C13-PC-71: Regulatory and Market Aspects of Demand-Side Flexibility

2013/11/08 - 2013/12/20

Background

CEER Public Consultation on Regulatory and Market Aspects of Demand-Side Flexibility

As part of the CEER 2013 Work Programme, we committed to deliver a report exploring the emergence of demand-side flexibility measures within the regulated electricity sector (focussing on market-led and network-led approaches). Demand-side flexibility has the potential to offer a range of advantages, such as reduced system/consumption costs, enhanced generation adequacy and greater accommodation of intermittent renewable energy sources (RES). However, appropriate market and regulatory arrangements must be in place before this potential can be realised.

To establish a starting point, an internal survey was conducted amongst National Regulatory Authorities (NRAs) to explore how demand-side flexibility arrangements operate in different countries (with a particular focus on regulatory responses to the implementation of the Energy Efficiency Directive 2012/27/EC). Although non-exhaustive, these experiences revealed a wide range of activity amongst regulators and provided a useful first impression.

This public consultation builds on this activity, and seeks to collect a range of evidence and views on the barriers and opportunities affecting the emergence of demand-side flexibility measures. Our definition of demand-side incorporates both market-led and network-led approaches.

In doing so, the consultation also aims to improve our understanding of how participants in the regulated energy sector are responding / planning to respond to the relevant requirements in the Energy Efficiency Directive (2012/27/EU) and wider Third Package obligations, and the recent Commission Communication on Delivering the internal electricity market and making the most of public intervention (including its acoompanying Staff Working document on ‘Incorporating demand side flexibility, in particular demand response, in electricity markets’).

The consultation document sets out the background, definitions and high level issues for consideration alongside a series of consultation questions, with the expectation these can be further explored with the input of stakeholders. In addition to this consultation we will be holding a stakeholder workshop on 18 November to help gather views, before bringing forward the final Advice in Spring 2014. This CEER Advice will support regulators further work in this area and help inform wider developments in European energy policy.

Stakeholders are invited to participate in the public consultation via the dedicated online questionnaire in this section of the CEER website.

CEER invites all interested stakeholders to provide comments on all aspects of the public consultation document and in particular on the specific questions set out in the consultation document and in the dedicated online questionnaire.

Any responses should be submitted by Friday 20 December 2013 through the dedicated online questionnaire.

Following the consultation, CEER will publish all non-confidential responses received. Respondents requesting confidentiality should submit those confidential aspects of their response by marking them as "confidential" in the dedicated online questionnaire.

Any questions on the consultation document and the online consultation should in the first instance be directed to:

Ms Natalie McCoy
CEER Secretary General
Tel. + 32 (0) 2788 73 30
Email: natalie.mccoy@ceer.eu

Consultation Documents

Regulatory and Market Aspects of Demand-Side Flexibility
Public Consultation Document - this is the core consultation document

Example Responses
This document aims to give some brief guidance for responses to the consultation in order to assist stakeholders in responding to the questions

CEER's Public Consultation Guidelines

Online questionnaire instructions

C14-SDE-40-03
CEER Advice on ensuring market and regulatory arrangements help deliver demand-side flexibility, 26 June 2014

Ref: C14-SDE-40-03a
CEER Evaluation of Responses to the public consultation, 26 June 2014

Responses Received

Additional responses
ENTSO-E Response

Public Workshop

CEER Workshop on Demand-Side Flexibility

More information, including the agenda, presentations and a summary of key conclusions will be available on the event webpage shortly after the workshop (18 November 2013).