The voice of the energy industry

Bumper EU Energy Package expected

The Commission’s Winter Package on energy, expected to be published on 30 November, now looks likely to be even more comprehensive.  DG Energy has apparently decided the updated Energy Efficiency and Energy Performance in Buildings Directives will now form part of the Package, rather than being released in October. The Commission appears likely to push for an increase in the energy efficiency target from 27 percent to 30 percent (calculated as efficiency improvement to 2030 against a 2013 baseline).  The Package will also include proposals on electricity market design, an augmented role for the EU Regulatory Agency (ACER), energy governance and renewables, and there will be a report on energy prices and costs across the EU-28.

The impact assessment for the market design proposals was initially rejected by the Commission’s Regulatory Scrutiny Board because of concerns about the text on capacity mechanisms and on renewables. However, it appears these problems have been overcome and the proposals will now go through inter-service consultation. The market design initiative relates only to electricity (a consultant study will look at gas market arrangements in 2017). The main topics to be covered are greater regional integration of system operation, capacity mechanisms, design of short-term markets, a framework for demand-side response, creation of a Distribution System Operators’ body and action to tackle non-market-based pricing at both wholesale and retail levels. The Commission aims to integrate renewables more effectively in the market and bring about a convergence of renewable support arrangements, though this has not historically been popular with Member States.

On 27 October EURELECTRIC is organising a conference on the Winter Package, which will feature a speech from Energy & Climate Commissioner Arias Canete and the launch of EURELECTRIC’s paper on solutions for the EU energy market.

 

Energy UK Small