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News announcement7 February 2023Directorate-General for Energy

State aid: Commission approves Swedish scheme to reduce electricity consumption in the context of Russia’s war against Ukraine

The European Commission has approved a Swedish scheme to reduce peak electricity consumption in the context of Russia’s war against Ukraine. The scheme was approved under the State Aid Temporary Crisis Framework, adopted by the Commission on 23 March 2022 and amended on 20 July 2022 and on 28 October 2022, based on Article 107(3)(b) TFEU, recognising that the EU economy is experiencing a serious disturbance.

The measure provides financial support to achieve the consumption reduction target set by Regulation (EU) 2022/1854 and moderate electricity prices. The aid will be allocated through a competitive bidding process open to all technologies that can deliver consumption reduction. Furthermore, safeguards will be in place to ensure competition between electricity consumers and aggregators and the proper functioning of the electricity market.

The Commission found that the Swedish scheme is in line with the conditions set out in the Temporary Crisis Framework, concluding that the measure is necessary, appropriate and proportionate to remedy a serious disturbance in the economy of a Member State. On this basis, the scheme has been approved under EU State aid rules.


Publication date
7 February 2023
Directorate-General for Energy