Sustainable Energy Law Notebook

Join us on 4 April 2019 in Oslo for a seminar on Electricity Market Design: "Electricity Networks and their operators in a time of change" . About the seminar: Changing patterns in electricity generation and consumption raise tremendous challenges for transport and distribution infrastructures and their operators. The electricity networks remain the backbone of the electricity system, but are going through important adaptations. Not least, grid operators will need to increase cooperation, while they also may become competitors in supplying grid services and making use of flexibility. The evolution of electricity networks and their o perators is among the central issues in current electricity market reforms.

Building on the presentations held at the annual  European Energy Law Seminar taking place every January in The Hague (NL), this book reviews central energy law issues from a national, EU and international perspective. A must have! C. Banet and M. Roggenkamp (eds.), European Energy Law Report XI (Intersentia, 2017) This volume includes chapters on “EU Energy and Climate Law – Policy and Jurisprudence”, “Energy and Climate Treaty Developments”, “Energy Infrastructure Developments: Offshore Electricity Systems and Network Investments”, “Heat Supply Legislation in the EU” and “Security of Energy Supply and Safety”. Reference : ISBN 9781780684697

The Danish Energy Commission has just delivered its report on the future energy policy of the country ( " Energikommissionens anbefalinger til fremtidens energipolitik " , April 2017). The report comes with a series of recommendations which should enable the country to reach the long-term goal of becoming a low-emissions society based on renewable energy by 2050, with an intermediary 50% goal in 2030. The Commission received the mandate of looking at the measures necessary to be implemented in the period 2020-2030. It argues notably in favour of the following main points below. The summary is followed by a rapid assessment.

The European Commission has announced on 7 April 2017 that it has opened an in-depth investigation into the German plans to establish a capacity mechanism in the form of an electricity capacity reserve . The investigation aims to establish whether the German proposal of an electricity capacity mechanism complies with EU state aid rules . Of particular relevance for the assessment are the  Guidelines on State aid rules for energye and environmental protection (2014-2020) (so-called EEAG). This in-depth investigation comes after the adoption, by the Commission of an EU Sector Inquiry, common assessment criteria in the EEAG and a series of decisions on capacity market mechanisms in several EU Member States (UK, France, Germany).

The European Commission has published a press release on 13 March 2017 inviting comments on the commitments submitted by Gazprom in the case opened in April 2015 and which relates to the alleged  anti-competitive behaviours on the Central and Eastern European gas markets .  

The 28th European Energy Law Seminar (EELS) is now opened for registration . Registration website : http://www.never.nl/site/ Place : The seminar will find place at the hotel Hampshire Babylon, The Hague, The Netherlands. Date : 23-24 January 2017 Organisers : The EELS-seminar is a Cooperation between the Dutch energy law Association, the Energy Law Centre of the University of Groningen and the Energy Law Department of the Scandinavian Institute of Maritime Law, University of Oslo. On the programme : review of recent EU case Law, impacts of Brexit, winter package and electricity market design, cross-border infrastructures, future roles of DSOs and TSOs, capacity market mechanisms, renewable energy investments, recast of the renewable energy Directive, prosumers, security of gas supply, future role of gas. We hope to see you there for once again some fruitful discussions around EU energy law topics with other European colleagues. ...

The European Commission has adopted and published, on 30 November 2016, one of the most comprehensive and voluminous legislative plackage ever, and definitely the master piece under the Energy Union Strategy . The so-called "Clean Energy for All Europeans"-package is available at the following webpage : https://ec.europa.eu/energy/en/news/commission-proposes-new-rules-consumer-centred-clean-energy-transition

The European Commission announced on 8 November that it has approved the national-wide capacity mechanism in France under the EU state aid rules . In its press release, the European Commission makes clear that, in order to adopt such a positive decision, France had to make some amendments to its scheme. Security of energy supply was also one of the main grounds for allowing the measure. The full text of the decision is not yet available, but the press release is available here

The 28th European Energy Law Seminar (EELS)  will be held in The Hague, The Netherlands, on 23-24 January 2017 . The Seminar is a unique opportunity to review the latest EU energy law developments including recent legislative proposals adopted by the European Commission and at the same time discuss in detail legal developments, case law and case practice in the field with colleagues from all over Europe. So, hold the date and see you in The Hague. On the programme: Energy Union and legislative initiatives, energy market design package, impact of Brexit, recent competition cases and EU case law, revision of the renewable energy directive, cross-border infrastructures permitting and financing, evolving roles for TSOs and DSOs, capacity reserve mechanisms, prosumers, and gas supply package. The full programme and registration details will be announced shortly on the NeVER website: http://www.never.nl The seminar is co-organised...

The European Commission has announced on 13 November 2015 the opening of two in-depth investigations to assess the conformity of two measures adopted by the French government under EU state aid rules , namely: the forthcoming national capacity mechanism , and a specific tender procedure for the construction of a gas-fired power plant in Brittany.

The European Commission has sent today, 22 April 2015, a Statement of Objections to Gazprom for alleged abuse of dominant position on the Central and Eastern European gas supply market, contrary to EU antitrust rules. Investigations started in September 2012 and resulted in today's decision. Gazprom has now 12 weeks to answer the Statement of Objections.   The Commission is suspecting that: " Gazprom is breaking EU antitrust rules by pursuing an overall strategy to partition Central and Eastern European gas markets, for example by reducing its customers’ ability to resell the gas cross-border. This may have enabled Gazprom to charge unfair prices in certain Member States. Gazprom may also have abused its dominant market position by making the supply of gas dependent on obtaining unrelated commitments from wholesalers concerning gas transport infrastructure ." Further comments will be published on this blog in the coming days.   By then, see the press rele...

  Ofgem, the UK Office of Gas and Electricity Markets , announced on 15 December 2014 that it has  launched an investigation against UK Capacity Reserver Limited (UKCR) which is suspected of having submitted " false or misleading information to National Grid (the Delivery Body) regarding whether it had planning consent for some Capacity Market Units (CMUs) ."  

Economic resilience to better serve energy markets and tackle climate change   In the aftermaths of a financial and budgetary crisis, faced with a slow economic recovery and forced to respond quickly to geopolitical and natural resources challenges of global character, the representatives from governments and central banks of the Group of the Twenty major economies (so-called G20 ) decided to put "resilience" at the heart of their action during their last meeting in Australia, 15-16 November 2014 .  " Strengthening the resilience of the global economy and stability of the financial system are crucial to sustaining growth and development ." (para. 12)  " Strong and resilient energy markets are critical to economic growth. " (para. 17) We should better get used to the concept of resilience , because it is now used extensively, lately by the newly appointed European Commission ( " resilient energy union with a forward-looking climate ch...

    On 13 November 2014, media reported that EU Member States and the European Commission decided not to follow-up the proposal consisting in establishing a mandatory gas-purchasing body at EU level . This was confirmed by K.D. Borchardt, European Commission's director in charge of the internal energy market. The idea was proposed as part of the concept for Energy Union ahead of an EU summit on EU energy dependence in June. It was promoted by Donald Tusk, former Polish PM and forthcoming president of the European Council, but also relayed by the European Commission in its May 2014 Communication on a European Energy Security Strategy .   In a comment, I referred to the idea as an "EU contradiction" . After receiving questions on that qualification, I hereafter give the reasons why.  

Three new public procurement directives are published in today's Official Journal of the European Union (OJEU L 094 of 28.03.2014). These new directives form the new legal basis for EU public procurement and concession contracts legislation (link included): Directive 2014/23/EU of the European Parliament and of the Council of 26 February 2014 on the award of concession contracts Directive 2014/24/EU of the European Parliament and of the Council of 26 February 2014 on public procurement and repealing Directive 2004/18/EC Directive 2014/25(EU of the European Parliament and of the COuncil of 26 February 2014 on procurement by entities operating in the water, energy, transport and postal services sectors and repealing Directive 2004/17/EC The new rules have been formally approved on 15 January 2014  after that an agreement was reached in June 2013. More on the review process which conducted to the adoption of the new rules on the European Commission website .

    Read my comment on the recent state aid practice of the European Commission in the energy sector in Montel article "State-aid rules to give Brussels new muscles" . Available on http://www.montel.no/  (only for Montel subscribers for the moment).

The European Commission made public yesterday its antitrust decision in two cases involving European power exchanges . The first decision is adopted against two of the major spot power exchanges in Europe: Nord Pool Spot (Norway) and EPEX Spot (EPEX, France) . The two exchanges have been fined € 5 979 000 in total (€ 2 328 000 for Nord Pool Spot, € 3 651 000 for EPEX) for having agreed not to compete with one another for their spot electricity trading services in the European Economic Area (EEA) in the period 2011-2012 in the relation to the establishment of a joint IT system platform for cross border trading . The second decision concerns the Romaninan Power Exchange OPCOM which has been fine € 1 million for abusing its dominant position in the Romaninan market by putting extra-barriers for foreign traders for entering the market. ons in

The news came on 14 July that the European Commission is considering launching legal proceeding against Germany's Renewable Energies Act ( so-called EEG , founding act of the German energy transition,  Energiwende ). The information was originally released by Der Spiegel .  DG Competition services have apparently concluded, after scrutiny of the German legislation for renewables, that some of the legal provisions providing for exemptions from charges levied on electricity consumers with the purpose of financing RES generation support ( EEG levy , grid fees ) may breach EU competition law ( Der Spiegel , "Unfair Competition? EU Takes on German Green Energy Law" , 15.07.2013). Some 3,200 companies have applied for an exemption to the EEG levy in 2012. (See also previous article in Der Spiegel , "War on Subsidies: Brussels Questions German Energy Revolution" , 29.05.2013.) According to Der Spiegel , the Commission will launch on Wednesday 17 July proc...

The conclusions of the Council meeting  (TTE configuration - Energy) on the European Commission's Communication on " Making the internal energy market work "  ( COM(0663) final ) have been released and are available here . Detailed analysis to be published shortly on this blog .

On 29 May 2013 , the European Commission presented its recommendations to address the financial and economic situation in several Member States of the EU. Among the country-specific recommendations (CSR) presented by the European Commission on 29 May 2013, it is worth noting some of the measures proposed in the energy sector in exchange of granting delays for correcting national deficits. The package is based on the adoption of a new strategy for growth and jobs, Europe 2020, in 2010, which includes "guidelines" for Member States' economic and employment policies. This was supplemented in June 2012 by the adoption of a Compact for Growth and Jobs. The monitoring of Member States' performance was then operated through the Annual Growth Survey, the Alert Mechanism Report and in-depth reviews. The following paragraphs take the particular example of France . The recommendation for a Council Recommendation on France's 2013 national reform programme ( COM(...