(3)

The following articles shall be inserted: ‘Article 2a European Network of Transmission System Operators for Electricity All transmission system operators shall cooperate at Community level through a European network of transmission system operators for electricity in order to ensure the optimal management and sound technical evolution of the European electricity transmission network and to promote the completion of the internal market for electricity . Article 2b Establishment of the European Network for Transmission System Operators for Electricity 1. By […] at the latest the transmission system operators for electricity shall submit to the Commission and to the Agency ║ draft ║ statutes, a list of future members and draft rules of procedure ▐ with a view to establishing a European network of transmission system operators for electricity ║. 2. Within six weeks from receipt, the Agency shall provide an opinion to the Commission on the draft statutes, list of members and draft rules of procedure. 3. The Commission shall deliver an opinion on the draft statutes, list of members and draft rules of procedure within 3 months from the receipt of the opinion of the Agency. 4. Within 3 months from ║ receipt of the Commission's opinion, the transmission system operators shall establish the European Network for Transmission System Operators for Electricity, adopt its statutes and rules of procedure and publish them. Article 2c Tasks of the European Network of Transmission System Operators for Electricity 1. In order to achieve the objectives set out in Article 2a, the European Network of Transmission System Operators for Electricity shall agree and submit to the Agency, for approval, following the procedure provided for in Article 2d in conjunction with Article 6(3) of Regulation (EC) No …/2008 [establishing an Agency for the Cooperation of Energy Regulators], the following : (a) draft network codes in the areas mentioned in paragraph 3 , elaborated in cooperation with market participants and network users ; (b) common network operation tools and research plans; (c) a 10-year investment plan, including a generation adequacy outlook, every two years; (d) measures to ensure the real-time coordination of grid operation in normal and emergency conditions; (e) guidelines on the coordination of technical cooperation between Community and third-country transmission system operators; (f) an annual work programme based on the priorities set by the Agency ; (g) an annual report; and (h) annual summer and winter generation adequacy outlooks. 2. The annual work programme referred to in paragraph 1(f) shall contain a list and description of the network codes, a plan on common operation of the network and research and development activities, to be drawn up in that year and an indicative calendar. 3. The detailed network codes shall cover the following areas, according to the priorities defined in the annual work programme: (a) security and reliability rules , including interoperability rules and procedures for emergency situations ; (b) grid connection and access rules; ▐ (c) cross-border capacity allocation and congestion management rules; ▐ (d) network-related transparency rules; (e) balancing and settlement rules including reserve power rules; (f) ▐ inter-TSO compensation rules; (g) energy efficiency regarding electricity networks. 4. The Agency shall monitor the implementation of the network codes by the European Network of Transmission System Operators for Electricity . 5. The European Network of Transmission System Operators for Electricity shall publish a Community-wide 10-year network investment plan every two years following its approval by the Agency . The investment plan shall include the modelling of the integrated network, scenario development, a generation adequacy report and an assessment of the resilience of the system. The investment plan shall, in particular, build on national investment plans taking into account regional and Community aspects of network planning, including the Guidelines for Trans-European energy networks in accordance with Decision No 1364/2006/EC of the European Parliament and of the Council (11) . The investment plan shall identify investment gaps, notably with respect to cross border capacities , and shall include investments in interconnection and in other infrastructure necessary for effective trading and competition and for security of supply. A review of barriers to the increase of cross-border capacity of the network arising from different approval procedures or practices shall be annexed to the investment plan . The transmission system operators shall implement the published investment plan . 6. ║ The European Network of Transmission System Operators for Electricity , on its own initiative, may propose to the Agency draft network codes in any area other than those listed in paragraph 3 with a view to achieving the objective set out in Article 2a. The Agency shall adopt the network codes following the procedure set out in Article 2f while ensuring that those network codes are not in contradiction to the guidelines adopted under Article 2e . Article 2d Monitoring by the Agency 1. The Agency shall monitor the execution of the tasks referred to in Article 2c(1) of the European Network of Transmission System Operators for Electricity. 2. The European Network of Transmission System Operators for Electricity shall collect all relevant information regarding the implementation of the network codes and submit it to the Agency for evaluation. 3. The European Network of Transmission System Operators for Electricity shall submit the draft network codes and the documents referred to in Article 2c(1) to the Agency for approval . ▐ The Agency shall monitor the implementation of the network codes, the 10-year investment plan and the ▐ annual work programme and shall include the results of that monitoring in its annual report. In the event of non-compliance by the transmission system operators with the network codes, the 10-year investment plan or the annual work programme the Agency shall provide information thereof to the Commission . Article 2e Development of guidelines 1. The Commission shall, after consulting the Agency, establish an annual priority list identifying issues of primary importance for the development of the internal market for electricity. 2. Having regard to that priority list, the Commission shall mandate the Agency to develop, within no more than six months, draft guidelines establishing basic, clear and objective principles for the harmonisation of rules, as set out in Article 2c. 3. In drafting those guidelines, the Agency shall formally consult the European Network of Transmission System Operators for Electricity and other stakeholders, in an open and transparent manner. 4. The Agency shall adopt draft guidelines on the basis of that consultation. It shall specify the observations received during the consultation and explain how they were taken into account. It shall give reasons where observations have not been taken into account. 5. On its own initiative or at the request of the Agency, the Commission may initiate the same procedure to update the guidelines. Article 2f Development of network codes 1. Within six months of the adoption of the guidelines by the Agency and in accordance with Article 2e, the Commission shall mandate the European Network of Transmission System Operators of Electricity to develop draft network codes in full compliance with the principles established in the guidelines. 2. In drafting those network codes, the European Network of Transmission System Operators for Electricity shall take into consideration technical expertise from market participants and network users and shall keep them informed of progress. 3. The European Network of Transmission System Operators for Electricity shall submit the draft network codes to the Agency. 4. The Agency shall conduct a formal consultation in relation to the draft network codes in an open and transparent manner. 5. The Agency shall adopt the draft network codes on the basis of that consultation. It shall specify the observations received during the consultation and explain how they were taken into account. It shall give reasons where observations have not been taken into account. 6. On the Agency's own initiative or at the request of the European Network of Transmission System Operators for Electricity, a revision of the existing codes may be undertaken following the same procedure. 7. The Commission may, on a recommendation of the Agency, submit that network code to the Committee referred to in Article 13(1) for its final adoption in accordance with the procedure referred to in Article 13(2). Article 2g Consultations 1. In carrying out its tasks, the Agency shall formally consult ▐, in an open and transparent manner, ▐ all appropriate market participants; the consultation shall include supply and generation undertakings, customers, system users, distribution system operators, including relevant (industry) associations, technical bodies and stakeholder platforms. 2. All documents and minutes of meetings related to the issues referred to in paragraph 1 shall be made public. 3. Before adopting the guidelines and network codes, the Agency shall specify the observations received during the consultation and explain how they were taken into account. The Agency shall provide reasons where observations have not been taken into account. 4. The European Network of Transmission System Operators for Electricity shall cooperate with market participants and network users in accordance with Article 2f(2). Article 2h Costs The costs related to the activities of the European Network of Transmission System Operators for Electricity referred to in Articles 2a to 2j shall be borne by the transmission system operators and shall be included in the calculation of tariffs. The regulatory authorities shall approve those costs only if they are reasonable and proportionate. Article 2i Regional cooperation of transmission system operators 1. Transmission system operators shall establish regional cooperation within the European Network of Transmission System Operators for Electricity to contribute to the tasks mentioned in Article 2c(1). In particular, they shall publish a regional investment plan every two years, and may take investment decisions based thereon. The regional investment plan may not be contradictory to the 10-year investment plan referred to in Article 2c(1)(c). 2. Transmission system operators shall promote operational arrangements in order to ensure optimum management of the network, and, where efficient, promote the development of energy exchanges, the coordinated allocation of cross-border capacity ▐ and the compatibility of cross-border balancing ▐ mechanisms. ▐ Article 2j Technical cooperation between Community and third-country transmission system operators 1. Technical cooperation between Community and third-country transmission system operators shall be monitored by the national regulatory authorities; 2. If incompatibilities with the rules and network codes adopted by the Agency come to light in the course of such technical cooperation, the national regulatory authority shall seek clarification from the Agency.