Source: Enerdata
The European Commission’s Directorate-General for Energy (DG ENER) required a comprehensive analysis of energy prices, their fluctuations and drivers, as well as costs and subsidies across Europe. The objective was to understand the impact of these factors on households, industrial competitiveness, and energy market structures. Additionally, the study aimed to assess competition, energy taxation, and external costs influence pricing, with a particular focus on supporting Europe’s transition to a climate-neutral economy
Enerdata, in collaboration with Trinomics, Öko-Institut, E3 Modelling, Ludwig Bölkow Systemtechnik, and Atico, conducted an extensive study for DG ENER, delivering key insights into European energy price and cost dynamics.
Enerdata’s Key Contributions to the Project:
- Data Collection & Management: Enerdata leveraged its expertise in database management to collect, process, and organise data from over 50 sources, developing efficient and user-friendly databases for DG ENER. Enerdata’s Global Energy and CO₂ Database, along with the Power Plant Tracker, provided crucial data for the study, optimising both time and resources for the project with DG ENER.
- Energy Price Evolution Assessment: Analysing the trends in European energy prices and comparing them with those in G20 trading partners to identify key cost drivers.
- Industrial Competitiveness Analysis: Examining energy costs across more than 30 industrial sectors to understand how energy pricing impacts European businesses.
- Power Generation Profitability Study: Evaluating the long-term sustainability of different power generation technologies based on historical price trends and future market projections.
- Scenario-Based Forecasting: Developing energy pricing models to simulate potential future scenarios and their impact on competitiveness and affordability.
- Reporting & Policy Recommendations: Delivering a structured, data-driven report to the European Commission, informing energy policy discussions and regulatory frameworks.
Deliverables included:
- Comprehensive Report: A detailed study on energy prices, costs, and subsidies in Europe, contributing to policy discussions and decisions.
- Scenario Models: Customised energy pricing models to simulate future trends and impacts.
- Policy Insights: Data-driven recommendations for energy policy and regulatory frameworks to improve market competitiveness.
Average industrial (ID band) electricity end-user prices in the EU27, 2014 – Q1 2024
Source: Eurostat, Enerdata – EnerMonthly
The deliverables were leveraged to several ends:
- Policy Impact: Findings contributed to EU energy policy decisions, improving transparency and competitiveness in the energy market.
- Industry Insights: Detailed analysis provided businesses with a clearer understanding of their position in global markets and how to navigate energy cost fluctuations.
- Public Engagement: The published report increased awareness of energy pricing mechanisms, informing consumers and stakeholders.
Enerdata has been working on this study for 7 years now, with a new edition almost every year. This continuous work allows for extensive data gathering, modelling, and refinement to ensure the most accurate and actionable insights.