EU parliament approves Net-Zero Industry Act to back clean energy production

Facebook
Twitter
LinkedIn
Reddit
Email
The NZIA is to be formally adopted by the European Council to become law. Credit: Glyn Lowe via Flickr.

The European Parliament has approved the Net-Zero Industry Act (NZIA), aiming to produce 40% of its annual deployment needs in net zero technologies by 2030.

The act will support all renewable and energy storage technologies, and simplify the permitting process, setting maximum timelines for projects to be authorised depending on their scope and output.

This article requires Premium SubscriptionBasic (FREE) Subscription

Unlock unlimited access for 12 whole months of distinctive global analysis

Photovoltaics International is now included.

  • Regular insight and analysis of the industry’s biggest developments
  • In-depth interviews with the industry’s leading figures
  • Unlimited digital access to the PV Tech Power journal catalogue
  • Unlimited digital access to the Photovoltaics International journal catalogue
  • Access to more than 1,000 technical papers
  • Discounts on Solar Media’s portfolio of events, in-person and virtual

Or continue reading this article for free

In addition, the NZIA also provides for the creation of Net-Zero Acceleration Valleys initiatives, which speed up the permitting process by delegating parts of the evidence collection for environmental assessments to member states.

The act also features non-price sustainability and resilience criteria to be applied in public procurement procedures and auctions to deploy renewable energy. Under this requirement, a minimum of 30% of the volume auctioned annually in the member state must meet the criteria, or a maximum of 6GW auctioned annually and per country.

The NZIA will now have to be formally adopted by the European Council to become law, which is expected to be completed by June 2024.

The European Parliament and EU Council agreed on new regulations in February to boost the EU’s solar manufacturing amid concerns about the viability of the European solar manufacturing sector.

In response to the approval of the NZIA, the European Solar Manufacturing Council (ESMC) said it welcomed the news as it is one of the first EU-wide mandatory legislative initiatives that help reach the targeted manufacturing capacity to cover 40% of EU’s deployment of solar modules and battery energy storage systems (BESS).

“This gives a green light for procurement of sustainable European made solar panels and is clear direction towards resilient supply. We urge the member states to start buying as from now, and not waiting for the time thresholds in the regulation,” said Žygimantas Vaičiūnas, policy director of ESMC.

However, ESMC noted that provisions of the NZIA would come into effect only in 2026 and to a limited part of the European PV market. This is due to public procurement and auctions comprise only a small part of all PV deployments in the EU.

“Accordingly, most of the effect of the application of the NZIA provisions will depend on its earlier implementation and broader scope of application — extending beyond public procurement and auctions,” ESMC added.

The European Parliament voted to adopt their position of the NZIA legislation on 21 November 2023, which will seek onshore manufacturing for renewable energy technologies like solar PV, battery energy storage and wind to the EU. PV Tech has been covering the news and related articles can be read here.

Aside from the NZIA, ESMC also issued another statement, urging Chinese solar companies to “stop misleading European consumers” after the European Parliament approved new regulations prohibiting the sale, import and export of goods made using forced labour earlier this week.

“This new legislation presents a historic opportunity to stand up for the environment, human rights and level the playing field in favour of European manufacturing. The Corporate Sustainability Due Diligence Directive (CSDDD) and Forced Labour Regulation will benefit our members and is a strong instrument to reshore manufacturing to Europe,” said Jens Holm, sustainability policy director of the ESMC.

He added companies need to disclose their supply chains and ensure they are sustainable and free from forced labour when doing business in Europe. “That’s what we always have done in Europe; our Chinese competitors have not,” he added.

PV Tech publisher Solar Media will be organising the second edition of Large Scale Solar Southern Europe in Athens, Greece during 2-3 July 2024. The event will focus on an ever-growing market such as Southern Europe with a packed programme of panels, presentations and fireside chats from industry leaders responsible for the build-out of solar PV projects in Greece, Turkey and Croatia. For more information, including how to attend, please go to the official website.
17 June 2025
Napa, USA
PV Tech has been running PV ModuleTech Conferences since 2017. PV ModuleTech USA, on 17-18 June 2025, will be our fourth PV ModulelTech conference dedicated to the U.S. utility scale solar sector. The event will gather the key stakeholders from solar developers, solar asset owners and investors, PV manufacturing, policy-making and and all interested downstream channels and third-party entities. The goal is simple: to map out the PV module supply channels to the U.S. out to 2026 and beyond.
1 July 2025
Athens, Greece
The summit will address the most pressing challenges, opportunities, and trends in the solar power production industry, as well as exploring its complimentary technologies: Energy Storage and Green Hydrogen.

Read Next

December 3, 2024
The Australian Energy Market Operator (AEMO) has said that the National Electricity Market (NEM) must introduce a new ‘emergency backstop’ mechanism to manage the impact rooftop solar PV can have on grid stability.
December 2, 2024
Tasmania's first utility-scale solar PV project, the 288MW Northern Midlands Solar Farm, is set to be developed after the signing of an offtake agreement with state-owned utility Hydro Tasmania.
November 29, 2024
Serbia has launched its second renewable energy auction, seeking 124.8MW of solar capacity alongside 300MW of wind capacity.
November 29, 2024
Registrations for tender 4 of Australia’s CIS opened on 28 November, seeking 6GW of renewable energy capacity in the NEM.
November 29, 2024
Technical consulting firm Enertis Applus+ has launched its mobile laboratory for on-site tests of solar PV modules in the Australian market.
Premium
November 28, 2024
Speakers at LSSCEE 2024 discussed key topics for the Eastern European solar sector, including storage, private investment and risk management.

Subscribe to Newsletter

Upcoming Events

Solar Media Events, Upcoming Webinars
December 3, 2024
8.30am GMT / 9.30am CET
Solar Media Events, Upcoming Webinars
December 12, 2024
9am GMT / 10am CET
Solar Media Events
February 4, 2025
London, UK
Solar Media Events
February 17, 2025
London, UK