Local Governance for Transnational Energy Transition

25 February 2019 - San Domenico di Fiesole, Italy

TJean-Michel Glachant | Florence School of Regulation/RSCAS/EUI

Miguel Poiares Maduro | School of Transnational Governance/EUI

Leigh Hancher | Florence School of Regulation/RSCAS/EUI & Tilburg University
Lucila de Almeida | Florence School of Regulation/RSCAS/EUI & University of Helsinki

INTRODUCTION
Decarbonisation, decentralisation, and digitalisation are major drivers of an ongoing transformation in the energy markets. The so-called ‘energy transition’ challenges the way markets have been regulated, but not only. It also challenges upon the existing EU energy governance system. Besides the current multi-level governance between the EU, national authorities and undertakings, decentralised energy markets add to the puzzle the growing role of local authorities.
The role of local authorities for the energy transition needs to be suitably incorporated in the governance model of the emerging EU multi-layer and multi-sector energy market architecture. A coherent governance model must conciliate five different dimensions: technical system management, market organisation, institutional structures, consumer and market agent’s interaction (business) models and policy.
A new energy governance requires the creation of new functions and structures, as well as the adaptation of existing ones. This increasing complexity must be urgently translated at regulatory and governance levels. It includes the vertical dialogue between regional, national and local authorities, as well as diagonal coordination between these multi-level authorities and the new business model or market roles, e.g. decentralised renewable generation, news role of DSOs, mini-grids, cooperative and digital platforms trading power, prosumers, targets on heating and cooling, electric vehicle charging industry, biogas plant for organic waste management, etc.

Objective
The objective of this workshop is twofold:
a) to discuss theory and practice of new energy local governance models;
b) to launch a proposal for translating into an appropriate legal language all relevant technical, economic and institutional aspect at the core of a new energy governance in the EU and for providing the necessary training structure to all involved decision-makers and stakeholders.
Implementation of this proposal should be achieved through a project supported by interested cities and the European University Institute (Florence School of Regulation and School of Transnational Governance). Active support from European institutions and the European Federation of Energy Law Associations is also expected.