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Electricity Market Design

Electricity Market Design

The new electricity market design is intended to better fit the future electricity markets, which will be characterised by more variable and decentralised production, an increased interdependence between cross-border systems and opportunities for consumers to participate in the market through demand response, aggregation, self-generation, smart metering and storage.

It consists of the following acts:

Regulation on the Internal Market for Electricity (recast)

Timeline electricity 1

Directive on Common Rules for the Internal Market for Electricity (recast)

Electricity timeline 2

Regulation on Risk-preparedness in the Electricity Sector

Electricity timeline 3

The Regulation sets out measures for risk assessments, risk-preparedness and the management of crisis situations in relation to the EU’s electricity system, resource adequacy and security of electricity supply, and repeals the existing Directive 2005/89/EC. the Directive enters into force on the 20th day following its publication. It is binding in its entirety and directly applicable in all Member States as from the date of its entry into force.

The Directive reacts to the findings of the Commission that Member States take very different approaches in assessing, preventing and managing electricity crisis situations.

The Directive therefore sets out, amongst other things, methodologies to:

  • assess security of supply;
  • identify crisis scenarios in the Member States and on a regional level;
  • conduct short-term adequacy assessments; and
  • establish risk-preparedness plans and manage crisis situations.

It also provides for ex-post evaluation of crisis situations and monitoring by the Electricity Coordination Group.

Download the PDF version of the report

Clean Energy: What will change?

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