Regulation (EU) 2024/1747 amending Regulations (EU) 2019/942 and (EU) 2019/943 as regards improving the Union’s electricity market design

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Series Details (L) 2024/1747
Publication Date 26/06/2024
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Summary:

Regulation (EU) 2024/1747 - adopted by the co-legislators on 13 June 2024 - introducing amendments to Regulation (EU) 2019/942 and Regulation (EU) 2019/943 to improve the European Union's (EU) electricity market design (EMD). This is a text with EEA relevance.

Further information:

Regulation (EU) 2019/942 updated the role of the EU Agency for the Cooperation of Energy Regulators (ACER). Regulation (EU) 2019/943 updated the regulatory framework governing the internal electricity market.

Energy prices increased significantly in 2021 and 2022. They were rapidly felt by households, industry and businesses across the EU, and governments sought to address them. At an EU-level, a Toolbox was provided to tackle high prices, in particular for the most vulnerable consumers, as well as the REPowerEU action plan comprising further measures and funding to boost energy efficiency and renewable energy. This was followed by the creation of a temporary State Aid regime to allow certain measures to soften the impact of high prices, among other measures. All together, the measures helped Member States to deal with the immediate impact of the energy crisis. However, the crisis also highlighted the lack of resilience to energy price spikes. For this reason, the President of the European Commission announced in September 2022, during her State of the European Union (SOTEU) address, the need for a fundamental reform of the electricity market design.

The amendments to the Electricity Market Regulation seek to make electricity prices less dependent on volatile fossil fuel prices, shield consumers from price spikes, accelerate the deployment of renewable energies and improve consumer protection.

This Refulation stems from one same legislative initiative as Directive (EU) 2024/1711. The draft law was adopted by the European Commission on 14 March 2023 as part of a legislative package seeking to reform the EU's electricity market design. The plenary of the European Parliament endorsed a negotiating position on the proposal on 14 September. The Council of the European Union adopted its general approach to the text on 17 October. An informal agreement on a compromise text for this file was reached on 14 December. This was formally endorsed by Parliament on 10 April 2024 and by the Council on 21 May. The Act was signed by the co-legislators on 13 June 2024 and published in the Official Journal on 26 June 2024.

Source Link Link to Main Source http://data.europa.eu/eli/reg/2024/1747/oj
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Official
EUR-LEX: COM(2023)148: Proposal for a Regulation amending Regulations (EU) 2019/943 and (EU) 2019/942 as well as Directives (EU) 2018/2001 and (EU) 2019/944 to improve the Union’s electricity market design https://eur-lex.europa.eu/legal-content/EN/ALL/?uri=COM:2023:148:FIN
EUR-LEX: SWD(2023)58: Staff Working Document accompanying the Proposal - Reform of Electricity Market Design https://eur-lex.europa.eu/legal-content/EN/ALL/?uri=SWD:2023:58:FIN
Publications Office of the EU: EU Law Tracker: Proposal for a Regulation amending Regulations (EU) 2019/943 and (EU) 2019/942 as well as Directives (EU) 2018/2001 and (EU) 2019/944 to improve the Union’s electricity market design https://law-tracker.europa.eu/procedure/2023_77?lang=en
European Parliament: Legislative Observatory: Procedure File for Proposal on Union’s electricity market design (2023/0077A(COD)) https://oeil.secure.europarl.europa.eu/oeil/popups/ficheprocedure.do?reference=2023/0077A(COD)
European Parliament: Legislative Train Schedule: Revision of EU electricity market design https://www.europarl.europa.eu/legislative-train/theme-a-european-green-deal/file-revision-of-internal-electricity-market
General Secretariat of the Council (EU): Policies: Electricity market reform https://www.consilium.europa.eu/en/policies/electricity-market-reform/
European Commission: Topics: Electricity market design https://energy.ec.europa.eu/topics/markets-and-consumers/market-legislation/electricity-market-design_en
European Parliament: Energy: EU energy market reform: protecting against high prices https://www.europarl.europa.eu/topics/en/article/20230915STO05212/
European Commission: Press Release, 14/03/2023: Commission proposes reform of the EU electricity market design to boost renewables, better protect consumers and enhance industrial competitiveness https://ec.europa.eu/commission/presscorner/detail/en/ip_23_1591
European Commission: Questions and Answers on the revision of the EU's internal electricity market design (14 March 2023) https://ec.europa.eu/commission/presscorner/detail/en/qanda_23_1593
European Commission: Opening remarks by Commissioner Simson at the press conference on the reform of the EU's electricity market design (14 March 2023) https://ec.europa.eu/commission/presscorner/detail/en/speech_23_1658
Council of the European Union: Press Release, 17/10/2023: Reform of electricity market design: Council reaches agreement https://www.consilium.europa.eu/en/press/press-releases/2023/10/17/reform-of-electricity-market-design-council-reaches-agreement/
Council of the European Union: Press Release, 14/12/2023: Reform of electricity market design: Council and Parliament reach deal https://www.consilium.europa.eu/en/press/press-releases/2023/12/14/reform-of-electricity-market-design-council-and-parliament-reach-deal/
European Parliament: Press release, 14/12/2023: Electricity market: deal on protecting consumers from sudden price shocks https://www.europarl.europa.eu/news/en/press-room/20231211IPR15805/
European Commission: Press Release, 14/12/2023: Commission welcomes deal on electricity market reform https://ec.europa.eu/commission/presscorner/detail/en/ip_23_6602
Renew Europe EP Group: News, 14/12/2023: EU's electricity market reform: deal ensures better consumer protection and more affordable green energy in Europe https://www.reneweuropegroup.eu/news/2023-12-14/eu-s-electricity-market-reform-deal-ensures-better-consumer-protection-and-more-affordable-green-energy-in-europe
European Parliament: Press Release, 11/04/2024: Parliament adopts reform of the EU electricity market https://www.europarl.europa.eu/news/en/press-room/20240408IPR20316/
Council of the European Union: Press Release, 21/05/2024: Electricity market reform: Council signs off on updated rules https://www.consilium.europa.eu/en/press/press-releases/2024/05/21/electricity-market-reform-council-signs-off-on-updated-rules/

Commentary and Analysis
Wind Europe: Press Release, 14/12/2023: EU electricity market design deal will help restore investment certainty https://windeurope.org/newsroom/press-releases/eu-electricity-market-design-deal-will-help-restore-investment-certainty/
European Parliamentary Research Service (EPRS): Briefing, 12/01/2024: Improving the design of the EU electricity market https://www.europarl.europa.eu/thinktank/en/document/EPRS_BRI(2023)745694
European Parliamentary Research Service (EPRS): At a Glance, 08/04/2024: Improving EU electricity market design https://www.europarl.europa.eu/thinktank/en/document/EPRS_ATA(2024)760400

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Record URL https://www.europeansources.info/record/?p=527664