The European Commission (EC) has reportedly prepared proposals aimed at boosting investment in power grids across Europe.

According to estimates from the European Union (EU), an investment of around €584bn will be required for the upgradation of the power grids over the course of this decade, reported Reuters.

The EC is expected to propose a plan shortly in order to launch grid investments.

Several grids, which are very old, are  confronted with the necessity of transitioning from the traditional model that is reliant on large, fossil fuel power plants to enable the integration of wind and solar power generation.

As per a draft document viewed by the news agency, the Commission intends to increase the financing for dozens of projects that have been designated for priority access to permits as well as EU funding.

Besides, the draft sates that Brussels will grant ‘projects of common interest’ status upon 68 electricity projects, 12 of which are related to energy storage.

Furthermore, Brussels will collaborate with investors, regulators, and credit agencies to make it easier for grid projects to secure loans, equity and guarantees, reported the news agency.

Brussels will also explore new funding instruments with the European Investment Bank (EIB).

The EU and power network regulators will also collaboratively formulate a range of recommendations and guidelines for an overhaul across Europe, as per the publication, citing the EC’s document.

Guidelines will be formulated on the types of grid investments that need to be approved.

The draft, as per Reuters, reads: “Grids need to adapt to a more decentralised, digitalised and flexible electricity system with millions of rooftop solar panels and local energy communities sharing resources.”

In August this year, EIB approved €1.4bn financing for the 2.5GW Baltica offshore wind farm project which is being developed by PGE and Ørsted in the Baltic Sea.