Community Energy as a Distributed Flexibility and Social Innovation Mechanism in Central Europe: A V4 Comparative Study
K. Zs. Kincses, M. Szalmane Csete Department of Environmental Economics and Sustainability, Faculty of Economic and Social Sciences, Budapest University of Technology and Economics, Budapest, Hungary 2026-06-27

Abstract

The rapid expansion of decentralized renewable energy generation fundamentally transforms electricity systems by introducing variability, bidirectional flows and local balancing challenges. While technological flexibility solutions such as storage and grid reinforcement remain essential, they alone cannot ensure efficient operation without social acceptance and local coordination. Energy communities have therefore emerged as hybrid socio-technical arrangements integrating distributed generation, collective consumption and participatory governance. This paper investigates energy communities in the Visegrád countries (Hungary, Poland, Czechia and Slovakia) from a combined technical and institutional perspective. Using comparative policy analysis and the energy justice framework, we evaluate whether community energy can simultaneously enhance grid flexibility, energy independence and equitable participation in Central Europe. The results show that the primary barriers are institutional rather than technological. A five-factor operational pathway is identified including energy sharing, metering and data integration, financial sustainability, benefit-sharing mechanisms and governance partnerships. The study concludes that energy communities may become distributed flexibility providers only if regulatory design and social structures evolve together.

Key words: Energy communities, energy sharing, energy independence, energy justice, Central Europe.

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