Brussels, 25/04/2016 (Agence Europe) - In its draft recommendations on the “new deal” for consumers on the energy market, prepared by Theresa Griffin (S&D, United Kingdom) and adopted on Thursday 21 April, the European Parliament Energy Committee outlines a raft of measures to boost consumer power on the markets.
More active role. To help consumers play a more active role in the energy market, MEPs are proposing new management models such as collective purchasing and innovative financial instruments to increase the use of power generation by households and efficient energy tools to include more self-generation, self-consumption. They are also recommending the reduction to an absolute minimum of the administrative barriers to new energy self-generation, shortening authorisation procedures and promoting community/cooperative energy schemes and setting up favourable and fair conditions for tenants and those living in apartment buildings allowing them to make more use of self-generation and energy efficiency tools.
Clear pricing. The Griffin report also proposes a series of ways to make energy prices more transparent: more frequent bills and easier to understand contracts; measures enabling consumers to compare different offers, even without internet access or skills, and ascertain whether they could save money by switching providers (such as: independent, up-to-date and understandable comparison tools,- notifying consumers, in or alongside energy bills about the most suitable and advantageous tariff for them based on historic consumption patterns, and- ensuring that consumers can change to that tariff, if they so wish, in the simplest way possible, without any termination fee or penalty). The report also proposes developing dynamic pricing, reflecting the peak and off-peak periods of energy consumption, and transparent, comparable and clearly explained tariffs; easy and timely access to the consumption data and related costs, and- developing smart grids and appliances that automate energy demand management in response to price signals.
Energy poverty. MEPs call for the root causes of energy poverty to be tackled. The Griffin report calls for a common definition of energy poverty based on the idea that access to affordable energy is a fundamental social right and it calls on the Commission to prepare an action plan by 2017 to tackle energy poverty. MEPs are calling for EU funds to be allocated to promote energy efficiency, as well as assistance for self generation, which should, above all, focus on energy-poor, low-income consumers.
Plenary vote at the end of May. The Griffin report will be subject to a vote at the EP plenary session on 25 May. These recommendations will form the basis of the forthcoming legislative proposals on the Energy Union, which the Commission is expected to put forward in the second half of this year. As part of its summer 2015 package for the Energy Union (see EUROPE 11360), the Commission formulated a number of options for strengthening consumer power by way of a "new deal" based on three principles: lower bills by way of better information, greater choice about participating in the energy markets and maintaining maximum consumer protection (see EUROPE 11358). (Original version in French by Emmanuel Hagry)