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EU Court of Justice to determine key questions concerning compensation of renewable generators for redespatching of electricity
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The Supreme Court of Ireland has referred several questions to the Court of Justice of the European Union (CJEU) regarding the interpretation and application of Article 13(7) of Regulation (EU) 2019/943 on the internal market for electricity. The case arose from a dispute over the compensation for non-market based redispatching of electricity, particularly affecting wind farm operators and other renewable generators. The High Court had previously quashed a decision by the Commission for the Regulation of Utilities (CRU), which was then appealed to the Supreme Court. The questions referred seek clarity on whether generators should be fully compensated for revenue lost due to redispatching, the meaning of "unjustifiably low or high compensation," and the direct effect of Article 13(7) in national law. The outcome will have significant implications for the electricity market and the use of Corporate Power Purchase Agreements (CPPAs).
Regulation (EU) 2019/943, internal market for electricity, Supreme Court of Ireland, Commission for the Regulation of Utilities (CRU), redispatching, renewable energy generators, compensation, Corporate Power Purchase Agreements (CPPAs), direct effect, Article 13(7), financial support, priority dispatch, non-market based redispatching, System Non-Synchronous Penetration (SNSP), Single Electricity Market (SEM), Single Electricity Market Committee (SEMC), transmission system operator (TSO), National Regulatory Authority (NRA), Court of Justice of the European Union (CJEU), preliminary ruling.
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