What changed, Electricity Market Directive — Directive (EU) 2019/944

− (8) ‘active customer’ means a final customer, or a group of jointly acting final customers, who consumes or stores electricity generated within its premises located within confined boundaries or, where permitted by a Member State, within other premises, or who sells self-generated electricity or par…
− (31) ‘energy from renewable sources’ or ‘renewable energy’ means energy from renewable non-fossil sources, namely wind, solar (solar thermal and solar photovoltaic) and geothermal energy, ambient energy, tide, wave and other ocean energy, hydropower, biomass, landfill gas, sewage treatment plant gas…
− Member States shall ensure that all customers are free to purchase electricity from the supplier of their choice and shall ensure that all customers are free to have more than one electricity supply contract at the same time, provided that the required connection and metering points are established.
− ### Article 11 — Entitlement to a dynamic electricity price contract
− **1.** Member States shall ensure that the national regulatory framework enables suppliers to offer dynamic electricity price contracts. Member States shall ensure that final customers who have a smart meter installed can request to conclude a dynamic electricity price contract with at least one sup…
− **2.** Member States shall ensure that final customers are fully informed by the suppliers of the opportunities, costs and risks of such dynamic electricity price contracts, and shall ensure that suppliers are required to provide information to the final customers accordingly, including with regard …
− **1.** Member States shall ensure that all household customers, and, where Member States deem it to be appropriate, small enterprises, enjoy universal service, namely the right to be supplied with electricity of a specified quality within their territory at competitive, easily and clearly comparable…
− **2.** In any event, the distribution system operator shall not discriminate between system users or classes of system users, particularly in favour of its related undertakings.
− **3.** The distribution system operator shall provide system users with the information they need for efficient access to, including use of, the system.
− **1.** Without prejudice to Directive 2014/94/EU of the European Parliament and of the Council, Member States shall provide the necessary regulatory framework to facilitate the connection of publicly accessible and private recharging points to the distribution networks. Member States shall ensure th…
− (c) in close coordination with the other regulatory authorities, ensuring the compliance of the ENTSO for Electricity and the EU DSO entity with their obligations under this Directive, Regulation (EU) 2019/943, the network codes and guidelines adopted pursuant to Articles 59, 60 and 61 of Regulation…
− (z) monitoring the removal of unjustified obstacles to and restrictions on the development of consumption of self-generated electricity and citizen energy communities.
− **4.** The regulatory authority located in the Member State in which the ENTSO for Electricity or the EU DSO entity has its seat shall have the power to impose effective, proportionate and dissuasive penalties on those entities where they do not comply with their obligations under this Directive, Re…
− The Commission's review shall, in particular, assess whether customers, especially those who are vulnerable or in energy poverty, are adequately protected under this Directive.
+ (8) ‘active customer’ means a final customer, or a group of jointly acting final customers, who consumes or stores electricity generated within its premises located within confined boundaries or self-generated or shared electricity within other premises, or who sells self-generated electricity or pa…
+ (10a) ‘energy sharing’ means the self-consumption by active customers of renewable energy either: (a) generated or stored offsite or on sites between them by a facility they own, lease or rent in whole or in part; or (b) the right to which has been transferred to them by another active customer for …
+ (15a) ‘fixed-term, fixed-price electricity supply contract’ means an electricity supply contract between a supplier and a final customer that guarantees that the contractual terms and conditions, including the price, remain unchanged for the duration of the contract, while it may, within a fixed pri…
+ (24a) ‘supplier of last resort’ means a supplier who is designated to take over the supply of electricity to customers of a supplier which has ceased to operate;
+ (24b) ‘energy poverty’ means energy poverty as defined in Article 2, point (52), of Directive (EU) 2023/1791 of the European Parliament and of the Council;
+ (24c) ‘flexible connection agreement’ means a set of agreed conditions for connecting electrical capacity to the grid that includes conditions to limit and control the electricity injection to and withdrawal from the transmission network or distribution network;
+ (31) ‘energy from renewable sources’ or ‘renewable energy’ means energy from renewable sources or renewable energy as defined in Article 2, point (1), of Directive (EU) 2018/2001;
+ Member States shall ensure that all customers are free to purchase electricity from suppliers of their choice. Member States shall ensure that all customers are free to have more than one electricity supply contract or energy sharing agreement at the same time, and that, for that purpose, customers …
+ ### Article 6a — Flexible connection agreements
+ **1.** The regulatory authority or another competent authority where a Member State has so provided shall develop a framework for transmission system operators and distribution system operators to offer the possibility of establishing flexible connection agreements in areas where there is limited or…
+ (a) as a general rule, flexible connections do not delay the network reinforcements in the identified areas;
+ (b) a conversion from flexible to firm connection agreements once the network is developed is ensured on the basis of established criteria; and
+ (c) for areas where the regulatory authority or another competent authority where a Member State has so provided, deems network development not to be the most efficient solution, enable, where relevant, flexible connection agreements as a permanent solution, including for energy storage.
+ **2.** The framework referred to in paragraph 1 may ensure that flexible connection agreements specify at least the following:
+ (a) the maximum firm injection and withdrawal of electricity from and to the grid, as well as the additional flexible injection and withdrawal capacity that can be connected and differentiated by time blocks throughout the year;
+ (b) the network charges applicable to both the firm and flexible injection and withdrawal capacities;
+ (c) the agreed duration of the flexible connection agreement and the expected date for granting connection to the entire requested firm capacity.
+ The system user connecting through a flexible grid connection shall be required to install a power control system that is certified by an authorised certifier.
+ ### Article 11 — Entitlement to a fixed-term, fixed-price electricity supply contract and to a dynamic electricity price contract
+ **1.** Member States shall ensure that the national regulatory framework enables suppliers to offer fixed-term, fixed-price electricity supply contracts and dynamic electricity price contracts. Member States shall ensure that final customers who have a smart meter installed can request to conclude a…
+ By way of derogation from the first subparagraph, Member States may exempt a supplier with more than 200000 final customers from the obligation to offer fixed-term, fixed-price electricity supply contracts, where:
+ (a) the supplier offers only dynamic price contracts;
+ (b) the exemption does not have a negative impact on competition; and
+ (c) there remains a sufficient choice of fixed-term, fixed-price electricity supply contracts for final customers.
+ Member States shall ensure that suppliers do not unilaterally modify the terms and conditions of fixed-term, fixed-price electricity supply contracts and do not terminate such contracts before they reach their maturity.
+ **1a.** Prior to the conclusion or extension of any contract referred to in paragraph 1 of this Article, final customers shall be provided with a summary of the key contractual terms and conditions in a prominent manner and in clear and concise language. That summary shall set out the rights referre…
+ (a) the total price and its breakdown;
+ (b) an explanation as to whether the price is fixed, variable or dynamic;
+ (c) the supplier’s email address and the details of a consumer support hotline; and
+ (d) where relevant, information on one-time payments, promotions, additional services and discounts.
+ The Commission shall provide guidance in that regard.
+ **1b.** Member States shall ensure that final customers with fixed-term, fixed-price electricity supply contracts are not excluded from their participation, when they so decide, in demand response and energy sharing and from actively contributing to the achievement of the national electricity system…
+ **2.** Member States shall ensure that final customers are fully informed by the suppliers of the opportunities, costs and risks of the respective types of electricity supply contracts, and that suppliers are required to provide information to the final customers accordingly, including with regard t…
+ (a) monitor the market developments and assess the risks that the new products and services may entail and address abusive practices;
+ (b) take appropriate measures where impermissible termination fees are identified in accordance with Article 12(3).
+ ### Article 15a — Right to energy sharing
+ **1.** Member States shall ensure that all households, small enterprises and medium-sized enterprises, public bodies and, where a Member State has so decided, other categories of final customer have the right to participate in energy sharing as active customers in a non-discriminatory manner, within…
+ **2.** Member States shall ensure that active customers are entitled to share renewable energy between themselves based on private agreements or through a legal entity. Participation in energy sharing shall not constitute the primary commercial or professional activity of active customers engaged in…
+ **3.** Active customers may appoint a third party as an energy sharing organiser for the purposes of:
+ (a) communicating about the energy sharing arrangements with other relevant entities, such as suppliers and network operators, including on aspects related to the applicable tariffs and charges, taxes or levies;.
+ (b) providing support for managing and balancing behind-the-meter flexible loads, distributed renewable energy generation and storage facilities that are part of the relevant energy sharing arrangement;
+ (c) contracting and billing active customers that participate in energy sharing;
+ (d) installation and operation, including metering and maintenance, of the renewable energy generation or storage facility.
+ The energy sharing organiser or another third party may own or manage a storage or renewable energy generation facility of up to 6 MW, without being considered to be an active customer, except where it is one of the active customers participating in the energy sharing project. The energy sharing org…
+ **4.** Member States shall ensure that active customers participating in energy sharing:
+ (a) are entitled to have the shared electricity injected into the grid deducted from their total metered consumption within a time interval no longer than the imbalance settlement period and without prejudice to applicable non-discriminatory taxes, levies and cost-reflective network charges;
+ (b) benefit from all consumer rights and obligations as final customers under this Directive;
+ (c) are not required to comply with supplier obligations, where renewable energy is shared between households with an installed capacity up to 10,8 kW for single households and up to 50 kW for multi-apartment blocks;
+ (d) have access to voluntary template contracts with fair and transparent terms and conditions for energy sharing agreements;
+ (e) in the event of a conflict arising from an energy-sharing agreement, have access to out-of-court dispute settlement with other participants in the energy sharing agreement in accordance with Article 26;
+ (f) are not subject to unfair and discriminatory treatment by market participants or their balance responsible parties;
+ (g) are informed of the possibility of changes in bidding zones in accordance with Article 14 of Regulation (EU) 2019/943 and of the fact that the right to share renewable energy is restricted in accordance with paragraph 1 of this Article;
+ (h) notify energy sharing arrangements to the relevant system operators and market participants, including the relevant suppliers either directly or through an energy sharing organiser.
+ Member States may adapt the thresholds referred to in point (c) of the first subparagraph in accordance with the following:
+ (a) in the case of single households, the threshold may be increased up to 30 kW;
+ (b) in the case of multi-apartment blocks the threshold may be increased up to 100 kW or, in the case of duly justified specific circumstances due to a reduced average size of multi-apartment blocks, decreased to a minimum of 40 kW.
+ **5.** Where other categories of final customer participating in energy sharing schemes are larger than small and medium-sized enterprises, the following additional conditions shall apply:
+ (a) the size of the installed capacity of the generation facility associated with the energy sharing scheme is to be a maximum of 6 MW;
+ (b) the energy sharing takes place within a local or limited geographical area, as defined by the Member State concerned.
+ **6.** Member States shall ensure that relevant transmission system operators or distribution system operators or other designated bodies:
+ (a) monitor, collect, validate and communicate metering data related to the shared electricity with relevant final customers and market participants at least every month, and in accordance with Article 23, and for that purpose, put in place the appropriate IT systems;
+ (b) provide a relevant contact point to: (i) register energy sharing arrangements; (ii) make available practical information for energy sharing; (iii) receive information on relevant metering points, changes in location and participation; and (iv) where applicable, validate calculation methods in a …
+ **7.** Member States shall take appropriate and non-discriminatory measures to ensure that vulnerable customers and customers affected by energy poverty can access energy sharing schemes. Those measures may include financial support measures or production allocation quota.
+ **8.** Member States shall ensure that energy sharing projects owned by public authorities make the shared electricity accessible to vulnerable or energy poor customers or citizens. When doing so, Member States shall do their utmost to promote that the amount of that accessible energy is at least 10…
+ **9.** Member States may promote the introduction of plug-in mini-solar systems of up to 800 W capacity in and on buildings.
+ **10.** The Commission shall provide guidance to the Member States without increasing the administrative burden in order to facilitate the establishment of a standardised approach with regard to energy sharing and ensure a level playing field for renewable energy communities and citizen energy commu…
+ **11.** This Article shall be without prejudice to the right of customers to choose their supplier in accordance with Article 4 and to applicable national rules on the authorisation of suppliers.
+ ### Article 18a — Supplier risk management
+ **1.** Regulatory authorities or, where a Member State has designated an alternative independent competent authority for that purpose, such a designated competent authority, taking into account the size of the supplier or the market structure and including, if relevant, by carrying out stress tests …
+ (a) have in place and implement appropriate hedging strategies, to limit the risk of changes in wholesale electricity supply to the economic viability of their contracts with customers, while maintaining liquidity on and price signals from short-term markets;
+ (b) take all reasonable steps to limit their risk of supply failure.
+ **2.** Supplier hedging strategies may include the use of power purchase agreements as defined in Article 2, point (77), of Regulation (EU) 2019/943 or other appropriate instruments, such as forward contracts. Where sufficiently developed markets for power purchase agreements exist which allow effec…
+ **3.** Member States shall endeavour to ensure the accessibility of hedging products for citizen energy communities and renewable energy communities and to put in place enabling conditions for that purpose.
+ **1.** Member States shall ensure that all household customers, and, where Member States consider it to be appropriate, small enterprises, enjoy universal service, namely the right to be supplied with electricity of a specified quality within their territory at competitive, easily and clearly compar…
+ ### Article 27a — Supplier of last resort
+ **1.** Where Member States have not already put in place a regime with regard to suppliers of last resort, they shall introduce such a regime to ensure continuity of supply at least for household customers. Suppliers of last resort shall be appointed in a fair, transparent and non-discriminatory pro…
+ **2.** Final customers who are transferred to suppliers of last resort shall continue to benefit from all of their rights as customers as laid down in this Directive.
+ **3.** Member States shall ensure that suppliers of last resort communicate their terms and conditions to transferred customers without delay and ensure a seamless continuity of service for those customers for a period needed to find a new supplier, and at least six months.
+ **4.** Member States shall ensure that final customers are provided with information and encouragement to switch to a market-based offer.
+ **5.** Member States may require a supplier of last resort to supply electricity to household customers and small enterprises and medium-sized enterprises who do not receive market-based offers. In such cases, the conditions set out in Article 5 shall apply.
+ ### Article 28a — Protection from disconnections
+ **1.** Member States shall ensure that vulnerable customers and customers affected by energy poverty are fully protected from electricity disconnections, by taking the appropriate measures, including the prohibition of disconnections or other equivalent actions. Member States shall provide such prot…
+ When notifying the Commission of their transposition measures of this Directive, Member States shall explain the relationship between the first subparagraph and the corresponding parts of national transposition instruments.
+ **2.** Member States shall ensure that suppliers do not terminate contracts and do not disconnect customers on the grounds on which customers have submitted a complaint in accordance with Article 10(9) or which are subject to an out-of-court dispute settlement mechanism in accordance with Article 26…
+ **3.** Member States shall take appropriate measures referred to in paragraph 1 to enable customers to avoid disconnection, which may include:
+ (a) promoting voluntary codes for suppliers and customers on preventing and managing cases of customers in arrears; those arrangements may concern support for customers in managing their energy use and costs, including flagging unusual high energy spikes or use in winter and summer seasons, offering…
+ (b) promoting customers’ education and awareness of their rights with regard to debt management;
+ (c) access to finance, vouchers or subsidies to support the payment of bills;
+ (d) encouraging and facilitating the provision of meter readings every three months, or where relevant for shorter billing periods, where a system of regular self-reading by the final customer has been implemented to meet the obligations of points 2(a) and (b) of Annex I in relation to the frequency…
+ **2.** In any event, the distribution system operator shall not discriminate between system users or classes of system users, including renewable energy communities and citizen energy communities, in particular in favour of its related undertakings.
+ **3.** Distribution system operators shall provide system users with the information they need for efficient access to, and use of, the system. In particular, distribution system operators shall publish in a transparent manner clear information on the capacity available for new connections in their …
+ Distribution system operators shall provide in a transparent manner clear information to system users about the status and treatment of their connection requests. They shall provide such information within three months of the submission of the request. Where the requested connection is neither grant…
+ **3a.** Distribution system operators shall provide system users the option to request grid connection and submit relevant documents exclusively in digital form.
+ **3b.** Member States may decide not to apply paragraph 3 to integrated electricity undertakings which serve fewer than 100000 connected customers, or which serve small isolated systems. Member States may apply a threshold lower than that of 100000 connected customers.
+ Member States shall encourage integrated electricity undertakings which serve fewer than 100000 connected customers to provide system users with the information referred to in paragraph 3 once a year and promote cooperation between distribution system operators for that purpose.
+ **1.** Without prejudice to Directive 2014/94/EU of the European Parliament and of the Council, Member States shall provide the necessary regulatory framework to facilitate the connection of publicly accessible and private recharging points with smart charging functionalities and bidirectional charg…
+ (c) in close coordination with the other regulatory authorities, ensuring the compliance of the single allocation platform established in accordance with Commission Regulation (EU) 2016/1719, the ENTSO for Electricity and the EU DSO entity with their obligations under this Directive, Regulation (EU)…
+ (z) monitoring the removal of unjustified obstacles to and restrictions on the development of consumption of self-generated electricity, energy sharing, renewable energy communities and citizen energy communities, including obstacles and restrictions preventing the connection of flexible distributed…
+ **4.** The regulatory authority located in the Member State in which the single allocation platform, the ENTSO for Electricity or the EU DSO entity has its seat shall have the power to impose effective, proportionate and dissuasive penalties on those entities where they do not comply with their obli…
+ **6.** By way of derogation from Article 40(4), the transmission system operators in Estonia, Latvia and Lithuania shall be able to rely on balancing services provided by domestic electricity storage providers, transmission system operators related undertakings, and other facilities owned by transmi…
+ By way of derogation from Article 54(2), Estonia, Latvia and Lithuania may allow their transmission system operators and transmission system operators related undertakings to own, develop, manage and operate energy storage facilities without following an open, transparent and non-discriminatory tend…
+ The derogations referred to in the first and second subparagraphs shall apply for up to three years after Estonia, Latvia and Lithuania have joined the Continental Europe Synchronous Area. Where necessary to preserve security of supply, the Commission may grant an extension of the initial three-year…
+ **7.** By way of derogation from Article 40(4) and Article 54(2), Cyprus may allow its transmission system operator to own, develop, manage and operate energy storage facilities without following an open, transparent and non-discriminatory tendering procedure.
+ The derogation referred to in the first subparagraph shall apply until the transmission system in Cyprus is connected to other Member States’ transmission systems via interconnection.
+ ### Article 66a — Access to affordable energy during an electricity price crisis
+ **1.** The Council may, acting on a proposal from the Commission, by means of an implementing decision declare a regional or Union-wide electricity price crisis, if the following conditions are met:
+ (a) the existence of very high average prices in wholesale electricity markets of at least two and a half times the average price during the previous five years, and at least 180 EUR/MWh which is expected to continue for at least six months, the calculation of the average price during the previous f…
+ (b) sharp increases in electricity retail prices in the range of 70 % occur which are expected to continue for at least three months.
+ **2.** The implementing decision referred to in paragraph 1 shall specify its period of validity which may be for a period of up to one year. That period may be extended in accordance with the procedure laid down in paragraph 8 for consecutive periods of up to one year.
+ **3.** The declaration of a regional or Union-wide electricity price crisis pursuant to paragraph 1 shall ensure a fair competition and trade across all Member States affected by the implementing decision so that the internal market is not unduly distorted.
+ **4.** Where the conditions laid down in paragraph 1 are fulfilled, the Commission shall submit a proposal to declare a regional or Union-wide electricity price crisis which shall include the proposed period of validity of the implementing decision.
+ **5.** The Council, acting by a qualified majority, may amend a Commission proposal submitted pursuant to paragraph 4 or 8.
+ **6.** Where the Council has adopted an implementing decision pursuant to paragraph 1, Member States may, for the duration of the validity of that decision, apply temporary targeted public interventions in price setting for the supply of electricity to small enterprises and medium-sized enterprises.…
+ (a) be limited to at most 70 % of the beneficiary’s consumption during the same period of the previous year and retain an incentive for demand reduction;
+ (b) comply with the conditions set out in Article 5(4) and (7);
+ (c) where relevant, comply with the conditions set out in paragraph 7 of this Article;
+ (d) be designed to minimise any negative fragmentation of the internal market.
+ **7.** Where the Council has adopted an implementing decision pursuant to paragraph 1 of this Article, Member States may for the duration of the validity of that decision, by way of derogation from Article 5(7), point (c), when applying targeted public interventions in price setting for the supply o…
+ (a) the price set for household customers only applies, at most, to 80 % of median household consumption and retains an incentive for demand reduction;
+ (b) there is no discrimination between suppliers;
+ (c) suppliers are compensated for supplying below cost in a transparent and non-discriminatory manner;
+ (d) all suppliers are eligible to provide offers for the price for the supply of electricity which is below cost on the same basis;
+ (e) measures proposed do not distort the internal electricity market.
+ **8.** In due time before the expiry of the period of validity specified pursuant to paragraph 2, the Commission shall assess whether the conditions laid down in paragraph 1 continue to be fulfilled. If the Commission considers that the conditions laid down in paragraph 1 continue to be fulfilled, i…
+ The Commission shall continuously assess and monitor the impact resulting from any measures adopted under this Article and publish on a regular basis the results of such assessments.
+ The Commission’s review shall, in particular, assess the service quality offered to final customers and whether customers, especially vulnerable customers and customers affected by energy poverty, are adequately protected under this Directive.