The Commission inquiry on capacity mechanisms shows they can increase security of electricity supply but many Member States must be more thorough assessing whether they are necessary and in their design to ensure they are targeted and cost-effective. Unnecessary and badly designed capacity mechanisms can distort competition, hinder electricity flows across borders and lead to consumers overpaying for electricity.The Commission now invites Member States, stakeholders in the electricity sector and others to submit comments on its initial findings.
European Commission 13th Aprl 2016 read more »
On Wednesday 13 April the European Commission presented an interim report on its sector inquiry on electricity capacity mechanisms. A public consultation on the Power Probe (the interim report and the annexed staff working document) starts as of today; the deadline for comments is 6 July 2016. The Power Probe will serve as input for EU’s new power market design, said Commissioner Vestager at the press conference. She also said that capacity mechanisms should be as climate-friendly as possible. However, this clashes with Vestager (or her team?) seeming to favour capacity mechanisms that are “open” – read: technology-neutral. This means that only 4 months after Paris’ agreement, the EU Commission is – again – coming up with strategies to support and extend the fossil fuel era.
Alice Stollmeyer MEP 13th April 2016 read more »