Energy dependence remains a critical vulnerability for the European Union, despite major shifts since 2022. While Russian gas imports have dropped from 45% to 13%, Europe now relies on liquid natural gas (LNG), with 10-15% passing through the Strait of Hormuz.
Recent attacks in the Gulf have disrupted shipping, spiking Dutch TTF gas futures by 60% and pushing oil past $100 a barrel. EU gas storage stands at just 30%, well below target. A one-month closure of Hormuz could drive gas prices to €73 per MWh, Goldman Sachs warns.
The EU answered with emergency coordination and a historic 400 million barrel release of strategic reserves, backed by the IEA and 32 nations. Still, deeper structural flaws persist.
In December 2025, the European Commission launched the €1.2 trillion Grids Package to rewrite energy infrastructure rules across member states. It sets strict timelines: two years for grid approvals, 42 months for cross-border Projects of Common Interest. The goal is a unified, resilient electricity market by 2028.
Challenges remain. Germany and Denmark support reform but resist centralized control. Poland and Romania demand flexibility. Disputes over cost-sharing and local benefit requirements stall consensus. Environmental groups warn of weakened biodiversity safeguards.
Renewables generated more electricity than fossil fuels in 2025, reaching 25.2% of total energy consumption. Yet domestic production covers only 10% of gas needs, and heating, transport, and industry still depend heavily on imports.
MEP Damian Boeselager calls the transition an economic imperative: "Not transitioning is actually more costly." Energy Commissioner Dan Jørgensen insists carbon pricing must stay, while Economy Commissioner Dombrovskis warns of a "stagflation shock" if disruptions continue.
The path to energy sovereignty hinges on delivery-not ambition.