by Marine Cornelis
Energy communities are critical tools to reduce energy poverty and support the renewable transition. Yet, legal uncertainty, financial constraints, technical limitations, and a lack of social inclusion mechanisms all stand in the way. The latest POWER UP report, produced by Ami Crowther and Saska Petrova from University of Manchester, presents key policy recommendations to support inclusive energy communities across different contexts, ensuring they benefit vulnerable households and contribute to a just energy transition.
6 policy lessons from the municipalities involved in POWER UP
This report outlines practical solutions tested across six European locations, offering guidance for EU and national policymakers, municipalities, and energy communities.
Clarifying the legal framework in Spain (Valencia)
In Valencia, restrictive distance regulations and unclear administrative procedures limit participation. Standardising registration processes for vulnerable households and removing distance-based restrictions would unlock more opportunities for shared renewable energy. Municipal data-sharing would also help ensure equitable access to these initiatives.
Making cooperatives work for all in Belgium (Eeklo)
Eeklo’s pilot used cooperative energy shares to provide vulnerable households with affordable electricity, yet pre-paid meter users remain excluded from switching to cooperative tariffs. Extending social tariff eligibility and allowing more flexibility in supplier choice could remove these barriers, making the model accessible to more people.
Overcoming technical barriers in Czechia (Rožnov pod Radhoštěm)
Social housing tenants in Rožnov can now benefit from shared solar PV systems, but current energy-sharing policies limit participation to 50 households per installation. Revising national legislation to allow scalable energy-sharing models for multi-unit buildings would ensure more equitable access to community solar solutions.
Activating municipalities through easier public land use in Italy (Campania)
The Campania pilot developed a renewable energy community on public land, including a PV farm on a site confiscated from the mafia. However, municipalities lack clear legal frameworks to allocate public spaces for energy projects. A transparent and standardised process for public land use would enable local authorities to take a more active role in energy community development.
Building local capacity in North Macedonia (Skopje municipalities)
Limited knowledge of energy communities and energy poverty among municipal officials and local stakeholders has been slowing down implementation. Training municipal staff, setting up energy information offices, and developing databases to track energy vulnerability would strengthen local capacity and improve outreach to vulnerable households.
Seed funding for smaller players in the Netherlands (Heerlen)
With energy communities now legally recognised in the Netherlands, many small cooperatives struggle to secure early-stage funding. Temporary municipal financial support could help stabilise new initiatives, allowing them to establish themselves before becoming self-sustaining.
Need for further support from Brussels
Much of the identified policy gaps will need to be addressed by the EU institutions as Member States seem to lack guidance on that topic. In this report, Brussels-based policy-makers and EU advocates will find a useful list of EU level recommendations focusing on:
- Regulatory frameworks
- Social aspects
- Technical considerations
- Economic aspects
The POWER UP pilots demonstrate that all across Europe, energy communities have the potential to reduce energy poverty and support the renewable transition, but they require regulatory clarity, financial security, technical support, and inclusive social policies. Addressing these barriers through targeted EU, national, and local policy interventions will be essential to ensure that energy communities can deliver tangible benefits to vulnerable households while accelerating the energy transition.