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Another European Commission proposal: reform the electricity market and promote the development of renewable energy!

Views: 201     Author: Site Editor     Publish Time: 2023-03-20      Origin: Site

The reform is part of the European Commission's Green Deal Industry Programme , which aims to improve the competitiveness of Europe's net-zero emissions industry and provide better electricity price stability, which has been a priority for European solar manufacturing in order to be able to compete fairly with other countries. One of the main concerns of businessmen .


The EU will reform a number of regulations including the Electricity Regulation, the Electricity Directive and the Regulation on Wholesale Energy Market Integrity and Transparency (REMIT), while introducing incentives for long-term contracts related to non-fossil fuel generation.

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Upcoming reforms include easier access to solar PV PPAs

The EU's target to reflect the lower cost of renewable energy could further drive up the rate of solar PV installations. The European Union aims to deploy 740GWdc of solar PV by the end of this decade as part of the REPowerEU strategy released last year.


EU Energy Commissioner Kadri Simson said, "The measures we are proposing today will strengthen the stability and predictability of energy costs across the EU. Boosting investment in renewable energy will help us achieve the Green Deal targets and enable EU countries to clean energy powerhouse of the year."


The proposals include measures to accelerate the deployment of renewable energy and phase out natural gas, further integrating renewable energy into the electricity system, while improving access to flexible solutions such as energy storage or hydropower.


In addition, system operators are required to provide greater transparency on available grid-connected capacity, and transaction deadlines will move closer to real-time in order to more efficiently allocate renewable energy transaction flows and achieve balance.


Among these reforms, the European Commission proposes to ease the deployment of more stable long-term power purchase agreements (PPAs) and ask member states to ensure market-based guarantees for PPAs.


To provide generators with greater stability against price volatility, public support for new investments in renewable energy will be delivered through two-way contracts for difference (CfD).


"Households and businesses will be able to access PPAs more easily. Businesses will benefit from the government's new de-risking scheme, which supports their ability to sign long-term energy supply contracts," said Naomi Chevillard, head of regulatory affairs at SolarPower Europe. A strengthened legislative framework for PPAs could provide greater clarity for suppliers and buyers when new agreements are signed."

Also, one of the reforms involves the possibility for consumers to invest in solar farms and sell excess rooftop solar power to neighbors, rather than just giving suppliers another potential revenue stream.


Rooftop solar was also a topic of discussion in Strasbourg on Tuesday, when the European Parliament voted and approved the Energy Performance of Buildings Directive (EPBD), which will provide better support for rooftop solar across Europe, accelerating the adoption of rooftop solar from 2025. development pace.


"The European Parliament's support for the European Solar Roofs initiative sends a clear signal that solar buildings are a key solution to reducing electricity bills, ensuring energy security and meeting our climate goals," said Jan Osenberg, policy advisor at SolarPower Europe.


The proposed reform of the European electricity market will be discussed and agreed by the European Parliament and the Council before being implemented.


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