Since this summer, Europe has been experiencing rising wholesale electricity prices mainly caused by the increase of global natural gas prices. This has in turn raised sharp concerns and triggered political debate across the continent. Effective solutions already exist to mitigate impact on end-consumers: lower taxes & levies on electricity bill, accelerate the rollout of new clean energy sources, and target energy efficiency and social measures to vulnerable customers as reflected in the European Commission ToolBox.
Yet some governments question the efficiency of energy markets and are attempting measures which can severely endanger the market and the energy transition at large. Eurelectric strongly believes that the current market design based on competitive marginal pricing and further market integration is the key to ensuring secure and cost-effective energy supplies to the EU’s industries and citizens.
Scroll down to follow the latest developments and how Eurelectric is responding.
Leading voices on the rising prices and what must be done
Eurelectric has staunchly opposed ill-conceived responses that will only rattle the internal market and investor confidence, putting the energy transition at risk. Hear what our Secretary-General Kristian Ruby has to say as well as a variety of stakeholders from this year’s Power Barometer:
Follow our latest efforts to ensure informed debate at the European level:
- Our publications and letters
- 08/11/2021, Joint letter to European Commission on Romanian Ordinance
- 14/10/2021, European electricity Executives’ message on high prices to European Heads of State
- 07/10/2021, Joint statement from MESC on increase of gas and electricity prices in Europe
- 24/09/2021, Joint letter to European Commission on Spanish Royal Decree
- 22/09/2021, Soaring electricity prices in Europe: causes and solutions
- 22/09/2021, Electrification Alliance on the increase in wholesale electricity prices
- 28/10/2021, FT: Spain backtracks over levy on electricity companies’ ‘excess profits’
- 12/10/2021, FT: Chiefs of EU utilities warn against ‘short-sighted’ interventions
- 08/10/2021, S&P Global Platts: Spanish clawback on generators ‘could cost €5billion’
- 29/09/2021, Reuters: More renewables best answer to energy price surge, Europe power lobby hears
- 17/09/2021, Reuters: Europe’s power firms locked out of record price bonanza
- Policy updates
- 26/10/2021, Transport, Telecommunications and Energy Council results
- 22/10/2021, European Council conclusions
- 13/10/2021, European Commission: Tackling rising energy prices: a toolbox for action and support
- 13/10/2021, ACER: Europe’s high energy prices: the drivers, outlook and policy considerations
- Our publications and letters
What makes up a European electricity customer’s final bill
See the breakdown below and how taxes and levies take up 40% of it on average. This figure has been rising for the past decade but needs to fall if the #ElectricDecade is to become a reality.
Countries across Europe have been affected by the rise in electricity prices but are responding in different ways, some good some bad. Click here to see our detailed overview of the impacts on and actions of 24 countries across Europe.