Capacity Market update
Following a legal appeal, by Tempus Energy, and a subsequent ruling by the EU General Court in February 2019, the EU commission has been conducting an in-depth investigation into whether the Capacity Market (CM), in place in GB since 2014, contravened EU state aid regulations. On the 24thof October of this year, The Commission’s investigation concluded and confirmed that the Capacity Market scheme, covering the period 2014 “ 2024, complies with EU State aid rules, in particular with the 2014 Guidelines on State Aid for Environmental Protection and Energy. The investigation confirmed that”the scheme is necessary to guarantee security of electricity supply in Great Britain, is in line with EU energy policy objectives, and does not distort competition in the Single Market.“Notably, the Commission did not find any evidence that the scheme would put demand response operators or any other capacity providers at a disadvantage with respect to their participation




