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At a time when the European Union faces growing challenges in terms of global competitiveness, it is urgent for the EU to seek strategic alternatives in various key sectors, including energy. The transition to a more competitive economy must be driven by renewable energy sources and emerging technologies, which is a necessary step to ensure that Europe maintains its relevance on the international stage. However, for this transition to be sustainable, the EU needs a long-term vision that integrates innovation and cooperation between public and private stakeholders, both within and outside the EU.
One of the sectors where the EU can enhance its competitiveness is energy, particularly with hydrogen as a key energy source in its future energy strategy. Despite advances in hydrogen policy, such as the European Hydrogen Strategy, industrial associations and other actors continue to call for adjustments in how this policy is carried forward.
The need to create a competitive hydrogen market that enables cost-effective and efficient production has become clear, but this cannot be achieved without a more pragmatic and technologically neutral approach.
If the EU wants to lead this new industry, it must allow innovation without imposing unnecessary barriers that hinder the development of new technologies.
Industrial associations like Hydrogen Europe have stressed the importance of reviewing current policies affecting hydrogen production, with a particular focus on competitiveness in terms of costs. The EU must prioritize removing regulatory obstacles that increase the cost of hydrogen production and renewable energy in general, without compromising sustainability. It is essential that policies not only focus on the supply of low-carbon technologies but also incorporate demand-side incentives, which would stimulate the creation of a real and robust market for hydrogen-derived products.
Beyond hydrogen, the EU must explore other strategic alternatives to strengthen its competitive position. Digitalization and artificial intelligence are areas where Europe can excel if policies foster research and development while promoting collaboration with universities and tech companies to accelerate innovation. Combined with a more interconnected energy infrastructure network, this would ensure greater integration of renewable energy sources and improve the resilience of the European energy system in the face of potential global crises.
Additionally, the EU’s role in creating global markets cannot be underestimated. Hydrogen, for example, is a product that can be exported and used internationally. But for Europe to have a competitive advantage, it needs to improve its internationalization strategies. The EU must act quickly to strengthen its position in international markets and work towards creating strategic alliances with other countries and regions, ensuring that its regulations and standards are globally adopted.
To achieve this, industrial associations play a crucial role. They are the voices that best understand the challenges faced by productive sectors and, therefore, must be heard in the political decisions made. Collaboration between the European Commission and the representative entities of different sectors, such as energy or industry, must become closer and more effective in building policies that not only benefit corporations but also provide opportunities for small and medium-sized enterprises, which are vital for the European economy.
As the EU continues to advance its green and digital agendas, it cannot afford to rely exclusively on solutions that were effective in the past. It is vital for the EU to seek new strategies that not only aim to improve the efficiency of internal markets but also enable it to become a global leader in innovation and sustainability. If the EU can integrate these elements and improve its policies effectively, it will be able to ensure its long-term competitiveness, not only in energy but also in many other key areas for the future.