More price stability and consumer protection through clear energy market rules

The EPP Group has assured that no artificial price cap will be a part of the revised design of the EU's electricity market. This is the result of a vote in the European Parliament's Industry and Energy Committee today.

"The EU’s internal energy market overall delivers huge gains and growth across Europe, but current rules have some flaws which have contributed to price shocks leading to tripling or even quadrupling energy bills. With the new rules, we want to make energy bills of consumers and businesses less dependent of short-term price fluctuations. Consumers will have better access to stable, low-cost and clean energy. In addition, the conditions to attract investment in energy were also reinforced, notably through the strengthening of contracts for difference and power purchase agreements", Maria da Graça Carvalho MEP, EPP Group lead negotiator on the energy market design, explains.

"A technology neutral and market-based approach was our guiding principle. A cap on revenues from energy sources with lower marginal costs, so-called inframarginal technologies, was an absolute red line for the EPP Group, because it would mean opening the door for an unacceptable interference in the markets and it would be damaging for investment, especially in much needed renewables. We managed to prevail in all our positions, reaching a compromise with the other political Groups that serves the best interests of all stakeholders, from consumers to industry", Carvalho added.

Today's vote will have to be confirmed by the European Parliament's plenary in September. After that, negotiations will take place between EU Member States and the European Parliament.