The European Commission presented a package of energy cost reduction measures to EU Energy Ministers at the informal Energy Council in Nicosia on Wednesday, as part of the AccelerateEU programme aimed at helping consumers across member states cope with the energy crisis linked to the conflict in the Middle East.
Commissioner for Energy and Housing Dan Jørgensen presented the list, which covers measures that can be implemented immediately and are designed to cut costs in the short term while building resilience in the European energy system over the medium and long term.
The measures focus on three pillars: consumer and industry protection in line with green transition goals; immediate energy saving and clean technology development; and investment in energy efficiency and demand flexibility.
Accelerating the implementation of existing EU rules could reduce natural gas demand by 10 to 15 billion cubic metres per year and cut oil use by 15 to 20 million tonnes of oil equivalent annually, according to the Commission.
Cyprus is cited by the Commission as an example, having run a subsidy programme in 2021 to replace energy-inefficient household appliances with high-efficiency models, targeting vulnerable households.
The measures
The Commission’s list includes:
- Temporary targeted subsidies for vulnerable households (energy vouchers)
- Reductions in electricity excise duties
- Measures to prevent electricity provider bankruptcies
- Strengthening energy communities and self-generation
- Replacement of energy-inefficient appliances
- Home energy upgrades and insulation
- Smart meter and smart grid development
- Demand response and flexibility programmes, allowing consumers to shift electricity use to off-peak hours
- Fast-track renewables licensing using digital tools and AI
- Strengthening electricity storage capacity
- Removal of regulatory barriers to electric vehicles and heat pumps
- Promotion of electricity grid interconnections