Europe’s power market is facing its first serious geopolitical stress test since the 2022 energy crisis — and, so far, it’s holding up. The continent’s rapid shift toward renewables is dampening the impact of surging Iran energy prices, which have spiked due to regional tensions. By diversifying energy sources and investing in solar and wind infrastructure, European nations are reducing reliance on fossil fuel imports, buffering against supply shocks. Battery storage advancements further stabilize grids, allowing smoother transitions between energy sources.