Perspective | Europe’s energy debate is often framed around what the continent lacks. Too little investment. Too little grid capacity. Too much dependence. Too many national differences. Yet the three Strategic Briefings in this series reveal another side of the European energy story.
Europe already possesses many of the foundations of an electro-powered economy. It has an extraordinarily diverse energy landscape. It has some of the world’s largest utilities and energy companies. And it has an electricity network that already connects countries and markets on a continental scale.
Europe’s diversity does not have to disappear. It has to become connected.
The challenge is not starting from zero. The challenge is making these strengths work together.
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SIGNAL | Five days ago, Altair Media argued that European semiconductor policy has a blind spot. Europe spends heavily on fabs, research and production capacity, but pays far less attention to the industrial demand that ultimately determines whether those investments become commercially viable.
This week, ASML turned that abstract problem into a remarkably concrete one. Speaking in Amsterdam, Frank Heemskerk, Executive Vice President Global Public Affairs & Countries at ASML, described the situation in unusually blunt terms:
“We’re not selling anything at all in Europe.”
That is the paradox. Europe is home to ASML — and to some of the world’s largest automotive, industrial, telecom and aerospace companies. The demand for chips is clearly there.
So why does so little of it translate into semiconductor investment at home?
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Europe wants to build new factories, energy networks and battery plants. But even a promising project can struggle to find money. A new technology may work in a laboratory without having proved itself at industrial scale. Customers may be interested, but unwilling to sign contracts for the next twenty years.
Banks often wait until construction is complete. Pension funds usually want stable and predictable income. The project may be important for Europe and still be too risky for private finance.
Several public financial institutions were created to help solve this problem. The European Investment Bank (EIB, European Union) provides long-term loans and guarantees for major projects. The European Investment Fund (EIF, European Union) works through banks and investment funds to improve access to finance, particularly for smaller companies.
The Kreditanstalt für Wiederaufbau (KfW, Germany) supports investment through public programmes and commercial banks. Bpifrance (France) provides guarantees, loans and equity to companies. Cassa Depositi e Prestiti (CDP, Italy) finances infrastructure and strategic development.
A project can be important for Europe and still be too risky for private finance.
Together, these institutions already have capital, expertise and public backing. They can support projects that commercial investors consider too early, too complex or too uncertain. But they rarely operate as one European system.
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Michiel Scheffer wants Europe to do more than finance scientific discovery. His vision for the European Innovation Council connects research, patient capital, industrial demand and strategic procurement—turning breakthrough technologies into companies, production capacity and European power.
Under Ursula von der Leyen, the European Commission has moved beyond regulation towards crisis management, industrial strategy and geopolitical coordination. Her vision is of a Europe capable of acting—but its growing executive ambition raises questions about power and accountability.
Europe has spent years demanding more engineers. At TU Eindhoven, interest in Electrical Engineering is growing just as educational capacity reaches its limits—exposing the widening gap between Europe’s industrial ambitions and its ability to train the people they require.
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