1 Introduction
The energy transition within the European Union is now well under way. It is clear that this transition will have a major impact on the structure of the electricity grid, not only in physical terms, but also with regard to the roles and responsibilities of the different market participants. Advances in technology and drastic cost reductions have enabled the widespread implementation of new grid technologies, such as solar panels and battery storage. This enables consumers to be more active in the grid, and to become ‘prosumers’.
In a European legal context, the prosumer concept is still in its infancy. In its Framework for the Energy Union and several subsequent communications, the European Commission has made it clear that the future of energy will be citizen-oriented.(1) European Commission, ‘A Framework Strategy for a Resilient Energy Union with a Forward-Looking Climate Change Policy’ COM (2015) 80 final 2. Nevertheless, the academic literature on prosumption is not consolidated and many different definitions of the prosumer are in circulation. This has led to confusion around the limits and proper use of the prosumer concept.
This paper aims to explore and clarify the scope and boundaries of the prosumer concept in European energy law. In the first part, the paper will give a brief overview of the origins of the prosumer concept. In the second part, we will look at the coverage and limitations of the prosumer concept in an energy context. In the final part, we will assess the extent to which prosumer activities are recognized by European energy law.