Energy communities that promote decentralized renewable supplies require additional social responsibility support.
Energy communities, where citizens can organize the production, consumption, storage, sharing and sale of energy, are increasingly emerging as an opportunity to move towards a more decentralized, renewable-based and inclusive energy system.
Since 2018, the European Union has been promoting the Energy Communities Movement. By introducing “Renewable Energy Communities” (RECs) and “Citizen Energy Communities” (CECs) into law, the bloc establishes the legal status of new actors in the energy market that operate locally and beyond profit. I was able to do.
Recent legislation related to the “Fit for 55” package and the RePowerEU plan confirms the EU’s ambition to foster small-scale, decentralized and citizen-led energy production systems. For example, accelerating permitting for renewable projects and installing solar power on buildings. Mainstream could be a game changer for RECs using solar panels.
The EU’s solar energy strategy, introduced in May last year, although not legally binding, sends a strong new signal. The plan envisages that by 2025, all municipalities with a population of 10,000 or more will have a REC in place and an Energy Community Facility as a dedicated fund.
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Unlike traditional market actors, the energy community recognizes that it is primarily driven by objectives defined in EU law as “providing environmental, economic or social community benefits rather than economic profits”. It has been. Tensions will inevitably arise when they are integrated into liberalized markets where other actors do not have these obligations. Member States are therefore required by their EU legislation to establish a framework that addresses the specific needs and objectives of the energy community and allows them to participate on a level playing field.
The EU is right to emphasize the energy community’s wide-ranging contribution to society. These projects have the potential to strengthen social cohesion, for example by creating value at a local level or by distributing some of the profits and energy savings to the most vulnerable members of the community. I am. Community energy projects are more likely to distribute profits locally than large-scale private initiatives, and therefore can generate between two and eight times more local revenues than projects implemented by external actors.
reach out to the weak
There are many examples across the EU of energy communities realizing their potential and tackling energy poverty. Sun4All, an EU-funded project, uses the revenue generated from the generation and sale of renewable energy to reduce energy bills for vulnerable households. France’s Enercoop introduced a micro-donation scheme in 2019 from customers’ utility bills to support local programs that alleviate energy poverty.
But looking at the bigger picture, most energy communities struggle to reach vulnerable populations, and only a few redistribute benefits to energy-poor households. Members tend to be homeowners with sufficient income to pay membership fees and investments in energy efficiency. Nor does being a member of the energy community systematically lower energy prices relative to the market. This is the red line for most low-income people.
It takes significant time and resources to reach vulnerable populations who may not even know the energy community exists. However, many energy communities rely on volunteers. So scale makes a difference. The more members an energy community has, the greater the available financial and human resources, the more likely it is to involve vulnerable groups.
Awareness is also important. A lack of understanding of the needs and living conditions of vulnerable groups among members of the energy community can reproduce widespread bias and inequity. By collaborating with local governments and non-profit organizations, enterpictureS Join these groups and bridge the knowledge gap on both sides.
proper support
Therefore, without proper support, the energy community cannot be expected to meet additional responsibilities. Although much effort is needed at national and local level, the EU can and must support the energy community to play its social role. First, the EU will encourage Member States to encourage their energy communities to act for energy justice, including by attracting low-income households through reduced membership fees and collaboration with social housing providers and social services. Member States should be encouraged to adapt their implementation frameworks.
Second, EU legislators will decide whether support from the Energy Community Facility will be allocated to energy communities regionally and socially according to a set of criteria, such as the number of low-income households involved, the number of local businesses and/or associations involved. It should be conditional on the redistribution of profits from , such as the distribution of benefits and energy savings within the community. The EU will then encourage Member States to allocate or increase funding for local government workers involved in promoting the participation of energy communities themselves and vulnerable households, for example using the RePowerEU chapter of the Recovery and Resilience Plan. should be encouraged.
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Finally, the Commission will ensure that Member States report on how they plan to support the social contribution of the energy community in their national energy and climate change plans, especially given that they are under consideration. Should.
The EU is building momentum for Member States to take ownership of their energy communities, but these citizen-led initiatives need further support to achieve the overarching goal of social and territorial cohesion. be. Having said that, the role and support assigned to the energy community can be seen as an excuse to supersede structural policies by European, national and local policy makers, especially in the face of increasing energy poverty across Europe. It should never be taken advantage of.
Klervi Kerneïs is a researcher at the Jacques Delors Energy Center, working on European energy policy.