{"id":6238,"date":"2023-03-27T22:52:58","date_gmt":"2023-03-27T20:52:58","guid":{"rendered":"https:\/\/apste.eu\/ec_electricity_market_design\/"},"modified":"2023-12-21T14:45:58","modified_gmt":"2023-12-21T14:45:58","slug":"ec_electricity_market_design","status":"publish","type":"post","link":"https:\/\/apste.eu\/en\/ec_electricity_market_design\/","title":{"rendered":"EC published its proposal for reform of the EU\u2019s electricity market design"},"content":{"rendered":"\n<p class=\"wp-block-paragraph\">On March 14 the European Commission has published its long-awaited proposal for reform of the EU\u2019s electricity market design. The reform aims at&nbsp;<strong>accelerating the surge in renewables<\/strong>&nbsp;and the phase-out of gas,&nbsp;<strong>making consumer bills less dependent&nbsp;<\/strong>on volatile fossil fuel prices,&nbsp;<strong>better protecting consumers<\/strong>&nbsp;from future price spikes and potential market manipulation, and&nbsp;<strong>making the EU\u2019s industry clean and more competitive.<\/strong><\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The proposed reform introduces measures that&nbsp;<strong>incentivise longer term contracts<\/strong>&nbsp;with RES power production and bring&nbsp;<strong>more clean flexible solutions<\/strong>&nbsp;into the system to compete with gas, such as&nbsp;<strong>demand response and storage<\/strong>. In addition, it will boost open and fair competition in the European wholesale energy markets by enhancing market transparency and integrity.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">A&nbsp;renewables-based energy system will not only be crucial to lower consumer bills, but also to ensure a sustainable,&nbsp;independent&nbsp;and&nbsp;affordable energy supply.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Some of the main highlights of the proposal are:<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">\u2022 all public support for new investments in infra-marginal and must-run renewable and non-fossil electricity generation will have to be in the form of two-way Contracts for Difference (CfDs).<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">\u2022 &nbsp;CfDs&nbsp;are not mandatory for all new renewable generation and cannot be imposed retroactively on existing generation.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">\u2022&nbsp;Facilitating&nbsp;the deployment of more stable long-term contracts such as Power Purchase Agreements (PPAs), including guarantee schemes for PPA buyers and better framework for suppliers to issue fixed-term, fixed-price contracts.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">\u2022 Grid operators will have to publish information on the available grid capacity quarterly and transparency obligations on DSOs on the status of the grid connection procedure are reinforced.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">\u2022 Member states have to assess their flexibility needs and will have to design non-binding storage and demand side response targets. Member states can issue support schemes for flexibility resources.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Before entering into force the proposed reform will now have to be discussed and agreed by the European Parliament and the Council.&nbsp;&nbsp;&nbsp;&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Recognizing the importance of energy storage in replacing fossil fuels in the energy system, along&nbsp;with the market reform proposal the EC&nbsp;has&nbsp;also&nbsp;<a href=\"https:\/\/energy.ec.europa.eu\/news\/commission-recommendations-how-exploit-potential-energy-storage-2023-03-14_bg\" target=\"_blank\" rel=\"noreferrer noopener\">published recommendations to Member States on the advancement of storage innovation, technologies, and capacities.<\/a>&nbsp;The Working Document offers a more detailed analysis, also providing an outlook of the EU\u2019s current regulatory, market, and financing framework for storage and identifies barriers, opportunities and best practices for its development and deployment.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><em>&gt;&gt; The proposal for reform of the EU\u2019s electricity market design&nbsp;can be read&nbsp;<a href=\"https:\/\/energy.ec.europa.eu\/system\/files\/2023-03\/COM_2023_148_1_EN_ACT_part1_v6.pdf\" target=\"_blank\" rel=\"noreferrer noopener\">here<\/a><\/em><\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><em>&gt;&gt;&nbsp;The full text of EC\u2019s press release can be read&nbsp;<a href=\"https:\/\/ec.europa.eu\/commission\/presscorner\/detail\/en\/ip_23_1591\" target=\"_blank\" rel=\"noreferrer noopener\">here<\/a><\/em><\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><em>&gt;&gt; Comments by the European Associations&nbsp;<a href=\"https:\/\/www.solarpowereurope.org\/press-releases\/statement-eu-electricity-market-design-1\" target=\"_blank\" rel=\"noreferrer noopener\">SolarPower Europe<\/a>,&nbsp;<a href=\"https:\/\/windeurope.org\/newsroom\/press-releases\/eu-electricity-market-design-council-and-parliament-must-stick-to-targeted-reform\/\" target=\"_blank\" rel=\"noreferrer noopener\">WindEurope<\/a>,&nbsp;<a href=\"https:\/\/ease-storage.eu\/news\/revised-electricity-market-design-embraces-energy-storage-to-replace-fossil-fuel-flexibility\/\" target=\"_blank\" rel=\"noreferrer noopener\">EASE<\/a><\/em><\/p>\n","protected":false},"excerpt":{"rendered":"<p>On March 14 the European Commission has published its long-awaited proposal for reform of the EU\u2019s electricity market design. The reform aims at&nbsp;accelerating the surge in renewables&nbsp;and the phase-out of gas,&nbsp;making consumer bills less dependent&nbsp;on volatile fossil fuel prices,&nbsp;better protecting consumers&nbsp;from future price spikes and potential market manipulation, and&nbsp;making the EU\u2019s industry clean and more [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":6094,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"inline_featured_image":false,"footnotes":""},"categories":[38],"tags":[],"class_list":["post-6238","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v28.1 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>EC published its proposal for reform of the EU\u2019s electricity market design - \u0410\u041f\u0421\u0422\u0415<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/apste.eu\/en\/ec_electricity_market_design\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"EC published its proposal for reform of the EU\u2019s electricity market design - \u0410\u041f\u0421\u0422\u0415\" \/>\n<meta property=\"og:description\" content=\"On March 14 the European Commission has published its long-awaited proposal for reform of the EU\u2019s electricity market design. 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