Moving towards a low-carbon society calls not only for technological innovation, but also for new modes of governance. However, the current legal framework of the electricity sector, and the modes of governance that it establishes, impede innovation in the sector. To overcome this obstacle, in 2015 the Dutch government adopted a Crown decree for experiments with decentralized renewable electricity generation (Experimentation Decree) with the aim to generate insights on how to adjust the legal framework. The question remains whether regulation is being adopted to real-life settings, i.e., which lessons can be learned from experimentally acquired results regarding new modes of governance for decentralized electricity systems? To answer this question we apply an interdisciplinary approach: we investigate which modes of governance are established in the Experimentation Decree (legal research) and which ones are implemented in nine projects (governance research). Under the Decree, associations have to carry out all tasks in the electricity supply chain and can engage in collective generation, peer-to-peer supply and system operation. Other modes of governance, new actors for emerging activities and consumer involvement are limited. We conclude that the Experimentation Decree is too restricted regarding new modes of governance for a decentralized electricity system in real-life settings.

The European Commission plans to achieve the decarbonization of dozens of European Union (EU) islands by 2030. This would reduce greenhouse gas emissions, lower the dependency of islands on imported fuels, and potentially reduce local energy prices. At the same time, it may accelerate the mainland’s own energy transition through the import of surplus energy from renewable sources, the provision of aggregated flexibility services, and the testing of both technologies and policies on islands for replication and adaptation on the continent. Although islands are not even a legal category per se in EU energy law, the existing legal framework already allows to harness various concepts to foster the energy transition of EU islands. This article reviews available legal qualifications and regimes such as small systems’ exemptions, energy communities, positive energy districts, and local flexibility markets in the context of the decarbonization of EU islands. Potentially, they could open many different ways to tailor local energy transitions, channelling local actions to accelerate the whole process.

Energy market liberalization in Europe started in the 1990s by giving consumers a choice of supply. The EU electricity market directive of 2019 reiterates the focus on consumers. It envisages that ‘citizens take ownership of the energy transition’ and participate actively in the market. At the same time, the directive aims at protecting vulnerable consumers and at mitigating energy poverty. Yet, it provides Member States with considerable freedom in defining these concepts. The directive suggests that small customers might develop into two categories—one which actively participates in the market and reaps market benefits, and one which is unable to do so and thus will remain vulnerable and at risk of falling into energy poverty. This chapter discusses whether this potential discrepancy and lacking common EU approach towards the concept of vulnerable customers and energy poverty could result in distributive and social energy injustice among small customers in the EU.

Smart grids facilitate the coordination of connected system users’ flexibility capacity via information and communication technology. Ideally, this would reduce the need for grid expansions, which may otherwise be necessary to accommodate increasing amounts of decentralised generation from renewable energy sources and support the increasing electrification of certain sectors (e.g. the transport sector). Smart grids are multifaceted systems and have a broad impact on the operation and use of the electricity system. This chapter focuses on the EU and identifies the main issues that must be addressed by a legal framework for smart grids in a liberalised electricity sector.