LDES Council Provides Comments to European Commission on EU Electricity Market Design Reform

In February 2023, the European Commission requested public comments to address the current energy crisis and energy security issues in the European Union. The Commission is considering policy changes which can help ensuring that the benefits from rising renewable power deployment are brought to consumers such as large industrial consumers, SMEs and households.

The rise of renewable energy leads to a clear need for policies that support the acceleration of long duration energy storage (LDES).

The LDES Council submitted comments and a series of recommendations. Download an executive summary and overview of the Council's recommendations below.
The LDES Council presents the following policy recommendations for the EU Electricity Market:

  • Establish clear market signals to help existing markets improve system needs and allow for grid reinforcements and flexibility to match climate dependent generation.
  • Provide access and availability to provide ancillary services that can participate in markets and then LDES can turn renewable energy into profits.
  • Create 24/7 Clean Power Purchase Agreements to balance supply and demand for power as renewables grow in generation capacity.
  • Continued improvements to inclusive and long-term grid planning acknowledging the dispatchability and flexibility of LDES. 
  • Support for island nations auctions with clear price signals and diverse bid options for capacity payments. 
  • Allowance for storage as a transmission asset providing another tool for congestion management.
  • Allocate LDES benefits for load management and interconnection, especially for cross border reliability. 
  • Support for diverse LDES technology options.
  • Ensure existing policies and rules are amended to include the benefits of LDES and promote revenue support mechanisms to ensure rapid deployment of LDES in the EU marketplace.

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European Electricity Market Design Reform Recommendations - Executive Summary
European Electricity Market Design Reform Recommendations - Overview