Member states give final approval to EU electricity market reform

Brussels, 21 May (ČTK correspondent) – Member states today gave final approval to reform of the electricity market in the European Union, the Belgian presidency announced on X. The legislation aims to make the market more affordable and consumer-friendly and to protect vulnerable customers from having their electricity disconnected.

The electricity market reform was approved at today’s meeting of EU ministers responsible for telecommunications. Czechia is represented at the meeting by Deputy Prime Minister Ivan Bartoš.

The legislation will now be published in the EU’s Official Journal and enter into force on the 20th day after publication. It will then become directly applicable in all EU member states. For reasons of legal certainty, provisions amending the existing Electricity Directive and Renewable Energy Directive were separated from the proposed regulation. They became a standalone directive, which was also formally adopted today. Member states will have six months to adapt their national legislation to the directive.

“Today marks a milestone for the EU on the path towards a carbon-free and greener future for all. By adopting the electricity market reform, we are empowering consumers, ensuring security of supply and paving the way for a more stable, predictable and sustainable energy market,” said Belgian Energy Minister Tinne Van der Straeten, whose country currently holds the EU presidency.

MEPs approved the legislation in early April. “The legislation aims to protect consumers from price fluctuations. MEPs ensured that consumers will have the right to access fixed-price or dynamic-price contracts and receive important information about the services they commit to using,” the European Parliament said in a press release at the time. According to the Parliament, suppliers will not be able to change contract terms unilaterally.

The legislation also provides for a mechanism in the event of an energy price crisis. In a situation involving very high prices and under certain conditions, the European Union may declare a regional or EU-wide electricity crisis, allowing member states to introduce temporary measures to set electricity prices for small and medium-sized businesses and energy-intensive industrial consumers.