Who Are Young Energy Consumers?
Young energy consumers, generally those aged 16 to 35, represent a unique demographic facing both structural barriers and wide-ranging opportunities in today’s energy landscape. This age group encompasses individuals in transitional stages of life, from students and entry-level professionals to young workers in varied fields such as hospitality, manufacturing, and other industries. With approximately 40% of young Europeans holding bachelor’s or master’s degrees as of 2021, these consumers are relatively educated, yet they face financial and systemic constraints that shape their energy choices and consumption patterns.
Renting, Urban Life and Limited Control
Most young consumers in Europe today live in urban areas, often renting apartments or sharing accommodation due to high housing costs and limited income. This trend towards urban renting implies limited control over housing energy efficiency and related improvements. Young renters often reside in buildings with minimal energy-saving upgrades, reflecting structural barriers that limit their ability to participate in energy efficiency improvements. Many landlords are either unwilling or financially unable to invest in upgrades such as improved insulation, energy-efficient windows, or renewable energy installations, leaving young consumers with little influence over the sustainability of their living spaces. Additionally, as they are often renters, most young people typically have no influence over selecting energy providers or negotiating energy rates, leaving them reliant on often costly default energy sources and limiting their engagement in energy communities or sustainable energy practices, such as using solar panels. These structural barriers restrict their ability to participate in the clean energy transition.
The Cost of Energy: Income and Insecurity
Financial constraints are a primary vulnerability for young consumers. Many rely on a combination of scholarships, family support, or entry-level incomes that place them in lower-income brackets, hindering their ability to afford higher energy costs. With limited disposable income, they may prioritise immediate needs over energy-efficient investments, which could provide long-term savings. However, their transient life phase, whether studying, working entry-level jobs, or navigating early career paths, further complicates this. Financial insecurity restricts their capacity for long-term planning, affecting their likelihood of committing to investments in sustainable energy solutions. This limitation can delay their participation in the clean energy transition, keeping them reliant on traditional energy models and more vulnerable to fluctuations in energy prices.
Missing from Policy: Youth as the Invisible Group
One critical issue facing young energy consumers is a lack of targeted support and policies to address their specific needs. According to EYEN’s Youth Energy Taskforce desktop research, existing energy support programmes in Europe rarely target young people directly, instead focusing on traditionally recognised vulnerable groups such as low-income families and the elderly. While some general subsidies and grants exist, they are often inaccessible to young consumers due to eligibility criteria that prioritise homeowners or long-term residents. This gap leaves many young people, particularly renters, without meaningful financial support to manage rising energy costs or invest in sustainable solutions. Compounding this issue is the lack of data on energy poverty among youth, making it challenging to craft policies that address their specific needs or even to recognise them as a distinct group within energy poverty research.
Keen to Act: Awareness and Adaptability
Despite these challenges, young energy consumers demonstrate a strong awareness of environmental issues and a willingness to adapt to new technologies. They often express concern about their carbon footprint and are inclined to adopt eco-friendly solutions when affordable. This environmentally conscious mindset creates a unique opportunity: when sustainable options align with their budgets, young people are often willing to pay more for renewable energy solutions and environmentally friendly products. The 2024 Deloitte Global Gen Z and Millennial Survey and McKinsey’s research show that a significant portion of Gen Zs and millennials are prepared to spend extra on sustainable products or services. Their adaptability and openness to new technology, such as smart energy systems or energy-efficient appliances, could support the broader transition to sustainable energy, provided policies evolve to meet their needs.
What Policymakers Can Do Now
Young energy consumers in Europe represent an untapped demographic in the clean energy transition, with the ability to amplify awareness through social media and grassroots youth initiatives. They navigate a unique mix of financial vulnerability, environmental consciousness, and technological adaptability. Policymakers have an opportunity to address this demographic’s unique position by introducing rental-focused energy efficiency grants, expanding access to youth-targeted subsidies, and incorporating young consumers into energy policy research. Additionally, increasing accessibility to homeownership through affordable housing schemes or financial incentives would give young people greater control over their energy choices. These are just some examples of how policies could better support this demographic in contributing to the clean energy transition. With the right support, young energy consumers can contribute meaningfully to a sustainable future while gaining greater financial and energy security. A smooth energy transition should be collaborative and inclusive, ensuring that the needs of all types of consumers are reflected in policy and decision-making.
The Young Energy Consumers (YEC) Task Force is an initiative within the European Youth Energy Network (EYEN), launched in April 2023, to tackle the underrepresentation of young energy consumers in EU, national, and local policies. Made up of young researchers and changemakers, the Task Force works to raise awareness of the unique challenges young people face as energy consumers and advocate for their inclusion in policymaking and the energy transition in Europe.