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Citizens' Energy Forum 2013 and Energy Retail Citizens' Energy Forum 2013 and Energy Retail in 2014in 2014

Jan Panek, Head of Unit ENER B3Jan Panek, Head of Unit ENER B3

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Citizens' Energy Forum 2013: London, 16-17 December (I)

. Plenary Sessions

» High-Level Panel Discussions

• Is the IEM Working For Consumers?

• Involving Consumers in the 2020 Vision (EESC/CEER/BEUC)

» Reporting Session

• ACER/CEER Annual Monitoring Report 2012

• Vulnerable Consumers Working Group – Guidance Document

• E-billing and Consumer Data Working Group - Report

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Citizens' Energy Forum 2013: London, 16-17 December (II)

. Break-out Sessions:

» Active Consumers

• Consumer Engagement

• Demand Response

• Data privacy

» Effective Governance

• Collaborative Enforcement

• Energy Efficiency and Energy Poverty

• DSOs' Role in Evolving Retail Markets

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Citizens' Energy Forum 2013: London, 16-17 December (III)

. Conclusions:

» Implementing EU Regulatory Framework

• Collaborative enforcement

• Price transparency and comparability

• RASP (reliability, affordability, simplicity, protection/empowerment)

» Consumer Engagement and Empowerment

• Role of collective initiatives: switching, demand-side participation

• WG on consumers as market agents

» Consumer Information, Rights and Protection of Vulnerable Consumers

• E-billing and Vulnerable Consumers reports

• Consumer Awareness about Rights

• Data Security, Privacy Protection

» Role of Market Players

• Cost-efficiency and consumer interest in DSO operations

• Facilitation of new services and market entrants

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Vulnerable Consumer Working Group – Guidance Report

. WG Launched in March 2012

. Membership:

» NRAs/CEER + Ministry representatives

» Consumer associations, NGOs + ombudsmen

» Industry representatives

» Academia

. Actions

» Establish the drivers of vulnerability and MS measures to address it

» Provide guidance for Member States to define VC

» Share examples of Member State instruments and practices

» Address energy and social policy, incl. energy efficiency measures

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EnergyEnergy

1 in 4 at risk of poverty or social exclusion%

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Tasking and Process

2012: Drivers MS Instruments/Measures overview

2013: Examples Report: Guidance Documentof Practices on Vulnerable Consumers

To assist Member States with:

» Defining the concept of vulnerable customers

• Existing definitions are based on income, % of income spent on energy bills, consumer characteristics, household size etc.

» Sharing Member State instruments and practices

» Designing instruments

» Applying instruments

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Drivers of vulnerability table

Market Conditions Individual Circumstances

Living Conditions Social/Natural Environment

Final energy price levels

Level of competition

Income level

Health and disability

IT skills/internet access

Education: literacy/ numeracy skills

Under-occupancy

Type of heating system

Quality of housing stock

State of economy

Climate

Debt policies

Selling and pre-contractual practices

Bill transparency/ accessibility

Available payment methodsInclusiveness of corporate system designs and service provision

Age

Single-parent/ large family/ carer

Retired/unemployed

Immigrant or national/ethnic minority

Prepayment meters

Equipment efficiency (boilers etc.)

Location

Tenancy

Governance (local/regional/ national)

Social inclusion

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Contents of Guidance Document on Vulnerable Consumers

» Law (3rd Energy Package, Energy Efficiency Directive), ADR

» Work undertaken by DG ENER, DG SANCO and CEER

» Mix of social and energy policy

» Key drivers and exacerbators of vulnerability

» Examples of Member State instruments and practices

» Energy efficiency, heating and cooling

» Funding mechanisms

» Enabling demand response

» Stakeholder recommendations

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Recommendations

» Review policy mix to ensure best combination of social, energy, housing etc. is in place. Focus on long-term prevention rather than short-term support

» Invest in energy efficiency measures to reduce bills, improve health, generate employment and meet CO2 targets

» Targeted social tariffs and direct payments in preference to regulated prices for all household consumers

» Direct payments may encourage energy-efficient behaviour

» Industry to provide accessible information in different formats

» Empower consumers by demand response, information provision, etc.

» Improve the role/interaction of stakeholders: Government, regulators, industry, consumer associations, ombudsmen etc.

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Examples of Member State instruments and Practices

» Avoid (winter/summer) disconnections

» Subsidies for energy efficiency measures

» Encourage landlords to invest in housing stock improvements

» Supplier of last resort

» Social tariffs and direct energy payments

» Support with payment planning

» Regulation of telephone sales and door-to-door selling

» Bills in different formats e.g. large print; send to friend/neighbour

» Fuel Poverty Observatory

» NRA reviews to monitor number of disconnections etc.

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EnergyEnergy

Road Ahead in Energy Retail

EnergyEnergy

Strengthen Consumer Power•Rights•Competition•Value to Consumer Participation

Promote modern, intelligent grids

Facilitate new technologies and services

Public Consultation: http://ec.europa.eu/yourvoice/ipm/forms/dispatch?form=2013retailmarket

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Retail Market Design Issues – Public Consultation

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THANK YOU FOR YOUR ATTENTION !

Documents:http://ec.europa.eu/energy/gas_electricity/forum_citizen_energy_en.htm