Europe – November 06, 2026 -- Annual investment in European electricity transmission nearly tripled from €10.4 billion in 2019 to €30.5 billion in 2025. Permitting delays and congestion costs are still pushing up consumer bills, according to ACER's 2026 Monitoring Report on energy infrastructure development.
The report tests whether electricity, gas and hydrogen networks are keeping pace with changing demand. Renewable generation is expanding, and electricity demand is growing from heat pumps, electric vehicles and data centres. Gas networks must adapt to lower demand, while hydrogen remains at an early stage.
Cross-border project delays cost about €4 billion per year of slippage
On average, 22% of electricity transmission projects of common interest (PCIs) and mutual interest (PMIs) are delayed each year, mainly because of lengthy permitting procedures. A one-year delay costs around €4 billion in lost economic welfare.
Congestion remedial actions cost consumers €5.4 billion in 2025
Remedial actions by transmission system operators (TSOs) to relieve grid congestion cost European consumers €5.4 billion in 2025, over 25% more than in 2024.
Annual congestion income from day-ahead markets exceeded €9 billion in 2025, seven times the 2019 level. However, 60% of the total available, about €12.5 billion, is set aside rather than reinvested in cross-border grids or used to reduce tariffs.
Network costs reach 28% of the average EU household electricity bill
Electricity network costs for EU households rose 40% between 2019 and 2025, reaching 84 EUR/MWh. They now account for around 28% of the average electricity bill.
Gas demand stays 16% below baseline while tariffs climb 40%
Gas investments are broadly stable, but demand remains 16% below its 2017-2021 baseline. Average gas transmission tariffs increased by 40% between gas years 2020/2021 and 2024/2025.
EU electrolyser capacity of 0.49 GW trails 2030 targets of 30-58 GW
Hydrogen networks are at an early stage. EU electrolyser capacity reached 0.49 GW, well below the 30-58 GW envisaged for 2030 in national strategies and EU scenarios.
ACER calls for better use of existing grids and simpler permitting
ACER recommends three priorities:
- Make better use of existing networks through demand response, market-based congestion management, full implementation of the 70% cross-border capacity requirement, cost-reflective network tariffs and grid-enhancing technologies.
- Improve planning and delivery through transparent, more integrated planning across electricity, gas and hydrogen networks, and simpler, more predictable permitting.
- Fix cost-sharing mechanisms by distributing network costs fairly among users over time and reviewing how costs and benefits of cross-border projects are shared.