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Clean Energy Package

The Clean Energy for all Europeans Package is the latest update in the European energy policy framework, aiming to facilitate a clean energy transition and the implementation of the Energy Union strategy goals. It addresses five key dimensions:

Energy security
Internal energy market
Energy efficiency
Decarbonisation of the economy
Fostering research, innovation and competitiveness

Fostering a clean energy transition for all Europeans

Documents

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The Package, adopted during the course of 2019, consists of eight legislative acts as well as other initiatives and measures aimed at facilitating the clean energy transition.

The Clean Energy Package lays the ground for establishing a new electricity market design by introducing an updated Electricity Directive and Regulation, a new Regulation on Risk Preparedness and a revised ACER Regulation.

The adoption of the Clean Energy for all Europeans Package introduced several changes to the system operations rulebook.

The new rules, defined by the Electricity Regulation and Risk Preparedness Regulation, lay the ground for further improvements to the network codes, the introduction of a European Distribution System Operator (DSO) entity, the establishment of regional coordination centres, the implementation of system operation regions, as well as risk preparedness measures, fostering and enhancing the coordination of the European electricity market.

A brief historic introduction

The main changes

New Electricity Regulation

An enhanced role of ACER

Cybersecurity Network Code

About Electricity

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Capacity mechanisms

A capacity mechanism is a temporary measure introduced by Member States to remunerate capacity resources (e.g. generators, demand-response or storage units) for security of supply services.

Capacity mechanisms can be introduced or maintained only if a resource adequacy concern has been identified, and should be open to cross-border participation.

The ACER-CEER Market Monitoring Reports includes topics related to security of supply, estimating the cost incurred for the capacity mechanisms in operation or under consideration.

What is it?

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Security of supply

European resource adequacy assessment

Risk preparedness

Security of supply

A secure supply of electricity is crucial for the European Union. As electricity powers homes and businesses across Europe, consumers increasingly rely on its continuous availability.

Security of supply is one of the five mutually reinforcing dimensions of the Energy Union strategy. In responding to current challenges, the Energy Union facilitates energy market integration, which is essential for a stable supply.

At the core of the Energy Union

ACER is committed to enable a high-level of security of supply in a cost efficient and non-discriminatory manner.

Well-functioning wholesale markets contribute to this goal. However, regulatory distortions or other issues may prevent electricity prices from reflecting their true value when security of supply is at risk, possibly leading to underinvestment and security of supply issues.

In this case, additional measures may be needed to increase security of supply. Such measures can include removing regulatory distortions and introducing temporary capacity mechanisms.

Risk-preparedness also ensures that risks related to security of supply are identified in a timely and consistent manner, as well as they are properly monitored and mitigated.