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Today the European Commission is releasing a set of proposals to reform the EU energy market, particularly for electricity. The Commission has understood that for the transition to a cleaner, more sustainable energy market to be a success, consumers need to become more involved in energy markets. Therefore, the Commission is keen to improve the clarity and quality of information consumers receive on their energy consumption, particularly on bills or through new, smart technologies. The Commission is also releasing its long-awaited Ecodesign work plan which sets design standards for energy-using products so they become more efficient and cut energy bills for consumers. On the downside, however, consumers who have invested in solar panels to produce their own electricity could find the road bumpier in the future.

Despite many attempts for improvement, the energy market is still a sector of great concern to European consumers as it has many failures: there is concern over complex tariffs, rising prices, poor service or mis-selling, the difficulty of switching and confusion over what consumers can do to lower their bills, including how to be energy efficient.

Access to affordable energy is a real worry for consumers, particularly for vulnerable groups such as those with a low income. Despite the opening of the markets, competition remains limited, restricting consumer choice and driving up prices. Unfair commercial practices such as aggressive doorstep-selling are another source of consumer frustration in the energy market.

‘Smart technologies’ such as smart meters are heralded as the future and they are claimed to offer benefits to consumers. Yet they raise numerous questions about their true potential to deliver real benefits to consumers, as well as risks related to privacy and cost increases.

  • Ensure energy is affordable and available to all consumers
  • Enable consumers to easily choose between various energy suppliers and switch to the best deal
  • Ensure that smart energy systems and other new developments are affordable and designed to benefit consumers