The overall level of investment required in new power plants up to 2030 will be in the region of €1.4 to 1.8 trillion. The main driver for investment in new generation capacity in Europe will be the ageing power plant units.

Power producers will make their technology choices within the next five to ten years based on national energy policies, in particular market liberalisation, renewable energy and CO2 reduction targets. The EU emissions trading scheme will have an important influence on whether the majority of investment goes into fossil fuel power plants or renewable energy and co-generation. The investment volume required to realise the Energy [R]evolution scenario is €1.79 trillion, approximately 25% higher than in the Reference Scenario, which will require €1.42 trillion. While the levels of investment in renewable energy, fossil fuels and nuclear power plants are almost equal under the Reference Scenario, at about €500 billion each up to 2030, the Energy [R]evolution scenario shifts about 60% of investment towards renewable energy. The fossil fuel share of power sector investment is focused mainly on combined heat and power, and efficient gas-fired power plants.

The average annual investment required in the power sector under the Energy [R]evolution scenario between 2005 and 2030 is approximately €72 billion. Most investment in new renewable power generation will go towards wind power, followed by solar photovoltaics.