesses, and authorizing member states to set limits on natural gas prices.

Kreber, CEO of German power producer Rhein Group, told Bloomberg that the latest crisis is likely to reshape Europe’s energy landscape once again. “The signal to invest in electrification and reduce dependence on fossil fuel imports is now stronger than ever,” he said.