Energy Union proposals to unlock the benefits of demand side energy flexibility and energy efficiency
The EU must take urgent action to drive the development of demand side flexibility and energy efficiency. The EU Energy Union project is Europe’s chance to transform its energy system and unlock the potential of demand-side solutions, smart grids and digital innovation. If it succeeds, citizens and businesses across Europe stand to gain from more resilient, integrated, low-carbon and cost-efficient EU energy markets and new economic opportunities from digital innovation and resource efficiency. If it misses the opportunity of the current legislative agenda, it will endanger European competitiveness and European decarbonisation objectives.
Too often discussed and regulated separately, demand side flexibility and energy efficiency offer great complementarity in improving system efficiency and reducing overall system costs, notably in the residential and commercial sector. The signatories of this statement propose a joint approach in delivering demand side flexibility and energy efficiency, starting with the first steps below:
- Provide market access for all demand-side resources
- Promote scarcity pricing and dynamic tariffs
- Establish the right for consumers to self generate and consume
- Establish system-wide adequacy assessments
- “Efficiency first” in system operation
- Promote the deployment of smart and integrated energy solutions
- Ensure better market surveillance & governance