With a view to developing a roadmap for the further penetration of electricity in industry based on energy partnerships, new business models, and investments, the new Eurelectric study— presented today at the organization’s annual conference in Helsinki—outlines five “recipes” for success.
From Microsoft’s data center in Dublin to the thermal energy storage battery at the Heineken brewery in Portugal and the innovative energy network of Germany’s E.ON in East London, the projects proposed by the study of the Association of European Energy Companies—of which the CEO of PPC, George Stassis—highlight how electrification can help European industry take a leading role globally.
At the core of the analysis lies the model of so-called “Power Couples, ” that is, strategic partnerships between industries, energy producers, consumers, and infrastructure providers, which is not limited to bilateral energy supply agreements but includes comprehensive collaborations that boost demand, consumption flexibility, investment, and network utilization.
Essentially, the study—conducted at a time when European industry is urgently seeking ways to reduce its energy costs—is based on the premise that every industrial facility can be combined with “clean” electricity generation as well as flexible load management, generating stable revenue and predictable costs.
There are three sectors that can benefit directly from the strategic partnership model.
- First, the heating sector, where the replacement of fossil fuels is technically mature and economically feasible.
- Second, energy-intensive industries, such as steel and chemicals,where large-scale investments and stable energy prices are required to maintain their international competitiveness.
- Third, data centers,which combine high electricity consumption with the growing need for “green” power and flexibility in load management.
The study cites five successful examples across Europe.
- In the case of Microsoft’s data center in Dublin,which actively participates in the energy system and, instead of passively consuming electricity, uses existing backup infrastructure to provide ancillary services. In other words, it generates additional revenue.
- The Stockholm Data Parks project demonstrateshow waste heat from a data center can be converted into a marketable product, directly supplying the district heating network of an entire city.
- In the case of the Heineken Vialonga project, thecompany is building a giant thermal battery at its brewery in Vialonga, Portugal, near Lisbon. This is a thermal energy storage system, which is expected to become fully operational in April 2027.
- Another “recipe” for success is the Silvertown ECTOgrid project,an innovative shared energy network in East London, England, which provides heating and cooling with nearly zero carbon emissions. The project by Germany’s E.ON integrates heat pumps, energy storage systems, and smart grid controls, providing low-carbon heating and cooling to thousands of homes and businesses.
- In the case of the Wienerberger brickworks, the company replaced its natural gas kilns with electric equipment and heat pumps combined with renewable energy sources. It has achieved a 90% reduction in CO2 emissions and 30% energy savings.
The study’s central message is that all of the above pilot applications are not one-off solutions, but replicable practices.
It is entirely feasible to adapt them to different countries, sectors, and company sizes, creating a European framework aimed at the energy transition of industrial production.
The model promoted by the Eurelectric study—which has over 34 members representing national electricity associations and leading energy companies in 32 European countries—is that in all of the above projects, the results have been achieved through collaborative ecosystems that share risk, infrastructure, and the investment burden.
The obstacles
However, according to the study, four key obstacles are slowing down the development of such strategic partnerships.
- The lack of coordination among the various factors involved in the energy sector: the market, the grids, investments, and policy strategies.
- Inadequate grid infrastructure, which often fails to support the rapid growth of new consumption.
- Uncertainty in the investment environment, which makes it difficult for the industry to make long-term decisions.
- The lack of coherent policy incentives that link the energy transition to competitiveness and not just to environmental goals.