Explainer: Europe gets ready to revamp its electricity market

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Explainer: Europe gets ready to revamp its electricity market
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European Union energy ministers meet to debate upcoming power market reforms. Brussels is set to propose the revamp next month, but already countries are split over how to ‘fix’ the energy system - or whether it needs fixing at all

Spain, France and Greece are among those seeking a deep reform.

Similarly, France suggests requiring energy suppliers to sign long-term, fixed-price contracts with power generators - either through a CfD, or a private Power Purchase Agreement between the parties. Those countries support only limited tweaks, such as making it easier for consumers to choose between fluctuating and fixed-price power contracts.The Commission initially pitched the reform as a chance to "decouple" gas and power prices in Europe, suggesting a redesign of the current system of setting power prices. But EU officials say Brussels now appears to be leaning towards more modest changes.

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