Brussels considers incentive for reduced energy consumption

The European Commission is considering for inclusion, into its package of energy-crisis measures for EU member states, a voluntary mechanism that would offer incentives for reduced energy consumption by households and businesses, based on the principles of the demand response mechanism offering such incentives to industrial consumers.

Brussels’ energy crisis tool box was expected to be announced yesterday but has been postponed by a week so that it can be adjusted to new conditions created by last week’s Russian invasion of Ukraine.

As a result, the package is now expected to offer member states additional options aimed at ending Europe’s dependency on Russian gas.

French Minister of the Ecological Transition Barbara Pompili made reference to Brussels’ consideration of the mechanism that would offer households and businesses incentives to reduce energy consumption during a joint press conference with European Commissioner for Energy Kadri Simson, staged following an emergency meeting of EU energy ministers earlier this week.

“Obviously this is a debate that needs to take place in every member state,” Pompili noted, indicating that it will be up to every EU member state to decide on whether to adopt the measure that would offer consumers an incentive to reduce energy consumption.