Debate contributions by Virgil-Daniel POPESCU

Mr President, Commissioner, dear colleagues, Europe's energy transition must be accelerated, but not in any case. We need a strategy that combines decarbonisation with energy security and industrial competitiveness. For me, this means strengthening investments in nuclear energy, stable renewable capacities and emerging technologies, from small modular reactors to hydrogen production and energy storage. The European Union is obliged to support these efforts through a sound financial framework, an ambitious industrial policy and recognition of the diversity of energy mixes. Romania can become a regional hub for clean energy development, actively contributing to Europe's strategic autonomy and reducing external dependencies. And when it comes to dependence, we have to be very careful not to replace dependence on Russian gas with dependence on so-called green technologies in China, for example. We have to be consistent. Without clean technologies, we will have neither competitive European industry nor sustainable energy security.

Madam President, Commissioner, dear colleagues, it is time to recognise a simple truth: Without modern and interconnected power grids, our energy policies remain mere intentions. The green transition will not succeed if some regions are condemned to energy isolation, high prices and low competitiveness. We have proposed and supported amendments requiring concrete measures, urgent investments and interconnections where they are missing, as is the case between Austria, Hungary and Slovakia, a realistic assessment of network bottlenecks and a clear loss compensation mechanism for developers of projects affected by congestion. Europe needs infrastructure that allows energy to flow freely where and when it is needed, and this also means solidarity between regions, especially those in Central and South-Eastern Europe, which actively contribute to the Union’s energy security, including in support of Ukraine. To be precise, following Russia’s war of aggression against Ukraine and the bombing of Ukraine’s energy grid, it has turned into a net importer from an energy exporter. Where does this energy come from? From the Eastern Europe area, from the surrounding area. The demand for energy has increased. The interconnection between Western and Eastern Europe is very weak. There is a necklace in Austria, so it is clear that there is not enough energy and prices are higher. I wanted everyone to understand exactly what is happening on the border with Ukraine. I call on the European Commission and the Member States to prioritise interconnection, because without it we cannot talk about decarbonisation, cohesion, strategic autonomy or energy security.

Madam President, I don't know how many remember, Commissioner, but you and I certainly remember, because in 2022, when I was Minister for Energy, we worked together and we were able to approve the Gas Storage Regulation. It was a tough time, a time when we were struggling in the energy council to get rid of our dependence on Russian gas. Today we have learned from the lessons of the past and today we are bringing flexibility to this regulation. Today we are dropping the intermediate targets, which also gave predictability, but also brought even speculation to the market, and yes, we are also lowering 90% of the stockholding obligation to 80%, even 75%. Basically, we are flexible, because we are in another market and we are close to getting rid of dependence on Russian gas. I believe that today we are doing a good job in the European Parliament and together with our colleagues in Parliament we will approve this.

Madam President, Mr Vice-President, yes, the Competitiveness Compass shows very clearly the European Commission's concern about the competitiveness of European industry. We have a European industry which, unfortunately, is currently suffering from competitiveness in battles with other industries. If in the Draghi report it appeared that European energy is three times more expensive than that of China and the United States, then we really have a problem. I saw very clearly what President Donald Trump said: Drill, baby, drill! Yes, except that they have something to pull out of the ground, they can pull out gas and oil. Does Europe have that possibility? No, it's not. I liked President Macron's statement: Plug, baby plug! But we have to have the energy to plug something into that socket. plough. And then, let me ask myself: I believe that Europe's main problem must be to increase energy production, increase interconnection and digitise networks, and obviously a well-functioning market, because at the moment, I tell you with all responsibility, there is no well-functioning energy market in Europe. Energy does not flow freely from North to South, from East to West. There are bottlenecks, there is a clear rift between Austria and Hungary and Austria and Slovakia, and the whole area of Eastern Europe, the area with the border with Ukraine, is devoid of energy that occurs elsewhere. We need to increase energy production, we need to interconnect more and obviously we need to create a well-functioning, much better energy market.

Mr President, dear colleagues, in recent days, Romania and Europe have been hit by devastating floods. More than 20 people lost their lives, 7 of them in Romania, in the affected areas, and many more are still missing. Thousands of people were evacuated and houses, roads and critical infrastructure were destroyed. The material losses are enormous, but the human losses are the ones that hurt us the most. These tragedies show us how vulnerable we are to extreme events. It is time to show solidarity and mobilise quickly to support affected communities. We also need to act to improve disaster prevention and management, investing in resilient infrastructure and addressing the causes of climate change, which are intensifying such events. Europe must be united in the face of these challenges. Let us stand by those affected and make sure that we do everything possible to prevent such tragedies in the future.

Mr President, Commissioner, dear colleagues, the State of the Energy Union Report 2024 shows that we have made significant progress in the clean energy transition, with 50% of electricity in the European Union coming from renewable sources. However, to achieve the 2030 energy and climate targets, we must continue to improve our energy efficiency, accelerate electrification, especially in the heating sector, and increase hydrogen production. This means increased energy consumption. In this context, nuclear energy and small modular SMR reactors are of particular importance. As we move forward in the energy transition, the question arises: how can we balance the expansion of renewables with the development of nuclear energy, in particular SMRs, to ensure the stability and sustainability of our energy supply? My belief is that we need nuclear energy to achieve these decarbonisation targets. Decarbonisation without nuclear energy is not possible. The report also highlights the European Union's efforts in managing high energy prices and securing supply in the face of global challenges. Natural gas has played and is playing a role as a transitional fuel, especially when renewable sources have not been sufficient to stop demand and the removal of Russian gas from supply sources has reached a minimum of 18%. However, the debate remains on the role of gas in the European Union's long-term energy strategy. Should we continue to invest in natural gas infrastructure as a bridge between a low-carbon energy system or focus exclusively on accelerating the deployment of renewables and other clean technologies? These are key questions that we need to ask ourselves as we shape policies for the future, balancing energy security, accessibility, sustainability. I wouldn't want to end without raising a topical issue: high electricity prices on the Day-Ahead Market in the countries of South-Eastern Europe, including Romania. I read the letter of our ministers from Greece, Bulgaria, Romania, Hungary. We, the Members of the European Parliament, have also sent a letter to the European Commission. One thing is certain: the interconnection between Western and South-Eastern Europe is not sufficient. It is not possible to allow 20 kilometres of non-existent network between Austria and Hungary to influence prices throughout the region, and if we add that there is no interconnection between Austria and Slovakia, the picture is complete. Something needs to be done and the Commission needs to do something. Let's increase the interconnection between our states and let energy flow from north to south and from east to west.