Policy paper

Trading electricity with the EU

How cross-border trading and supply of electricity has changed.



This document informs people working in the Great Britain and Northern Ireland electricity markets and other stakeholders about changes to the trading and supply of electricity from 1 January 2021.

The UK government has concluded a Free Trade Agreement with the EU to come into effect following the transition period, ending 31 December 2020. This agreement provides a framework for future electricity trading across interconnectors between the UK and the EU. The agreed model of trading will take time to develop and will not be in place for 1 January 2021. Previously developed and communicated alternative arrangements – which will continue to allow trade and mutual support for security of supply – will need to be implemented in the interim, enduring until the agreed trading model can be put in place.

Further guidance on the electricity trading arrangements agreed in the UK-EU Free Trade Agreement will be published in due course.

Published 31 December 2020