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The role of TSOs in the third package

. The role of TSOs in the third package. GIE conference 7 May 2009. Mark van Stiphout – DG TREN – C2 Internal market for electricity and gas. EUROPEAN COMMISSION. Structure of the presentation. Main topics of the 3rd package Timing of implementation ENTSO and its tasks

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The role of TSOs in the third package

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  1. The role of TSOs in the third package GIE conference 7 May 2009 Mark van Stiphout – DG TREN – C2 Internal market for electricity and gas EUROPEANCOMMISSION

  2. Structure of the presentation • Main topics of the 3rd package • Timing of implementation • ENTSO and its tasks • Agency and its competences • Process to develop codes • 10-year network development plan

  3. 3rd package: main measures • Effective unbundling of networks • EU Regulatory Agency • Cooperation of network operators (ENTSO) • Stronger powers for national regulators • Transparency • Retail market & consumer protection • Third country clause • Level playing field

  4. Third Package : Implementation • Adoption by Council in Summer 2009 • Agency operational in 2011 • ENTSO statutes to be provided to the Agency and the Commission18 months after entry into force of the Regulation • Opinion of the Commission and the Agency • Formal establishment of ENTSO within 2 & 3 & 2 Months • Starting to prepare codes and guidelines in practice

  5. TSO co-operation in the third package, tasks • Annual work programme and annual report • Network codes • Monitoring of implementation of codes • 10-year network development plan and supply adequacy outlook • every two years • Summer and winter supply outlooks • Network operational tools • Co-ordination of research • Recommendations on technical cooperation between Community and third-country TSOs • Regional co-operation

  6. ACER competences I • Advisory role of ACER On its own initiative or upon request, ACER will give opinions and recommendations to EU institutions on all issues falling within ACER’s competence. • Tasks in relation to TSOs • Involvement in preparation of draft statutes, list of members and draft rules of procedure of the ENTSO. • Involvement in preparation of network codes. • Monitoring of ENTSOs regarding fulfilment of their tasks, in particular implementation of network codes, implementation of interconnectors and network development plans.

  7. ACER competences II • Tasks in relation to NRAs • ACER will replace ERGEG and be the platform for cooperation of NRAs. • Decision-making on cross-border infrastructure, including exemption decisions, if NRAs do not agree • Upon request, check of compliance of NRA decisions with EC energy rules. • Plenty of monitoring and reporting tasks

  8. Organisation of ACER • Administrative Board • Unique composition: 9 members, 5 appointed by Council, 2 by EP and 2 by Cion • Responsible for governance of ACER (Budget, formal appointments, Work Program…) • Board of Regulators (BoR) • Composed of senior representatives from NRAs • BoR decides on the substance, gives guidance to Director • Director • Board of Appeal

  9. Practical info Budget & Staff: About 40-50 people. Annual budget around €6-7 million. ACER will as regards resources depend on work and know-how contributions from NRAs. Seat: Decision expected under CZ or SW presidency. So far, candidates are RO, SK, SL and EL. Director:Selection procedure needs to start in autumn 2009 at the latest.

  10. Network codes • network security and reliability rules; • network connection rules; • third party access rules; • data exchange and settlement rules; • interoperability rules; • operational procedures in an emergency; • capacity allocation and congestion management rules; • rules for trading related to technical and operational provision of network access services and system balancing; • transparency rules; • balancing rules including network related rules on nominations procedure, rules for imbalance charges and rules for operational balancing between TSOs’ systems; • rules regarding harmonised transmission tariff structures; • energy efficiency regarding gas networks.

  11. Network codes 12 months 6 months (2 months consultation) 3 months (opinion of the Agency)

  12. 10-year Network Development Plan • Non-binding • Input from national plan • Not a compilation of national plans • Includes generation adequacy outlook • ENTSO is thinking about a scenario approach • Agency gives an opinion • ENTSO and Agency monitor the implementation • Financing of investments: only national?

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