One of the main objectives of the reform is to make electricity prices more stable for domestic and business consumers. This should protect consumers from price spikes and make electricity prices less dependent on volatile fossil fuel prices.
What the EMD reform changes?
The EMD reform is based on changes to improve the regulatory environment in the
following areas:
• long-term security of electricity supply at reasonable costs
• strengthening the protection of end users;
• development of the PPA market in the European Union;
• unification of the form of support for new generating units
The direction of change in the energy market
From the outset, the proposal to reform the electricity market in the European Union has aroused emotions among both member states and experts. Two factions have emerged among member states – those proposing a very deep market reform, including a move away from the basic paradigms of price determination in electricity markets, and those advocating less in-depth changes to the energy market. The final form of the reform seems to be more in line with the expectations of the latter group, reducing the reform to providing member states with additional instruments, mainly aimed at enriching the investment support instruments available to member states for new sources of electricity and introducing obligations for energy market participants to adequately secure their positions in the market.
This report not only explains the proposal for a new model of the electricity market, but also provides specific recommendations for regulators both in Poland and in the European Union. By presenting a comprehensive vision and a detailed plan of the proposed changes, we aim to contribute to the development of a common, competitive and sustainable electricity market that meets the challenges of the 21st century. Presented analysis aims to provide policymakers, stakeholders and the wider public with a common understanding of the changes needed to shape the future of energy in the EU.
