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2026/0203(COD)E1st reading – Council of the EU

Electricity market: network charges, taxation, smart grids and grid connections

With the Council of the EU, which is preparing its first-reading position.

Last active 22 Jul 2026

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What this bill does

In plain terms: what it changes and who it affects.

It changes electricity pricing rules to cut grid costs, speed smart-meter rollout, favor electrification, and ease grid connections.

Who it affects

Households, small businesses, energy-intensive industries, data centers, and other electricity users are affected through their bills and grid access. It also affects transmission and distribution system operators and national regulatory authorities.

Core of the proposal
  • Requires cost-reflective, transparent network charges with time, location, and capacity signals.
  • Allows special tariff regimes for energy-intensive industries, data centers, and energy communities.
  • Requires smart meters for at least 50% of customers by 2030 and 75% by 2033.
  • Makes electricity taxation no higher than natural gas, and lets regulators prioritize congested grid connections.
Key provisions
Takes effect
It enters into force on the [xxx] day following publication in the Official Journal of the European Union.
Transitional law
Member States with smart-meter deployment below 30% at entry into force get until 31 December 2031 for 50% coverage and 31 December 2034 for 75% coverage; some reporting duties start later.
Articles changed · 6 across 1 law
  • Regulation (EU) 2019/943 (32019R0943)
    • art. 18: replaces Article 18 on network charges
    • art. 18a: inserts smart electricity grid indicators and innovation rules
    • art. 18b: inserts smart metering deployment requirements
    • art. 18c: inserts electricity taxation principles
    • art. 18d: inserts grid connection measures for congestion
    • art. 61: adds delegated and implementing powers for tariff, indicator and data-reuse acts

Documents

1 recent

SourcesOEILEUR-LexEU Law Tracker