Public-Service Obligations in EU Energy Market

What is the primary role of Public-Service Obligations (PSOs) in the EU energy market?

• To guarantee profits for energy suppliers

• To provide subsidies only for renewable energy sources

• To ensure security of supply, quality, and environmental protection

• To remove regulatory standards from energy markets

Which of the following is an example of a PSO in Greece?

• Renewable energy quota

• Subsidized tariffs for non-interconnected islands

• Fixed tariffs for all consumers

• Exclusive contracts with international suppliers

The Federutility case provided guidance on which aspect of the EU energy market?

• Subsidies for renewable energy sources

• Acceptability of temporary price controls

• Removal of monopolies in the gas sector

• Standards for environmental sustainability

Which directive outlines the requirements for Public-Service Obligations in the electricity sector?

• EU Gas Market Directive

• EU Competition Directive

• Electricity Directive (EU) 2019/944

• Universal Service Directive

According to the Altmark Test, what must be true for compensation under PSOs to avoid being classified as state aid?

• Compensation must exceed actual costs

• Service providers should operate under a monopoly

• Compensation must not confer an unfair advantage

• PSOs should exclusively support large corporations

What is the role of a 'Supplier of Last Resort' in the EU energy market?

• To increase competition among suppliers

• To ensure continuous energy supply in case of supplier failure

• To control energy prices for industrial consumers

• To set environmental protection standards

Which of the following is NOT a requirement for a public-service obligation according to EU law?

• Must be well-defined and transparent

• Can discriminate among companies in the energy sector

• Should be proportional to achieve its objectives

• Should aim to meet general-interest objectives

In the context of universal service in the EU, what is the purpose of guaranteeing access to the electricity grid?

• To ensure profits for energy suppliers

• To provide all consumers with continuous energy supply at reasonable prices

• To allow customers to choose their energy supplier freely

• To prioritize renewable energy sources exclusively

Under the Altmark case, which criterion ensures that compensation does not exceed necessary costs?

• Efficiency Test

• Non-discrimination

• General-interest objectives

• Transparent standards

What action must Member States take when imposing PSOs on energy sector undertakings?

• Obtain approval from the European Parliament

• Inform the European Commission

• Reduce competition in the market

• Exempt companies from EU competition rules