The Energy Efficiency First (EE1st) principle lies at the heart of the EU’s current energy policy. It requires cost-effective energy efficiency measures and demand-side resources to be prioritised systematically in planning and investment decisions, before considering supply-side solutions. EE1st recognises that reducing or shifting energy demand can often deliver the same or greater system benefits as infrastructure expansion, but at a lower cost, with additional societal and environmental benefits.  

In practice, the structure of electricity bills and tariff design, as well as the transparency of energy costs, play a crucial role in enabling consumers and policymakers to make informed, efficiency-oriented choices. This online workshop reflects this, addressing how energy bills and tariffs influence individual behaviour, overall system efficiency, investment needs and the equitable allocation of costs and benefits across society. 

The consumer bill explainer and the European tariff tool are key to supporting the practical application of EE1st. The bill explainer provides a clear and accessible breakdown of the various components that comprise residential electricity bills across Europe, including energy costs, network tariffs, taxes and policy-driven levies. It also illustrates how different tariff designs can influence consumer choices and system-wide outcomes. It emphasises that bill structure is not merely a matter of consumer information, but also a means of aligning individual actions with broader energy system efficiency. The European tariff tool complements this by providing a visual, comparative overview of tariff structures and rates in different countries. This helps stakeholders to identify best practices and areas for improvement and supports greater transparency and consumer empowerment. 

To illustrate these concepts with a real-world example, the workshop will introduce a pilot case from Poland. This study specifically investigated the potential for Demand-Side Response (DSR) as a key mechanism for implementing the EE1st principle, particularly among residential consumers. By surveying both Polish households and Distribution System Operators (DSOs), the research provides unique insights into the national context. The findings highlight a significant gap in consumer knowledge about DSR and a clear preference for incentive-based programs, while on the operator side, significant regulatory, technical, and organizational barriers persist. Presenting this case will illuminate the practical challenges and opportunities in designing effective policies and tariffs that bridge the gap between consumer behavior and system operator needs. 

This workshop aims to discuss the relevance of electricity tariffs in the implementation of the EE1st principle, and how it can be done. We will discuss the implications of different tariff designs for consumers and the energy system, and recommendations to go forward. 

Agenda