Europe: The end of thermal power in 2035 finally confirmed

The European Union has definitively endorsed the end of internal combustion engines in new cars from 2035.

Share:

Comprehensive energy news coverage, updated nonstop

Annual subscription

8.25$/month*

*billed annually at 99$/year for the first year then 149,00$/year ​

Unlimited access • Archives included • Professional invoice

OTHER ACCESS OPTIONS

Monthly subscription

Unlimited access • Archives included

5.2$/month*
then 14.90$ per month thereafter

FREE ACCOUNT

3 articles offered per month

FREE

*Prices are excluding VAT, which may vary depending on your location or professional status

Since 2021: 35,000 articles • 150+ analyses per week

The German blockage has finally been lifted and the European Union has validated the end of combustion engines in new cars from 2035. This central measure of the 27’s climate plan will force new cars to emit no more CO2, thus banning gasoline, diesel and hybrid vehicles in favor of all-electric. This decision is in line with theEuropean objective of carbon neutrality in 2050 and marks the end of an industrial era. For more than a century, the Old Continent has dominated automotive innovation with internal combustion engines considered the most efficient in the world.

The regulation had already been approved in mid-February by the plenary session of the European Parliament, after a green light from the Member States, including Germany. However, Berlin blocked the regulation in early March by demanding that the Commission make a proposal that would open the way for vehicles running on synthetic fuels. This controversial technology, which is still under development, would produce fuel from CO2 produced by industrial activities. Defended by German and Italian high-end manufacturers, it would allow the use of combustion engines to continue beyond 2035.

The European Union and Germany have finally reached an agreement to unblock the text, which remains unchanged. Brussels has simply committed to opening the way more clearly for synthetic fuels in a separate proposal to be validated by the fall of 2024. Vehicles with combustion engines will be allowed to be registered after 2035 if they exclusively use CO2-neutral fuels.

Although some experts believe that synthetic fuel technology is unlikely to take hold in the market and will only be used for luxury cars, it is opposed by environmental NGOs who consider it expensive, energy-intensive and polluting. The unchanged text was accepted by broad support among the ambassadors of the 27 member countries in Brussels, who agreed that the landmark regulation should be “put on the agenda” of a Tuesday meeting of energy ministers for formal adoption, the final step in the legislative process.

The automotive industry has already invested heavily in electric vehicles, and even if they prove their worth, synthetic fuels, which do not exist today, “will not play an important role in the medium term in the passenger car segment,” Markus Duesmann, head of Audi (Volkswagen Group), said recently. Because of their cost, they will only make sense for a few luxury cars “like Porsche 911s or Ferraris,” says Ferdinand Dudenhöffer, an expert at Center Automotive.

Amid rising public spending, the French government has tasked two experts with reassessing the support scheme for renewable electricity and storage, with proposals expected within three months.
National operator PSE partners with armed forces to protect transformer stations as critical infrastructure faces sabotage linked to foreign interference.
The Norwegian government establishes a commission to anticipate the decline of hydrocarbons and assess economic options for the country in the coming decades.
Kazakhstan plans to allocate 3 GW of wind and solar projects by the end of 2026 through public tenders, with a first 1 GW tranche in 2025, amid efforts to modernise its power system.
Hurricanes Beryl, Helene and Milton accounted for 80% of electricity outages recorded in 2024, marking a ten-year high according to federal data.
The French Energy Regulatory Commission introduces a temporary prudential control on gas and electricity suppliers through a “guichet à blanc” opening in December, pending the transposition of European rules.
The Carney–Smith agreement launches a new pipeline to Asia, removes oil and gas emission caps, and initiates reform of the Pacific north coast tanker ban.
The gradual exit from CfD contracts is turning stable assets into infrastructures exposed to higher volatility, challenging expected returns and traditional financing models for the renewable sector.
The Canadian government introduces major legislative changes to the Energy Efficiency Act to support its national strategy and adapt to the realities of digital commerce.
Quebec becomes the only Canadian province where a carbon price still applies directly to fuels, as Ottawa eliminated the public-facing carbon tax in April 2025.
New Delhi launches a 72.8 bn INR incentive plan to build a 6,000-tonne domestic capacity for permanent magnets, amid rising Chinese export restrictions on critical components.
The rise of CfDs, PPAs and capacity mechanisms signals a structural shift: markets alone no longer cover 10–30-year financing needs, while spot prices have surged 400% in Europe since 2019.
Germany plans to finalise the €5.8bn ($6.34bn) purchase of a 25.1% stake in TenneT Germany to strengthen its control over critical national power grid infrastructure.
The Ghanaian government is implementing a reform of its energy system focused on increasing the use of local natural gas, aiming to reduce electricity production costs and limit the sector's financial imbalance.
On the 50th anniversary of its independence, Suriname announced a national roadmap including major public investment to develop its offshore oil reserves.
In its latest review, the International Energy Agency warns of structural blockages in South Korea’s electricity market, calling for urgent reforms to close the gap on renewables and reduce dependence on imported fossil fuels.
China's power generation capacity recorded strong growth in October, driven by continued expansion of solar and wind, according to official data from the National Energy Administration.
The 2026–2031 offshore programme proposes opening over one billion acres to oil exploration, triggering a regulatory clash between Washington, coastal states and legal advocacy groups.
The government of Mozambique is consolidating its gas transport and regasification assets under a public vehicle, anchoring the strategic Beira–Rompco corridor to support Rovuma projects and respond to South Africa’s gas dependency.
The British system operator NESO initiates a consultation process to define the methodology of eleven upcoming regional strategic plans aimed at coordinating energy needs across England, Scotland and Wales.

All the latest energy news, all the time

Annual subscription

8.25$/month*

*billed annually at 99$/year for the first year then 149,00$/year ​

Unlimited access - Archives included - Pro invoice

Monthly subscription

Unlimited access • Archives included

5.2$/month*
then 14.90$ per month thereafter

*Prices shown are exclusive of VAT, which may vary according to your location or professional status.

Since 2021: 30,000 articles - +150 analyses/week.