logo-eui RSCAS

Event Highlights


Energy Union Law

gas pipeline

Event Highlights

20.12.2017

FSR and BNetza Forum on the Legal Issues of Energy Regulation

The 9th edition of the FSR and BNetza Forum on the Legal Issues of Energy Regulation from  October 27th 2017, tackled challenging issues of today’s […] read more

Energy Union Law

Gas

Event Highlights

17.11.2017

Future Challenges in the EU Gas Market

On October 26 2017, the FSR Energy Law and Policy Area organised the Seminar “Future Challenges in the EU Gas Market”. Security of Supply is […] read more

Electricity

Alberto's Workshop

Event Highlights

8.11.2017

Demand Participation and Demand Response in Electricity Markets: which way forward?

The ongoing energy transition, with the resulting penetration of renewable energy sources, requires a higher level of flexibility in the electricity markets. Demand, through a […] read more

Climate

News climate carbon market video highlights

Event Highlights

12.10.2017

Video highlights from Carbon Market Workshop

Organised by FSR Climate within the framework of the LIFE SIDE project,  the Carbon Market Workshop gathered carbon market experts worldwide to discuss and exchange experiences in […] read more

Energy Policy

new york

Event Highlights

3.07.2017

Regulatory Futures Workshop

On 9-10 June 2017, Jean-Michel Glachant, Director of the Florence School of Regulation, attended the Regulatory Futures Workshop at Columbia University School of Law in […] read more

Electricity

Florence

Event Highlights

30.06.2017

FSR Executive Seminar: Debating the future of EU Power System Operation and Solidarity

On Thursday 22 June 2017, the Florence School of Regulation hosted the 7th edition of its Executive Seminar. On an annual basis, this exclusive event […] read more

Electricity

Event Highlights

28.06.2017

Design the electricity market(s) of the future | Conference Highlights

The European electricity system is undergoing a profound change due to its transition to a decarbonized power system. Decarbonization along with digitalization and decentralisation is […] read more

Gas

policy workshop may 2017

Event Highlights

31.05.2017

The end of the long-term contracts era: which consequences for the EU Gas Market?

Long-term contracts (LTCs) used to be the most commonly used supply agreements in the gas sector and necessary to ensure the security of supply.  Indeed, […] read more

Electricity

Event Highlights

15.05.2017

Moving the Electricity Transmission System Towards a Decarbonised and Integrated Europe

Is Europe heading towards a seamless transmission system for electricity? The establishment of a seamless electricity transmission system and the completion of a single market […] read more

Page 1 of 212
Gas

Future Challenges in the EU Gas Market

- Energy Union Law

On October 26 2017, the FSR Energy Law and Policy Area organised the Seminar “Future Challenges in the EU Gas Market”.

Security of Supply is still deemed one of the biggest challenges of the Internal Gas Market.  The new Security of Supply (SoS) package is envisaged to be implemented from November 1st 2017. The SoS provisions related to the “solidarity mechanism”, as well as the newly adopted Intergovernmental Agreement Decision (April 2017), represent a step in the right direction : safeguarding security of supply for the European consumer, at all times. Both pieces of legislation complement each other in terms of compliance and structural checks (economic flows) of the Agreements signed with third party countries.

Security of Supply used to be guaranteed through the conclusion of Long-term contracts (LTCs). Nowadays, almost nobody concludes new LTCs, as the already existing ones are expected to expire by 2025-2030. Exceptionally, in July 2017, a new long-term gas supply contract was concluded between the Government of Croatia and Gazprom, for a period of 10 years.

The antitrust dimension represents a big part of the well-functioning of the Internal Gas Market. This is changing fast, and strictly enforced antitrust rules prove to be helpful in ensuring security of supply. In 2007 the European Commission (EC) has decided that, in case of LNG supply contracts, the rights and obligations agreed upon by the parties prior to title transfer do not restrain internal competition. However, currently, the practice heavily questions this approach and inquires whether the EC should take a stand similar to Japan’s. Furthermore, another topic which might `stir the waters` of competition within the IGM is a possible amendment to the TPA exemption previously granted by the EC, due to a market decline. Up to now, the European General Court did not provide basic guidance to the EC on such matters.

Facilitating gas flows and decarbonisation, delivering security of supply and recovering revenue for long lived infrastructure assets, still represent core challenges of the EU gas market. The overriding message of today’s talk was that there are many more issues to deal with in gas than in electricity, as many of the decisions to be made require political consensus.

 

Subscribe to our Newsletter