Why stronger grids are essential for Europe’s electric future

As Europe decarbonises, the electricity demand is expected to surge. ENTSO-E shares industry insights to explain why stronger grids are essential to deliver affordable, secure, and decarbonised energy for all
ENTSO-E

By ENTSO-E

The European Network of Transmission System Operators for Electricity, represents 40 electricity transmission system operators (TSOs) from 36 countries across Europe

10 Mar 2026

As Europe navigates rapid transformations, one certainty stands out: the future is electric.  Across transport, industry, digital services and daily life, our reliance on electricity is expected to grow.  This is an opportunity: electrification strengthens Europe’s resilience, sovereignty, and industrial base while decarbonising our economy.  

By 2050, direct electricity demand is set to increase by over 50%, driven by new technologies, our decarbonisation efforts, and the need for more efficient delivery. This requires system-wide changes across our industries, public services, and infrastructure. So how can we match that pace?   

Integration as a post-World War success story 

To answer that question, we first need to rewind the story. Since the 1950s, Europe has been the cradle of democratic cooperation, with trade as its cornerstone. Transmission System Operators (TSOs) have developed – and continue to expand – cross-border interconnections. These have provided the system stability upon which we built our internal energy market. And as our cooperation grew, so did the reach of our grid, also known as the single biggest machine in the world.  

The European Network of Transmission System Operators of Electricity (ENTSO-E) was built on this bedrock, and our role is to make sure Europe matches the pace of the transition. Our member TSOs work to pinpoint local, national and cross-border needs, then share their expertise with each other and European policymakers - all this to identify which projects are critical over the coming decades.

These feed into the Ten-Year Network Development Plan (TYNDP), published every two years. Since the publication of the first TYNDP in 2010, over 16,000km of interconnection transmission lines have been built - that's roughly the distance between Brussels and Sydney. We have also continued to weave a close web of interconnections, with 23 EU countries adding at least one interconnection with a neighbouring country. Together, these projects identified by ENTSO-E amount to a European achievement – one that reflects our regional needs. 

If European planning provides the big picture, National Development Plans are essential to understand the necessities at a local level, and to transform these plans into real infrastructure

All this to say: our grid is a strategic asset – which also makes it a target. Not only does it have to contend with increasingly volatile weather patterns caused by climate change – it also faces cybersecurity threats and even direct sabotage attempts from hostile actors, from Berlin to the Baltic Sea and all the way to Ukraine, where 50% of its infrastructure has been damaged by Russian strikes. These risks are not isolated issues; they are precisely why Europe cannot afford uncertainty in infrastructure planning.    

Timely delivery hinges on robust planning 

The task at hand requires our full commitment, and our targets reflect that: over 100,000km of cross-border relevant connections (off- and onshore) are planned by 2045 - that's nearly four trips around the globe. If this seems mountainous, we also know this: our delivery track record would not have been achieved without the essential cooperation across Member States, national regulators and TSOs.

If European planning provides the big picture, National Development Plans (NDPs) are essential to understand the necessities at a local level, and to transform these plans into real infrastructure. This is already reflected in the current Trans-European Networking for Energy (TEN‑E) framework, where multiple scenarios draw directly on TSO expertise to capture fast‑changing realities at national level. This plurality is essential to complement the Commission’s proposed 4‑yearly central scenario in the Grids Package. 

ENTSO‑E plays a key bridging role here, combining local system knowledge with Europe‑wide expertise. Our 40 TSO‑strong association, with our public service mandates, is best placed to develop the system-needs methodology within the Commission’s framework. This allows ACER and the Commission to ensure oversight, whilst Regional Groups provide a platform for Member States to validate the results.    

Strengthening Europe’s supply chain 

And here’s the good news: planning isn’t the bottleneck. So far, none of Europe’s major transmission projects have been held back by it.  The real bottlenecks are elsewhere - namely permitting, financing, and supply chains. Our TYNDP supply chain pipeline analysis cuts out the work for us: by 2030, Europe will need to deliver the 14,000 circuit breakers, 4,800 GIS (gas-insulated switchgears), 1,900 transformers, 800 reactors, and 71 PSTs (phase shifting transformers). We must secure these assets swiftly while ensuring affordability and supporting EU manufacturing wherever possible.  

We must achieve a secure, efficient and decarbonised power system, solidify our strategic energy independence and reinforce a world-class supply chain

And that’s just the equipment: we also need skilled workers to install it all at record speed – 1.5 million of whom will need jobs by 2030 worldwide. Limited manufacturing capacity, labour shortages and long lead times are already slowing projects down. To meet the 40% threshold of domestic equipment needed by 2030, we must accelerate the overall process: this means cutting red tape and aligning EU procurement rules with grid needs. These figures are the benchmarks of Europe’s independence and security – a non-negotiable if we want to build the grids needed to support the evolving European landscape.   

The politics of cross‑border financing 

These planned interconnections come with equally vast investment needs. ENTSO-E estimates over €800 bn in investment needed by 2050 for cross-border and offshore grids. In light of this, it is key to discuss how costs should be shared between Member States when projects cross borders. Cross-border cost-allocation is not just a technical endeavour: it is a political one. As such, it cannot be tackled by a simple cost-benefit analysis: these discussions should be led by Member States, regulators and grid operators. The Commission should be guiding the process, as ENTSO‑E and TSOs solely provide their technical input, rather than deciding the cost split. And if speed matters, cost‑sharing agreements should not be a condition for EU funding.   

A strong framework for Europe’s grids 

What we know to be true is that challenges unveil a host of opportunities. Our call is to rise to the occasion, by pairing TSO expertise with our shared European perspective. We must achieve a secure, efficient and decarbonised power system, solidify our strategic energy independence and reinforce a world-class supply chain: our collective security and prosperity depend on it. The Grids Package can be an asset – provided it accelerates TSO’s delivery capacity, paired with clear oversight, and effective stakeholder cooperation. 

In other words, it isn't enough just to keep the lights on – the European power system should be a bright beacon of our shared destiny. 

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