Debunking the “socialist cooperative” myth!
About
In many countries of the former Soviet bloc, people react strongly to the idea of getting involved in community energy. Very often, memories of past (bad) experiences emerge. People remember having been forced to join collective action without any individual freedom to chose, to decide and, even less, to own. Today’s definition of community energy has nothing to do with state-driven communist obligations. Let’s debunk this myth once and for all.
Do you actually know what is the legal definition and portfolio of an energy community?
According to the EU laws, energy communities can take any form of legal entity, for instance, that of an association, a cooperative, a partnership, a non-profit organization, or a limited liability company. It takes it easier for its citizens, together with other market players, to team up and jointly invest in energy assets. This, in turn, helps contribute to a more decarbonized and flexible energy system, as the energy
communities can act as one entity and access all suitable energy markets on a level playing field with other market actors. There are currently two legal definitions of energy communities at the EU level:
- Citizen Energy Community (CEC)
A legal entity that is based on voluntary and open participation, effectively controlled by shareholders or members who are natural persons, local authorities, including municipalities, or small enterprises, and micro-enterprises.
- Renewable Energy Community (REC)
A legal entity that, in accordance with the applicable national law, is based on open and voluntary participation, autonomous, effectively controlled by shareholders or members that are located in the proximity of the renewable energy projects that are owned and developed by that legal entity; the shareholders or members of which are natural persons, SMEs or local authorities, including municipalities.
⭐Join the FREE of cost LIFE LOOP community energy accreditation scheme⭐ As a municipality, you will be able to improve your actions in the field. As a civil servant, you will grow your skills in a promising career area.
A wide range of activities
A CEC can be engaged in electricity generation, distribution and supply, consumption, aggregation, storage or energy efficiency services, generation of renewable electricity, charging services for electric vehicles or provide other energy services to its shareholders or members.
A REC can carry out activities based on renewable energy sources, including generation, energy efficiency, supply, aggregation, mobility, energy sharing, self-consumption, and district heating and cooling.
Where will those CECs & RECs lead us to?
The primary purpose is to provide environmental, economic, or social community benefits for its members or the local area in which it it operates. The focus is on people rather than on financial profits. Doesn’t that sound good?
