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{{cquote|Energy as a commons? With paradigms new markets and opportunities arising with digitalising in the energy sector and democratising means of production and distribution, how can regulation be designed in such a way that energy systems these markets are equitable and ensure participation across society?}}
The Committee on Regional development in Heidelberg will focus on the power shift from '''centralised to decentralised''' distribution systems. With EU citizens' growing awareness of '''environmental issues''', new '''technological developments''' and '''[[Smart_grid|smart power grids]]''' on the horizon, a shift towards a distributed system that includes consumers and turns them into co-producers is a possible future for Europe's energy union. There are many challenges that have to be met before such a transfer can take place: The '''liberalisation''' of the energy market is still not fully implemented and few investments are in place to fund distributed systems. Moreover, the data recorded through power grids raises questions concerning '''data storage''' and '''protection''' and there is currently no strategy on who would regulate a European-wide power grid and how. Finally, many citizens seem to be “energy illiterate”, lacking the necessary knowledge to participate in a new decentralised system. To overcome these obstacles and ensure a bright future for distributed systems in the energy union is what REGI will cover in committee work and resolution.<br />
== The Past: Distributing energy the traditional way ==
While energy production reliant on coal and other fossil fuels got less decreased over the last 20 years and the percentage of renewables in the EU's energy mix is steadily increasing, the long-awaited energy revolution has yet to arrive and the EU's amount of energy production is decreasing as a whole.<ref>http://ec.europa.eu/energy/sites/ener/files/documents/2014_energy_market_en.pdf</ref>
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[[File:Traditional Power Grid.JPG|thumb|The traditional power grid]]
Energy distribution systems are traditionally centralised and one-directional: A power plant of any kind generates the energy that is then transmitted. Distribution systems then proceed to, as their name would suggest, distribute the energy to the consumers.<ref>http://www.edsoforsmartgrids.eu/home/why-smart-grids/</ref>
Nowadays electricity also tends to take over other forms of energy as well, as shown by the rising popularity of electric cars. This may accelerate the ever-growing demand for energy even further.
On the infrastructure infrastructural side of things, the ageing energy infrastructure of most Member States should also be taken into consideration. This stands in stark contrast with many modern energy-related technologies such as smart grids, renewable energy sources as well as energy trading systems.
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With decreasing EU energy production but increasing demand and consumption, geopolitical issues such as the EU-Russia tensions that have significant influence on fossil fuel imports into the European Union EU gain relevance.
== The Present: Obstacles to be addressed ==
=== The economic dimension ===
As of now, almost all of the energy distribution is done withing within centralised systems. Investments into the technology of smart grids have been relatively low and are coming from governmental resources only. Furthermore, the energy market rules would have to be newly defined and the roles of [[Distribution System Operators (DSOs)]] and [[Transmission System Operator|Transmission System Operators (TSOs)]] would change fundamentally.<br />
Energy markets are often unpredictable and uncontrollable, which is why the question whether affordable energy prices for consumers can be assured has been raised. Apart from that, only large infrastructure programmes have been funded at the moment.
=== The societal dimension ===
=== The technological dimension ===
Data protection is a hot topic when talking about the possibilities and opportunities of smart grids. The recording of consumers' energy usage data creates a new data risk and opens the door for exploitation if no preemptive measures are taken. Cyber attacks disabling the grid could have dramatic consequences, questioning the its reliability of the grid. With the introduction of smart grids, huge sums amounts of data would need to be stored.
== The Future: Smart grids - an outlook to what is possible ==
== The Actors: Who is involved ==
*'''European Commission & Directorate General on Energy'''
The European Commission is the main initiator of European law drafted. Its staff works in a wide variety of different fields and is divided by topics, the so-called Directorates Generals. The Directorate General on Energy deals with all matters related to energy, including the future of smart power grids. It reports to the Commissioner on Energy Miguel Arias Cañete as well as Vice-President of the Commission Maroš Šefčovič who is focussed on the establishment of the Energy Union. The Directorate General is divided into several Directorates. The task force on smart grids works within the framework of the Directorate General on Energy and is lead by Manuel Sánchez-Jiménez. It is noteworthy that the field of energy falls under the group of shared competences for the European UnionEU.<br />
*'''Member States’ energy ministries and distribution systems'''
== Measures in Place: What has been done ==
The Energy Union has become more and more important in the recent years. Its goal is it to ensure secure, affordable and climate-friendly across the European UnionEU.<ref>https://ec.europa.eu/commission/priorities/energy-union-and-climate_en</ref>
In its energy and gas directives in 2009<ref>http://eur-lex.europa.eu/legal-content/EN/TXT/PDF/?uri=CELEX:32009L0072&from=en</ref><ref>http://eur-lex.europa.eu/LexUriServ/LexUriServ.do?uri=OJ:L:2009:211:0094:0136:en:PDF</ref>, the EU set fundamental rules for an internal energy market, revising and expanding another directive from 2003.<br />
2012 was also the year when European Commission prepared for the roll-out of [[smart meters]].<ref>http://eur-lex.europa.eu/legal-content/EN/TXT/PDF/?uri=CELEX:32012H0148&from=EN</ref> They followed up with a recommendation for the data protection of deployed smart meters as well as smart grids in general.<ref>http://eur-lex.europa.eu/legal-content/EN/TXT/HTML/?uri=CELEX:32014H0724&from=EN</ref><br />
In preparation for the upcoming legal measures regarding smart grids and technology connected to it, the European Commission released a communication document in 2011, presenting various challenges connected to smart grids, such as funding of smart grid projects, technical standers standards across the continent, data protection, a regulatory framework, a competitive and open retail market and the continued support for technology and systems behind a smart grid system.<ref>http://eur-lex.europa.eu/LexUriServ/LexUriServ.do?uri=COM:2011:0202:FIN:EN:PDF</ref> That was followed up by a similar document in 2012. This time the European Commission outlined the benefits of an open, integrated and flexible energy market and how to get the most out of the internal energy market.<ref>http://eur-lex.europa.eu/LexUriServ/LexUriServ.do?uri=COM:2012:0663:FIN:EN:PDF</ref> How public intervention could have fundamental influence on the energy market was brought up for the first time in 2013 by the European Commission.<ref>https://ec.europa.eu/energy/sites/ener/files/documents/com_2013_public_intervention_en.pdf</ref><ref>https://ec.europa.eu/energy/sites/ener/files/documents/com_2013_public_intervention_swd07_en.pdf</ref><br />
In the middle of 2014, the Directorate General on Energy released a report on benchmarking results of smart metering deployment, naming the usage of available standards and the right set of functionalities to ensure interoperability and guarantee data protection, the need for a specific data privacy and security framework and getting the consumer on board as the key lessons learned from pilot programmes.<ref>http://eur-lex.europa.eu/legal-content/EN/TXT/PDF/?uri=CELEX:52014DC0356&from=EN</ref><br />
