Draghi calls for European industrial policy to meet the challenges ahead

The Draghi Report sets out 140 measures to restore EU competitiveness, 21 of them on industrial energy management. Key findings and proposed actions.

The Draghi Report proposes a new strategy for the European Union to regain global competitiveness in the middle of the energy transition. It sets out 140 measures, 21 of them focused on industrial energy management, with the aim of reconciling industrial and energy policy.

The report lands at a moment when the growth gap between the EU, China and the United States is widening. Europe faces a choice: invest more in its industry, or start trading climate goals off against competitiveness.

Key points

Reconciling industrial and energy policy

Decarbonisation should be treated as an opportunity to protect competitiveness — without becoming excessively dependent on China. European industry needs a solid energy policy that brings energy costs down without compromising environmental goals.

The changes that matter

For Europe to compete, the report proposes three shifts:

• Accelerate innovation in clean technologies.
• Bring down the cost of energy.
• Reduce strategic dependence on other countries.

The problems identified

The report points to fragmentation of the European single market, the absence of joint policies and the regulatory burden as obstacles to competitiveness.

Proposed actions

The report includes 21 specific measures for the energy industry, among them:

• Easier access to competitive energy within the EU.
• Encouraging self-consumption in electro-intensive industry.
• Promoting PPAs (power purchase agreements) to secure long-term energy supply.

Conclusions

The Draghi Report warns that if Europe fails to coordinate its energy and industrial policies, it risks decarbonisation becoming an obstacle to growth rather than a driver of it. European companies currently face far higher energy costs than competitors such as the United States, which holds back their growth.

Energy integration and public investment in infrastructure will be essential to accelerate renewable adoption, reduce energy costs and keep Europe competitive.

In short, the Draghi Report underlines the urgency of a coherent, coordinated policy so that the green transition and European competitiveness reinforce one another rather than pull apart.