E-fuels

Europe Facing the Challenge of Energy Sovereignty

The energy transition in maritime transport is reshaping the global energy landscape. While the production costs of electrofuels favor countries of the “Global South,” Europe and its engineers still hold a key asset : technological expertise and the ability to structure industrial supply chains. This is an analysis of a challenge that goes far beyond the simple importation of molecules.

To meet decarbonization targets, we will need to produce between 70 and 100 Mtoe (million tonnes of oil equivalent) of low-carbon fuels by 2030. E-methanol, e-ammonia, and e-kerosene will be the pillars of this revolution. But a fundamental economic reality cannot be ignored: these fuels require large amounts of abundant and inexpensive renewable electricity.

The Economic Equation: Constraint or Opportunity?

The Global Potential study by MGH Energy highlights a major competitiveness gap. Producing one MWh of renewable electricity for electrofuels costs around €41 in very sunny and windy regions (Chile, Australia, North Africa), compared with nearly €85 in France. To produce just one TWh of e-fuel on national soil, more than €300 million in subsidies would be needed over ten years.

Should Europe give in to pessimism and see itself as a dependent importer? Certainly not. This disparity creates a unique opportunity for financial and industrial engineering. Through mechanisms such as Global Gateway or Green Corridors, Europe can export its technological know-how (electrolysers, synthesis units, carbon capture) to co-develop production capacities abroad. A new mutually beneficial North–South alliance!

Rethinking Sovereignty

Sovereignty will not lie solely in producing fuels locally, but in mastering the value chain and securing supply. This involves long-term purchase contracts and strong industrial partnerships. Moreover, niche production with high added value remains relevant in Europe to secure strategic or short-sea shipping needs, relying on nuclear or offshore wind power, as suggested in energy-mix scenarios.

Opportunities for the New Generation

For young engineers and business students, this represents tremendous momentum and an opportunity to build a sustainable future.

The sector particularly needs:

• Industrial project managers, capable of developing production plants in complex international environments.

• Energy supply chain experts, to design new logistics routes for these fuels (transport, port storage, bunkering).

• Negotiators and legal specialists, to structure unprecedented supply contracts between nations, shipowners, and energy companies.

• Seafarers, to operate, maintain, and manage increasingly complex and strategic vessels.

Far from being a constraint, this new geography of energy is a chance for European youth to project themselves internationally. It is no longer only about operating ships, but about building the energy infrastructure that will power them, and maintaining it.

A challenge of ingenuity and technical diplomacy awaits the sector’s future leaders.

¹ DNV’s Maritime Forecast to 2050 (2025)

² Armateurs de France Position Paper: “Decarbonization Levers for Ships”