Faced with new energy shock, Europe asks if reviving nuclear is the answer
Faced with new energy shock, Europe asks if reviving nuclear is the answer
As gas prices and vehicle fuel costs rise sharply, European households and industries are growing anxious. The UK government has advised citizens to remain composed, while the European Commission has urged people to adopt remote work and cut down on travel. Policymakers caution that conditions could worsen, depending on developments in the Middle East.
Just a year ago, Europe grappled with an energy crisis fueled by soaring costs and inflation after Russia’s invasion of Ukraine. This has reignited discussions about energy independence, with nuclear power once again emerging as a potential solution. The idea of a home-grown European energy mix is gaining traction, including in the UK and across the EU.
At the European Nuclear Energy Summit in Paris, Ursula von der Leyen, the EU’s executive head, called the continent’s shift away from nuclear a “strategic mistake.” In 1990, nuclear accounted for roughly a third of Europe’s electricity generation, but that share has since dropped to an average of 15%. This decline has left Europe reliant on costly and unstable fossil fuel imports, putting it at a disadvantage globally.
Over half of Europe’s energy comes from imports, primarily oil and gas. This vulnerability was starkly shown when Russia restricted energy exports, and now it’s evident as global markets tighten due to Iran’s disruptions at the Strait of Hormuz. While gas prices climb uniformly across the continent, electricity costs vary. In Spain, which has heavily invested in wind and solar, average prices for the rest of 2026 are expected to be about half of Italy’s, where gas dominates pricing.
France remains Europe’s largest nuclear producer, generating around 65% of its electricity through this method. German electricity prices for next month are projected to be five times higher than France’s, highlighting the impact of Germany’s nuclear phase-out following the 2011 Fukushima disaster. The decision left energy-intensive sectors like car manufacturing and chemicals reliant on gas, contributing to a significant drop in growth forecasts for 2026.
Germany’s economic research institutes have revised their 2026 growth projections to 0.6% of GDP, citing global gas price spikes. This has sparked a new interest in nuclear power, with figures like Reeves stating,
“To build national resilience, drive energy security and deliver economic growth, we need nuclear.”
Support for nuclear is also rising in Scotland, where recent polling shows most people now favor it as part of the country’s energy strategy.
France leads the charge, with President Emmanuel Macron emphasizing nuclear’s role in achieving energy sovereignty and decarbonisation. He argued at the summit that,
“nuclear power is key to reconciling both independence, and thus energy sovereignty, with decarbonisation, and thus carbon neutrality.”
Macron also highlighted the demand from AI and how nuclear could enable Europe to expand data centers and computing capabilities.
Despite previous resistance, Germany has since removed its anti-nuclear bias in EU legislation. This shift may be linked to security concerns amid strained relations with the Trump administration. Germany has asked France to extend its nuclear deterrent to other European partners, a proposal France accepted this month. However, nuclear is not a quick solution—its development requires long-term investment and planning.
