Protecting and empowering energy consumers
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Energy

Protecting and empowering energy consumers

EU rules aim to ensure that consumers are well protected in the energy market and can easily participate in the clean energy transition, enabling them to save both energy and money.

In addition to the general consumer rights guaranteed by EU legislation, citizens also enjoy specific energy-related rights and protections, defined at EU level, and set out in national law.

The Clean energy for all Europeans package, adopted in 2019, includes 8 pieces of EU legislation, of which 4 are referred to as the electricity market design. These rules outline a comprehensive framework for consumer protection, information and empowerment in the EU electricity sector.

Under the Affordable Energy Action Plan (COM/2025/79) of 26 February 2025, the Commission announced a Citizens’ Energy Package which will focus on enabling consumers and communities to benefit from lower energy costs and better energy services. This initiative will aim to enhance the principle of a just transition that leaves no one behind, by tackling energy poverty and supporting the transition in coal regions. At the same time, we need to facilitate the smooth implementation of EU rules, build consumer trust and engagement in the energy transition.

Stable and affordable energy prices

  • To support stable and affordable energy prices, the updated rules ensure that consumers should be offered a variety of electricity contracts to choose from to better match their needs and allow them to benefit from renewables. For example, a consumer might opt for a fixed-term, fixed-price electricity contract to ensure predictable costs for their main household needs, while choosing a dynamic price contract for their heat pump or to charge their electric car at the time of day when electricity is cheapest. 

Consumers should receive better information on energy offers before signing up so that they can easily assess whether the offer meets their needs. Consumers can also directly access renewable energy-based electricity, by sharing energy collectively, peer-to-peer based on private agreements, or through a legal entity, including through an energy community. 

The new rules will help to ensure continuity of supply for consumers via a supplier-of-last-resort regime (where a supplier is designated to take over the supply of electricity to customers of a supplier which has ceased to operate) and prevent supplier bankruptcies due to uncovered risks. 

EU countries and regulators will have to ensure that these obligations are enforced, and tailor-made according to their national market structure and suppliers' size. 

The reformed rules also facilitate access to hedging products. For instance, energy communities, whether in the capacity of supplier, producer or consumer, should have access to power purchase agreements to allow them to supply their members or other final customers with their own or external production capacity.

Under the Affordable Energy Action Plan, presented on 26 February 2025, the Commission highlighted that households can save between €150 and €200 every year simply by switching to the electricity supplier that offers the lowest prices.

Sharing renewable electricity

  • Under the energy sharing concept in the Directive improving the EU’s Electricity Market Design, final customers in the electricity market will be able to more easily access renewable electricity generated or stored off-site by family, friends, neighbours or communities.

    This will help them to decouple their household electricity bills from gas prices.

Final customers who engage in energy sharing have the right to see their electricity bill reduced in proportion to the shared electricity they self-consume leading to increased affordability. They can also set a price for surplus electricity shared to ensure a reasonable return on investment. 

Energy sharing is expected to further drive investment in renewable energy, as well as make renewable energy more accessible to a wider range of consumers, allowing for instance, low-income families living in social housing to access cheaper renewable energy generated from solar panels on public buildings.

The Commission's Affordable Energy Action Plan of February 2025 underlined that households can save between €500 and €1 100 per year by participating in energy communities.

Continuity and affordability of supply

  • Along with the existing EU rules to combat energy poverty, the new energy market design legislation introduces that necessary steps are taken to ensure that the most vulnerable customers are protected from disconnection.

    While many EU countries implemented measures to protect vulnerable customers during the energy crisis, the new rules ensure that vulnerable customers remain protected from disconnection.

EU countries can, in times of emergency, intervene in price setting for households and small and medium-sized enterprises (SMEs), below cost, for a limited period and a limited volume of electricity consumption to ensure an incentive to reduce demand.

Accessing new data-driven energy services

  • Access to data from meters, and most importantly smart meters, that can support near-real-time communication exchanges, is key for the delivery of data-driven digital services and consumer empowerment. To facilitate this, and the overall interoperability of energy services across the EU, the Commission is mandated to develop technical rules, with the help of network operators and relevant stakeholders, for smooth access to metering data by customers who consume or produce and eligible market parties.

The first set of rules was framed under the implementing Regulation on metering and consumption data (C/2023/ 3477 final), published in June 2023. Subsequently, on 5 July 2024, a guidance document was issued to assist EU countries in accurately rolling-out and reporting these new technical rules. Together with the next wave of data implementing acts, these rules will

  • facilitate the easy, safe and secure flow of data to those eligible
  • help better run existing processes
  • incentivise the development and delivery of new energy services (energy sharing and demand response)
  • promote a better and wider choice of offers for consumers

Action at local level

All EU countries’ national authorities also provide contact points for its citizens and energy consumers and some also provide tools to compare energy contracts.

The Commission has over the past years launched several initiatives to improve action at local level, such as the Covenant of Mayors, the Smart Cities Marketplace, the Energy Poverty Advisory Hub, the Clean Energy for EU Islands Initiative and the Coal Regions in Transition Initiative.

A new initiative, the Citizens Energy Advisory Hub, will be launched in Q1 - Q2 2025 to support and provide technical assistance to help citizens and local actors to engage in demand-response, energy efficiency, and self-consumption schemes.