SDG 7 Affordable and clean energy

• The Dutch energy supply is mainly fossil-based. Because of the phasing out of gas extraction in Groningen, domestic proven fossil reserves have fallen sharply in recent years and the Netherlands has become more dependent on energy imports.
• Dutch investment in renewable energy and in energy conservation is rising in terms of percentage of GDP (1.6 percent in 2022). The renewable energy sector is growing and accounted for 1.1 percent of total employment.
• Total per capita energy consumption in the Netherlands is relatively high compared with other countries in the EU. One reason for this is that the Netherlands has many energy-intensive economic activities such the base metal industry and basic chemicals manufacturing. Total energy use and the energy intensity of the economy are trending downwards.
• The share of renewable energy in total energy used in the Netherlands is trending upwards: from 5.8 percent in 2016 to 15.0 percent in 2022. The Netherland is now in 23rd place out of 27 EU countries. The share of homes using little or no natural gas is increasing.
• The affordability of energy is under pressure. The share of households who said they could not afford to heat their home adequately more than doubled: from 2.4 percent in 2021 to 5.3 percent in 2022.

Dashboard and indicators

Colour codes and notes to the dashboards in the Monitor of Well-being

By 2030, everyone must have access to affordable, reliable and renewable energy. Energy is crucial for a country’s economy and society, but still often goes hand in hand with emissions from combustion of fossil fuels: coal, oil and gas. In the Netherlands the main SDG 7 themes are energy security, the transition to renewable energy and energy efficiency; topics which have been among the most debated in recent years and – in view of current geopolitical tensions and recent sharp price rises – are still at the forefront of topical debate. Dutch government has a combined climate (SDG 13) and energy policy in the context of the Climate Agreement, which also provides in a climate fund to increase sustainability in the economy and in society. More and more energy policies are also being coordinated at EU level, and this is also relevant to the Netherlands.

Combustion of fossil fuels in power plants, industry, car engines, and in homes and other buildings produces damaging greenhouse gases. The Dutch government has introduced an energy transition programme to reduce these emissions. The war in Ukraine has demonstrated the need to become less dependent on imported natural gas. The transition to renewable energy has had a positive effect on Dutch well-being here and now, and on the amounts of capital we shall be able to pass on to future generations (well-being later). In practice, however, transition will often imply a switch to electrical installations. Demand for electricity is already increasing substantially. We have not been able to find a suitable national indicator for grid congestion (greater demand for or supply of electricity than the grid capacity to deliver), mainly because overloads are often temporary and occur locally.

Since the 1960s, natural gas extraction in Groningen has contributed a lot to the affordability and supply security of Dutch energy. As domestic gas extraction in Groningen has been phased out, however, the Netherlands has become increasingly dependent on imported energy. As a consequence of the energy transition, more energy is now being produced from domestic renewable sources. But it should also be noted in this respect that the installations required to generate renewable energy are often imported from other countries, so here, too, there is a new form of dependency.

The medium-term trends (2016-2023) of SDG 7 indicators are mostly moving towards the goals of the SDG agenda and rising or stable well-being, with the exception of domestic fossil reserves and dependency on imports. Favourable trends are the increase in investment in renewable energy and energy savings as a percentage of GDP. Other positive developments include higher employment in the renewable energy sector, the larger share of homes using little or no gas, rising use of renewable energy, decreasing energy intensity of the economy and the downward trend in total per capita energy consumption. If energy-intensive sectors move out of the Netherlands as a result of higher gas prices, this would increase cross-border dependency, and possibly cause more global CO2 emissions. But these are second order effects.

Resources and opportunities relate to the availability and affordability of energy and, with particular relevance to the Netherlands, investment in a sustainable energy supply. The trend in investment in renewable energy and energy savings is rising.

Use concerns amounts of energy used and saved. The trend in total per capita energy consumption is downward, but the Netherlands is near the bottom of the EU rankings. The production structure is a factor here: Dutch industry manufactures many energy-intensive products such as base metals and basic chemicals, which are then exported and processed further in other countries, using less energy-intensive methods.

Outcomes relate to energy affordability, sustainability and wastage. In an EU context the Netherlands has set itself the target of 27 percent of total energy from renewable sources in 2030.

Subjective assessment refers to satisfaction with the price and availability of energy.