3rd Internal Market package
-
Upload
violet-mueller -
Category
Documents
-
view
16 -
download
0
description
Transcript of 3rd Internal Market package
Matti SupponenElectricity and Gas unit
3rd Internal Market package
EUROPEANCOMMISSION
EEF 17.02.2009
| 2EEF 17.02.2009
Structure of the presentation
.Status and content of the third package.Consequences of the third package to the market.Market challenges.Conclusions
| 3EEF 17.02.2009
3rd package: main measures
. Effective unbundling of transmission networks. EU Regulatory Agency. Cooperation of network operators (ENTSO). Stronger powers for national regulators . Also» Transparency» Retail market & consumer protection» Third country clause» Level playing field
| 4EEF 17.02.2009
Third Package : main remaining issues
. TSO Unbundling: will Council prevail ?
. Fuel poverty: will EP get what they want?
. Comitology on European guidelines : needed for making the rules legally binding
First priority… climate and renewables package
| 5EEF 17.02.2009
Third Package : timing
.Informal conciliation through trialogues has started.Second reading of the Parliament has to agree on a compromise latest in April 2009.Formal adoption by the Council can be in September 2009
=> If not, important delay
| 6EEF 17.02.2009
Third Package : implementation
.Agency setup: 18 months.ENTSO setup by summer 2009.Starting to prepare codes and guidelines in practise
Make best use of transition periodStakeholder involvement
| 7EEF 17.02.2009
Network codesENTSO Work programme
Legally binding codes
Preparation of codes
Voluntary codes
Agency:Preparation of
framework guidelines
Framework guidelines
Comitology
Agency
Commission
ENTSO
Commission
Commission
| 8EEF 17.02.2009
Network codes1.network security and reliability rules including rules for technical transmission reserve capacity for operational network security;2.grid connection rules;3.third party access rules;4.data exchange and settlement rules;5.interoperability rules;6.operational procedures in an emergency;7.capacity allocation and congestion management rules; 8.rules for trading related to technical and operational provision of network access services and system balancing;9.transparency rules; 10.balancing rules including network related reserve power rules;11.rules regarding harmonised transmission tariff structures including locational signals and inter-TSO compensation rules;12.energy efficiency regarding electricity networks
| 9EEF 17.02.2009
ENTSO-E network planning
| 10EEF 17.02.2009
Market challenges
. Three major challenges: Wind, wind and wind
. There will be huge investments in renewable energies» How will the necessary network infrastructure be built?» How will the renewable energy be introduced into the market?
.Renewables alone will not be enough
.Only difficult choices available:» Gas» Coal» Nuclear
| 11EEF 17.02.2009
Kriegers Flak
Separate Solution
Rødsand
Storebælt
Güstrow
Rostock
Kiel
LübeckSiedenbrünzowHerrenwyk
Audorf
Siems
Kontek
Gørløsegård
Bjæverskov
Hovegård
FraugdeKingstrup
Herslev
Rislev
Radsted
Kriegers Flak
Baltic LineLüdershagen
LubminBentwisch
Kruseberg
Barsebäck Hurva
Sege
Söderåsen
Baltic I
Combined Solution
Kriegers flak
Which solution is better?
| 12EEF 17.02.2009
Regulated pricesRegulated prices
No investmentPressure to prices
No marketGovernment acts
| 13EEF 17.02.2009
How is the market doing?
.Herfindahl-Hirschman index
» Belgium 8390» Latvia 8110» Slovenia 7208» France 6960Dominant positions
| 14EEF 17.02.2009
Conclusions
.Third package will give a push for further development of the market : quick adoption needed.No-compromise climate change policy is the underlying assumption : 20-20-20 objectives!.Pressure towards higher prices, Governments scared about price increases, regulated prices seriously hamper investments.Investments urgently needed both in production capacity and in networks
| 15EEF 17.02.2009
The end
Thank you for your attention
| 16EEF 17.02.2009
Regional market approach
IPS/UPS
CWE
Nordic
UK/IE
CEE
SWECSE
SEE
Baltic
| 17EEF 17.02.2009
Regional markets: results of the regional forums
.+++.Market coupling is spreading.Capacity allocation moving to flow based methods.Stakeholder involvement
.- - -.Progress slower than wanted.Unanimous approach showing its limits.Old unsolved problems block the progress.No full power exchange coverage yet
| 18EEF 17.02.2009
Strategic energy review
.Vision for 2050» Decarbonisation of electricity» Away from oil in transport» Low energy and positive power buildings» Smart interconnected power grid
Rest of the world to follow!