EVs to make up quarter of 2025 European car sales: IEA

Market: Electricity
14/05/25

European emissions targets are expected to push electric vehicle (EV) sales to 25pc of total car sales in the EU and the UK in 2025, according to the IEA, with a projection for that share to reach 60pc by the end of the decade.

Europe and China are expected to continue to lead the surge in EV sales worldwide, according to an IEA report published on Wednesday that provided an updated outlook on the global EV market. Records have been broken across all major European markets, with EV sales up by 20pc on the year in the first quarter of 2025, although lagging the 35pc increase in China.

Emissions targets are the main driver of increased European sales, outweighing the fact that the cost differential between EVs and conventional internal combustion engine vehicles is higher than in other regions, according to the IEA. Higher fuel costs in Europe have also supported the surge in Europe's EV sales by incentivising the adoption of battery-powered technologies.

But EV sales growth stagnated in many European markets across 2024. The share of EVs in total vehicle sales remained the same or fell in 13 of the 27 EU member states over the course of the year, according to the report. The IEA attributed stagnation in 2024 in major EU markets such as France and Germany to the phasing out or progressive reduction of subsidies that incentivise EV sales.

EV sales grew substantially in the UK, with their market share in 2024 reaching 30pc — up by six percentage points from a year earlier. The IEA highlighted the UK's annually changing targets for emissions as a possible reason for the growth differential with major EU markets, which have fixed five-yearly targets, due to be reassessed in 2025.

The IEA projects European public charging points for light-duty vehicles to reach 2mn by 2030, requiring annual additions of around 210,000 charging points until the end of the decade to reach this target. This would result in 115GW of total public charging capacity across the continent, according to the IEA's projections. Additions across Europe in 2024 totalled 275,000.

By James Doran

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18/07/25

India’s clean fuel aim falls short of actual generation

Mumbai, 18 July (Argus) — India has reached its goal to have 50pc of its installed power generation capacity based on non-fossil fuel sources — but faces challenges in translating the new capacity into actual power generation, market participants told Argus . India reached the goal in June this year — five-years ahead of the 2030 target it had set under the Nationally Determined Contributions (NDC) to the Paris Climate Agreement. But its reliance on coal and gas continues. India relies on thermal power generation to meet base load power demand with coal-fired plants contributing over 70pc of the total energy generated. Non-fossil fuel sources, including renewables, nuclear and hydro power generation account for only 28pc of electricity generation, government data show. India's installed capacity of non-fossil fuel sources, that includes renewables, reached 234GW as of 30 June, while nuclear power reached 8.7GW, making up half of India's power generation capacity of 484.4GW in June, according to power ministry data. Renewables and nuclear power generation stood at 195GW and 8.1GW, respectively, during the same time last year. India's overall power generation was lower this year falling by 5pc on the year to 159.67GW in May due to an early onset of monsoon , latest government data show. Electricity generation data for June was not yet available. Power generation from non-fossil fuel sources showed an uptick this year, as against thermal power generation. (See table) Continued dependence on coal Despite the rise in non-fossil fuel sources, installed capacity of thermal power generation including coal and natural gas, remained stable this year at 242GW as of 30 June compared with 242.9GW last year, on the back of a decline in gas-fired power generation, power ministry data show. India has temporarily shut 4.4GW of gas-fired power capacity from April due to weak domestic gas supply and elevated import prices. Interestingly, coal-fired power generation capacity showed an uptick of 4GW at 214.7GW as of 30 June, compared with 210.9GW last year, the data showed. India had approved about 15GW of new coal-fired power capacity last year — the second-largest volume addition globally for coal-fired power generation after China. India's rising use of solar and wind power also faces grid integration challenges due to the intermittent nature of the generation. The government has been working on enhancing storage via battery systems and smart grids to address these issues. By Rituparna Ghosh India's electricity generation in GW Source May-25 May-24 Diff Thermal 114.1 127.8 -10.7 Nuclear 5.1 4.5 15.5 Hydro (Large) 13.3 12.6 5.0 Renewables 26.6 22.5 18.2 Bhutan Import 0.6 0.1 338.5 Total 159.7 167.5 -4.7 Source: Central Electricity Authority Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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US power grid operators issue weather alerts

17/07/25

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17/07/25

US power grid operators issue weather alerts

New York, 17 July (Argus) — The grid operators of most of the US' seven organized power markets have issued hot weather alerts in an attempt to balance supply and demand while hot weather triggers higher electric-powered air conditioning use. PJM Interconnection, the New York Independent System Operator (NYISO), the Midcontinent Independent System Operator (MISO), the Independent System Operator of New England (ISO-New England) and Southwest Power Pool (SPP) have issued alerts. PJM Interconnection, the largest US grid operator serving 67mn customers in the mid-Atlantic and beyond, issued a hot weather alert that took effect on Thursday, asking generators to defer or cancel maintenance, confirm equipment is functional and review fuel supply and delivery schedules in anticipation of above-normal demand. ISO-New England confirmed on Thursday that the precautionary alert it issued Wednesday would remain in effect as hot, humid weather threatened tight operating conditions Thursday evening. Day-ahead peak power prices for zone J in New York City on Wednesday jumped to $149.74/MWh, double the week-earlier price and the highest since 23 June, when there was a more severe heat wave. The New England Pool peak day-ahead price on Wednesday dropped to $140.24/MWh, down by 23pc from the previous session but triple the week-earlier price. The Transco zone 6 New York natural gas index, a key indicator for prices in New York City, from 15-16 July topped $3.40/mmBtu for the first time since 23 June, while the Algonquin Citygates index in New England from 15-16 July topped $9/mmBtu for the first time since February. MISO on Thursday made a "conservative operations" declaration, effective from 8am ET on 21 July to 10pm ET on 25 July. SPP, which spans a cluster of states north of Texas and west of MISO's service territory, also issued a weather advisory for the central and southern regions of its balancing authority area, effective from 1pm ET on 21 July to 9pm ET on 24 July. NYISO on Thursday said its statewide energy supply conditions were normal, though it also said resources from its emergency demand response program would be needed from 3-10pm ET on Thursday. The Electric Reliability Council of Texas, operator of the state's electric grid, has not issued a weather-related alert, nor has the California Independent System Operator. The ERCOT Houston peak day-ahead price on Wednesday rose to $41.85/MWh, up by 33pc from a week earlier and the highest since 30 June. Temperatures in New York City were forecast to peak at 89°F (32°C) on Thursday and 86°F on Friday. Temperatures in Houston, Texas, were forecast to peak at 96°F on Thursday and 88°F on Friday. By Julian Hast Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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Brazil looks to biomethane for transit fuel

14/07/25

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14/07/25

Brazil looks to biomethane for transit fuel

Sao Paulo, 14 July (Argus) — Turning Brazil's biomethane potential into a scalable fuel for urban transit, given its cost premium to competing options, could take long-term purchase contracts, tax credits and investment in distribution networks. Brazil has started testing biomethane in buses, with multiple projects in different regions, including the city of Sao Paulo, which has nearly 14,000 buses in its municipal fleet. "If we consider just 10pc of that fleet, we will need around 110,000 m³/d of biomethane," said Ricardo Vallejo, head of market intelligence at natural gas company Commit. The pilot project's main objective is to verify operations, such as if engines running on biomethane meet power, torque and other specifications and avoid other problems, Vallejo said. Espirito Santo state's government used biomethane for two public transport lines in partnership with bus manufacturer Volare. It has developed a new model to run on natural gas and biomethane, with a range of up to 450km (280 miles). But the model is 40pc more expensive than Volare's conventional diesel-fueled bus. Goias state's government ran an 87-day test with biomethane-fueled buses starting in March. It used biomethane produced in the region through partnerships with ethanol companies Jalles Machado and Albioma and referenced a cost of R4.4/km ($0.7896/km), or R3.04/km excluding biomethane delivery costs. This puts biomethane costs above those of both diesel and electric vehicles, which were referenced at R3.11/km and R2.64/km, respectively, for the test comparisons. But state incentives for biomethane could make it competitive even with higher fuel prices, according to the deputy secretary of Goias, Miguel Angelo Pricinote. Goias' tax incentives include ICMS VAT-like credits of 85pc for operations inside the state and 90pc credits with other states, he said. "We acknowledge challenges such as the cost and environmental footprint associated with transporting biomethane via trucks as well as the need to scale up production to continuously meet contracted demand," Pricinote said. By Rebecca Gompertz Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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Brazil's CNPE to regulate gas infrastructure costs

14/07/25

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14/07/25

Brazil's CNPE to regulate gas infrastructure costs

Sao Paulo, 14 July (Argus) — Brazil's national energy policy council CNPE will define the conditions and prices for market participants to access state-owned PPSA's natural gas flow, treatment and transportation infrastructure, the government said. The government published the decision in a provisional measure on 11 July. Market participants expect the measure to lower costs for gas producers, who accuse PPSA of charging anti-competitive prices for infrastructure access. The provisional measure also revoked the government's obligation to contract thermoelectric plants , which should ease demand for gas in Brazil during periods of low rainfall. The measure eliminates a requirement from the Eletrobras privatization law to contract thermoelectric plants. The government will no longer be required to contract thermoelectric capacity and can instead contract small hydroelectric plants. The government can contract up to 3GW of small hydroelectric plants in capacity reserve auctions until 2026. The provisional measure also limited the CDE charge, a tariff used to fund the country's energy policy. The limit aimed to contain the increase in electricity bills caused by overturning vetoes to the country's offshore wind law. The measure established a budget cap for the CDE starting in 2026. If costs exceed this limit, consumers will no longer pay the difference. Instead, the direct beneficiaries of the subsidies — energy distributors, generators and traders — will be responsible for covering the excess. A new resource supplementary charge mechanism will be created for this purpose and phased in, with 50pc of the amount levied in 2027 and 100pc as of 2028. By Gabriel Tassi Lara Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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UK must accelerate net-zero investment: Operator

14/07/25

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14/07/25

UK must accelerate net-zero investment: Operator

London, 14 July (Argus) — The UK must accelerate investment and planning in clean energy systems over the next five years or risk falling behind its 2050 net-zero targets, the country's grid operator Neso said in its Future Energy Scenarios 2025 report. Neso outlined four stages, or "waves", of the UK's transition to a low-carbon energy system — "foundation" (pre-2025), "acceleration" (2025-30), "growth" (2030-40) and "horizon" (2040-50) — representing a timeline from early-technology deployment to full-system decarbonisation. The report identifies the 2025-30 period as a critical "acceleration wave", when the UK must significantly scale up renewables, electrify transport and heating, expand grid capacity and invest in hydrogen and carbon capture infrastructure. Neso warned that without this acceleration, the country risks falling into a high-cost, fossil fuel-dependent pathway which fails to achieve net-zero. All four stages could play out along four possible scenarios, three of which achieve the UK's climate goals by 2050 through varying combinations of electrification, low-carbon fuels, consumer engagement and infrastructure development, according to the report. A fourth scenario, described as "falling behind", reflects slower action and results in continued reliance on fossil fuels, greater costs and missed targets. Across all successful scenarios, electricity demand more than doubles by 2050, driven by the widespread adoption of electric vehicles (EVs), heat pumps and electrification in industrial processes. Installed renewable capacity must increase by at least four times, with offshore and onshore wind and solar generation providing the backbone of the future power system. In the most hydrogen-intensive scenario, low-carbon hydrogen production reaches 119 TWh/yr by mid-century, supporting decarbonisation in sectors that are harder to electrify, such as heavy industry, freight and aviation. Energy efficiency and flexible demand will play a "critical" role in balancing the system and reducing peak loads, Neso said. The operator projected active consumer participation — through measures such as smart EV charging and time-shifting of heat pump usage — could reduce peak electricity demand by over 50pc compared with unmanaged consumption patterns. Whole-system energy use could fall by 18pc if efficiency technologies and behaviour changes are fully realised. The report also highlighted the shift to a decarbonised energy system requires significant capital investment, particularly over the next two decades. Neso estimated system-wide investment will rise sharply, but notes that these costs will be offset by lower operational expenses and reduced exposure to fossil fuel markets. The report does not include full costings, but the operator committed to publishing a technical annex with financial modelling later in the year. By Timothy Santonastaso Winter 2024 typical weekly generation by hour GW Winter 2050 typical weekly generation by hour GW Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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EVs to make up quarter of 2025 European car sales: IEA

Related news posts

India’s clean fuel aim falls short of actual generation

India’s clean fuel aim falls short of actual generation

US power grid operators issue weather alerts

US power grid operators issue weather alerts

Brazil looks to biomethane for transit fuel

Brazil looks to biomethane for transit fuel

Brazil's CNPE to regulate gas infrastructure costs

Brazil's CNPE to regulate gas infrastructure costs

UK must accelerate net-zero investment: Operator

UK must accelerate net-zero investment: Operator

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