Enel Looks to the Future with the European Energy Market

Published on Thursday, 15 January 2015

The key challenges facing the energy sector are currently being discussed in Europe, and EU institutions are required to guide its evolution in the coming decades. For this reason Enel, as part of the reorganisation of the Group, has decided to strengthen its presence in Brussels by participating in debates and meeting with major technical and political institutions, as well as with industry and environmental associations. Among the key goals set by the European Affairs Function, the creation of a single European energy market represents one of the most relevant. Reaching this goal would bring positive development to producers, businesses and consumers, who would reap the environmental, economic and social sustainability benefits arising from the market integration.

'Europe has a high degree of interconnection and a diversified generation mix; those two aspects are the key to built a continent-wide system that is more efficient and secure, through the establishment of clear and common European regulations which enable the integration of national markets,' says Enel's Head of European Affairs Simone Mori. 'A single European market would enable the use of both existing and future interconnecting infrastructures in a more efficient and sustainable manner, while leveraging the resources of each Member State and increasing the system's resilience.'

The process of market liberalisation is a key step towards the creation of the single European market. Twenty years ago the European Union adopted its first directive on liberalisation, however there is still some way to go to reach a full market integration. Member States have in fact transposed common principles while implementing different solutions at national level. The definition of common rules would enable a greater energy diversification – also through the integration of renewable energy sources –  making it available to a wider consumption area that is not exclusively tied to national or regional borders.

'Enel needs to play a key role in this debate in order to encourage the creation of a competitive European market that is well-functioning and integrated,' Mori adds. 'A system that can offer long-term stability, with mechanisms that include renewables and promote smart grids and make Europe more modern, advanced and efficient.'

The market we strive for needs to be supported by a strong structure focused on relations with stakeholders, key players in creating a consensus and being able to promote the Group's position within the most influential European forums.

'We believe that in 10 years' time the European energy sector will be different from that of today,' says Mori. 'Therefore, we will follow specific guidelines based on anticipation and interpretation of changes, opinion leadership, coalition building and management of the relationship between Member States and the European Union. 'The decision to strengthen Enel's presence in Europe today is a choice that will ensure positive results in the future.