Activities of Alexandra GEESE related to 2021/0425(COD)
Shadow opinions (1)
OPINION on the proposal for a directive of the European Parliament and of the Council on common rules for the internal markets in renewable and natural gases and in hydrogen
Amendments (50)
Amendment 68 #
Proposal for a directive
Recital 4
Recital 4
(4) As part of the Package “Clean Energy for all Europeans” proposed by the Commission on 30 November 2016, Regulation (EU) 2019/9436 and Directive (EU) 2019/9447 brought about a further step in the development of the internal market for electricity with citizens at its core and contributing to the Union’s objectives of transition to a clean energy system and reducing greenhouse gas emissions. The internal market in natural gas should be built on those same principles and, in particular, ensure an equal level of consumer protection. _________________ 6 Regulation (EU) 2019/943 of the European Parliament and of the Council of 5 June 2019 on the internal market for electricity (OJ L 158, 14.6.2019, p. 54). 7 Directive (EU) 2019/944 of the European Parliament and of the Council of 5 June 2019 on common rules for the internal market for electricity and amending Directive 2012/27/EU (OJ L 158, 14.6.2019, p. 125)ensure that consumers are not subsidising investments that they will not be using in the future as well as minimising the risk of stranded assets and their related future costs.
Amendment 70 #
Proposal for a directive
Recital 4 a (new)
Recital 4 a (new)
(4 a) To achieve the objectives of the European Green Deal, of the 8th Environmental Action Plan and in line with the Paris Climate Agreement, the Union should phase-out fossil fuels, including fossil gas, by 2035 and achieve a highly energy-efficient and fully renewable based economy by that date. Therefore, this directive should set a common framework for the phase out of natural gas supply by 2035 and for decommissioning related infrastructure assets.
Amendment 71 #
Proposal for a directive
Recital 5
Recital 5
(5) The Union has aims to cut greenhouse gas emissions by at least 55% by 2030, and become the first climate neutral continent by 2050, set out in the European Green deal and the Paris Agreement. It has therefore adopted a set of initiatives to reach that goal, including the energy system integration strategy and the hydrogen strategy published by the Commission in July 2020, which set out how to update the energy markets, including the decarbonisation of gas markets as well as Regulation (EU) 2018/1999 and Regulation (EU) 2021/1119. This Directive should contribute to achieving these goals, ensuring security of supply and a well- functioning internal market for renewable gases, including for hydrogen.
Amendment 73 #
Proposal for a directive
Recital 6
Recital 6
(6) This Directive aims to facilitate the penetration of renewable and low-carbon gases into the energy system enabling a shifphasing-out from fossil gas and to allow these new gases to play an important role towards achieving the EU’s 2030 climate objectives and climate neutrality in 2050. The Directive aims also to set up a regulatory framework which enables and incentivises all market participants to take the transitional role of fossil gas into account whileshift away from fossil gas, and planning their activities to avoid lock-in effects andin any kind of fossil fuel, as well as ensure gradual and timely phase-out of fossil gas notably in all relevant industrial sectors and for heating purposes.
Amendment 74 #
Proposal for a directive
Recital 8
Recital 8
(8) In line with the EU Hydrogen Strategy,Repower EU Strategy, 10 mt of domestic renewable hydrogen and 10 mt of imported renewable hydrogen isare expected to be deployed on a large-scale fromby 2030 onwards for the purpose of decarbonising certain sectors and applications that do not have any other more sustainable and energy efficient renewable solutions, ranging from aviation and shipping to hard-to- decarbonise industrial sectors. All final customers connected to hydrogen systems will benefit from basic consumer rights applicable to final customers connected to the natural gas system such as the right to switch supplier and accurate billing information. In those instances where customers are connected to the hydrogen network, e.g. industrial customers, they will benefit from the same consumer protection rights applicable to natural gas customers. However, consumer provisions designed to encourage household participation on the market such as price comparison tools, active customers and citizen energy communities do not apply to the hydrogen system.
Amendment 77 #
Proposal for a directive
Recital 11
Recital 11
(11) Consumer interests should be at the heart of this Directive and quality of service should be a central responsibility of natural gas undertakings. Existing rights of consumers and rights for access to essential services, including energy, as well as the right to a secure and affordable energy supply, and safeguarding against energy poverty, as stated in the European Pillar of Social Rights communication need to be strengthened and guaranteed, and should include greater transparency. To this respect, any cross-subsidisation of hydrogen network through gas or electricity network tariffs should not be allowed, as it puts the burden of the energy transition of the industry sector on gas or electricity users, including households, by increasing their gas or electricity bills, while they are not expected to use hydrogen in the future. Consumer protection should ensure that all consumers in the wider remit of the Union benefit from a competitive gas market. Consumer rights should be enforced by Member States or, where a Member State has so provided, the regulatory authorities.
Amendment 82 #
Proposal for a directive
Recital 19
Recital 19
(19) Market rules should protect and empower customers to make low carbonenergy efficient and renewable choices, in order for new renewable and low carbon gases to be fully embedded in the energy transition.
Amendment 83 #
Proposal for a directive
Recital 20
Recital 20
(20) Natural gas still plays a key role in energy supply, asCurrently, household energy consumption from natural gas is still higher than from electricity. Although electrification is a key element of the green transition, in the future there will still be household natural gas consumption including increasing volumes of renewable gaHigh levels of renewable based electrification wherever is technically feasible is a key element of the green transition, whereas only a minor role for sustainable renewable based gases may be still relevant at household level in certain circumstances, as for instance in rural communities.
Amendment 85 #
Proposal for a directive
Recital 23
Recital 23
(23) As in the electricity sector, market flexibilities and an adequate Union consumer rights’ legal framework in the natural gas sector are essential to ensure that consumeritizens can participate in the energy transition and benefit from affordable prices, good standards of service, and effective choice of offers mirroring sustainable technological developments.
Amendment 88 #
Proposal for a directive
Recital 27
Recital 27
(27) To be coherent and effective, this mirroring approach should be encompass all consumer protection and empowerment provisions, whenever feasible and adaptable to the gas marketprovisions. This should go from basic contractual rights to rules for billing information, switching energy provider, having at disposal reliable comparison tools, protecting vulnerable and energy poor consumers, ensuring adequate data protection for smart meters and data management, and efficient alternative dispute resolution rules.
Amendment 89 #
Proposal for a directive
Recital 29
Recital 29
(29) The modernisintegration of the gas sector is expected to lead torenewable gases, particularly substantial economic benefits in terms of both improved retail competition and its social and distributional benefits and customer empowerment, includinginable biomethane, into the natural gas system is expected to lead to improved retail competition, strengthened contractual rights and better available information on consumption and energy sources leading to greener choices. Energy communities-of-i, which also include uptaking energy efficiency measures and switching from gas to other more sustainable and energy efficiente restnewable energy should contribute torces. Renewable energy communities could play a role in the uptake of sustainable renewable gas.
Amendment 91 #
Proposal for a directive
Recital 30
Recital 30
(30) Switching from fossil fuels to renewable energies is an important indicator of consumer engagement as well as in important tool to boost competition on the natural gas markettowards achieving the ecological transition. While the possibility of switching suppliers is an important tool to boost competition on the gas market and should therefore be guaranteed as basic right to consumers. Switching rates remain inconsistent among Member States and consumers are discouraged from switching both energy source and supplier by exit and termination fees. Although removing such fees might limit consumer choice by eliminating products based on rewarding consumer loyalty, restricting their use further should improve consumer welfare, consumer engagement and competition in the market.
Amendment 94 #
Proposal for a directive
Recital 32
Recital 32
(32) Several factors impede consumers from accessing, understanding and acting upon the various sources of market information available to them. It follows that the comparability of offers should be improved and barriers to switching should be minimised to the greatest practicable extentby providing greater access to information, including on the sustainability of the energy offers, and to comparison tools for all customers. Barriers to switching should be eliminated without unduly limiting consumer choice.
Amendment 97 #
Proposal for a directive
Recital 33
Recital 33
(33) Independent comparison tools, including websites, are an effective means for smaller customers to assess the merits and environmental impact of the different energy offers that are available on the market. They should aim to include the broadest possible range of available offers, and to cover the market as completely as is feasible so als to give the customer a representative overview. This comparison tool should also include information on energy origins, share and quantity, as well as other relevant environmental impact indicators, including level of greenhouse gas emissions. It is crucial that smaller customers have access to at least one comparison tool and that the information given on such tools be trustworthy, impartial and transparent. To that end, Member States could provide for a comparison tool that is operated by a national authority or a private company.
Amendment 98 #
Proposal for a directive
Recital 34
Recital 34
Amendment 100 #
Proposal for a directive
Recital 35
Recital 35
Amendment 101 #
Proposal for a directive
Recital 36
Recital 36
Amendment 103 #
Proposal for a directive
Recital 37
Recital 37
(37) Bills and billing information are an important means to inform and empower final customers. Energy bills remain the most common consumer concern and source of consumer complaints, a factor that contributes to the persistently low levels of consumer satisfaction and engagement in the gas sector. Provisions for billing information in the gas sector also lag behind rights granted to consumers in the electricity sector. It is therefore necessary to align them and to set minimum requirements for bills and billing information in the gas sector, so that consumers have access to transparent, complete, easy to understand information. Bills should convey information to the final consumers on their consumption and costs, as greenhouse gas emission intensity, type of energy, its share and quantity, thus facilitating comparison between offers and switching supplier, as well as information on their consumer rights (such as on alternative dispute resolution). In addition, bills should be a tool to actively engage consumers in the market, so that consumers can manage their consumption patterns and make greener choices.
Amendment 109 #
Proposal for a directive
Article 1 – paragraph -1 (new)
Article 1 – paragraph -1 (new)
-1. This Directive establishes a common framework for the phase out of natural gas supply by 2035 and decommissioning of related infrastructure assets in line with the energy efficiency first principle and the obligations set out in the EU climate law (XXX/xx).
Amendment 110 #
Proposal for a directive
Article 1 – paragraph 1
Article 1 – paragraph 1
1. This Directive establishes common rules for the transmission, distribution, supply and storage of gases within the meaning of Article 2, point (2) using the natural gas system defined in point (3) of that Article together with consumer protection provisions, with a view to creating truly integrated, competitive, consumer-centred, flexible, fair, transparent and non-discriminatory markets for gases in the Union. It lays down the rules relating to the organisation and functioning of that sector, access to the market, the criteria and procedures applicable to the granting of authorisations for transmission, distribution, supply and storage of gases using the natural gas system and the operation of systems.
Amendment 112 #
Proposal for a directive
Article 2 – paragraph 1 – point 69
Article 2 – paragraph 1 – point 69
(69) ‘energy poverty’ means energy poverty as defined in point (492) of Article 2 of Directive (EU) 2021/0203 COD of the European Parliament and of the Councilthe [Social and Climate Fund xxx/xxx].
Amendment 113 #
Proposal for a directive
Article 2 – paragraph 1 – point 70
Article 2 – paragraph 1 – point 70
Amendment 114 #
Proposal for a directive
Article 2 – paragraph 1 – point 71
Article 2 – paragraph 1 – point 71
Amendment 124 #
Proposal for a directive
Article 8 – paragraph 4
Article 8 – paragraph 4
4. The obligations laid down in paragraph 2 shall apply regardless of whether low carbon fuels are produced within the Union or are imported. Information about the geographic origin and, feedstock type, life cycle GHG emissions, and other environmental criteria of low carbon fuels or low carbon hydrogen per fuel supplier shall be made available to consumers on the websites of operators, suppliers or the relevant competent authorities and shall be updated on an annual monthly basis.
Amendment 127 #
Proposal for a directive
Article 10 – paragraph 2 a (new)
Article 10 – paragraph 2 a (new)
2 a. Member States shall also take appropriate measures to ensure that network operators do not include any costs related to the repurposing of the current gas network to allow for blending with hydrogen or rolling out the hydrogen network in their gas or electricity network tariffs.
Amendment 128 #
Proposal for a directive
Article 10 – paragraph 3 – point a
Article 10 – paragraph 3 – point a
(a) the identity and address of the supplier, contact details (address, phone number and email of customer service);
Amendment 133 #
Proposal for a directive
Article 10 – paragraph 3 – subparagraph 2
Article 10 – paragraph 3 – subparagraph 2
Final customers shall be provided with a summary of the key contractual conditions in a prominent manner and in concise and simple language. This summary shall be provided together with the key information on energy offers as referred to in paragraph 3(a) of this Article.
Amendment 134 #
Proposal for a directive
Article 10 – paragraph 3 a (new)
Article 10 – paragraph 3 a (new)
3 a. In addition to the provision of information on contractual conditions as laid down in paragraph 3 of this Article, final customers shall be provided with key information on the energy offers in a concise and easy-to-understand language based on a common terminology agreed at national level. As a minimum, the key information on energy offers shall include: (a) product name and main features, including information on environmental impact, level of greenhouse gas emissions and, where relevant, related savings, guarantee of origin of energy from renewables sources; (b) clear description of the price and tariffs offered, either fixed or variable, as well as conditions for their changes during contract performance; (c) clear description of promotions and discounts, including the date when it elapses; (d) information on additional services (e.g. maintenance, insurance, energy efficiency measures) and their price; (e) total price of natural gas (including all cost components, i.e. supply, distribution, taxes and levies) as well as the single unit price (including all charges and taxes); (f) one-time payments, including activation fees and costs for the connection to the network; (g) contract duration and conditions for termination and switching, including notice period, fees and penalties, where relevant; (h) payment frequency and available payment method. Important clauses such as those on the product, discounts and factors unrelated to thee electricity supply should be presented in a prominent manner, together with key contractual conditions, so as to be immediately identifiable by customers. Member States shall establish a common terminology agreed at national level to ease comparison of offers for customers.
Amendment 136 #
Proposal for a directive
Article 10 – paragraph 5
Article 10 – paragraph 5
5. Suppliers shall provide final customers with transparent information on applicable prices and, tariffs and on, standard terms and conditions, in respect of access to and use of gases services and, if relevant, on additional products and/or services bundled with the service.
Amendment 137 #
Proposal for a directive
Article 10 – paragraph 10
Article 10 – paragraph 10
10. Suppliers shall provide natural gas household customers with adequate information on alternative measures to disconnection sufficiently in advance of any planned disconnection. Such alternative measures mayshall inclusde information about sources of support to avoid disconnection, prepayment systems, energy audits, energy consultancy services, alternative payment plans, debt management advice or disconnection moratoria and shall not entail an extra cost to the customers facing disconnection. Disconnections to household customers using natural gas for heating shall be prohibited during winter times. Disconnections shall also be prohibited during ongoing legal or extra-legal disputes between the supplier and customers.
Amendment 139 #
Proposal for a directive
Article 10 – paragraph 11
Article 10 – paragraph 11
11. Suppliers shall provide final customers with a final closure account after any switch of supplier no later than sixfour weeks after such a switch has taken place
Amendment 140 #
Proposal for a directive
Article 11 – paragraph 1
Article 11 – paragraph 1
1. Customers shall have the right to switch gases suppliers or market participants. Switching supplier or market participant shall be carried out within the shortest possible time, and in any case not later than two weeks from the date of the request. Member States shall ensure that a customer wishing to switch suppliers or market participants, while respecting contractual conditions, is entitled to such a switch within a maximum of threewo weeks from the date of the request. By 2026 at the latest, the technical process of switching supplier or market participant shall take no longer than 24 hours and shall be possible on any working day.
Amendment 144 #
Proposal for a directive
Article 11 – paragraph 2
Article 11 – paragraph 2
2. Member States shall ensure that the right to switch supplier or market participant is granted to all customers in a non-discriminatory manner as regards cost, effort and time.
Amendment 145 #
Proposal for a directive
Article 11 – paragraph 3 – subparagraph 1
Article 11 – paragraph 3 – subparagraph 1
Such fees shall be proportionate and shall not exceed the direct economic loss to the supplier or the market participant resulting from the customer's termination of the contract, including the costs of any bundled investments or services that have already been provided to the customer as part of the contract. The burden of proving the direct economic loss shall be on the supplier or market participant. The permissibility of contract termination fees shall be monitored by the regulatory authority, or by another competent national authority. In case of bundled investments in equipment, the direct economic loss to the supplier shall be determined based on one of the following criteria, whichever amount is smaller: (a) prorata temporis residual value of subsidised equipment bundled with the contact, (b) remaining part of service fee;
Amendment 149 #
Proposal for a directive
Article 12 – paragraph 1 – subparagraph 1
Article 12 – paragraph 1 – subparagraph 1
Member States shall ensure that at least one tool covers the entire natural gas market. Where multiple tools cover the market, those tools shall include, as complete as practicable, a range of gas offers covering a significant part of the market and, where those tools do not completely cover the market, a clear statement to that effect, before displaying results. The information shall be displayed in a way that allows consumers to clearly identify and filter the parameters relevant to their search. As a minimum, the following elements shall be displayed in a prominent manner: (i) availability of “green tariffs”; (ii) exceptional or short-term conditions of offers. The list of elements to be displayed in a prominent manner may be updated and expanded by the competent authority as referred to in paragraph 4 of this Article.
Amendment 152 #
Proposal for a directive
Article 12 – paragraph 3
Article 12 – paragraph 3
3. Member States mayshall require comparison tools referred to in paragraph 1 to include comparative criteria relating to the nature of the services offered by the supplier, including on aspects such as termination of contract or switching, availability of sustainable offers, the quality of the service, the availability of effective complaint- handling mechanisms, and the level of consumer satisfaction, offered by the suppliers. In establishing these criteria, Member States shall consult relevant stakeholders, including organisations representing consumers interests.
Amendment 153 #
Proposal for a directive
Article 12 – paragraph 4
Article 12 – paragraph 4
4. Member States shall appoint a competent authority to be responsible for issuing trust marks for comparison tools that meet the requirements set out in paragraph 1, and for ensuring that comparison tools bearing a trust mark continue to meet those requirements. That authority shall be independent of any market participants and comparison tool operators. Suppliers shall provide the national competent authorities appointed with information on past and current energy offers in view of establishing a database to be used by certified comparison tools.
Amendment 155 #
Proposal for a directive
Article 13
Article 13
Amendment 171 #
Proposal for a directive
Article 23 – paragraph 1
Article 23 – paragraph 1
Member States shall ensure that single points of contact are established to provide customers with all necessary information concerning their rights, the applicable law and dispute settlement mechanisms available to them in the event of a dispute. Such single points of contact may be part of general consumer information points and may be the same entities as the single contact points for electricity referred to in Article 26 of Directive 2019/944/EU [on common rules for the internal market in electricity] or one-stop-shops established under [RED, EED, EPBD XX/XX]. Single point of contact shall also provide clear and complete information about available support measures, including those targeted to vulnerable customers, such as temporary income support mechanism, support for energy efficiency measures, building renovations, alternative renewables based heating and cooling systems and access to renewable energy production, self-consumption, sale and storage. Member States shall ensure that final customers are informed about where to find single points of contact. Member States shall ensure that information on certified comparison tools are provided to consumers through Single Points of Contact, as well as ensure access to at least one accessible comparison tool to customers that request it, including those without internet access.
Amendment 173 #
Proposal for a directive
Article 24 – paragraph 3 a (new)
Article 24 – paragraph 3 a (new)
3 a. Member States shall regularly assess the functioning of the out-of-court dispute settlement mechanisms, especially with regard to the participation and compliance of energy service providers, intermediaries and distribution system operators.
Amendment 174 #
Proposal for a directive
Article 25 – paragraph 1
Article 25 – paragraph 1
Member States shall take appropriate measures to protect final customers, and shall, in particular, ensure that there are adequate safeguards to protect vulnerable customers. In this context, each Member State shall define the concept of vulnerable customers which may refer to energy poverty. Measures to protect vulnerable consumers mayshall include, inter alia, to the prohibition of disconnection to such customers in critical times. , and in all cases during winter times. The concept of vulnerable customers shall at least include income levels, the share of energy expenditure in disposable income, the energy efficiency of homes, critical dependence on gas equipment for health reasons, and age. Member States shall ensure that rights and obligations linked to vulnerable customers are applied.
Amendment 178 #
Proposal for a directive
Article 25 – paragraph 2
Article 25 – paragraph 2
In particular, Member States shall take appropriate measures to protect final customers in remote areas who are already connected to the natural gas or hydrogen systems. .Member States mayshall appoint a supplier of last resort for household customers, and, where Member States deem it to be appropriate, small enterprises considered to be vulnerable customers connected to the gas system.. They shall ensure high levels of According to relevant provisions of this Directive, consumer protection, particularly with respect to transparency regarding contractual terms and conditions, general information and dispute settlement mechanisms shall be always ensured. Social tariffs and supplier of last resort tariffs for vulnerable or energy poor customers shall not be higher than the lowest market price.
Amendment 179 #
Proposal for a directive
Article 25 – paragraph 2 a (new)
Article 25 – paragraph 2 a (new)
Amendment 184 #
Proposal for a directive
Article 27 – paragraph 2
Article 27 – paragraph 2
2. The provisions of this Directive shall not prevent the conclusion of long- term contracts for renewable and low carbon gases in so far as they comply with Union competition rules and contribute to decarbonisation. No long-term contracts for supply of unabated fossil gas shall be concluded with a duration beyond the end of year 204935 .
Amendment 187 #
Proposal for a directive
Article 71 – paragraph 1 – point g
Article 71 – paragraph 1 – point g
(g) ensuring that customers benefit through the efficient functioning of their national market, promoting effective competition and helping to ensureensure high-level of consumer protection in close cooperonsultation with relevant consumer protection authorities ;
Amendment 188 #
Proposal for a directive
Article 71 – paragraph 1 – point g a (new)
Article 71 – paragraph 1 – point g a (new)
(g a) ensuring that customers benefit from the efficient functioning of market overlapping with other electricity markets, and where cross-sectorial issues arise, clarifying competencies among regulators and competent authorities to ensure cost- efficient solutions;
Amendment 189 #
Proposal for a directive
Article 71 – paragraph 1 a (new)
Article 71 – paragraph 1 a (new)
To ensure consistency with the overall policy objectives of this Directive, namely the protection of consumer interests, national regulatory authorities shall consult relevant consumer organisations to take into consideration their interests and preferences in developing energy policies but also to identify shortcomings in the implementation of their rights as laid down under this Directive.
Amendment 190 #
Proposal for a directive
Article 72 – paragraph 1 – point s
Article 72 – paragraph 1 – point s
(s) respecting contractual freedom with regard to long-term contracts provided that they are compatible with Union law and consistent with Union policies and provided they contribute to decarbonisation objectives. No long-term contracts for supply of unabated fossil gas shall be concluded with a duration beyond the end of year 2049 35;
Amendment 191 #
Proposal for a directive
Article 72 – paragraph 1 – point v
Article 72 – paragraph 1 – point v
(v) helping to eEnsure, together with other relevant authorities, that the consumer protection measures, including those set out in Annex I, are effective and enforced; through proper monitoring and reporting. In light of consumer interests, the monitoring shall particularly assess: (a) the availability and access to information with regard to energy offers, and possibility to compare them by using certified comparison tools; (b) the existence of misleading practices and offers; (c) the existence of barriers for customers to exercise their rights such as switching, termination of contract, and access to out- of-court dispute settlement mechanism, (d) the existence of measures to promote energy savings for household customers affected by energy poverty, and in particular by assessing the effectiveness of measures notified within the framework of Article 25 of this Directive
Amendment 192 #
Proposal for a directive
Article 72 – paragraph 1 – point y
Article 72 – paragraph 1 – point y
(y) monitoring the strict implementation of rules relating to the roles and responsibilities of transmission system operators, distribution system operators, hydrogen network operators, suppliers and customers and other market parties pursuant to [recast Gas Regulation as proposed in COM(2021) xxx] including rules requiring network operators to maintain separate regulated asset bases for gas, electricity and hydrogen assets and ensuring that financial transfers between different regulated asset bases do not take place;