About: capacity mechanisms

Electricity 21-09-2018

Spain drops opposition to EU limits on coal power

The Spanish government has begun winding down state aid for coal power, saying it now sides with a European Commission plan to prohibit so-called capacity payments for plants emitting more than 550g of carbon dioxide per kilowatt hour.
Electricity 13-09-2018

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.
Electricity 13-09-2018

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.
Electricity 13-09-2018

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.
Electricity 12-09-2018

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.
Electricity 10-09-2018

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.
Electricity 07-09-2018

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.
Electricity 06-09-2018

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.
Electricity 28-08-2018

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.
Electricity 13-07-2018

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.
Electricity 09-07-2018

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.
Electricity 05-07-2018

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 03-07-2018

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.
Electricity 21-02-2018

MEPs take big step towards energy market reform

MEPs have decided to impose strict rules on mechanisms often used as coal power subsidies and to support small-scale renewable energy producers. But the European Parliament now faces the fight of its life to convince member states of its ambitious position.
Electricity 07-02-2018

Brussels muddies waters on state aid for coal power

A European Commission decision on Wednesday (7 February) to approve state aid for emergency power plants – often gas or coal-fired – has been accused of complicating ongoing negotiations in the European Parliament.
Electricity 22-12-2017

Political intrigue casts shadow over EU’s latest Energy Council

When EU ministers gathered in Brussels on Monday (18 December) to hammer out an agreement over a set of clean energy laws, the elephant in the room was a proposal from the European Commission to cap subsidies going to coal-fired power plants.
Energy 06-12-2017

Can energy governance replace binding targets?

Lawmakers will vote on Thursday (7 December) on a new energy regime that is meant to ensure the European Union meets its Paris Agreement goals. But much disagreement remains.
Electricity 26-09-2017

EU plan to cap fossil fuel subsidies will stymie renewables, power utilities warn

A European Commission proposal aimed at capping fossil fuel subsidies across the EU could have perverse effects by promoting investment in new gas-fired fossil fuel power instead of renewable energies, according to a new study.
Electricity 21-09-2017

EU still divided over curbing power subsidies with CO2 cap

A European Commission proposal to put an emissions limit on what power plants can be subsidised continues to divide the member states but the EU executive and the European Parliament stand united in supporting the CO2 cap.
Electricity 19-07-2017

German nuclear damage shows atomic and renewable power are unhappy bedfellows

A Germany nuclear plant was damaged because its operators increased and decreased its output to respond to energy grid fluctuations. The incident supports the theory that nuclear and renewable energy generation are incompatible. EURACTIV’s partner Der Tagesspiegel reports.
Energy 02-02-2017

Czechs against capacity mechanisms, regional centres in Winter Package

Electricity market design should provide equal conditions for all energy sources, avoid capacity mechanisms and build on bottom-up regional cooperation, according to the Czech Republic. EURACTIV.cz reports.
Energy 22-12-2016

Commission and member states clash over capacity mechanisms

The European Commission fears that capacity mechanisms would just translate into subsidies for coal power plants. Therefore, installations exceeding emission limits should not take part in support schemes, according to a proposal under the Energy Union's Winter Package. EURACTIV Czech Republic reports.

Energy 30-11-2016

Commission defends new energy rules and climate ambition

The European Commission today (30 November) defended its 30% energy efficiency target, as opposed to the higher goal called for by MEPs and campaigners, as it unveiled "clean energy“ plans to boost renewable use, cut waste and reduce subsidies for coal power.
Energy 23-11-2016

EU throws in the towel over national energy support schemes

EU member states have pressed ahead with a variety of schemes to remunerate energy generators for keeping power plants on stand-by, despite warnings from Brussels. It now seems certain that such "capacity mechanisms" will remain a fact of life, at least for the foreseeable future.