EU Launches ‘Citizens’ Energy Package’ to Combat High Bills and Energy Poverty

Brussels, March 11, 2026 – The European Commission has unveiled a comprehensive ‘Citizens’ Energy Package’ aimed at reducing energy bills, tackling energy poverty, and empowering citizens to participate in the clean energy transition. The initiative comes as millions of Europeans continue to struggle with high energy costs, a situation exacerbated by ongoing geopolitical factors and fluctuating wholesale energy prices.

Addressing Energy Poverty and High Costs

Approximately 30 million Europeans are currently struggling to pay their utility bills on time, and nearly one in ten citizens cannot afford to adequately heat their homes [1]. The package seeks to alleviate this burden by focusing on the components of energy bills, with a particular emphasis on reducing electricity taxes and levies, which currently account for 25% of the average household price [2].

Key Measures in the ‘Citizens’ Energy Package’

The European Commission is recommending several key measures to national governments, including:

• Faster Supplier Switching: Streamlining the process for consumers to switch energy suppliers.
• Flexible Contracts: Encouraging energy companies to offer more flexible contract options.
• Tax and Charge Relief: Providing relief on electricity taxes and charges included in energy bills.
• Greater Transparency: Increasing transparency in energy contract and billing information [3].

Focus on Clean Energy Transition

Alongside measures to reduce immediate costs, the package also emphasizes the importance of accelerating the renewable energy transition and improving energy efficiency. This is intended to create a more sustainable and affordable energy system in the long term. The Commission aims to put citizens at the center of this transition [3].

Addressing Industrial Energy Costs

The EU is also examining potential measures to ease pressure on industries facing high energy prices, looking at areas such as energy taxes, network charges (approximately 18% of industrial power bills), and carbon costs (around 11% of bills) [4]. The goal is to ensure European companies remain competitive with rivals in China and the U.S.

Looking Ahead

Commissioner for Energy and Housing Dan Jørgensen emphasized the necessitate for change, stating that access to affordable, secure, and sustainable energy is a basic necessity. The ‘Citizens’ Energy Package’ represents a significant step towards achieving this goal, but its success will depend on the effective implementation of these measures by EU member states. The Commission will continue to monitor energy prices and explore further options to support citizens and businesses.