1. 1 Citizens' Energy Forum 2013 and Energy Retail in 2014 Jan Panek, Head of Unit ENER B3

2. 2 Citizens' Energy Forum 2013: London, 16-17 December (I). Plenary Sessions » High-Level Panel Discussions Is the IEM Working For Consumers? Involving Consumers in the 2020 Vision (EESC/CEER/BEUC) » Reporting Session ACER/CEER Annual Monitoring Report 2012 Vulnerable Consumers Working Group – Guidance Document E-billing and Consumer Data Working Group - Report

3. 3 Citizens' Energy Forum 2013: London, 16-17 December (II). Break-out Sessions: » Active Consumers Consumer Engagement Demand Response Data privacy » Effective Governance Collaborative Enforcement Energy Efficiency and Energy Poverty DSOs' Role in Evolving Retail Markets

4. 4 Citizens' Energy Forum 2013: London, 16-17 December (III). Conclusions: » Implementing EU Regulatory Framework Collaborative enforcement Price transparency and comparability RASP (reliability, affordability, simplicity, protection/empowerment) » Consumer Engagement and Empowerment Role of collective initiatives: switching, demand-side participation WG on consumers as market agents » Consumer Information, Rights and Protection of Vulnerable Consumers E-billing and Vulnerable Consumers reports Consumer Awareness about Rights Data Security, Privacy Protection » Role of Market Players Cost-efficiency and consumer interest in DSO operations Facilitation of new services and market entrants

5. 5 Vulnerable Consumer Working Group – Guidance Report. WG Launched in March 2012. Membership: » NRAs/CEER + Ministry representatives » Consumer associations, NGOs + ombudsmen » Industry representatives » Academia. Actions » Establish the drivers of vulnerability and MS measures to address it » Provide guidance for Member States to define VC » Share examples of Member State instruments and practices » Address energy and social policy, incl. energy efficiency measures

6. 6 Energy 1 in 4 at risk of poverty or social exclusion %

7. 7 Tasking and Process 2012:Drivers MS Instruments/Measures overview 2013:Examples Report: Guidance Document of Practices on Vulnerable Consumers To assist Member States with: » Defining the concept of vulnerable customers Existing definitions are based on income, % of income spent on energy bills, consumer characteristics, household size etc. » Sharing Member State instruments and practices » Designing instruments » Applying instruments

8. 8 Drivers of vulnerability table Market ConditionsIndividual Circumstances Living ConditionsSocial/Natural Environment Final energy price levels Level of competition Income level Health and disability IT skills/internet access Education: literacy/ numeracy skills Under-occupancy Type of heating system Quality of housing stock State of economy Climate Debt policies Selling and pre-contractual practices Bill transparency/ accessibility Available payment methods Inclusiveness of corporate system designs and service provision Age Single-parent/ large family/ carer Retired/unemployed Immigrant or national/ethnic minority Prepayment meters Equipment efficiency (boilers etc.) Location Tenancy Governance (local/regional/ national) Social inclusion Key Drivers Exacerbators

9. 9 Contents of Guidance Document on Vulnerable Consumers » Law (3 rd Energy Package, Energy Efficiency Directive), ADR » Work undertaken by DG ENER, DG SANCO and CEER » Mix of social and energy policy » Key drivers and exacerbators of vulnerability » Examples of Member State instruments and practices » Energy efficiency, heating and cooling » Funding mechanisms » Enabling demand response » Stakeholder recommendations

10. 10 Recommendations » Review policy mix to ensure best combination of social, energy, housing etc. is in place. Focus on long-term prevention rather than short-term support » Invest in energy efficiency measures to reduce bills, improve health, generate employment and meet CO 2 targets » Targeted social tariffs and direct payments in preference to regulated prices for all household consumers » Direct payments may encourage energy-efficient behaviour » Industry to provide accessible information in different formats » Empower consumers by demand response, information provision, etc. » Improve the role/interaction of stakeholders: Government, regulators, industry, consumer associations, ombudsmen etc.

11. 11 Examples of Member State instruments and Practices » Avoid (winter/summer) disconnections » Subsidies for energy efficiency measures » Encourage landlords to invest in housing stock improvements » Supplier of last resort » Social tariffs and direct energy payments » Support with payment planning » Regulation of telephone sales and door-to-door selling » Bills in different formats e.g. large print; send to friend/neighbour » Fuel Poverty Observatory » NRA reviews to monitor number of disconnections etc.

12. 12 Energy Road Ahead in Energy Retail Energy Strengthen Consumer Power Rights Competition Value to Consumer Participation Promote modern, intelligent grids Facilitate new technologies and services Public Consultation: http://ec.europa.eu/yourvoice/ipm/forms/dispatch?form=2013retailmarket

13. 13 Retail Market Design Issues – Public Consultation Consumer Choice and Control – Ease of Switching Information Availability and Transparency Price Formation and Composition Market Functioning and Consumer Participation Effective and Efficient Competition Open and efficient networks - incentives Data Management and DSO Role(s) Market Structure Role and Value of Flexibility and Demand Participation Incentives for service and product innovation Role of technology – smart meters and appliances Demand-side Participation

14. 14 THANK YOU FOR YOUR ATTENTION ! Documents: http://ec.europa.eu/energy/gas_electricity/forum_citizen_energy_en.htm