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How the 3rd package should improve effective unbundling and regional cooperation. Alejo Vidal-Quadras Roca Vice-president of the European Parliament Member of the ITRE Committee Regional Initiatives: Europe’s key to energy market integration

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How the 3rd package should improve effective unbundling and regional cooperation

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How the 3rd package should improve effective unbundling and regional cooperation

Alejo Vidal-Quadras Roca

Vice-president of the European Parliament

Member of the ITRE Committee

Regional Initiatives: Europe’s key to energy market integration

Joint Conference by the European Commission and ERGEG

Brussels, 27th February 2008


Overview and timeline

  • October 2007

    • Directives - gas and electricity

    • Regulations – gas, electricity and European Agency of Regulators

  • European Parliament: 5 rapporteurs

  • Close cooperation between rapporteurs to ensure coherence

  • First reading in early June 2008

  • Important: cooperation between institutions


The European Parliaments’ internal market priorities

  • Removal of administrative and political barriers to market integration

  • Ownership unbundling

  • Stronger framework of cooperation for market players

  • Strong independent regulators at national and EU level

  • Principle of reciprocity


Specificities of the energy sectors

Complex system:

  • Competition/market level

  • Geo-strategic level

  • National level


Internal market aspects

Legislation aims to achieve:

Fully integrated EU energy markets

True competition

Adequate market prices


Gas and Oil exporting countries


External and national aspects

National

Consumer protection

External

Principle of reciprocity


European Commission’s proposal: key aspects

  • Effective unbundling

    • Ownership unbundling

    • ISO

  • Role of national regulators

    • Enhanced powers and independence

  • TSO cooperation at EU level

  • Agency for Regulatory Cooperation

    Parliament is mainly in line with the Commission’s proposal


Regional cooperation


Ownership unbundling and the alternative way

Most controversial point of the debate

Parliament is still studying its implications

Preferable to the ISO model

But will it guarantee the same conditions as ownership unbundling?

Parliament is open to a negotiated solution


Harmonisation is NOT centralisation

Member States are best suited to identify the problems and find adequate solutions

However:

Harmonisation of the regulatory and technical framework essential to ensure integration of the EU energy markets


How the 3rd package should improve effective unbundling and regional cooperation

Alejo Vidal-Quadras Roca

Vice-president of the European Parliament

Member of the ITRE Committee

Regional Initiatives: Europe’s key to energy market integration

Joint Conference by the European Commission and ERGEG

Brussels, 27th February 2008


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