The Energy Council of EU energy ministers, which convened yesterday, has adopted two Greek proposals, a mechanism offering protection against energy price increases as well as a flexibility mechanism for gas-fueled power plants, the Greek energy ministry has announced.

The price protection mechanism, supported by Greece, Spain and allies, on the matter, represents the continuation of a windfall earnings recovery mechanism in the wholesale electricity market. If triggered, amounts collected through the mechanism would be used to subsidize consumer electricity bills.

This mechanism had been adopted by the European Commission last year, based on a Greek model, before it was applied by member states with some variation.

Also, within the framework of the EU’s capacity availability mechanisms, energy ministers included a provision allowing availability-related fees for gas-fueled power stations if they meet required technical specifications. This provision will enable a flexibility mechanism to be applied.