Titre SCHENGENISATION OF

EU ENERGY POLICY

BENELUX SECRETARIAT & GOVERNANCE

SECRETARIAAT-GENERAAL SECRÉTARIAT GÉNÉRAL

Summary

1. The Benelux Union

2. From the Benelux to Penta

3. Pentalateral Energy Forum - MoU

4. Role of the Secretariat-General of Benelux

5. Results of the Penta MoU

6. NSCOGI and Gas Platform

7. Conclusions

The Benelux Union

NEW BENELUX TREATY

2 Objectives

• Expanding and deepening the cross-border cooperation

• Continuation of the cooperation as “laboratory” of the European integration

The Benelux Union

3 Themes

• Internal market and economic union

• Sustainable development

• Justice and Home affairs

5 Institutions

• The committee of ministers, council, secretariat-general

• Benelux Parliament

• Court of Justice

Summary

1. The Benelux Union

2. From the Benelux to Penta

3. Pentalateral Energy Forum - MoU

4. Role of the Secretariat-General of Benelux

5. Results of the Penta MoU

6. NSCOGI and Gas Platform

7. Conclusions

EU Energy Policy

1 common EU Energy policy

+ ? =

27 national energy markets

Lack of cross-border capacity

Penta region

From the Benelux …

• No integrated energy market in 2003

• Intergovernmental not supranational

• Tradition of cooperation

• Proven track-record in energy cooperation

• Benelux Treaty

• Benelux forerunner in the EU

• Focus on European integration with respect for subsidiarity

… to the Pentalateral Energy Forum

• Benelux conference governments – regulators – TSOs

• Shared policy themes:

– Strengthening interconnection capacity

– Unpredictable flows

– Better calculation and allocation of capacity

• Multilateral solution & level playing field

Summary

1. The Benelux Union

2. From the Benelux to Penta

3. Pentalateral Energy Forum - MoU

4. Role of the Secretariat-General of Benelux

5. Results of the Penta MoU

6. NSCOGI

7. Conclusions

Signing of the MoU

5 Member States, 5 Regulators, 7 TSOs, 4 Power Exchanges, the Market Parties Platform , 1 European Commissioner for Energy and 1 Secretary-General of the Benelux

Pentalateral Energy Forum - MoU

• Strong political impetus

• Clear goal

• Not compulsory but more than morally binding thanks to stakeholder approach

• Neutral platform

• Process management (follow-up & continuity)

• Pragmatism : top down political guidance in the MoU accompanied by bottom up practical solutions suggested in the Annexes

Pentalateral Energy Forum

Ministers of Energy BENELUX-

DE-FR-AT(-CH)

SG1 – Market Coupling

SG2 – Security of Supply

(SG3/SG4 - Work accomplished)

Penta Coordinators

BN

L s

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reta

riat

Summary

1. The Benelux Union

2. From the Benelux to Penta

3. Pentalateral Energy Forum - MoU

4. Role of the Secretariat-General of Benelux

5. Results of the Penta MoU

6. NSCOGI and Gas Platform

7. Conclusions

The Secretariat-General of Benelux

• Stakeholder approach

• Neutral platform

• Process management

• Pragmatism (strenght & weakness)

• Bridge different opinions

• Ensure that decisions are properly followed up

• Centrifugal force

Dynamic process

Political will target

Benelux Secretariat =

centrifugal force

Summary

1. The Benelux Union

2. From the Benelux to Penta

3. Penta MoU & governance

4. Role of the Secretariat-General of Benelux

5. Results of the Penta MoU

6. NSCOGI and Gas Platform

7. Conclusions

Results of the Penta MoU

Market integration

• Penta Market Coupling (ATC based) in 2010

• Volume Coupling Penta–Nordic region in 2010

• Penta Market Coupling (flow based) in 2013

• Further extension to UK and other regions …

Security of supply

• Generation-demand adequacy

• Regional Grid investment planning

Summary

1. The Benelux Union

2. From the Benelux to Penta

3. Pentalateral Energy Forum - MoU

4. Role of the Secretariat-General of Benelux

5. Results of the Penta MoU

6. NSCOGI and Gas Platform

7. Conclusions

NSCOGI

Ministers of Energy (BENELUX-DE-FR-UK-IE-NO-SE-DK

+EC)

Steering Committee (Directors General + EC)

Working Group 2

Ad hoc Working Group (according to EC Regulation

on EIP; governments, TSOs, NRAs, ENTSO-E, project promoters, EC)

Working Group 1

Programme Board (NSCOGI Coordinators + ENTSO-E +

ACER + NRAs + EC

Working Group 3

BN

L s

ec

re

ta

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t

EC

s

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GAS PLATFORM

Ministers of Energy BENELUX-DE-FR

WG1 – Market issues

WG2 – Security of Supply

Ad hoc (e.g. supply disruption

exercise)

Gas Coordinators

BN

L s

ec

reta

riat

Summary

1. The Benelux Union

2. From the Benelux to Penta

3. Pentalateral Energy Forum - MoU

4. Role of the Secretariat-General of Benelux

5. Results of the Penta MoU

6. NSCOGI and Gas Platform

7. Conclusions

EU Energy Policy – some thoughts…

• Step by step

• Importance of targets

• Importance of commitment to reach targets

• Gathering all the competencies

• Necessary to set up a process

Procesmanagement

• Step 1: define the threat or opportunity

• Step 2: identify the stakeholders

• Step 3: set a target

• Step 4: commit to reaching the target through a dynamic, voluntaristic, pragmatic process with a minimum of formalism

Conclusion

1. Highest political commitment of the utmost importance

2. Basic structure and formalism needed to ensure the continuity of the process and the proper follow-up of decisions

Schengen-Treaty

www.benelux.int

Luc WILLEMS Deputy Secretary-General