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(2004/C 65 E/161)

WRITTEN QUESTION E-2415/03

by Concepció Ferrer (PPE-DE) to the Commission

(21 July 2003)

Subject:   Towards an integrated and competitive Community energy market

Electrical interconnection capacity remains, in the case of Spain, well below the target of 19 % of national consumption set by the Barcelona European Council of 15/16 March 2002 as the minimum desirable level.

What measures is the Commission taking to ensure that, in the coming months, countries like Spain that are a long way from reaching this target develop new power lines with neighbouring countries that enable completion of an integrated and competitive Community energy market?

Answer given by Mrs de Palacio on behalf of the Commission

(12 September 2003)

The target set by the Barcelona European Council of 15/16 March 2002 as the minimum desirable level is actually 10 % of national capacity production. It is true that Spain's interconnection capacity is far below the desirable level.

The Commission is well aware that a strong trans-border network is a key instrument both for improving the security of supply and for establishing an efficient and competitive electricity market, and that the interconnection network is below the optimal level and needs to be extended. For these reasons, it commissioned a study on Analysis of Electricity Network Capacities and Identification of Congestion and presented a Communication on energy infrastructure (1).

As a result, the Commission proposed a review of the Trans-European Networks programme which led to Decision No 1229/2003/EC of the European Parliament and of the Council of 26 June 2003 laying down a series of guidelines for trans-European energy networks (repealing Decision No 1254/96/EC (2)). Annex I to this Decision lists the 12 axes for priority projects; axis EL.3. (France — Spain — Portugal) deals specifically with the problem raised, since it is aimed at ‘increasing electricity interconnection capacities between these countries and for the Iberian peninsula and grid development in island regions’. Annex II to the Decision lists the projects of common interest, three of which concern new interconnections between Spain and France and Portugal (2.8, 2.9, 2.10) while nine more concern new or upgraded national interconnection lines that are also needed in order to achieve optimal use of trans-border interconnections (3.18, 3.19, 3.20, 3.21, 3.22, 3.23, 3.41, 3.42, 3.43) and, finally, two concern, respectively, the upgrading of electricity interconnection between Spain and Morocco (4.15) and a new direct interconnector between Spain and Algeria (4.30), within the framework of the development of energy policy for the enlarged Union, its neighbours and partner countries.

The recent power outage in the United States highlighted the need for good-quality infrastructure and sufficient capacity to ensure security of supply.

As scheduled in its work programme, the Commission will this year present a Communication on electricity infrastructure, which will set out measures for speeding up the development of that infrastructure in order to ensure security of supply, boost trade and facilitate competition.

Directive 2003/54/EC (3) on the internal market in electricity requires Member States to take the necessary steps to ensure security of supply by providing appropriate levels of infrastructure maintenance/development and, in particular, of interconnection capacity.

Finally, the Commission would recall its Decision of 19 March 2002 (4) concerning an agreement giving Energie Baden-Württemberg (EnBW), Electricidade de Portugal S.A. (EDP) and Caja de Ahorros de Asturias (Cajastur) joint control over Spain's fourth largest utility company Hidroeléctrica del Cantábrico (Hidrocantábrico). As a condition clearing the agreement, the Commission asked that Electricité de France (EDF) (which controls EnBW) and the operator of the French electricity grid, EDF-Réseau Transport Electricité (RTE), should undertake to increase substantially to about 4 000 megawatt (MW) the commercial capacity on the interconnector between France and Spain.

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(1)  Communication of the Commission to the European Parliament and the Council on European energy infrastructure, COM(2001) 775 final.

(2)OJ L 176, 15.7.2003.

(3)  Directive 2003/54/EC of the European Parliament and of the Council of 26 June 2003 concerning common rules for the internal market in electricity and repealing Directive 96/92/EC, OJ L 176, 15.7.2003.

(4)  Case No IV/M.2684 - EnBW/EDP/Cajastur/Hidrocantábrico, OJ C 114, 15.5.2002.

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