Fuente: © European Union
http://europa.eu.int

EU: Andris Piebalgs Energy CommissionerConsumers Come First in the Internal Energy Market

Keynote speech at the conference on the rights of energy consumers

/noticias.info/ Brussels, 6 May 2008

Ladies and gentlemen,

Like Meglena, I would like to welcome you today. We both see this conference as an important milestone in the Commission's campaign to improve energy consumer rights. As the Commission's Communication last July on this subject underlined, these rights do exist; they have been developed over the years by the European Commission and by our Member States, and guaranteed by European legislation. Moreover, since 1st July 2007, liberalisation applies to the retail market.

We are proud of our achievements. The question now is how to further improve them from the legal point of view; and how to ensure consumers are better informed so that they can fully exercise those rights.

The European energy policy has three objectives – reducing climate change, security of supply, competitiveness of European undertakings. Our aim is to protect European consumers in terms of access, price and supply. The Commission did not wait for the Third energy internal market package to do something about this.

Back in 2003, the Electricity and Gas Directives were already far-reaching in their recognition of energy provision as a universal public service, thus establishing the right to be supplied with electricity and gas at reasonable, easily and clearly comparable and transparent prices.

Furthermore, the second package provided for the protection of customers in general, and of vulnerable customers, in particular by Member States. These basic rights were detailed in a list, attached to the Directives. To name a few of these basic rights, customers have:

* the right to be supplied with electricity anywhere in the EU at an objectively reasonable and transparently calculated price;
* the right to have a contract with an energy supplier stating your rights and obligations in a comprehensible manner;
* the right to receive clear, transparent, comparable bills; or
* the right to re-negotiate your contract or to switch supplier without burdensome procedures, within a reasonable timeframe
* and above all, the right not be charged for it.

On this solid basis, the question was how to improve further customer rights. This is one of the objectives of the Third package.

To start with, let me recall a few facts which, although simple, have in fine an important impact on the consumer: access to the grid which must be non-discriminatory and transparent; cross-border trade, which means more electricity and gas interconnections between Member States, and closer cooperation between transmission system operators.

To achieve this, the EU needs not only effective unbundling, but also effective regulation. In other words, Europe needs strong national regulators and better cooperation between them. This is why we proposed the establishment of a Regulators Agency at the EU level. This is also why we suggested, in parallel, that all national regulators be given the same, enhanced role in a wide range of issues. They should be responsible for monitoring the level of market opening and competition at the retail level - this will include monitoring household prices, switching rates, disconnection rates and household complaints.

The Commission believes that regulators should ensure high standards of universal and public service for electricity and for gas; proper implementation of measures on consumer protection and protection of vulnerable consumers. The Commission has proposed adding new rights to this list, like giving consumers harmonised actual energy consumption data and costs free of charge.

To increase supply possibilities, the Commission proposed in early January to boost the production of electricity through renewable energy. Renewable energy offers two great advantages: it is produced locally and is CO2 free. Its main disadvantage is cost. This is why the Commission proposed to the European Council to considerably increase its use, from 8,5 % today of our energy mix to 20 % in 2020. The economy of scale should decrease the cost significantly. To meet this ambitious objective at European level, the Commission has proposed to the Member States national targets. This, in the end, will offer the consumer more choice in the type of electricity.

Of equal importance is energy efficiency. It is all very well, as a consumer, to seek lower energy bills. But this is not enough: if you want to pay less money for electricity or gas, you should use your energy in a more efficient way. You should switch off lights when not needed, do not put your computer or TV on stand-by, you should use energy efficient bulbs. All this requires changes in consumer behaviour; it also means new legislation to reach the EU objective of 20 % energy savings by 2020. National energy efficiency plans have an important role to play in this respect. All these actions will help consumers take better informed decisions.

The measures I have just mentioned contribute significantly to consumer protection. We also need to ensure better implementation at national level and better information for the consumer.

The consultation following the adoption of the Commission's Communication showed the limited extent to which European citizens understand how legislation can protect their rights. The lack of understanding may perhaps derive from incomplete national implementation of EU legislation.

However, it has also been found that local diversity, and the range of legal instruments and overlapping responsibilities, compounds the problem. Given lack of information on the part of the consumer, there is strong support for the provision of accurate and practical information.

This is why, as Meglena mentioned, the Commission has launched an information Campaign, "Agathe Power". I could give you many examples illustrating consumers' lack of awareness of their rights. One which struck me recently was a poll in France showing that French people, when asked whether they know their rights, say they do. However, when asked specifically about what their rights are, there is a sudden hesitation, if not silence. 70 % did not know they could change supplier.

In this context, the Commission's campaign has two objectives:

* Raising consumers' awareness of alternative offers as a result of open electricity and gas markets, and
* Assuring them that their rights remain fully protected if they decide to make use of such offers.

Empowered consumers will be active players in the energy market if they have access to the right information and are actively represented in discussions to promote competition.

In addition to the information campaign, the Commission intends to establish the Citizens' Energy Forum, which should meet for the first time next autumn.

This is the new name for the Retail Forum, referred to in the Third Package. I decided to rename it because, for me, this forum should be somewhat different from the existing fora of Florence and Madrid dealing with electricity and gas markets. Its primary role will be to give guidance to Member States with a view to the creation of a competitive retail market in Europe; in other words, it will complement the ongoing work of these fora.

But I wanted to go further. Information for consumers is not enough to ensure their active participation in the market. One way to help is to give bodies responsible for protecting consumers the opportunity to discuss and influence best practices at an EU level, along with other stakeholders. This is why this Forum will be also deal with the protection of consumer interests, including those of vulnerable customers.

It will involve stakeholders active on all aspects of retail markets: energy regulators; competition authorities; national bodies competent for enforcing energy consumer rights; Member States' energy and consumer administrations; and industry and consumer associations, from both European and national levels.

In practice, this Forum with be responsible for the removal of technical and structural barriers to new entry into the retail market; the coordination of codes of conduct on industry best practice; the use of public service obligations to protect vulnerable consumers; and the follow-up to the Energy Consumer Checklist.

This check-list is the third initiative launched by the Commission and will be presented later this morning. It is a practical answer to consumers’ ‘frequently asked questions’ about their own retail energy markets, in their own language. The Commission has started this process by preparing a list of relevant questions, and I invite you to cooperate at national level to provide the relevant answers. This, in turn, will form an easily accessible data pool containing comprehensive information about energy markets across the EU in all EU languages.

Ladies and gentlemen,

As you can see, the challenge is not the absence, or the lack of European legislation to protect consumers: this legislation exists and has been reinforced by the third package which, I hope, will be adopted soon. Today's vote in the ITRE Committee of the European Parliament is important in this regard, as are the efforts of the Slovenian Presidency to reach a compromise in the Energy Council on 6 June. I am particularly grateful to Mrs de Vits and Mr Jeršič for being here with us.

The question now is how to ensure the implementation of these rights, and how to contribute to consumers' self-empowerment.

This is why we have invited you all, Member States, European Parliament, national authorities for energy or consumer issues, regulatory bodies, consumer associations and industry. We expect your active input.

Let me thank you all in advance for your contribution. notas_de_prensa_archivo