Editorial Regulators’ far-reaching “Bridge to 2025” proposals, launched on 23 September, recommend a set of actions for regulators, Member States, the European Commission and energy actors (including consumers). The proposals in the Bridge fall under 5 key chapters – electricity; gas; consumers and retail markets; Distribution System Operators; and governance. We are now are embedding the Bridge proposals into concrete deliverables in the ACER and CEER 2015 Work Programmes. But, implementation of the Bridge proposals requires collective action. This is why we have invited all parties to work collectively with regulators in the coming years to achieve the proposed concrete actions (see Press Release).
The Bridge proposals will be presented at the European Gas Regulatory Forum (Madrid Forum), 15-16 October. Another key issue to be discussed at the Madrid Forum is security of supply, an item which underpins our own work. This month we have published our views on the Commission’s Energy Security of Supply Strategy (ESS), our Generation Adequacy Report (both are featured below), and a memo on REMIT implementation at national level. At the Madrid Forum, CEER will present the gas storage situation in Europe, and outline the key role being played by LNG as a security of supply tool. We will soon publish our Monitoring report on LNG, and a new consultation paper on CEER’s vision of the regulatory arrangements for the gas storage.
CEER’s views on the Energy Security Strategy and on generation adequacy
Background to Energy Security Strategy In response to the political crisis in Ukraine and in view of the overall importance of security of supply of energy for the EU's citizens and economy, the European Commission adopted an EU Energy Security Strategy (EESS) on 28 May 2014. At the request of Energy Commissioner Oettinger, Member States submitted by the end of August their "country reports", assessing the risk of a short-term supply disruption ("stress tests"). The Commission will present their assessment of the stress tests to the Madrid Forum in October.
CEER views on Stress Tests, the 15% interconnection target, PCIs Our CEER position paper on the European Commission's Communication: European Energy Security Strategy highlights 2 guiding principles for any actions being considered: • Ensure market functioning and market-based measures as long as possible • Take Member States’ differences into account and avoid “one size fits all” solutions.
Furthermore, we believe that regulators can contribute to evaluating the security of supply situation and should be involved in such stress test exercises, and the development of any additional measures. We make suggestions for revising the Security of Supply Regulation, and to optimise the streamlining measures and financing opportunities in the TEN-E Regulation 347/2013/EU for high priority Projects of Common Interest (PCIs).
We recognise the importance of increasing electricity interconnector capacity but caution against a single target of 15% in each Member State. We see the 3rd Package and regional cooperation as essential to strengthening our energy security. Possible measures "to increase the bargaining power of European buyers” should be done in compliance with EU acquis and trade law.
Recommendations on the assessment of Generation Adequacy Generation adequacy assessments have long been considered a national issue. But security of supply is no longer a national issue but increasingly a regional and pan-European issue. Our 2013 analysis of the current practices revealed that national adequacy assessments are undertaken in quite different ways across Europe, posing difficulties (e.g. for the treatment of interconnectors in the generation adequacy assessments). This is compounded further by differences in the System Outlook & Adequacy Forecast undertaken by ENTSO-E and the national assessments.
We believe that a robust and coherent methodology is important to facilitate sufficient future planning to deliver our energy supply. Against this background, we have now published Recommendations for the Assessment of Generation Adequacy. These include proposals to better harmonise the different approaches used across Europe, to make more clear who is responsible for what, and to be more transparent about the data and information used for the assessments.
Public Consultations & Events
•Launch of the Market Monitoring Report (22/10/2014) Visit our websiteto be updated on our future consultationsandevents.
Publications
• ACER Bridge to 2025 Conclusion Paper • ACER-CEER Press Release "Regulators’ Bridge to 2025 energy proposals should guide the new Commission’s energy priorities"(PR-14-07) • CEER Recommendations for the assessment of electricity generation adequacy (Ref: C13-ESS-33-04). •CEER Position on the European Commission's European Energy Security Strategy (Ref. C14-GWG-110-03) •CEER memo on REMIT implementation at national level (Ref. C14-MIT-55-03)
International
The deadline for articles for the ICER Chronicle, an online publication of the International Confederation of Energy Regulators (ICER) has been extended until 1 November 2014.
