The EU states have finally approved the reform of the European electricity market. Consumers should be better protected from skyrocketing electricity prices in the future.
Consumers in the European Union should be better protected from escalating electricity prices in the future. The Council of Ministers in Brussels finally approved the plans for the reform of the European electricity market, as the Belgian EU Council Presidency announced. In addition to more stable prices, the innovations are also intended to promote the expansion of renewable energies.
In the future, consumers should have the right to both fixed-price contracts and contracts with dynamic prices. They should also receive important information about the options they are taking out.
The focus of the reform is new long-term contracts between governments and electricity producers, so-called Contracts for Difference (CfDs). With these contracts for differences, states guarantee electricity producers a minimum price for electricity when they make new investments. This should apply to investments in renewable energies such as wind and solar power and nuclear power.
Source: Stern
