About: capacity mechanisms
PKEE: Polish capacity market is designed for low-carbon electricity
The capacity market in Poland has a so-called “green bonus”, which allows a two-year extension of the multiannual capacity contracts provided that a 450 kg CO2/MWh emission performance standard is met, says Maciej Burny.
Why France believes capacity mechanisms are necessary
Capacity mechanisms are crucial to secure the finances of power plants that ensure France's security of electricity supply. They are also essential to attract investments in new necessary capacity by providing visibility to the market thanks to a long-term price signal, writes Virginie Schwarz.
Italy withdraws objections to EU power market reform
Davide Crippa, Italy’s Undersecretary for Economic Development, has announced the country’s withdrawal from a seven-country alliance led by Poland, which argued for preserving national sovereignty over decisions to finance emergency power plants.
Greenpeace study throws light on Europe’s ‘hidden energy subsidies’
Figures compiled by the environmental pressure group Greenpeace highlight the lack of transparency about the amount of cash disbursed by national governments to support back-up power plants – mainly fossil fuels and nuclear.
Capacity mechanisms reform – key issues to watch
The European Commission wants to limit state aid for power plants that EU countries remunerate to remain on stand-by in case of demand peak. As negotiations on the EU’s new electricity market enter the home straight, EURACTIV lists the main issues to watch out for in the debate.
Capacity markets: How much ‘flexibility’ for EU countries?
Mostly out of pragmatism, the European Commission has adopted a rather tolerant approach to “capacity mechanisms” – national schemes that remunerate back-up power plants – accepting that EU countries face different challenges in the energy transition.
Academic: Fossil fuel back-ups ‘may be the price to pay’ for renewables
It’s a contradiction that policymakers are currently struggling to resolve. But fossil fuel back-up plants are probably necessary in the short term in order to give EU countries the confidence to bring in higher shares of renewable electricity, says Michael Pollitt.
Capacity markets: A necessary evil in the energy transition?
Detractors of capacity mechanisms argue they are mere state aid for dirty fossil fuels that should be eliminated as soon as possible while supporters claim they provide vital back-up in the transition to renewable electricity. The fact that both are correct is leaving Europe in a quandary.
Capacity markets for electricity
As the EU’s power market reform enters the home straight, EURACTIV.com takes a look at so-called “capacity mechanisms” for back-up electricity and whether they help or hinder the EU’s twin objectives of supply security and decarbonisation.
Germany’s ‘strategic reserves’ for coal under fire in EU Council
A group of seven countries – comprising France, Poland, Italy, Hungary, Greece, Ireland and the UK – have issued a common position on the reform of Europe’s electricity market, saying “strategic reserves” for electricity should not receive favourable treatment from regulators.
The role of capacity markets in the electricity market transition
The European Commission presented two proposals on Electricity Market Design as part of its Clean Energy Package of November 2016. Discussions on the package have tended to focus on the level of ambition, in particular Renewable Energy and Energy Efficiency targets.
EU admits ‘mistake’ in state aid decision for German coal plants
The EU’s decisions to approve state support for emergency power plants in France, Germany, Poland, Italy and Greece will all have to be revisited in light of the ongoing reform of electricity market rules, the European Commission said on Tuesday (4 September), saying it won’t make an exception for Germany.
Danish MEP: ‘Fight continues’ for renewable energy in Europe
The 32% renewable energy objective for 2030 agreed at the EU level in June was a good result, says Jeppe Kofod, but it’s still insufficient to live up to the Paris accord, he told EURACTIV in an interview, setting out the agenda for clean energy battles in the years ahead.
Poland’s ‘last coal power plant’ faces €1.7 billion loss, analysts say
The planned phase-out of state aid to fossil fuel power generation across the European Union could make the Ostrołęka C coal station project unprofitable within years, according to a new report by Carbon Tracker, a think tank.
Decarbonisation not just an option but an opportunity, insist energy experts
Decarbonising the economy and energy production is now a necessity for states and companies, although it can also be a source of business opportunities and innovation, according to experts. EURACTIV's Spanish partner reports.
Polish electricity representative: Derogations needed to ‘make capacity market work’
European Union negotiators will turn their attention to revamping the bloc's electricity market rules under the Austrian Presidency but the issue of so-called capacity mechanisms continues to define the debate.
Italy and Poland’s electricity markets face uncertain future
The ongoing reform of "capacity markets" for electricity, which remunerate power plants for remaining on standby in case of demand peak, should be technologically neutral in order to allow disruptive technologies like digitalisation and blockchain to develop, argue energy experts from across Europe.
Brussels remains guarded over ‘capacity mechanisms’ for power plants
The European Commission is trying to limit the development of so-called capacity mechanisms, which some member states have put in place as a way of ensuring electricity supply in situations of peak demand. EURACTIV France reports.
Electricity market reform: A European tour
The European Commission wants to reform “capacity mechanisms” put in place across EU member states to remunerate power plants that remain on standby in case of a demand peak, arguing they distort the market. But views differ on their value amid wide-ranging national disparities.
Austria unveils energy, environment work plan at EU helm
The Austrian Presidency of the EU will aim to reach agreement on two flagship pieces of legislation during its six-month stint at the EU helm – including new CO2 emissions standards for cars and vans for 2030 and a controversial reform of the electricity market.
‘No Europeans can be left behind’ by energy transition, says Polish power sector boss
Europe’s energy transition is well under way but every EU country differs in terms of energy mix, economic situation and natural resources. So how fair is the energy transition on countries like Poland, which have a somewhat negative image when it comes to fossil fuel use?
‘Capacity markets’ must remain technologically-neutral
The European Parliament’s approach to electricity market design is a serious challenge to security of energy supply in Poland and other EU member states, warns Frank Umbach.
Believe it or not, the EU can look to the US for inspiration on ending coal subsidies
In January this year, the Federal Energy Regulatory Commission (FERC) of the United States unanimously rejected proposals by the Trump administration that would have allowed coal subsidies under the guise of energy "resilience". This is exactly the principle that should now guide EU legislators, writes Joanna Flisowska.