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🌱 Europe accelerates its energy transition: legal highlights of 21 May 2025

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  • 🌱 Europe accelerates its energy transition: legal highlights of 21 May 2025
  • 21 May 2025 by
    🌱 Europe accelerates its energy transition: legal highlights of 21 May 2025
    Marc Oliva Carbonell

    The ecological transition in Europe is not slowing down, and the legal developments of 21 May 2025 confirm it. From Brussels to Madrid and Lisbon, regulatory frameworks are adapting to respond to energy, climate and corporate sustainability challenges. In this article we review three key moves that will shape the sector's direction in the coming months.

    🔌 Spain and Portugal call for more electricity interconnections with France

    One of the most pressing items on the European energy agenda is the improvement of electricity interconnections. Today both Spain and Portugal have stepped up their pressure on France and the European Commission to unblock projects that would allow greater integration of the Iberian Peninsula into the continental electricity grid.

    The Spanish Minister for the Ecological Transition, Sara Aagesen, appeared before the Senate to explain the measures adopted after the recent electricity supply crisis. In parallel, the Portuguese minister Maria da Graça Carvalho held meetings in Brussels with representatives of the Commission and of ENTSO-E (the European Network of Transmission System Operators for Electricity).

    Both countries agree that the lack of interconnections limits the competitiveness of their electricity markets and hampers the integration of renewable energy. The political and diplomatic pressure seeks to speed up key projects such as the Bayonne–Gascony axis, which has been in the planning phase for years.

    📊 The European Commission is preparing an omnibus rule to simplify corporate sustainability

    On the regulatory front, the European Commission is working on a legislative proposal that could transform the way companies approach sustainability. It is an “omnibus rule” that seeks to harmonise three legal frameworks currently in force or under development:

    • The Corporate Sustainability Reporting Directive (CSRD)
    • The Corporate Sustainability Due Diligence Directive (CSDDD)
    • The Taxonomy Regulation on sustainable activities

    The objective is clear: to reduce the administrative burden and avoid regulatory duplication that is causing confusion among companies, especially SMEs. Some experts warn, however, that this simplification could create uncertainty if it is not accompanied by clear and coherent guidance.

    The initiative forms part of the EU's effort to maintain its leadership in sustainability without compromising business competitiveness. The draft rule is expected to be published during the second half of 2025.

    ♻️ Spain moves ahead with new decrees on carbon footprint and the circular economy

    At national level, the Spanish government is preparing a set of royal decrees that will have a direct impact on the environmental industry. The most significant measures include:

    • New carbon footprint calculation and reporting obligations for companies in certain sectors.
    • The revision of the Fondo de Carbono para una Economía Sostenible (FES-CO2, the Spanish Carbon Fund for a Sustainable Economy), with the aim of improving its effectiveness and aligning it with the 2030 climate targets.
    • Specific rules on extended producer responsibility (EPR), particularly for single-use plastic products and packaging.

    These measures seek to strengthen the circular economy, reduce emissions and foster environmental innovation. Companies will have to prepare to adapt to these changes, which could come into force at the end of this year.

    🧭 Conclusions: a legal environment in transformation

    The legal landscape of the environmental and energy sector is undergoing profound transformation. The pressure to accelerate the ecological transition, guarantee energy security and make compliance easier is giving rise to ambitious reforms at both European and national level.

    For companies in the sector, keeping up with these developments is not only a matter of compliance but an opportunity to lead the change towards a more sustainable, resilient and competitive model.

    in News
    # Developers Energy transition Governance Public administrations
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