The European Commission will lay out a €584 billion ($637 billion) plan to overhaul the region’s power grids so they’re ready to handle the expected influx of electricity from renewable sources.

The bloc’s executive branch will announce next week its vision to spur investments in the backbone of the energy transition, particularly in cross-border connections to better integrate offshore renewable power, according to a draft document seen by Bloomberg News. The plan contains a pledge to accelerate permitting and a call for new financing instruments, including from the European Investment Bank.

“Europe’s power networks are confronted with new and significant challenges,” said the draft document, which is subject to change. “They will need to serve growing demand linked to clean mobility, heating and cooling, electrification of industry and the kick start of green hydrogen production.”

Transmission networks face heavy strain in coming years as member states roll out more renewables, with wind and solar typically reaching peak capacities at different times of the day and year. That highlights the need for increasingly “smart” grids that can incorporate storage solutions, like batteries, so the power flows where and when it’s needed most.

The draft document highlights that 40% of the continent’s distribution grids are more than four decades old. Power consumption is expected to increase 60% by 2030.

The blueprint also aims to boost the cybersecurity of grids amid heightened geopolitical risks following Russia’s invasion of Ukraine.