Q&A on the opening of the energy markets and the European Energy Consumers’ Charter
- Belgium
- 06/29/2007
1. When is the opening of the EU energy markets?
The internal energy market legislation of 2003 sets 1 July 2007 as the date for market opening for all customers. However, 13 EU Member States have already opened their electricity and/or gas markets before that date. Others will open their energy markets on 1 July and for specific reasons and after a derogation granted by the Commission some Member States will open the markets in the years to come. The table below aims to present an overview of the situation in the European energy markets as this will be after 1 July 2007.
2. What does “opening an energy market” involve?
An “open energy market” brings down any legal or administrative barriers for companies to enter the market and to supply gas and electricity to the public. This means that after the 1st of July new suppliers have the opportunity to provide services to consumers at prices encouraging competition. An open energy market also involves safeguarding consumer interests, as well as business interests, vital for the proper functioning of the EU’s internal market and the provision of impetus to competition, innovation and economic development.
3. What are the features of an “open energy market”?
Open energy markets help to achieve a truly competitive single European electricity and gas market that will bring competitive prices, improve security of supply, will give customers the free choice of their supplier and the possibility to switch suppliers without incurring any costs. It will also help to protect the environment, as companies are driven to innovate in the field of environmentally-friendly renewable energies.
4. Why is the opening of the energy markets important?
The electricity and gas services are identified as “obligatory services of general interest” to which European citizens should have access. Every European citizen has the right to receive against payment regular, predictable and efficient levels of safe and secure electricity and gas services. Each Member State takes the appropriate measures to ensure the access to these services by all customers, especially the vulnerable ones, at reasonable and transparent prices.
5. How can I benefit from open energy markets as vulnerable consumer?
Vulnerable citizens are identified according to economic and/or mobility criteria in each Member State. Because of their reduced mobility or their considerably low income, they are considered more susceptible to become victims of an open competitive energy market and of misleading unfair commercial practices. Vulnerable citizens can be protected through specially established social schemes like social aids and reduced tariffs or arrays ensuring their continuous access to the electricity and gas services and sufficient warmth for their health and comfort.
6. Do I need to take any action in order to benefit personally from the opening of the energy markets?
As European consumer, you will have to play an active role in the establishment of an open and competitive market. The right to switch your electricity or gas supplier will contribute in boosting competitiveness and in developing new renewable energies to the benefit of lower prices and the protection of the environment. It also gives you the opportunity to select the best possible service at the most reasonable prices or change your current supplier without any incurred costs. To fully benefit from the opening of the market, make sure to familiarize yourself with national consumer rights applicable to the energy sector.
7. How can I be sure that my rights are protected?
The EU has laid down rules and regulations on the opening of the energy markets in your country, which along with your national legislation are there to ensure that you are properly informed before signing a contract, that you are protected against misleading, unfair or non-transparent practices by your supplier, and that vulnerable citizens are not left alone. In addition the European Commission will help strengthening these consumer rights by proposing a European energy consumers’ Charter. This Charter shall be implemented with the support of governments, regulatory authorities, the energy industry and consumer organizations. The European Commission will monitor this implementation and intervene where appropriate.
