Market Design

Background

As part of the Energy Union strategy on 15 July the EC presented proposals to launch a redesign of the European electricity market. The proposal is an important step towards implementing the Energy Union strategy with a forward-looking climate change policy. The redesign is needed to adjust for the energy transition; the share of electricity produced by renewables will grow from 25 percent today to 50 percent in 2030.

Market design is the set of arrangements that governs how market players generate, trade, supply and consume electricity and use the electricity infrastructure. It is crucial that the design allows all players to fully reap the potential of new technologies. Effective regulatory oversight is needed. The new market design initiative aims to improve the functioning of the internal electricity market in order to allow electricity to move freely to where and when it is most needed, provide the right signals and incentives to drive the right investments, while fully integrating increasing shares of renewable energy.

Policy state of play

Policy calendar

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EHPA policy work

Objectives

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EHPA positions

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Next steps

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