The energy system as we have known it in recent decades is changing rapidly. Climate change, rising energy prices, and social inequality are challenges we are increasingly confronted with, and they are only exacerbated by centralized energy production, dependence on fossil fuels, and the passive role of consumers. One of the key solutions emerging in response to these challenges is the model of energy communities, which brings together people, local communities, municipalities, and companies in the joint management of energy. Insight into this topic was provided by the conference Energy Communities – Residents at the Centre of the Energy Transition, held on 26 November 2025 in Celje.

What are energy communities?

The term energy community is widely used today, but its meaning is still not fully settled. At its core, it refers to a collective model that enables people and institutions to participate actively in the energy system. Typical activities include shared solar production, local storage, demand management, and community-level energy sharing. The model strengthens local self-sufficiency, reduces dependence on fossil fuels, and encourages democratic participation in energy decisions.

The European Union recognises energy communities as an important tool of the green transition and defines them in three directives. At the same time, Slovenia defines them in two laws (the Act on the Promotion of the Use of Renewable Energy Sources and the Electricity Supply Act), on the basis of which we distinguish:

  • renewable energy communities (REC) and
  • citizen energy communities (CEC).

In addition to these two forms, the terms community self‑supply and shared use of electricity are also frequently used in practice, referring mainly to the more technical and billing‑related aspects of energy use.

Renewable Energy Communities (REC) are more focused on renewable energy sources (solar, hydro, wind, biomass) and are geographically limited, meaning that all members must have a contract with the same network operator and be part of the same distribution grid. The geographical proximity of partners enables cheaper energy transfer, as the grid is less burdened and transmission losses are lower, which allows the state to offer a reduced network fee. The reduction of the network fee is based on virtual averaging of 15‑minute consumption and the share of energy produced. In other words, in 15‑minute intervals the system compares how much energy the community produced and how much its members consumed. Members of an REC may include natural persons, municipalities, legal entities under public law, and small or medium‑sized enterprises, provided that energy is not their main business activity.

On the other side, we have Citizen Energy Communities (CEC), which represent a broader and more flexible form of energy community. Their essence lies less in geographical proximity and more in the active role of citizens and communities within the energy system. CECs can operate beyond local or regional boundaries. Their members may produce, share, store, consume, or sell electricity that is not exclusively generated from renewable sources. Because geographical proximity is not required, the benefits of reduced network fees are smaller, but additional financial incentives are possible, such as exemptions from renewable energy contributions. Membership is very open, which is one of the key advantages of this model. Members may include natural and legal persons as well as local and regional authorities, while legislation clearly defines limitations regarding control and decision‑making. Supervisory and decision‑making roles may only be held by natural persons, local or regional authorities, and small non‑energy companies, which prevents large energy corporations from dominating and ensures that the community remains in the hands of citizens and local actors.

Why are energy communities important?

The essence of energy communities lies not only in energy production, but in changing the role of people within the energy system, as they enable individuals and local communities to move from passive consumers to active co‑creators of energy solutions. Energy communities are therefore not merely a technical project, but also a social process that can transform attitudes toward energy and consumption.

The advantages of energy communities include:

  • environmental benefits through the accelerated deployment of renewable energy sources and the reduction of greenhouse gas emissions;
  • local benefits through lower energy costs, greater energy independence, and the fact that financial value remains within the local environment;
  • greater social acceptance of the green transition, as such projects are generally better received than large, centralised interventions in space;
  • decentralisation and democratisation of energy through shared ownership and management, which strengthens the sense of participation and responsibility;
  • the fight against energy poverty, as energy communities have strong potential to include vulnerable groups (with appropriately designed models);
  • public–community partnership, introducing a new model for providing common goods (municipalities, public institutions, the local economy, residents);
  • strengthening local economic development through the use of local resources, circular‑economy approaches, and the creation of new jobs.

Situation in Slovenia: high potential, few examples

Despite favourable natural conditions and relatively good knowledge of renewable energy sources, only around ten energy communities are currently established in Slovenia. This is a small number, especially compared to countries such as Germany, the Netherlands, Denmark, and Belgium, where energy communities have become an important part of the energy system.

Two good examples currently exist in Slovenia:

he reasons for slower development vary, ranging from complex legislation, unclear billing models, and financing difficulties to a lack of experience and organizational capacity at the local level.

What role do municipalities and public institutions play in this?

The role of municipalities or other public institutions in developing energy communities is crucial. The new energy legislation requires municipalities with more than 10,000 inhabitants to plan the establishment of at least one renewable energy community within their Local Energy Concepts.

Examples of energy communities from the SAŠA region

The Municipality of Luče hosts the best‑known example of an energy community in the SAŠA region. It was established as a pilot energy community within the COMPILE project. Luče is a small local community where residents, the municipality, and project partners jointly introduced a solution for a more stable and self‑sufficient local energy supply through a combination of solar power plants and battery systems. They also set up a public EV charging station and implemented advanced grid management to optimise system performance. The Municipality of Luče is often cited as the first self‑sufficient energy community in Slovenia, where the local community operates with a high degree of independence from the central grid. The example is relevant because it combines both the technical and social dimensions of an energy community.

The second example is the SONCE 8P project, which also includes the Municipality of Velenje and the municipalities of Šoštanj and Šmartno ob Paki. The project does not result in an energy community in the strict legal sense. It is led by the Savinja, Šalek and Koroška Energy Agency (KSSENA), which installs solar power plants on public buildings. The aim of the project is to increase the share of energy from solar sources and to involve public institutions as active actors in the transition to renewable energy.

How to move forward?

Interest in energy communities in Slovenia exists. Surveys show strong interest among residents and local communities, yet the potential remains far from fully realised. A support network for energy communities is also being established, aiming to connect knowledge, good practices, and support mechanisms.

Energy communities are not a miracle solution to all energy challenges, but they are an important part of a fair, resilient, and inclusive energy system of the future. The question we should be asking is not whether we need them, but how quickly and how effectively we will be able to develop them.

 

Presentations from the conference “Energy Communities – Citizens at the Centre of the Energy Transition” are available at the following link: Events for the Energy Sector | Dogodki za energetski sektor | Borzen.