The European Union wants to propose an electrification target for the next decade, as part of a plan to strengthen the local market for clean technologies and help the bloc transition away from fossil fuels, Bloomberg reports.

According to a working document consulted by Bloomberg News, the European Commission will reveal the target in a policy package to be published on July 17. Later, in the fourth quarter of this year, the EU Executive aims to integrate this electrification target into a law, as part of its proposal for a post-2030 energy framework. The electrification target would be expressed as a percentage of energy consumption by 2040, which has not yet been established, according to Agerpres.

Brussels is betting that locally produced clean electricity will not only help meet its climate target of cutting emissions by 90% by 2040 compared to 1990 levels, but will also strengthen the bloc’s energy security. Reducing dependence on energy imports has become a key policy after cuts in Russian gas supplies pushed prices to record lows following the invasion of Ukraine and the Middle East crisis rattled global markets.

“With decisive action at all levels, Europe can become the first electro-continent. This profound transformation will require investment and will lead to savings and benefits beyond the energy system, from clean technology producers to the utilities sector, from more competitive and modern industries to reduced emissions and pollution in European cities,” the European Commission document, cited by Bloomberg, states.

By accelerating electrification, Europe could replace two-thirds of its gas consumption and halve its oil consumption, cutting its fossil fuel import bill by €200 billion by the end of the next decade, according to the EU executive’s draft, which could be amended before publication. It could also help the EU reduce high energy prices, which are hurting Europe’s competitiveness compared with the US and China.

The EU estimates that 70% of the energy produced in the bloc already comes from clean local sources. However, the region’s electrification rate, or the share of electricity in final energy consumption, has stagnated at 23% for a decade, compared with more than 30% in China, Korea and Japan, according to the International Energy Agency.

“Unlocking the potential of electrification would support Europe’s clean technology manufacturing base and value chains for wind turbines, battery electric vehicles or heat pumps and significantly increase the number of skilled jobs,” Brussels says.

The plan will outline several actions the Commission intends to take this year and in the coming years in the sectors most dependent on fossil fuels. In industry, it wants to use targeted funds generated by emissions trading to boost electrification, while in transport it aims to ensure better access to charging infrastructure, electrify heavy-duty vehicles and encourage ports to become clean energy hubs. To boost electrification in the buildings sector, which accounts for half of the EU’s gas consumption, the Commission will consider measures such as mobilising public demand for heat pumps.

But to achieve its electrification goal, the EU will need to remove a number of barriers, including the high initial investment cost of switching from fossil fuels to electricity, as well as modernizing electricity grids and expanding generation capacity. In addition, the bloc will need to change its energy taxation rules and phase out fossil fuel subsidies after 2030.