Brenda Shaffer says Europe’s energy crisis is mostly self-inflicted, and Washington is copying the same mistakes. Europe is facing record-high prices, tight supplies, and blackouts. It’s not simply a renewables-versus-fossil-fuels story.
Part of it comes down to market design. The EU moved from long-term fixed gas contracts to daily spot pricing. That handed Russia more leverage and left suppliers with less reason to invest in new capacity. On top of that, governments mandate renewables while also controlling prices and utilities, which blocks market signals from working the way they’re supposed to.
Grid investment lagged too, along with backup storage and maintenance for variable renewable output. Europe also passed on emerging gas sources and shut down nuclear plants, narrowing its supply options further.
Shaffer sees the same warning signs in the US: climate policy getting prioritized over energy security, constraints on domestic oil and gas, canceled pipelines, and rising electricity demand without the grid to match it.
