Stakeholder Workshop on the ACER Assessment on Electricity Market Design
What is it about?
The European Commission, in its “toolbox” Communication of 13 October 2021, tasked the EU Agency for the Cooperation of Energy Regulators (ACER) with carrying out an assessment of the current wholesale electricity market design by April 2022, and providing a preliminary assessment by mid November 2021.
ACER submitted its Preliminary Assessment of Europe’s high energy prices and the current wholesale electricity market design to the European Commission on 15 November 2021.
The ACER Preliminary Assessment:
- provides some key drivers for the electricity price impacts across Member States;
- looks at how the move towards gas-on-gas pricing in Europe (rather than oil-indexed contracts) has yielded significant benefits over the past decade and how this relates to price volatility issues going forward;
- includes key characteristics of the current electricity market design, setting out ACER’s initial perspective on certain price volatility issues and on alternative market design approaches;
- adds the latest data and analysis from ACER’s energy market monitoring on related dynamics in the European electricity market; and
- provides an initial outline of ACER’s April 2022 assessment.
This workshop aims to ensure an open discussion among interested stakeholders, to gather input on the key elements of the broader assessment due in April 2022 such as:
- the benefits and drawbacks of the current wholesale electricity market design and related matters;
- the issue of sufficient revenue certainty in electricity markets, in view of the massive investment needs up ahead; and
- options for cushioning or shielding end-consumers from perceived excessive levels of price volatility that impact affordability.
Registrations are open until 8th February.