Activites

• 1997/01/30 Final act published in Official Journal
  • Directive 1996/92
  • OJ L 027 30.01.1997, p. 0020
• #1983
• 1996/12/19 Council Meeting
• 1996/12/19 End of procedure in Parliament
• 1996/12/11 Decision by Parliament, 2nd reading
  • T4-0665/1996 summary

    In adopting the recommendation for second reading by Mr Claude DESAMA (PSE, B), Parliament approved the common position of the Council on the proposal for a Directive concerning liberalization of the internal market in electricity. For want of a sufficient majority Parliament was unable to adopt the amendments tabled by its Committee on Research, Technological Development and Energy covering, in particular, harmonization of rules concerning environmental protection, taxation and social protection of workers, transparency of company accounts, employment protection and regional planning, the public-service obligation, long-term contracts between State and local or regional authorities, and co-generation (combined heat and electricity production). �

• 1996/12/10 Debate in Parliament
  • Debate in Parliament summary

    In briefly tracing the long odyssey of the Directive on the internal electricity market Mr Desama (PSE, B) declared that he was satisfied with the very meticulous wording of the compromise that had resulted from the conciliation procedure; while underlining that the common position had taken over no less than 80% of the amendments voted for by Parliament at first reading, the rapporteur pleaded for at least two other important points to be retained in the wording of the Directive undergoing approval: the general introduction of eligibility criteria for distributors, which was currently beset with political difficulties, and the need for harmonisation in the areas of environmental protection, security and social standards. As far as the latter was concerned he called on the Commission to issue a communication setting out the general objectives of future harmonisation directives. Commissioner Papoutsis was in complete agreement with this, but stressed that the common position of the Council, which was the result of a compromise negotiated at the highest political level with most of Parliament’s amendments already having been taken over, could not subsequently be changed without having to wait eight years in order to achieve unanimity within the Council.

• 1996/11/19 Committee recommendation tabled for plenary, 2nd reading
  • A4-0380/1996
• 1996/09/05 Committee referral announced in Parliament, 2nd reading
• #1945
• 1996/07/25 Council Meeting
  • 08811/2/1996 summary

    The common position roughly corresponds to the Commission's amended proposal and incorporates a number of amendments adopted by Parliament at first reading. It provides for the gradual stepping up of competition on the electricity market, while guaranteeing the supply of essential services to the public. The text of the common position is based on the following general framework: - separation of the Directive on the internal market in electricity from the Directive on the internal market in gas; - the internal market in electricity will initially be subject to a gradual market opening over nine years; - Member States may invoke either a tendering procedure or an authorization procedure when granting licences to construct new general capacity; - Member States may invoke either the 'negotiated third party access' or the 'single buyer' systems to grant access to the grids; - all issues related to public service obligations are addressed in a specific Article; - with due regard to the principle of subsidiarity, Member States have been given a larger role in the implementation provisions. More specifically, the amendments introduced by the Council concern the following points: - general rules for the organization of the sector: opening up of the market to competition, a balance between competition and public service obligations and the scope of public service, with the introduction of procedures for the identification of public service obligations at the level of the Member States; - transmission system operation: elimination from the scope of the Directive of new transmitting capacity; objective, transparent and non-discriminatory criteria for the construction of new generating capacity; possibility for Member States to choose between the authorization procedure and the tendering procedure; - distribution system operation: Member States may impose on distribution companies an obligation to supply customers located in a given area, and regulate the tariff applicable to certain categories of customers; the distribution system operator may give priority to generating installations using renewable energy sources or producing combined heat and power; - unbundling and transparency of accounts: clarification of unbundling of accounts, which is maintained outside the scope of the Directive; obligation of integrated electricity undertakings, in the internal accounting, to keep separate accounts for their generation, transmission and distribution activities, and to publish, in notes to the annual accounts, a balance sheet and a profit and loss account for each of the electrical activities in which they are engaged; total independence of operation under the single buyer system; independence of operation under the negotiated access system; - organization of access to the system: obligation on system operators to publish an indicative range of prices for use of the transmission systems under the negotiated access system; Member States may opt for a regulated system of access procedure on the basis of published tariffs; single buyer system as an alternative to negotiated access; - opening up of the market: introduction of rules and mechanisms for the gradual and regular opening of the electricity market over a period of six years: the initial opening rate will reach approximately 22%, calculated on the basis of an average Community share (40 GWh) obligatory for all Member States, and will gradually rise to 33% (9 GWh) after six years; in the event of a larger opening decided at the national level, a safeguard clause, reviewed by the Commission after four and a half years, will prevent imbalance between the markets; - final provisions: introduction of rules covering the transitional regime applicable when commitments or guarantees of operation given before the entry into force of the Directive may not be honoured, and covering small isolated systems; abolition of the regular consultation procedures, but clarification of the review procedures, so that the Council and the EP would be able to consider the possibility of a further opening of the market which would be effective nine years after the entry into force of the Directive. . �

• #1938
• 1996/06/20 Council Meeting
• #1921
• 1996/05/07 Council Meeting
• #1894
• 1995/12/20 Council Meeting
• #1850
• 1995/06/01 Council Meeting
  • 1850 summary

    ‘Following the modified proposals for Directives on setting up common rules for the internal gas and electricity market, after consultation of the European Parliament and of the Economic and Social Committee, and while confirming the conclusions adopted by the Council on 30 November 1992 and 29 November 1994, the Council: 1) reaffirms the 4 points of agreement as identified in the Council conclusions of 29 November 1994, keeping in mind the need for further discussion and clarification with regard to market liberalisation beyond the production sector and other aspects of the Directive, for instance that of harmonisation and taking into account the fact that each of these 5 key topics should represent part of an overall agreed solution; 2) recalls that, in the abovementioned conclusions of 29 November 1994, the Council requested further discussion on how to open the markets beyond the area of electricity production, especially on the question of the possible simultaneous introduction of a negotiated TPA and a so-­called single-­buyer system. In this context it agreed to verify that both approaches, in a spirit of reciprocity, lead to equivalent economic results and, therefore, to a directly comparable level in the opening of markets and to a directly comparable degree of access to electricity markets, and that they conform to the provisions of the Treaty; 3) notes the Commission’s working paper on the organisation of the internal electricity market, following the request expressed by the Energy Council at its meeting on 29 November 1994; 4) confirms, in the light of this working paper, that one of the Directive’s main objectives concerning the internal electricity market is to increase competition in the interests of all consumers, and that, to this end, European electricity systems must progressively take market mechanisms into account, allowing in particular for the situation of independent producers and eligible consumers, in the framework of flexible and pragmatic solutions that will: - permit the performance of public service obligations imposed on electricity undertakings in the general economic interest, including objectives set by each Member State regarding security of supply and environmental protection. The implementation of these obligations, in accordance with the Treaty, and in particular with Article 90(2) thereof taken as a whole, will include, for those Member States that so wish, the implementation of long-­term planning, as cited by the Commission and in line with the Council conclusions of 30 November 1992, as being a means of ensuring these objectives. The development of trade must not be affected to an extent that would be contrary to the interests of the Community; - take into consideration the principle of subsidiarity and the different situations and forms of organisation in the various Member States in this sector as well as endogenous resource utilisation; - take into account the question of transitional arrangements, in accordance with the conclusions of the Council at its meeting on 30 November 1992; 5) considers that the two systems, both within the European Community and within those countries of the European Community that so wish, can co­exist subject to certain conditions, intended to ensure reciprocity between the two systems and equivalent effects, being met as indicated in paragraph 2. There is agreement on the following points without prejudice to the discussions to be continued on these conditions, as indicated in paragraph 6: - the single buyer must purchase electricity under objective conditions that guarantee, in particular, transparent transport prices and a total lack of discrimination; - a system of authorisations granted to independent producers, based on transparent criteria, will be introduced along with competitive bidding procedures in the zone covered by the single buyer, while complying with the provisions of paragraph 4; - within a single-­buyer system, eligible consumers in accordance with the principle of equivalence referred to above, will be able to negotiate supply contracts abroad, while complying with the provisions of paragraph 4; - the appropriate conditions for transparency in transport and distribution will be defined in both systems so as to guarantee that any sort of discrimination or predatory behaviour, in particular in intra-­Community trade, is avoided; - appropriate and effective regulatory and control mechanisms and mechanisms for the settlement of disputes will be introduced in both systems so as to avoid any abuse of a dominant position to the detriment in particular of consumers; - in the single­-buyer system, producers who are not bound by contract with the single buyer should be able to export their electricity via the network of the single buyer, provided that there is sufficient transport capacity on that network and that this is technically feasible; 6) considers that further discussions are necessary on the following points: - the building and use of direct lines; - the question of the definition of independent producers; - the question of the definition of all eligible consumers and of their rights and responsibilities; - the concrete conditions for accepting or rejecting authorisations for independent producers in relation to planning and to the capacity of the system and the conditions under which independent producers may negotiate supply contracts with eligible consumers; - the question of possible quantitative limits on the electricity imported by eligible consumers; - the issue of integrated companies in both systems, as regards production, transport and distribution, so as to avoid discrimination, cross-­subsidisation and unfair competition; - the question of who will be responsible, in both systems, for the organisation of the tender procedures; - the detailed procedures as regards transitional periods and arrangements; - the problem of stranded investments; - the conclusions to be drawn in particular from the working document submitted on 11 May 1995 by the Commission on the specific nature of small systems, notably small highly interconnected systems, in particular as regards the realisation of direct lines; 7) invites the Permanent Representatives Committee to finalise its work on the basis of these conclusions to enable the Council to adopt a common position before the end of the year.’

• #1807
• 1994/11/29 Council Meeting
  • 1807
• 1993/12/07 Modified legislative proposal published
  • COM(1993)0643 summary

    The amended Commission proposal incorporated many of the amendments adopted by the European Parliament and took account of the six principles which the Council wanted: - security of supply; - protection for the environment; - protection for small consumers (by strengthening public service requirements); - transparency and non-discrimination; - recognition of the differences between the existing national systems; - transitional provisions (a transitional period was scheduled from 1 July 1994 to 31 December 1998 at the earliest). The Commission's main amendments in the electricity sector basically concerned: - the structure of the proposal: a special chapter was devoted to the rules for access to networks; - third-party access to the network. The regulated access provided for in the initial proposal was replaced by the possibility of negotiated access, with arbitration mechanisms if there were problems in negotiating or implementing the contract; - the introduction of a work programme allowing the Commission, during the second phase of market liberalisation, to draw up the harmonisation proposals needed for the successful operation of the market; - strengthening the references to public service requirements; - unbundling: separate management was abolished; separate accounting was maintained, however, and supplemented by giving the competent authorities right of access to companies' internal documents; - the introduction of tendering procedures as an option when allocating new transport and production capacity; - the simplification of the rules relating to use of the transport and distribution networks. The Commission did not accept Parliament's amendments on the following: - the requirement for the Member States to set up an Electricity and Gas Council; - the link between the transition to the final phase of liberalisation and prior harmonisation in the environmental and taxation fields; - allowing the distribution companies to keep the supply monopoly. �

• 1993/11/17 Decision by Parliament, 1st reading/single reading
  • T3-0640/1993 summary

    The plenary assembly adopted the report by Mr Claude Desama (PSE, B) and confirmed the main approach set out by the Committee on Energy, Research and Technology. Harmonisation would initially be given precedence over liberalisation, whilst liberalisation would occur over a transitional period finishing at the end of 1998. Harmonisation involved establishing common rules on production, transport and distribution (electricity) together with storage, transport and distribution (gas). It included defining rules for the organisation and operation of these sectors, tasks of general interest and access to the market. It particularly targeted environmental protection, taxation and transparent accounting.�

• 1993/11/16 Debate in Parliament
  • Debate in Parliament summary

• 1993/10/08 Vote in committee, 1st reading/single reading
  • A3-0281/1993
• 1992/04/06 Committee referral announced in Parliament, 1st reading/single reading
• 1992/02/21 Legislative proposal published
  • COM(1991)0548 summary

Documents

• Legislative proposal published: COM(1991)0548
• Committee report tabled for plenary, 1st reading/single reading: A3-0281/1993
• Debate in Parliament: Debate in Parliament
• Decision by Parliament, 1st reading/single reading: T3-0640/1993
• Modified legislative proposal published: COM(1993)0643
• Debate in Council: 1807
• Debate in Council: 1850
• Council position published: 08811/2/1996
• Committee recommendation tabled for plenary, 2nd reading: A4-0380/1996
• Debate in Parliament: Debate in Parliament
• Decision by Parliament, 2nd reading: T4-0665/1996
• : Directive 1996/92
• : OJ L 027 30.01.1997, p. 0020

History

(these mark the time of scraping, not the official date of the change)