Energy Community Secretariat Energy Community Secretariat

17th Stakeholder Group Meeting – GRI SSE

GRI SSE – Cooperation with the Energy Community

Andrius Simkus, Gas Expert 1

Bucharest, 12 December 2014

Energy Community Secretariat Energy Community Secretariat

1. Legal developments

Third Energy Package

Network Codes

Regulation (EU) No. 994/2010

Equal treatment (reciprocity)

2. Projects of the Energy Community Interest (PECIs)

3. Priorities for the regional cooperation

2

Contents

Energy Community Secretariat Energy Community Secretariat 3

Energy

Community

European Union

Contracting Parties

Candidate

Observers

Contracting Parties with existing

gas consumers

Energy Community Secretariat Energy Community Secretariat

Legal developments

4

Energy Community Secretariat Energy Community Secretariat

• Draft laws reviewed by the EnCS:

Bosnia and Herzegovina (electricity – all levels)

Kosovo* (electricity, gas)

FYR of Macedonia (electricity, gas)

Montenegro (electricity, gas)

Serbia (electricity, gas)

• Draft laws prepared by the EnCS:

Albania (electricity, gas)

Bosnia and Herzegovina (gas – State level)

Moldova (electricity, gas)

Ukraine (electricity, gas)

5

Transposition of the Third Energy Package

Energy Community Secretariat Energy Community Secretariat

1. Capacity allocation / congestion management

Adapted drafts prepared by the EnCS and sent to the EC

Discussed at joint EnCS – ENTSOG Workshop

Discussions to be continued in the 1st half of 2015

2. Balancing

Joint EnCS – ENTSOG Workshop held in Nov. 2014

Adapted draft initially prepared by the EnCS

6

Network Codes (gas)

Energy Community Secretariat Energy Community Secretariat

• Adoption for the Energy Community:

Adapted draft prepared by the EnCS

Recommended partial transposition before formal

extension of the EnC acquis

Adoption to be discussed in the 1st half of 2015

7

Regulation (EU) No. 994/2010

Energy Community Secretariat Energy Community Secretariat 8

Treatment of interconnectors / IPs

EU

MS

EU

MS EnC

CP

EnC

CP

Interconnector „Spanning the territories of

2 or more MS“

Interconnector „Spanning the territories of

2 or more CPs“

IP treated as IP to

„3rd country“

Definition 3rd package EU / EnC

No interconnector

Definition existing NC

Regulations

Institutional TPA exemptions; CB

cost allocation

EU NRA can choose to apply or

not apply NC rules on border to

3rd country

EU

NRA

EU

NRA

ACER decision in case of disagreement /

specific request

EnC

NRA

EnC

NRA

ECRB opinion in case of disagreement /

specific request

Neither ACER nor

ECRB responsible

Solved by Interpretative Note adopted by the September 2014 EnC Ministerial Council

IP treated as IP to

„3rd country“

Definition existing NC

Regulations

Energy Community Secretariat Energy Community Secretariat

Projects of Energy Community Interest (PECIs)

9

Energy Community Secretariat Energy Community Secretariat

G007

G008

G009

G013

G002 G022

G010

G011

G021

G003

G006

LNG terminal

Gas pipeline

Projects of Energy Community Interest – Gas Infrastructure

Map source: ENTSOG

Energy Community Secretariat Energy Community Secretariat

IAP

IBS

LNG Krk

South Interconnection Cro-BiH (Zagvozd-N.Travnik / Ploce-Sarajevo)

North Interconenction Cro-BiH (Zenica – Brod)

LNG terminal Planned Gas pipeline (WBIF studies)

Activities – Gas Infrastructure Development

Map source: ENTSOG

TAP

Planned Gas pipeline

Iasi – Ungheni - Chisinau

Energy Community Secretariat Energy Community Secretariat

Priorities for the regional cooperation

12

Energy Community Secretariat Energy Community Secretariat

• Sharing EU’s best practices in the implementation of the Third Energy Package

• Assistance in strengthening the independence and functional capabilities of NRAs of the CPs

• Enhanced implementation of new interconnection projects (technical and financial assistance)

• Equal treatment vis-à-vis the Contracting Parties

• Harmonised regulatory and operational practices

• Regional approach in solving security of supply

• Cooperative involvement of the CPs

13

Priorities for the regional cooperation

Energy Community Secretariat Energy Community Secretariat

• Proposal 4.1: “EnC institutions should be better and more efficiently linked with the

institutions set up within the EU internal market under the Third Energy Package”

• “In particular, the CP NRAs should be represented in ACER”

• “Participation of CP NRAs in ACER should be developed more explicitly than

envisaged in Regulation (EC) No 713/2009 which refers to the

participation of regulatory bodies of any third countries applying EU

energy law. Moreover, an option for a meaningful participation in ACER will

raise the attractiveness of the Energy Community vis-a-vis those countries who

are not yet members”

• Proposal 4.9: “In the light of progressive integration of markets, the membership of

CP NRAs in ECRB should be gradually phased out and replaced by CP NRAs’

membership in ACER, while keeping the ECRB for energy regulators from

Associated Members”

14

HLRG recommendations – NRA related

Energy Community Secretariat Energy Community Secretariat

• Proposal 4.1: “EnC institutions should be better and more efficiently linked with the

institutions set up within the EU internal market under the Third Energy Package”

• “In particular, [...] TSOs [should be represented] in ENTSO-E and ENTSOG”

• “TSOs from Contracting Parties should also have a right to become members

of ENTSOG as they can become members of ENTSO-E”

15

HLRG recommendations – TSO related

Energy Community Secretariat Energy Community Secretariat

• Regional approach incl. the Energy Community

• Potential nomination of new pilot projects

• Potential formal extension of GRI SSE members

• Extended regional SoS-related cooperation

16

Cooperation within the GRI SSE framework

Energy Community Secretariat Energy Community Secretariat 17

www.energy-community.org

Thank you

for your attention!

Workshop on Underground Gas Storage