Demand-side flexibility is a strategic answer to the energy crisis: implement the Electricity Market Design now

Demand-side flexibility is a strategic answer to the energy crisis: implement the Electricity Market Design now

On 5 October, T&D Europe co-signed a joint letter calling the European Commission to accelerate the implementation of the Electricity Market Design’s key provisions for demand-side flexibility. 

 Demand reduction and optimisation are at the heart of recent emergency interventions adopted by the EU. It requires a signal to which consumers can react. Hence, the Commission should refrain from suggesting market interventions and blunted price signals that undermine the foundations of the consumer-centric EU Electricity Market Design adopted in 2019. 

The Commissioner for Energy, Kadri Simson, replied to the letter this week recognising demand-side flexibility both as a short-term and long-term solution and indicates that it is closely monitoring the implementation of the EMD. It also indicates that demand-side flexibility is central to the Commission’s considerations for the upcoming EMD revision.