The adoption of the market design rules by the European Parliament marks the finalisation of negotiations on the Clean Energy for All Europeans package.
New rules making the EU's electricity market fit for the future and putting the consumer at the centre of the energy transition have been signed off by the European Parliament on 26 March; it is an important step in enabling the European Union and its Member States to embrace the clean energy transition, follow up on the already adopted 2030 climate legislation and meet the Paris Agreement commitments. With the completion of these last four legislative acts, the negotiations on the Clean Energy for All Europeans package are concluded and the EU is on the right path to decarbonise its economy in the second half of the century while maintaining its global competitiveness and creating growth and jobs.
The European Parliament completed the parliamentary approval of the new Electricity market Regulation and Electricity market Directive as well as of the Regulations on Risk Preparedness and on the Agency for the Cooperation of Energy Regulators (ACER). The Governance of the Energy Union Regulation the revised Energy Efficiency Directive, the revised Renewable Energy Directive and the Energy Performance of Buildings Directive have already entered into force last year.
The new electricity market design rules make the energy market fit for the future and place the consumer at the centre of the clean energy transition. The new rules are designed to empower energy consumers to play an active role in driving the energy transition and to fully benefit from a less centralised, and more digitalised and sustainable energy system. The new rules enable the active participation of consumers whilst putting in place a strong framework for consumer protection. By allowing electricity to move freely to where it is most needed, society will increasingly benefit from cross-border trade and competition to keep energy costs and prices in check. Capacity subsidies to power plants emitting more than 550gr CO2/kWh will be phased out under the new rules. The new market design also contributes to the EU's goal of being the world leader in energy production from renewable energy sources by allowing more flexibility to accommodate an increasing share of renewable energy in the grid. The shift to renewables and increased electrification is crucial to achieve carbon neutrality by 2050.
More information on EC Press Release Database.