Communication from the Commission - Towards a European Charter on the Rights of Energy Consumers
Date: 2007-07-05
Institutions: European Commission
Subjects: European charter, consumer protection, energy consumption, energy policy

COMMISSION OF THE EUROPEAN COMMUNITIES 

Brussels, 5.7.2007 
COM(2007)386 final 

COMMUNICATION FROM THE COMMISSION 

Towards a European Charter on the Rights of Energy Consumers 

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1. 

INTRODUCTION 

In the energy policy Communication1 and in the Communication on the internal gas 
and  electricity  market2  of  10  January  2007,  the  Commission  stated  its  full 
commitment to ensure  that  consumer  interests are fully taken into account and that 
the  highest  possible  standards  of  public  services  in  energy  across  the  European 
Union  are  applied.  The  Council3  and  the  European  Council4  welcomed  the 
Commission's approach and agreed on the need for improving consumer rights in the 
internal market for gas and electricity. 

There  is  broad  consensus  that  market  mechanisms  alone  cannot  fully  ensure 
consumers' best interests in the energy sector. For that reason, the electricity and gas 
Directives5  provide  for  public  service  obligations  and  consumer  rights.  The  full 
opening  of  the  European  Union's  gas  and  electricity  markets  is  an  appropriate 
opportunity  to  reiterate  the  need  for  adequate  consumer  rights.  This  is  why 
forthcoming European action will focus on monitoring implementation and effective 
enforcement of consumer rights at national level and reinforcing or, where necessary, 
extending some of these rights. 

Effective  consumer  rights  are  essential  to  ensure  that  liberalisation  successfully 
delivers  real  choice  and  gives  consumers  the  confidence  to  switch  supplier  if  they 
wish  to  do  so.  Consumers  will  be  active  players  on  the  energy  market  if  they  are 
effectively protected. The European Union's binding objectives concerning reduction 
of  CO26  emissions  further  stresses  the  need  for  strengthening  consumer  rights'  on 
information  and  in  particular  appropriate  information  to  better  manage  energy 
consumption. 

The  consultation  document  containing  possible  elements  of  a  future  Charter  on  the 
Rights  of  Energy  Consumers  annexed  to  this  Communication  constitutes  an 
important part of this policy. 

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4 

5 

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Communication  from  the  Commission  to  the  European  Council  and  the  European  Parliament:  An 
Energy Policy for Europe, COM(2007)1 of 10.1.2007. 
Communication  from  the  Commission  to  the  European  Council  and  the  European  Parliament  on 
Prospects for the Internal Gas and Electricity Market, COM(2006) 841 of 10.1.2007. 
Council conclusions 15.2.2007 in Council document 6271/07. 
Presidency  conclusions,  Brussels  European  Council  of  8./9.3.2007,  Council  document  7224/1/07 
request Better consumer protection, e.g. through the development of an Energy Customers' Charter. 
Directive  2003/54/EC  of  the  European  Parliament  and  of  the  Council  of  26  June  2003  concerning 
common  rules  for  the  internal  market  in  electricity  and  repealing  Directive  96/92/EC,  OJ  L  176  of 
15.7.2003, p. 37 (Electricity Directive), and Directive 2003/55/EC of the European Parliament and of 
the  Council  of  26  June  2003  concerning  common  rules  for  the  internal  market  in  natural  gas  and 
repealing Directive 98/30/EC, OJ L 176 of 15.7.2003, p. 57 (Gas Directive). 
Presidency conclusions, Brussels European Council of 8./9.3.2007, Council document 7224/1/07 

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2. 

INFORMATION CAMPAIGN 

Stimulating consumer interest in alternative supply offers is expected to play a part in 
creating competitive markets. Past experience has shown that consumers will only be 
active  on  the  market  place  if  they  are  confident  that  their  rights  continue  to  be 
protected, in particular when switching operator. 

In close connection with the full opening of Europe's gas and electricity markets for 
individual  consumers  (and  small  businesses)  on  1  July  2007,  the  Commission  has 
launched  a  major  information  and  awareness-raising  campaign,  with  two  overall 
objectives: to raise consumers' awareness of the benefits of alternative offers that are 
created  by  open  electricity  and  gas  markets,  and  to  assure  them  that  their  rights 
remain fully protected when they decide to make use of such offers. 

The  Commission's  consultation  process  on  the  future  Charter  will  be  closely 
associated with the information campaign. 

3. 

CONTEXT 

The  Energy  Policy  Communication  stated  that  "Energy  is  essential  for  every 
European.  Existing  European  legislation  already  requires  the  respect  for  Public 
Service Obligations. But the European Union needs to go further in tackling energy 
poverty."  The  Commission  committed  itself  to  developing  an  energy  consumers' 
charter with four key goals: 

a. 

Energy is essential for every European 

Energy  is  of  the  greatest  importance  in  ensuring  social  and  territorial  cohesion, 
economic  stability  and  sustainable  development.  In  developed  economies, 
individuals  are  cut  off  from  society  if  they  do  not  have  access  to  electricity.  The 
same holds true for business. Adequate energy provision therefore constitutes one of 
the  key  elements  towards  achieving  citizens'  successful  participation  in  social  and 
economic life. 

A  sufficient  number  of  market  competitors,  an  extensive  supply  offer,  competitive 
prices, and active and informed consumers can create a genuine internal market for 
electricity and gas. However, the development towards an internal energy market has 
occurred gradually, and all conditions for the full opening of the European Union's 
gas  and  electricity  markets  only  apply  as  of  1  July  20077.  The  improved  safeguard 
and  reinforcement  of  consumer  interests  on  a  par  with  corporate  interests  is  a 
prerequisite  for  a  well  functioning  internal  market  and  is  also  expected  to  lead  to 
increased energy efficiency. It also provides impetus to competition, innovation and 
economic development. 

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14 Member States will open the market for electricity and/or gas only on 1.7.2007. 

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Existing European legislation already requires the respect for public service 

b. 
obligations 

The  European  Union  has  opted  to  bring  about  growth  and  competitiveness  with 
respect for the principle of sustainable development. Protection of the environment, 
of consumers and the socially vulnerable is an integral part of the European Union's 
policy  towards  attaining  a  single  market.  Long  before  the  general  European  debate 
on  services  of  general  interest  started,  provisions  for  public  services  already 
constituted a sine qua non condition of energy law8. Public service obligations are a 
necessary  supplement  to  competition.  If  market  forces  alone  do  not  meet  society's 
general economic interest, governments have the right – and sometimes an obligation 
- to intervene. Member States are therefore granted the right to impose public service 
obligations  on  companies,  where  necessary.  They  are  free  to  define  the  details  as 
long  as  these  obligations  are  designed  to  meet  common  European  objectives9  and 
comply with the principles laid down in the Directives10. 

Keeping national priorities in line with common objectives under European policy is 
a  great  challenge.  During  transition  towards  effective  competition  an  imbalance  of 
power between consumers and the industry and lack of information tend to weaken 
individual  consumers.  Social  and  environmental  conditions  in  the  European  Union 
are affected by external factors such as international competition and internal factors 
based  on  the  disparities  in  Member  States'  economies.  Well  targeted  universal  and 
public  service  obligations  for  energy  consumers  must  remain  at  the  heart  of  the 
market-opening process. 

c. 

The European Union needs to go further in tackling energy poverty. 

Notwithstanding the fact that a large majority of European citizens are satisfied with 
their electricity supply11, fuel poverty is considered to be a growing risk. High prices 
for  primary  energy  sources  as  well  as  a  number  of  national  and  European  policy 
choices  for  energy  or  in  relation  to  environmental  aspects  may  cause  inflation  in 
energy  prices.12  The  situation  of  individual  consumers  in  vulnerable  financial 
situations  may  further  aggravate  through  incomprehensible  billing  arrangements  or 
unjustified metering arrangements. 

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12 

Since 1996: Directive 96/92/EC of the European Parliament and of the Council of 19 December 1996 
concerning  common  rules  for  the  internal  market  in  electricity,  OJ  L  27  of  30.1.1997,  p.  20  (former 
Electricity Directive), and Directive 98/30/EC of the European Parliament and of the Council of 22 June 
1998  concerning  common  rules  for  the  internal  market  in  natural  gas,  OJ  L  204  of  21.7.1998,  p.  1 
(former Gas Directive) 
Article 3(2) of both the electricity and the gas Directives give Member States the right to impose public 
service  obligations  concerning  the  following  objectives:  …  security,  including  security  of  supply, 
regularity, quality and price of supplies and environmental protection, including energy efficiency and 
climate  protection.  By  means  of  a  notification  mechanism,  the  Commission  ensures  compliance  with 
European law and publication grants full transparency. 
Principles such as clear definition, transparency, non-discrimination, verifiability and equal treatment, 
including equal access to consumers for all companies 
European consumers are fairly satisfied with energy supply: the average score at EU25 level is 7.6 (on a 
scale  from  1  to  10)  for  both  electricity  and  gas  –  Consumer  Satisfaction  Survey  –  2006  -  to  be 
published. 
For more information, see the European Commission Report on the Evaluation of the Performance of 
Network Industries Providing Services of General Interest – 2006 – annex, p. 93 – to be published 

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While  it  seems  necessary  to  encourage  consumers  in  their  attempt  to  find  the  best 
offers,  an  overall  increase  in  energy  prices  may  become  a  heavy  burden  on  the 
budget of individual consumers. Infrequent metering and billing can also increase the 
economic impact of rising energy prices and exacerbate fuel poverty. The electricity 
and gas Directives set out safeguards to protect vulnerable consumers and require, in 
particular, appropriate measures against disconnection. 

The  Commission  is  of  the  opinion  that  Member  States  have  not  sufficiently 
addressed  the  problem  of  vulnerable  consumers.  Indeed,  only  half  of  the  Member 
States have attempted to even define such consumers and  only five  Member States 
are considered to have any form of social default tariff. Where Member States are in 
to  pursue 
violation  of  existing  obligations, 
infringement procedures. 

the  Commission  will  continue 

The Commission considers that the future Charter should offer guidance on the best 
way(s) to efficiently address vulnerable consumers' needs. 

d. 

The key goals 

A European Charter on the Rights of Energy Consumers must focus on four issues 
raised by the Commission's Energy Policy Communication13: 

–  assist  in  establishing  schemes  to  help  the  most  vulnerable  EU  citizens  deal  with 

increases in energy price, 

–  improve  the  minimum  level  of  information  available  to  citizens  to  help  them 

choose between suppliers and supply options, 

–  reduce paperwork when consumers change supplier, and 

–  protect consumers from unfair selling practices. 

Enforcement  of  consumer  rights,  information  on  energy  efficiency  measures  and 
patterns of behaviour, consumer representation, access to adequate levels of energy 
and reasonable prices are further elements of significance for better consumer rights. 

e. 

Points of departure for possible new elements 

Effective  consumer  protection  is  essential  to  ensure  that  consumers  will  be  active 
players on the energy market and that liberalisation successfully delivers real choice. 
European energy market legislation in force14 and transposed by Member States into 
national  legislation  addresses  general  and  consumer  interests  and,  in  particular, 
provides for 
–  the universal right to be supplied with electricity15. 

13 
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p 10 of the Commission Communication : An Energy Policy for Europe 
Directive  2003/54/EC  of  the  European  Parliament  and  of  the  Council  of  26  June  2003  concerning 
common  rules  for  the  internal  market  in  electricity  and  repealing  Directive  96/92/EC,  OJ  L  176  of 
15.7.2003, p. 37 (Electricity Directive), and  Directive 2003/55/EC of the European Parliament and of 
the  Council  of  26  June  2003  concerning  common  rules  for  the  internal  market  in  natural  gas  and 
repealing Directive 98/30/EC, OJ L 176 of 15.7.2003, p. 57 (Gas Directive). 
Article 3(3) of the Electricity Directive 

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The  same  legislation  obliges  Member  States  to  ensure  that  there  are  adequate 
safeguards  to  protect  vulnerable  consumers.  Member  States  are  further  required  to 
ensure high levels of consumer protection, particularly with respect to transparency 
regarding  contractual  terms  and  conditions,  general  information  and  dispute 
settlement  and  that  it  is  possible  to  switch  to  a  new  supplier  free  of  charge  and 
without obstacles.16 

General consumer protection legislation also contributes to the protection of energy 
consumers, and protects European consumers from unfair commercial practices. 

Efforts  to  improve  the  position  of  individual  European  consumers  of  electricity  or 
gas – which Member States may extend to small businesses - must be based on the 
provisions laid down by Community and national legislation: 

European  consumers  of  electricity  and  gas  services  must  have  the  right  to 
transparent,  comparable  and  enforceable  contract  structures.  They  must  obtain 
transparent offers. They must be able to switch supply free of charge and have access 
to information on available energy efficiency measures. They must be granted access 
to a well functioning dispute settlement mechanism. 

Special attention should be paid to the way measures are being put in place to ensure 
the  protection  of  the  most  vulnerable  European  consumers  who  are  not  able  to 
protect themselves. 

Effective implementation of the rights of energy consumers also requires them to be 
equipped  with  the  means  and  the  knowledge  to  make  rational  choices  on  energy 
supply and energy efficiency. 

Consumer associations are invited to help and assist. 

4. 

THE INSTRUMENT 

The  Commission  does  not  envisage  the  future  European  Charter  on  the  Rights  of 
Energy Consumers to be a legal document. Instead, this Charter should set out, in an 
easily comprehensible way existing Community legislation and possible elements for 
future action. 

It is expected to outline action in relation to each of the following nine issues crucial 
to consumers' rights and interests: 

A. Connection 

B. Contracts 

C. Prices, Tariffs, and Monitoring 

D. Free choice of Supplier 

16 

Article  3(5)  of  the  Electricity  Directive  and  Article  3(3)  of  the  Gas  Directive,  which  both  include 
references to their respective Annexes A. 

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E. Information 

F. Complaints 

G. Representation 

H. Social Measures 

I. Unfair Commercial Practices 

The  principle  of  shared  responsibility  will  play  an  important  role  in  establishing 
rights  of  energy  consumers.  All  parties  involved,  i.e.  the  Community,  the  Member 
States, including in their respective field of competence governments, legislators and 
regulatory authorities, the energy industry, represented by all social partners, as well 
as consumer representatives, have a role to play to make European energy policy a 
success  among  European  citizens.  The  Charter  should  also  contribute  to  improving 
the  production,  transmission  and  efficient  consumption  of  electricity  and  gas  in  a 
socially, economically and environmentally sustainable way. 

With  this  communication,  the  Commission  wishes  to  launch  an  appeal  to  and 
stimulus for all these various actors to provide their contributions to safeguarding the 
interest of energy consumers in their respective field of competence. A consultation 
of  all  these  stakeholders  will  ensure  a  balanced  choice  of  priorities.  The  present 
consultation document, the consultation process and the future charter will increase 
the publicity of consumer rights already stated in European and national legislation, 
which is expected to create higher public confidence in these rights. The Commission 
will continue efforts to communicate its contents to European consumers. 

The Commission does not exclude that the result of this consultation may also lead to 
contributing to a reinforcement of consumer rights by putting forward any legislative 
proposals it may consider appropriate to that effect. 

5. 

THE PROCEDURE 

The present Commission communication sets out, in its Annex I, possible elements 
concerning a future European Charter on the Rights of Energy Consumers. 

A  public  consultation  of  all  stakeholders  (consumer  representatives,  energy 
regulators, governments and the industry, represented by all social partners) will be 
launched  in  order  to  consult  them  on  the  future  Charter's  content  and  will  be 
organised between July and September 2007 (deadline: 28 September 2007) by way 
of its internet website (see Annex II for details). 

In the light of the result of this consultation process, the Commission intends to adopt 
a  second  communication  containing  the  final  version  of  the  Charter.  Apart  from 
setting  set  out  existing  legislation,  it will  give  guidelines  for  its  practical 
implementation.  It might also  indicate concrete elements  for further action  either at 
Member State level or through self-regulation. 

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The  Commission  also  intends  to  invite  all  stakeholders  to  commit  to  giving  the 
widest  possible  publicity  to  the  final  version  of  the  Charter  set  out  in  its  second 
communication.  The  Commission  will  itself  make  an  effort  to  communicate  the 
content  of  the  Charter  to  EU  citizens  through  the  most  appropriate  communication 
channels. 

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ANNEX I 

Elements for a future European Charter on the Rights of Energy Consumers 

The future European Charter on the Rights of Energy Consumers is not intended to be a legal 
document. Instead, this Charter should set out, in an easily comprehensible way: 

Existing  Community  legislation  granting  consumer  rights  and  obligations  of  energy 

a) 
providers. 

Possible  elements  that  should  be  taken  into  account  by  Member  States  authorities 

b) 
(governments or regulatory authorities) in implementing and applying that legislation. 

Possible  elements  which  might  supplement  existing  rights  and  which  fall  within  the 

c) 
responsibility of Member States. 

d) 
Possible  elements  which  might  supplement  existing  rights  and  which  could  be 
achieved  through  self-regulation17.  by  private  stakeholders,  i.e.  the  industry  and  consumer 
representatives 

In the light of the results of the public consultation conducted between July and September, 
the Commission intends to adopt a second communication containing the final version of the 
Charter. Apart from setting out existing legislation (points a) of chapters below), it will give 
guidelines for its practical implementation (points b) of chapters below). It might also indicate 
concrete elements for further action either at Member State level (points c) of chapters below) 
or through self-regulation (points d) of chapters below). 

The  Commission  also  intends  to  invite  all  stakeholders  to  commit  to  giving  the  widest 
possible publicity to the final version of the Charter set out in its second communication. 

1. 

POSSIBLE  ELEMENTS  FOR  AN  INTRODUCTION  TO  A  EUROPEAN  CHARTER  ON  THE 
RIGHTS OF ENERGY CONSUMERS 

1. The European Charter on the Rights of Energy Consumers shall contribute to the 
creation  of  a  sustainable  energy  market  with  competitive  offers  and  a  proactive 
participation of energy consumers aware of their rights and choices. 

2. The European Charter on the Rights of Energy Consumers constitutes an appeal to 
and stimulus for governments, energy regulators and the industry, represented by all 
social partners, to provide a concrete contribution to ensuring that energy consumers' 
interest are being taken into account. 

17 

see  points  22  and  23  of  the  Interinstitutional  Agreement  on  Better  Law-making",  OJ  C  321  of 
31.12.2003, p.1 

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3. It is, however, important to stress the fact that any new elements proposed by the 
Charter  triggering  action  at  the  level  of  Member  States  or  for  self  regulation  will 
have to comply with the Community regulatory framework. 

4.  Under  no  circumstances  consumer  rights  should  be  misused  to  favour  domestic 
energy producers at the expense of producers in other Member States. 

5. The Member States of the European Union, including governments, legislators and 
the electricity and gas regulators, the electricity and gas industry, represented by all 
social  partners,  in  the  European  Union  and  energy  consumer  associations  in  the 
European Union are invited to cooperate in order to ensure respect and promotion of 
the rights of European energy consumers. 

2. 

ELEMENTS  FOR  A  FUTURE  EUROPEAN  CHARTER  ON  THE  RIGHTS  OF  ENERGY 
CONSUMERS 

A. 

CONNECTION 

a) Community legislation requires that: 

European electricity consumers have the right to enjoy universal service, that is the 
right to be supplied with electricity of a specified quality … at reasonable, easily and 
clearly comparable and transparent prices.18 

b) Possible elements for the implementation of Community legislation 

1.  European  gas  consumers  should  have  the  right  to  be  supplied  where  available, 
with natural gas of specified quality at reasonable price. 

c) Possible supplementary elements coming under Member States' responsibility 

2.  Member  States  have  the  right  to  appoint  a  supplier  of  last  resort19.  No  matter  if 
such  a  mechanism  is  organised  by  the  industry  or  set  up  by  law  or  administrative 
action,  consumers  should  be  informed  of  any  supplier-of-last-resort  mechanism 
applied in order to safeguard continuity of delivery. 

3. Competent bodies at national levels should be required to set up a mechanism to 
monitor  access  to  electricity  and  gas.  Results  of  monitoring  of  access  should  be 
presented to the public. 

d) Possible supplementary elements to be achieved through self-regulation 

4.  Any  distinction  between  categories  of  consumers  should  be  justified  in  an 
objective and transparent manner. 

18 
19 

Article 3(3) of the Electricity Directive  
Article 3(5) of the Electricity Directive and Article3(3) of the Gas Directive  

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5.  The  transparency  and  predictability  of  published  prices  and  conditions  might  be 
further improved through comprehensible and easily accessible calculation methods. 

6.  Electricity  and  gas  are  provided  to  consumers  against  payment.  Nonetheless 
disconnection should generally be considered an undesirable remedy in case of non-
payment. 

7.  Suppliers  or  network  operators  should,  under  their  respective  responsibilities, 
install easily accessible help-lines to deal with connection problems and other service 
quality issues occurring. 

B. 

CONTRACT 

a) Community legislation requires that  

European energy consumers have a right to contract conditions that are fair and well 
known in advance ... and provided prior to conclusion … of the contract.20 Contracts 
must contain minimum elements: 

–  the identity and address of the supplier; 

–  the  services  provided,  the  service  quality  levels  offered,  as  well  as  the  time  for 

establishing the initial connection; 

–  the types of maintenance service offered; 

–  the  means  by  which  up-to-date  information  on  all  applicable  tariffs  and 

maintenance charges may be obtained; 

–  the  duration  of  the  contract,  the  conditions  for  renewal  and  termination  of 

services and of the contract, the existence of any right of withdrawal; 

–  any  compensation  and  refund  arrangements  which  apply  if  contracted  service 

quality levels are not met; and 

–  the method of initiating procedures for settlement of disputes. 

European  energy  consumers  shall  be  given  adequate  notice  of  any  intention  to 
modify contractual conditions and … about their right of withdrawal in such cases.21 

General terms and conditions shall be fair and transparent and be given in clear and 
comprehensible language.22 

Suppliers shall abstain from unfair terms in contracts concluded with consumers.23 

20 
21 
22 
23 

Annex A(a) of both the Electricity and the Gas Directives 
Annex A(b) of both the Electricity and the Gas Directives 
Annex A(d)part. of both the Electricity and the Gas Directives 
Council Directive 93/13/EEC of 5 April 1993 on unfair contract terms in consumer contract, OJ L 95, 
21.04.1993, p.29 (Unfair Contract Directive) 

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c) Possible supplementary elements coming under Member States' responsibility 

1. It might be considered necessary to require also the following elements to become 
part of supply contracts: 

–  the tariffs payable and the attached conditions, such as parameters for calculating 
the tariffs and any indexation mechanism must be presented in a comprehensible 
and easily accessible form; 

–  available payment parameters and facilities; 

–  specification on how appropriate metering and informative billing that accurately 

reflects individual consumers' consumption should be provided; 

–  specification on how the consumer will be provided with up-dated information on 
available energy efficiency improvement measures, comparative end-user profiles 
and/or objective technical specifications for energy-using equipment. 

2. All information obligations of the pre-contractual phase (see above under a) first 
item) should unrestrictedly apply to all elements of a future contract. 

C. 

PRICES, TARIFFS AND MONITORING 

a) Community legislation requires that 

European  energy  consumers  shall  receive  transparent  information  on  applicable 
prices and tariffs and on standard terms and conditions.24 

European electricity and gas prices shall be reasonable, electricity prices also easily 
and clearly comparable and transparent.25 

European energy consumers shall be offered a wide choice of payment methods.26 

European energy consumers shall be provided - in so far at it is technical possible, 
financially reasonable and proportionate in relation to the potential energy savings – 
with  competitively  priced  individual  meters  accurately  reflecting  actual  energy 
consumption and information on the time of use.27 

European  energy  consumers  have  a  right  to  receive  energy  bills  based  on  actual 
energy consumption.28 

24 
25 
26 
27 

28 

Article 3(3) of the Electricity Directive and Annex A(c) of both the Electricity and the Gas Directives 
Annex A(g) of both the Electricity and the Gas Directives 
Annex A(d)part. of both the Electricity and the Gas Directives 
Article 13(1) of Directive 2006/32/EC of 4 April 2006 on energy end-use efficiency and energy services 
OJ L 114 of 27.04.2006 p.64 (Energy Efficiency Directive) 
Article 13(2) of the Energy Efficiency Directive 

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c) Possible supplementary elements coming under Member States' responsibility 

1.  Competent  bodies  at  national  level  should  monitor  the  electricity  and  gas  offers 
available  on  the  market.  They  should  present  the  results  of  price  monitoring  to  the 
public  in  a  manner  making  it  possible  to  compare  prices  and  basic  conditions  of 
available offers. 

d) Possible supplementary elements to be achieved through self-regulation 

2. Conditions referring to price changes should allow consumers to understand their 
effects easily. 

3. Tariff calculators should be made available, and information on prices per KW and 
per hour should be published at regular intervals. 

4.  Energy  invoices  should  be  timely  and  frequent  enough  to  provide  accurate  and 
comprehensible information that also reflects actual consumption. 

5. Promotion offers should ensure that European energy consumers to a large extent 
benefit from metering facilities reflecting actual consumption and information on the 
time of use. 

D. 

FREE CHOICE OF SUPPLIER 

a) Community legislation requires that  

Member States shall ensure that the eligible consumer is in fact able to switch to a 
new supplier.29 

European energy consumers shall not be charged for changing supplier.30 

d) Possible supplementary elements to be achieved through self-regulation 

1. European energy consumers should benefit from an improvement of the efficiency 
of existing switching procedures. The period required for switching to a new supplier 
of electricity or gas should therefore not last longer than one month. 

2.  In  case  contract  conditions  require  minimum  contract  duration,  the  expiry  date 
should be mentioned on the bill. 

E. 

INFORMATION 

a) Community legislation requires that 

European  energy  consumers  shall  receive  transparent  information  on  applicable 
prices and tariffs and on standard terms and conditions, in respect of access to and 
use of electricity and gas services.31 

29 
30 

Article 3(5) of the Electricity Directive and Article 3(3) of the Gas Directive 
Annex A(e) of both the Electricity and the Gas Directives 

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European electricity consumers shall obtain information on the contribution of each 
energy source to the overall fuel mix of the supplier over preceding years … and on 
the environmental impact, in terms of the least emissions of CO2 and the radioactive 
waste resulting from the electricity produced by it.32 

European  consumers  of  electricity  having  access  to  universal  service  under  the 
provisions adopted by Member States … shall be informed of their rights regarding 
universal service.33 

European consumers connected to the gas system shall be informed about their rights 
to  be  supplied,  under  the  national  legislation  applicable,  with  natural  gas  of  a 
specified quality at reasonable prices.34 

European  energy  consumers  have  the  right  to  receive  information,  in  or  with  their 
bills,  contracts  or  other transactions,  receipts,  etc.,  on  a)  current  actual  prices  and 
actual  consumption;  b)  yearly  comparison  of  energy  actual  consumption;  c) 
comparison  with  benchmarked  energy  user;  d)  contact  details  for  objective 
information  on  energy  efficiency  improvement  measures,  end-user  profiles  and 
equipment specifications.35 

b) Possible elements for the implementation of Community legislation 

1. Information on energy supply to European energy consumers should be available 
without incurring excessive or costly enquiries. 

d) Possible supplementary elements to be achieved through self-regulation 

2. European energy consumers should have easy access to updated information on 

–  the energy supply available in their area, and 

–  on  all  national  programmes,  mechanisms  and  financial  and  legal  frameworks 

promoting energy efficiency. 

F. 

COMPLAINTS 

a) Community legislation requires that 

European  energy  consumers  shall  benefit  from  transparent,  simple  and  inexpensive 
complaint  procedures36  …  wherever  possible  following,  the  principles  set  out  in 
Commission Recommendation 98/257/EC37 and 2001/310/EC38. 

31 
32 
33 
34 
35 
36 
37 

Annex A(c) of both the Electricity and the Gas Directives 
Article 3(6) of the Electricity Directive 
Annex A(g) of the Electricity Directive 
Annex A (g) of the Gas Directive and the general Treaty principle of non-discrimination 
Article 13(3) of the Energy Efficiency Directive 
Annex A(f) of both the Electricity and the Gas Directives 
Commission  Recommendations  98/257/EC  on  the  principles  applicable  to  the  bodies  responsible  for 
out-of-court settlement of consumer disputes, OJ L 115 of 17.4.98, p. 31. 

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c) Possible supplementary elements coming under Member States' responsibility 

1.  Non-judicial  dispute  settlement,  such  as  out-of  court  settlement,  administrative 
procedures  or  mediation  procedures  should  enable  disputes  to  be  settled  fairly, 
promptly (within a period of 3 months) and with no cost to the consumer. 

2. The role of energy regulators in dispute settlement should be clarified and energy 
consumers should be informed thereof without delay. 

d) Possible supplementary elements to be achieved through self-regulation 

3. Suppliers and network operators should be encouraged to put in place a common 
entry point for consumer complaints. 

G. 

REPRESENTATION 

a) Community legislation requires that 

Consumer organisations are given the power by Member States to bring actions for 
an  injunction  in  the  courts  or  administrative  authorities  that  Member  States 
designate.39 

c) Possible supplementary elements coming under Member States' responsibility 

1.  Best  ways  to  promote  official  organisation  of  energy  consumer  representation 
shall  be  developed  and  contribute  to  regular  stocktaking  and  tracking  of  market 
developments. 

2.  A  regular  dialogue  between  energy  consumer  organisations  and  all  other 
stakeholders (social partners, energy, regulators, government representatives, etc.) on 
all  issues  of  energy  consumer  rights  shall  ensure  that  the  maximum  is  done  to 
achieve a high level of consumer rights. 

3.  Consumer  organisations  and  authorities  responsible  for  consumer  protection 
should  co-operate  to  check  the  accuracy  of  the  information  provided  by  the 
electricity and gas suppliers. 

38 

39 

Commission  Recommendation  2001/310/EC  on  the  principles  for  out-of-court  bodies  involved  in  the 
consensual resolution of consumer disputes, OJ L 109 of 19.4.2001, p. 56. 
Directive 98/27/EC of the European Parliament and of the Council of 19 May 1998 on injunctions for 
the protection of consumers' interests, OJ L 166 of 11.6.1998, p. 51 (Articles 1, 2and 3). Since the 2003 
energy  directives  are  not  listed  in  the  annex  of  the  injunction  directive,  the  injunction  directive  only 
applies to issues that fall within the scope of consumer directives such as the Unfair Contract Directive 
and the Unfair Commercial Practices Directive. 

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H. 

SOCIAL MEASURES 

a) Community legislation requires that 

Member  States  shall  …  in  particular  ensure  that  there  are  adequate  safeguards  to 
them  avoid 
protect  vulnerable  consumers, 
disconnection.40 

including  measures 

to  help 

b) Possible elements for the implementation of Community legislation 

1.  European  energy  consumers  with  special  needs  caused  by  impairments  or  in  a 
poor  financial  situation  should  benefit  from  essential  energy  services  to  maintain 
their  physical  and  mental  health  and  well-being,  at  reasonable  prices  or,  where 
necessary, free of charge. 

2. Member States should adopt and publish a definition of vulnerable consumers to 
be applied - without further request by the vulnerable consumer - by all suppliers of 
electricity and gas, where gas supply meets basic household needs . 

3.  Member  States  should  ensure  that  the  rights  linked  to  the  status  of  vulnerable 
consumer  are  applied  without  placing  an  excessive  burden  on  the  consumers 
demanding  it.  Particular  attention  should  be  granted  in  this  respect  to  cases  of 
pending disconnection. 

4. Existing measures for the benefit of vulnerable consumers should be well targeted 
and  periodically  reassessed.  They  should  be  well  balanced  in  order  not  to  prevent 
market  opening,  create  discriminations  among  European  energy  suppliers,  distort 
competition, restrict resale or create discriminatory treatment of other consumers. 

d) Possible supplementary elements coming under Member States' responsibility 

5. Member States should intervene in the market in order to bring about social prices 
and conditions for well defined categories of electricity and gas consumers in remote 
areas or with  special needs, or at least ensure  that  such  consumers  have  systematic 
access to the lowest offer on the market. 

I. 

UNFAIR COMMERCIAL PRACTICES 

a) Community legislation requires that 

European energy consumers shall be protected against unfair and misleading selling 
methods.41 

Unfair  commercial  practices  are  prohibited  by  the  Unfair  Commercial  Practices 
Directive.42 

40 
41 
42 

Article 3(5) of the Electricity Directive and Article 3(3) of the Gas Directive 
Annex A(d)end of both the Electricity and the Gas Directives 
Directive 2005/29/EC of the European Parliament and of the Council of 11 May 2005 concerning unfair 
business-to-consumer  commercial  practices  in  the  internal  market  and  amending  Council  Directive 

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–  European  citizens  shall  be  effectively  protected  from  being  pressurized  through 

misleading and aggressive practices,43 for example to switch operators. 

–  Any  onerous  or  disproportionate  non-contractual  barriers  imposed  by  the  trader 
where a consumer wishes to exercise rights under the contract, including rights to 
terminate a  contract or to switch  to  another trader may be  qualified as an unfair 
commercial practice.44 

d) Possible supplementary elements coming under Member States' responsibility 

1.  Authorities  defending  consumer  interests  and  national  energy  regulators  should 
co-operate effectively in order to achieve the best possible results. 

84/450/EEC,  Directives  97/7/EC,  98/27/EC  and  2002/65/EC  of  the  European  Parliament  and  of  the 
Council and Regulation (EC) No 2006/2004 of the European Parliament and of the Council, OJ L 149 
of 11.06.2005, p. 22. (Unfair Commercial Practices Directive) 
Article 11 of the Unfair Commercial Practices Directive 
Article 9(d) of the Unfair Commercial Practices Directive 

43 
44 

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ANNEX II 

Public Consultation 

PUBLIC  CONSULTATION  ON  A  EUROPEAN  CHARTER  ON  THE 
RIGHTS OF ENERGY CONSUMERS 

The Commission invites all interested parties to comment on a text containing elements for a 
European Charter on the Rights of Energy Consumers. Comments can be sent to the following 
address: 

European Commission 
Directorate General for Energy and Transport 
Public consultation on European Charter on the Rights of Energy Consumers 
tren-energy-consumer-rights@ec.europa.eu 
or 
Rue De Mot 28 
B-1049 Brussels 

Comments should be sent to the Commission by 28 September 2007 at the latest. Replies and 
comments should mention the number of the subject they are referring to. 

If  you  have  views  on  some  questions  and  not  others,  do  not  hesitate  to  send  an  answer 
covering only these questions. 

For the information of interested parties, the Directorate General for Energy and Transport of 
the  Commission  will  put  contributions  received  electronically,  together  with  the  sender's 
contact data, on this page [webpage] provided the senders concerned have explicitly agreed to 
their publication. 

For data protection reasons, the Commission will not process any specified personal data that 
you include with your reply. 

In the light of inter alia the contributions received, the Commission intends to adopt a second 
communication containing the Charter. 

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