A Year of Transformation for Europe’s Electricity Sector
2024 was a banner year for the European electricity sector. As projected by the European Commission’s latest energy reports, data from Eurelectric—the European federation representing over 3,500 utilities—confirmed a groundbreaking shift in power generation and emissions reduction.
The surge in renewable energy production and a sharp decline in emissions signaled a cleaner, greener energy mix for the European Union. According to Eurelectric, the EU now boasts the cleanest electricity generation mix in its history.
Renewables Lead the European Power Mix
In 2024, renewable energy sources accounted for an impressive 48% of the EU’s power mix, producing over 1,300 TWh. This growth was driven by new wind and solar installations across the region, which fueled the rapid expansion of the renewables sector.
Meanwhile, fossil fuels continued their decline, supplying only 28% of electricity—the lowest share on record. Nuclear energy ranked third, contributing 24% (656.45 TWh) of the total power generation, maintaining stability after the sharp declines caused by French nuclear plant closures in 2021.
Emissions at Record Lows
This cleaner energy mix, combined with stagnant post-crisis energy demand—mainly due to reduced industrial consumption—resulted in significant emission reductions. CO2 emissions from Europe’s electricity sector fell by 13% compared to 2023 and by 59% compared to 1990 levels, reaching an unprecedented low.
Wholesale Prices and Negative Records
Eurelectric’s report also highlights a notable drop in wholesale electricity prices. The EU’s average day-ahead electricity price fell by 16% compared to 2023, settling at €82/MWh, down from €97/MWh the previous year. Before a sharp rise in gas prices during the final quarter, prices averaged an even lower €76/MWh.
Simultaneously, negative electricity prices hit an all-time high, occurring 1,480 times across the EU in 2024. This means that in 17% of the cases, at least one bidding zone recorded negative prices. Countries like Germany, Italy, and Sweden experienced frequent price spikes, especially during the winter, influenced by high demand and adverse weather conditions.
A Vision for a Decarbonized Future
“These findings demonstrate once again that investing in renewable energy is the right path for a more competitive and decarbonized economy,” said Cillian O’Donoghue, Eurelectric’s Policy Director. “However, greater renewable generation must be supported by robust and flexible capacity to balance variability, reduce reliance on costly fossil fuels, and mitigate price spikes.”
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