Guiding principles for the design of Contracts for Difference schemes

Electricity Market Design reform (EMD) makes it clear: two-way Contracts for Difference (CfD) will be the instrument of choice when public subsidies are needed to support new renewable and low-carbon electricity generation. How exactly these instruments will be designed is in the hands of Member States.

We trust that 2-way CfD schemes can deliver for consumers and the environment - as long as they preserve electricity price signals and the efficient functioning of the internal electricity market. 

To understand how these schemes can complement the electricity market on the way towards the green transition, read our 3 guiding principles and detailed proposals on 2-way CfDs design.