The European Green Deal stands at a critical crossroads, with soaring energy prices and new geopolitical challenges threatening the EU’s strategy for climate neutrality.
In an article for the Financial Times, Prime Minister Kyriakos Mitsotakis emphasizes the need for a realistic and strategic approach, proposing five key “golden rules” for a successful green transition.
As he notes: “The EU Green Deal is at a crossroads. High energy prices leave little room to burden our economies with additional costs. At the same time, the new geopolitical environment has reduced Europe’s appetite to develop new dependencies on fuels, metals, or technologies.” The Prime Minister stresses that the energy transition must strengthen a broader strategic framework for Europe’s future position in the world.
1. Cost Efficiency
Mitsotakis underlines that Europe must focus on decarbonization measures that are economically sustainable. While coal and oil are still used in some processes, the transition must proceed cautiously, supporting competitive low-emission technologies while gradually developing others. The aim is to maintain flexibility and ensure that financial data supports the green strategy.
2. Technological Neutrality
Europe should not invest based on moral dilemmas or impressions. According to Mitsotakis, investments must be directed towards technologies that genuinely reduce emissions, whether hydrogen, nuclear energy, or other solutions. The energy transition should rely on effective and efficient means, not political or ethical frameworks.
3. Strengthening the Internal Market
Significant energy price disparities remain across EU countries. Electricity market integration must advance decisively, as lack of coordination leads to extreme price fluctuations, with negative prices in some countries and excessively high prices in others. This is a political challenge requiring coordination at the highest levels.
4. Stronger Market Governance
Europe needs transparency and stronger regulation in energy markets, particularly electricity. Complex and interconnected markets pose risks for competitiveness and social welfare. Mitsotakis calls for a review of price-setting mechanisms and market oversight at the European level to prevent manipulation.
5. Green Transition within a Broader Strategy
Decarbonization cannot be an end in itself. Other objectives, such as employment, industrial production, and strategic autonomy, must be considered. The Prime Minister stresses that, in some cases, minor emissions may need to be tolerated temporarily to safeguard industry and social cohesion.
Mitsotakis concludes that these five rules provide the foundation for a radically different EU strategy, essential to avoid the trap of pursuing the “wrong race” toward climate neutrality.
