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Updating the Security of Energy Supply Architecture and Preparedness Toolbox for an Increasingly Electrified Energy System
Working paper

Updating the Security of Energy Supply Architecture and Preparedness Toolbox for an Increasingly Electrified Energy System

Catherine Banet and Chloe Le Coq
SSRN Electronic Journal
CERRE Issue Paper, 2025, Centre on Regulation in Europe (CERRE)
2025

Abstract

energy security of supply energy security market design risk preparedness EU law
Electrification is accelerating, and Europe’s energy system is undergoing a profound transformation – becoming more decarbonised, decentralised, and digitalised. At the same time, the system faces a convergence of unprecedented risks, from cyber threats and extreme weather to geopolitical tensions. In this high-stakes environment, the EU’s Security of Supply (SoS) framework faces a resilience test it cannot afford to fail. This issue paper focuses on electricity SoS, where the primary objective is to ensure sufficient generation to meet demand at all times, and aims to contribute to the legislative reform currently envisaged by the European Commission. After clarifying key terminology, the paper reviews the structure and content of the EU’s evolving SoS and Preparedness framework. Security of supply is framed as an integrated architecture built on three distinct but interconnected layers: (1) structural components embedded in the electricity market (only) design; (2) supplementary market mechanisms to ensure SoS; (3) risk preparedness and emergency measures. The paper explores how the EU can adapt its framework to meet emerging challenges, while maintaining market integration and accelerating decarbonisation – in both normal times and crisis situations. A comprehensive approach spanning all three SoS layers is deemed essential to anticipate, prepare for, and manage crises.

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