Fundamentals of electricity prices in EU

This summary outlines a forthcoming procurement opportunity by the European Commission's Joint Research Centre (DG JRC), focusing on a contract for services related to understanding electricity market price formation in the EU. This initiative aims to enhance market transparency, efficiency, and fairness during crises, as highlighted in the Draghi report and the European Commission's Affordable Energy Action Plan.

The procurement will classify as a negotiated procedure for a low to middle-value contract, although the exact funding amount is not specified. The main CPV code for this tender is 73000000, which pertains to research and development services and consultancy. The opportunity is designed for entities that can provide the required analytical services related to electricity pricing. Eligible applicants primarily include research institutes, universities, and consultancies, as no consortium requirement is mentioned.

The geographic eligibility is likely limited to entities from EU member states and potentially associated countries, given the focus on European electricity prices. The project represents a research phase with expectations for methodological rigor in analyzing price transparency.

The application process will have at least two stages, starting with an expression of interest to be submitted electronically through the EU Funding and Tenders Portal. Interested parties should note that the period for expressing interest begins on July 10, 2025, and concludes on July 25, 2025. The anticipated start date for the negotiated procedure is also set for July 25, 2025.

Importantly, this publication is not an actual call for tenders but a pre-announcement, allowing potential applicants ample time to prepare their submissions in alignment with the project's goals focused on understanding and improving electricity market dynamics within the EU framework.

This is a publication announcing the European Commission's, DG JRC Joint Research Centre's intention to publish a future negotiated low or middle value procedure. This is not a call for tenders. The procedure identifier is EC-JRC/IPR/2025/MVP/3663-EXA. The foreseen contract will focus on how electricity market prices in Europe are formed, which is crucial, as emphasized in the Draghi report and the European Commission’s Affordable Energy Action Plan. Both highlight that a clear understanding of price formation is essential to ensure that markets function transparently, efficiently, and fairly particularly in times of crisis. The procedure type is a planned negotiated procedure for a middle/low value contract. The estimated total value is not specified. The main classification (CPV) code is 73000000 Research and development services and related consultancy services. The nature of the contract is for services. The maximum contract duration is a framework agreement with no specified duration. The start date for expression of interest is 2025-07-10 Europe/Brussels. The deadline for expression of interest is 25/07/2025 04:59 Europe/Rome. The indicative date of launch of the negotiated procedure is 2025-07-25 Europe/Rome. The method of expression of interest is electronic, and the address for expression of interest is through the "Express interest" link. Submissions must be sent exclusively at the address for submission given.

A frequently asked question is: Where can I find the procurement documents for calls for tenders with ‘ExA' in the reference? The answer is: References that feature an ‘ExA’ are not calls for tenders. They are a publication announcing the contracting authority’s intent to launch in the future a low or middle negotiated procedure. This answer was published on 03/10/2024 16:32.

In summary, this is a pre-announcement for a future low to middle value negotiated contract concerning research and development services related to the fundamentals of electricity prices in the EU. The European Commission's Joint Research Centre (JRC) intends to launch this procedure to gain a better understanding of how electricity market prices are formed in Europe, aligning with the goals of ensuring transparent, efficient, and fair markets, especially during crises. Interested parties can express their interest electronically, with a deadline in late July 2025, ahead of the anticipated launch of the negotiated procedure. It is important to note that this announcement is not a call for tenders itself, but rather a notification of an upcoming opportunity.

Eligible Applicant Types: The information provided does not explicitly state the eligible applicant types. Given that it is a planned negotiated procedure for a middle/low value contract focusing on research and development services, eligible applicants could include research institutes, universities, consulting firms, or other entities with expertise in the relevant field. Further details will likely be available when the official call for tenders is published.

Funding Type: The funding type is a service contract, as indicated by the "Nature of the contract: services" detail. This suggests that the selected applicant will be contracted to provide specific services related to the fundamentals of electricity prices in the EU.

Consortium Requirement: The information does not specify whether a single applicant or a consortium is required. This detail will likely be clarified in the official call for tenders.

Beneficiary Scope (Geographic Eligibility): The opportunity focuses on electricity prices in Europe, implying that the geographic eligibility is likely within the EU. However, the exact eligibility criteria will be defined in the official call for tenders.

Target Sector: The target sector is energy, specifically focusing on the fundamentals of electricity prices. It also involves research and development services.

Mentioned Countries: The opportunity focuses on electricity prices in Europe, implying a focus on EU countries.

Project Stage: The project stage is likely research and development, as the contract focuses on understanding how electricity market prices in Europe are formed. This suggests an early stage of research or analysis.

Funding Amount: The procedure is described as a "negotiated procedure for middle/low value contract," suggesting the funding amount is likely in the range of under €200k, but this is speculative. The exact estimated total value is not provided in the available information.

Application Type: The application type is an expression of interest, followed by a planned negotiated procedure. This means that interested parties must first express their interest electronically. Subsequently, the contracting authority will likely invite a select number of applicants to participate in a negotiated procedure.

Nature of Support: The beneficiaries will receive money in exchange for services rendered, as this is a service contract.

Application Stages: There are at least two stages: an expression of interest and a subsequent negotiated procedure.

Success Rates: The success rates cannot be determined from the provided information. As this is a negotiated procedure, the success rate will depend on the number of applicants invited to negotiate and the quality of their proposals.

Co-funding Requirement: The information does not specify whether co-funding is required. This detail will likely be clarified in the official call for tenders.

Summary: This is a pre-announcement for a future negotiated procedure for a low or middle value contract by the European Commission, DG JRC - Joint Research Centre. The contract will focus on research and development services related to the fundamentals of electricity prices in Europe. The aim is to gain a clear understanding of price formation to ensure transparent, efficient, and fair markets, especially during crises. The procedure involves an initial expression of interest, followed by a negotiated procedure with selected applicants. The start date for expression of interest is planned for 2025-07-10, with a deadline of 2025-07-25. The indicative date for the launch of the negotiated procedure is 2025-07-25. Interested parties should monitor the EU Funding & Tenders Portal for the official call for tenders and further details. This is not a call for tenders at this time.