ESNA - Energy Services Network Association - The Association of NES Users

print
sitemap
login

ESNAs Mission

Special Interest Groups

CEER: Is the Internal Energy Market working for Consumers? - Regulators say: not yet!

Switching electricity/gas supplier remains low despite savings potential
Regulators call for implementation of the 2020 Energy Customer Vision
Vision’s principles (Reliability, Affordability, Simplicity, Protection & Empowerment) are a touchstone for the Internal Energy Market.

The high-level panel discussion at the 6th Citizens’ Energy (London) Forum1, opened today by EU Consumer Policy Commissioner, Mr Mimica, and CEER’s Lord Mogg2, was on the topic “Is the Internal Energy Market (IEM) is working for consumers?”

Regulators’ message is clear - the IEM is not yet delivering full benefits to consumers and implementing the 2020 Energy Customer Vision3 can help make it happen.

Switching electricity/gas supplier remains low despite savings potential
Regulators presented fact-based evidence, from the ACER-CEER Market Monitoring Report4 (of the Internal Energy Market), that show:

household gas prices in the EU rose by 10% and household electricity prices by 4.6%, leading to significant economic loss for consumers.

Incumbents are still dominant, with most markets showing little competition. Barriers to entry persist in many national retail markets, thus hampering retail competition and consumer choice.

Switching rates remain low despite significant savings potential.

Regulators call for implementation of the 2020 Energy Customer Vision
CEER President, Lord Mogg, stressed that the focus now must be on implementing the 2020 Energy Customer Vision, which CEER developed with stakeholders in 2012:

"The widespread support that our Energy Customer Vision has gained (16 supporters along with the European Commission) testifies that the four so-called RASP principles upon which it is based (reliability, affordability, simplicity, protection & empowerment) are a touchstone for the Internal Energy Market".

Pointing to the CEER rolling 3-year Action Plan to implement the Vision, Lord Mogg stated:
"Regulators alone cannot make energy markets deliver for consumers. Supporters of the 2020 Customer Vision should develop their own action plans for realising the Vision".

Turning to the European Commission, he added:
“The London Forum has an important role to play as a platform to monitor progress annually in delivering the 2020 Customer Vision and hence making sure that the Internal Energy Market delivers for consumers".

Much of the 2013 London Forum discussion centres on customer empowerment with sessions on active consumers, demand response and how DSOs can add value for consumers in evolving market issues. CEER presented regulators’ work on a number of areas including on the role that consumer bodies play in the regulatory process (see CEER presentations and Lord Mogg’s speech). CEER continues to focus on customer issues which we see as a cornerstone of energy market policy:

CEER currently has two public consultations open on consumer issues (one on DSOs, and another on Green Electricity);
We have launched two customer reports (one on customers’ access to information on the costs and sources of energy and energy efficiency schemes; and the other on consumer bodies involvement in the regulatory process)
"Bringing the Internal Energy Market home to consumers" it will be the theme of CEER’s 2014 Annual Conference on January the 22nd 2014.