On Tuesday, 10 September—following the publication of Mario Draghi’s report (see EUROPE 13478/1) on Monday, 9 September—Eurelectric, which represents the European electricity industry, was pleased that the report mentioned the need for common funding to improve European electricity grids as well as the need to defend the European internal energy market and its marginal pricing and to support long-term instruments such as PPAs and CfDs that are favoured by the recent electricity market reform (see EUROPE 13454/27).
Nevertheless, concerns have been raised as to certain proposed market interventions, such as temporary electricity price relief for energy-intensive businesses and the requirement for generators to “supply a predefined minor share of their publicly subsidised production through PPAs at ‘production cost plus mark-up’ to specific industries exposed to international competition”.
Eurelectric fears that these measures will hinder investment in clean energy.
The association also pointed out the imbalance between how gas is taxed and how electricity is taxed and called for a tailored approach to be used when allocating Emissions Trading System (ETS) funds. (Original version in French by Pauline Denys)