Red tape and cost preventing European citizens from producing their own power

"Throughout Europe, individual households have joined forces and created energy communities, for example in the form of cooperatives. These cooperatives can invest in larger-scale projects, such as a wind farm or a large free-field PV project."

Citizens and businesses across Europe can be a major contributor to the transition to cleaner energy by becoming "prosumers", but face barriers such as cost and excessive red tape.

That is according a new report from the European Environment Agency (EEA), which said that authorities must provide more assistance and implement friendlier policies to do so.

So-called prosumers is a cross between a regular consumer who uses energy for the likes of powering their homes, but also produces their own, such as power generated by solar being sent back to the national grid.

In Ireland, business leaders have warned that current rules have made it very difficult for firms and individuals to get permission for the likes of solar power, while incentives for individuals to produce and sell power back to the grid are still relatively paltry.

The EEA said government policies are a key enabler of "prosumption".

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"Prosumption can only thrive where the government regulations allow it and where effective and stable policies are in place that support these developments.  Nevertheless, citizens who want to initiate and implement a prosumer project are likely to face a number of challenges. 

"The cost of the project may be too high, national regulations may not permit the prosumer model that would fit the situation or there may be insufficient volunteers prepared to put in the effort needed to develop the project. 

"Lack of knowledge and expertise can also be an issue, since prosumption may require expertise in many different areas, including technology, policies, regulations and financing. These barriers can be reduced by effective policies and support frameworks," the agency said.

It said that with high energy prices and energy insecurity currently affecting Europe, small-scale prosumption provides a pathway for citizens to increase their energy independence. 

Prosumerism can also have social benefits, including a sense of community and empowerment, the agency added. Citizens and businesses could contribute in myriad ways, the report said.

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"People can be individual prosumers, such as households or businesses with PV panels on the roof. Several households can also become collective prosumers, for example when they take joint action and install PV panels on the roof of a multi-family building.

"Throughout Europe, individual households have joined forces and created energy communities, for example in the form of cooperatives. These cooperatives can invest in larger-scale projects, such as a wind farm or a large free-field PV project, or take a range of actions to make their neighbourhood as sustainable as possible," it said.

Opportunities for citizens and businesses are not only confined to renewable energy generation, according to the EEA.

"They can also invest in battery storage, heat pumps or electric vehicles. Some prosumers may contribute to the energy system by offering it demand flexibility. 

"They change their energy demand in response to the fluctuations in renewable energy source generation or grid bottlenecks. Others own and operate infrastructure such as a district heating network or a local electricity grid.

"All these different types of prosumption provide an opportunity for people to actively contribute to climate change mitigation and to the transition to a renewable and resilient energy system."

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