Download publication

External Publication

The Impact of Brexit on the EU Energy System

What will be the impact of Brexit on the EU energy system? With or without the UK, the EU will be able to complete its market, to achieve its climate and energy targets with feasible readjustments, and to maintain supply security

By: , , and Date: December 19, 2017 Topic: Energy & Climate

This study was prepared for the Committee on Industry, Research and Energy of the European Parliament (ITRE). Copyright remains with the European Parliament at all times.

The European Parliament’s Committee on Industry, Research and Energy (ITRE) called for this study in light of the Brexit referendum. The study focuses on the possible effects on EU citizens and companies in order to  inform the Brexit negotiations from an EU perspective. The authors address eight key issues concerning the potential impact of Brexit on the EU energy system. On aggregate, the energy system related impact of Brexit on EU citizens and companies will be limited.

With or without the UK, the EU will be able to complete its market, to achieve its climate and energy targets with feasible readjustments, and to maintain supply security. In addition, the authors do not expect that it will be in the UK’s interest to seek a competitive advantage for its companies by discriminating against EU energy companies active in the UK, or by competing with the EU’s manufacturing industry through lowering energy taxes or environmental standards. Despite our belief that the negative impact of Brexit on the EU energy system is manageable, our analysis demonstrates the immense number and sizable impact of very important details that will need to be resolved in a short period of time. Moreover, our analysis shows that special attention should be paid to the impact of Brexit on the Irish energy system.

 

View comments
Read article Download PDF More on this topic

Policy Contribution

FDI another day: Russian reliance on European investment

Most foreign direct investment into Russia originates in the European Union: European investors own between 55 percent and 75 percent of Russian FDI stock. This points to a Russian dependence on European investment, making the EU paramount for Russian medium-term growth. Even if we consider ‘phantom’ FDI that transits through Europe, the EU remains the primary investor in Russia. Most phantom FDI into Russia is believed to originate from Russia itself and thus is by construction not foreign.

By: Marta Domínguez-Jiménez and Niclas Poitiers Topic: Global Economics & Governance Date: February 17, 2020
Read about event More on this topic

Upcoming Event

Mar
3
12:30

The Brussels effect: How the European Union rules the world

This event will challenge the narrative that Europe is in decline, by asking whether Europe does in fact rule the world.

Speakers: Bente Angell-Hansen, Anu Bradford and Giuseppe Porcaro Topic: European Macroeconomics & Governance Location: Bruegel, Rue de la Charité 33, 1210 Brussels
Read article More on this topic More by this author

Opinion

Realpolitik of the day after Brexit

Compromises hammered out in the next 11 months, by both British and European negotiators, will dictate the UK’s economic landscape for decades to come

By: Maria Demertzis Topic: European Macroeconomics & Governance Date: January 31, 2020
Read article More on this topic More by this author

Opinion

Britain faces a triple contradiction

If Boris Johnson can negotiate agreements that are better than the EU system, it would be a serious challenge for the 27

By: Jean Pisani-Ferry Topic: European Macroeconomics & Governance Date: January 30, 2020
Read article More on this topic More by this author

Podcast

Podcast

The science of Brexit

On Saturday morning, the United Kingdom will wake up outside the European Union. After 37 years of collaboration, how will Brexit affect research and innovation in Europe and in the UK? What should be the next steps undertaken by both in order to maintain the same level of cooperation? This week, Nicholas Barrett is joined by Maria Demertzis, Guntram Wolff and Michael Leigh, Senior Adjunct Professor of European Studies at the Johns Hopkins University, to discuss a post-Brexit agreement for research and innovation.

By: The Sound of Economics Topic: European Macroeconomics & Governance Date: January 29, 2020
Read about event

Past Event

Past Event

A post-Brexit agreement for research and innovation

What is the future of EU's and UK's relationship on research and innovation?

Speakers: Gina Dowding, Philippe Lamberts, Michael Leigh, Adrian Hayday, Clare Moody, Martin Muller, Joe Owen, Jaroslaw Pietras, Uta Staiger, André Sapir, Beth Thompson and Guntram B. Wolff Topic: European Macroeconomics & Governance, Innovation & Competition Policy Location: Bruegel, Rue de la Charité 33, 1210 Brussels Date: January 28, 2020
Read article More on this topic More by this author

Blog Post

How could net balances change in the next EU budget?

The gap between payments into the EU budget and EU spending in a particular country has importance when EU spending does not constitute European public goods, or there are risks for their improper use. I estimate that the Juncker Commission’s proposal for the next seven-year budget would lead to big reductions (as a share of GNI) in the net payments to most central European countries, while the changes for other countries seem small

By: Zsolt Darvas Topic: European Macroeconomics & Governance Date: January 23, 2020
Read article More on this topic More by this author

Podcast

Podcast

Banking after Brexit

Will Brexit damage Britain's financial services industry? Or is talk of its diminished status just a storm in a teacup? The City of London could move closer to Wall Street or it might become "Singapore-on-Thames". Nicholas Barrett talks to Rebecca Christie about banking after Brexit.

By: The Sound of Economics Topic: Finance & Financial Regulation Date: January 16, 2020
Read article More on this topic More by this author

Opinion

Understanding populism

Political identity is a group stereotype. As no camp corresponds exactly to our expectations, we choose the one to which we are closest and which is also the most distant from the ideas we reject

By: Jean Pisani-Ferry Topic: European Macroeconomics & Governance Date: January 2, 2020
Read article More on this topic More by this author

Podcast

Podcast

Getting post-Brexit trade deals done

The UK goes to the polls on Thursday to decide who (and if) they want to "get Brexit done". But, as soon as Britain leaves, it will have 11 months to agree a trade deal with the EU. Is it possible? Nicholas Barrett is joined by Maria Demertzis and Niclas Poitiers to discuss post-Brexit trade deals with the EU and the USA.

By: The Sound of Economics Topic: European Macroeconomics & Governance Date: December 10, 2019
Read article Download PDF More on this topic More by this author

Policy Contribution

The European Union-Russia-China energy triangle

Concern is growing in the European Union that a rapprochement between Russia and China could have negative implications for the EU.

By: Georg Zachmann Topic: Energy & Climate Date: December 9, 2019
Read article More on this topic More by this author

Opinion

The UK election viewed from continental Europe: Meh

It will take more than the vote on December 12 to make the continent pay attention to the UK. Viewed from the continent, the UK election is one more episode in a Brexit series that “jumped the shark” long ago.

By: Nicolas Véron Topic: European Macroeconomics & Governance Date: November 29, 2019
Load more posts