Shifted Beyond Reversal: The Imperative Moment for Climate Change Intervention Now Falls Upon Us
In Europe, electric vehicles (EVs) are poised to play a significant role in the continent's energy landscape. By 2040, EVs could contribute up to 9% of Europe's annual power supply, becoming the fourth largest power supplier.
However, the integration of renewable energy sources like wind and solar presents challenges. These energy sources generate clean, cheap electricity, but they don't produce power in a steady stream. This inconsistency makes grids more vulnerable to surges in electricity demand or supply, necessitating additional stabilizing forces or alternatives like battery storage systems.
One solution to this problem is the creation of energy communities, where citizens take ownership of renewable energy production to provide stable, affordable power year-round. In Denmark's Hvide Sande District, an investment in an energy network based on wind turbines, an electric boiler, and heat pumps led to a 50% reduction in heating costs during the 2022 energy crisis.
South Australia, too, has strengthened its grid after a blackout in 2016 by introducing smarter demand response systems, modernized grid settings, and more backup battery capacity.
The adoption of bidirectional charging technology is another promising development. A Fraunhofer study found that widespread adoption of this technology could reduce annual energy system costs across the EU by 8.6%, amounting to €22.2 billion in savings per year by 2040.
Projects like Volkswagen's Elli in Germany are pioneering the use of EVs as energy storage. Elli plans to network electric vehicles as home energy storage and create a virtual power plant by connecting hundreds of vehicles from 2026. This integration could enable the monetization of storage capacity to support renewable energies and the European energy transition, while providing benefits such as significant reduction of household energy costs, increased energy autonomy, and system-level energy resource management.
The growth of EV adoption is evident. In the first half of 2025, new registrations for battery electric vehicles (BEVs) in Europe increased by 34% compared to the same period in 2024.
However, challenges remain. Infrastructure requirements, standardization of the technology, and regulatory frameworks governing safety and fair pricing in energy trading between EV owners and utility companies are areas that need to be addressed before realizing the full potential of EVs.
Other innovative solutions are emerging. For instance, a Finnish town introduced a sand battery that uses dirt to store excess renewable energy as heat, potentially heating the town for a week in winter or an entire month in summer, on just one charge.
Experts suggest that updating the grid to enable more flexibility is essential for the transition. A recent study found that using an EV to optimize solar energy sharing between neighbours could cut electricity costs for both households.
Despite recent setbacks, such as the Iberia-wide blackout on April 28th, climate tech experts remain optimistic. Siôn Geschwindt, a sustainability tech reporter based in Portugal, reported on the issue and interviewed several climate tech experts about the challenges and opportunities in the energy transition.
Milestones have been achieved. By 2023, South Australia achieved 64% renewable electricity with zero major outages. Spain reached a milestone by running 100% on wind, solar, and hydro power for the first time on April 16th, 2025.
The transition towards a sustainable energy future is underway in Europe, with citizens, communities, and industries taking action to support the energy transition. European citizens are taking action to support the energy transition, such as reducing and recycling waste (64%) and cutting down on consumption of disposable items (49%).
The road ahead may be challenging, but the potential benefits—a more sustainable, resilient, and affordable energy system—make the journey worthwhile.
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