EN    EN  EUROPEAN COMMISSION 
Brussels, 19.9.2012  
COM(2012) 532 final 
2012/0254 (NLE) 
  
Proposal for a 
COUNCIL DECISION 
on establishing the European Union positi on within the Ministerial Council of the 
Energy Community (Budva, 18th October 2012) 
 
 
EN 2   EN EXPLANATORY MEMORANDUM  
1. CONTEXT  OF THE  PROPOSAL 
The 10th Ministerial Council of the Energy Community will take place on 18th October 2012 
in Budva (Montenegro). 
The position of the European Union on the decisi ons that are on the agenda for this meeting 
needs to be established pursuan t to Article 218, paragraph 9, of  the Treaty on the Functioning 
of the European Union and in accordance  with the provisions of Council Decision 
2006/500/EC of 29 May 2006 on the conclusion by the European Community of the Energy Community Treaty (hereafter the Treaty). 
Under Article 6 of Decision 2006/500/EC, the position of th e European Union must be 
expressed by the representative of the Europ ean Commission within th e Ministerial Council. 
This Proposal for a Council Decision covers a ll agenda items for which a decision by the 
Ministerial Council is expected or which require taking an EU position. The Commission 
considers that other items on th e agenda of the Ministerial C ouncil do not require guidance for 
statement by the European Union, as referred to in the Working methods with respect to the 
preparation of meetings of the Energy Community Ministerial Council agreed between the 
services of the Commissi on and the Council (14623/07). 
2. DRAFT
 ANNOTATED  AGENDA 
2.1. “A points” (No discussion) 
The Commission shall approve the Director’s financia l discharge for 2011 on the basis of the 
Audit Report of 31st December 2011, the Budget Committee Report on Audit for 2011 and the 
Director’s Report on Execution of the 2011 Budget. 
The Commission shall approve the Annual Repor t on the activities of the Energy Community 
to the European Parliament and to the Parl iaments of the Adhering  Parties and of the 
Participants, foreseen in Article 52 of the Treaty. 
The Commission shall take note of the other reports presented under this Agenda item. 
2. 2. Implementation of the Treaty 
The Commission shall take note on the Secret ariat’s Report on the implementation of the 
Treaty, which includes a first assessment of Moldova and Ukraine, as newest Contracting 
Parties. 
The Commission will also take note of the Report  on dispute settlement. It will take note of 
the progress achieved on the open cases and will further support the Secretariat's efforts in view of finding negotiated solutions. 
The Commission shall moreover propose the in clusion of the following wording in the 
Ministerial Council conclusions : "The Ministerial Council t ook note that Moldova and 
Ukraine, which joined the Energy Community in 2010 and 2011, may need longer than the deadline of 1
st January 2016 to implement Article 9 of Directive 2009/73/EC1" 
                                                 
1 Directive 2009/73/EC of the European Parliament and of the Council of 13 July 2009 concerning 
common rules for the internal market in natural gas and repealing Directive 2003/55/EC 
 
EN 3   EN 2.3. Statistics 
The Commission shall approve the draft Mi nisterial Council Decision concerning the 
implementation of the rules of energy statistics in the Energy Community, by which the Contracting Parties agree to implement, not later than 31
st December 2013, Regulation (EC) 
No 1099/20082 on energy statistics and Directive 2008/92/EC3concerning a Community 
procedure to improve the transpar ency of gas and electricity pr ices charged to industrial end-
users. 
This draft Ministerial Council Decision is base d on Article 100(ii) of the Treaty and does not 
include any specific adaptation for the Contracting Parties. A formal Commi ssion’s proposal 
under Article 79 of the Treaty was therefore no t deemed necessary. This decision requires 
unanimity. Should the unanimity not be r eached on the proposed deadline of 31st December 
2013, the Commission could accept to delay the implementation deadline to 31st December 
2015 at the latest. 
Considering that sound, reliable, comparable and consistent energy statistics are essential for 
monitoring the effectiveness of  energy policies, the adoption of  these basic EU rules should 
not be delayed unnecessarily, es pecially in view of the e xpected application of the 
cooperation mechanisms on renewable energy be tween EU Member States and Contracting 
Parties. 
2.4. Oil stocks 
The Commission shall approve the draft Minist erial Council Decision on the implementation 
of Directive 2009/119/EC4 imposing an obligation on Member States to maintain minimum 
stocks of crude oil and/or petroleum produc ts, by which Contractin g Parties commit to 
implement this Directive not later than 1st January 2020. 
This draft Ministerial Council Decision is base d on Article 100(ii) of the Treaty and does not 
include any specific adaptation for the Contracting Parties. A formal Commi ssion’s proposal 
under Article 79 of the Treaty was therefore no t deemed necessary. This decision requires 
unanimity. 
Should the unanimity not be reached on the proposed deadline of 1st January 2020, the 
Commission could accept to delay the implementation deadline to 1st January 2023 at the 
latest. In case none of  the two options reach the unanimous agreement, the Commission could 
accept to postpone the formal adoption of th e draft Ministerial Council Decision while 
proposing the inclusion of a political statem ent in the Ministeria l Council conclusions 
encouraging Contracting Parties to take the necessary steps for building the necessary oil 
stocks reserves and inviting the Energy Commun ity Secretariat to continue its support to 
Contracting Parties in this area.  
                                                 
2 Regulation (EC) No 1099/2008 of the European Parliament and of the Council of 22 October 2008 on 
energy statistics 
3 Directive 2008/92/EC of the European Parliament and of the Council of 22 October 2008 concerning a 
Community procedure to improve the transparency of gas and electricity  prices charged to industrial 
end-users (recast) 
4 Council Directive 2009/119/EC of 14 September 2009 imposing an obligation on Member States to 
maintain minimum stocks of crude oil and/or petroleum products 
 
EN 4   EN 2.5. Renewable Energy Sources 
The Commission shall approve the draft Minist erial Council Decision on the implementation 
of Directive 2009/28/EC5, upon which Contracting Parties commit to implement the Directive 
by 1st January 2014. 
The adaptations contained in th e Ministerial Council Decision, under Article 24 of the Treaty, 
are largely in line with  those proposed in the Commission Decision of 19th March 2012. Some 
amendments were introduced following the discussions at the 25th meeting of the Permanent 
High Level Group, as follows: 
– Reporting deadlines are adapted in line w ith the general implementation deadline. 
– Article 16 (“Review based on the experience”) has been amended to give the 
possibility of drawing consequences from progress in compliance with the 
requirements of EUROSTAT meth odology for energy statistics. 
No agreement was reached at the meeting of the Permanent High Level Group on the 
Contracting Parties targets for the share of ener gy from renewable sources in their gross final 
energy consumption and on the share of energy from renewable sources in all forms of 
transport in 2020, which will need to be  agreed at the meeting of the 10th Ministerial Council. 
The Commission can agree on an overall correction of the targets for the share of energy from 
renewable sources taking into account a shorte r period of implementati on of the Directive. 
Such correction should take into account the non-lin ear nature of the EU's trajectory for target 
fulfilment. 
The Commission shall also approve amendments to the Treaty, in li ne with the Council 
Decision of 28 June 2011 to aut horise the Commission to negotiate  on behalf of the European 
Union amendments to the Energy Community Treaty.6 
This decision requires unanimity. 
2.6. Energy Strategy 
The Commission shall approve the Energy Stra tegy of the Energy Community, which results 
from the work of the Energy Strategy Task Force and takes into ac count comments made by 
the Contracting Parties and by the Commi ssion on behalf of the European Union. 
The Commission shall approve th e extension of the mandate of the Energy Strategy Task 
Force till June 2013. The Energy Strategy Task For ce should be tasked with the screening and 
identification of Projects of En ergy Community interest and with  the identification of possible 
policy measures aiming at fostering the deve lopment of the future projects of Energy 
Community interest. 
The Commission shall steer a deba te on energy security, which is  one of the main objectives 
of the Energy Community, and requi res that all parties to the Trea ty coordinate action. It will 
highlight the importance of the internal mark et rules that guarantee cross border flows of 
electricity and gas within Europe, of establishi ng strategic oil stocks and promoting renewable 
                                                 
5 Directive 2009/28/EC of the European Parliament and of the Council of 23 April 2009 on the 
promotion of the use of energy from renewable sources and amending and subsequently repealing 
Directives 2001/77/EC and 2003/30/EC 
6 As a reminder,11242/11 REV 1 states : "The Commissi on shall ensure that amendments to be agreed on 
behalf of the European Union refer to the obligation of Contracting Parties to adopt Directive 
2009/28/EC on the promotion of the use of energy from renewable sources and amending and 
subsequently repealing Directives 2001/77/EC and 2003/30/EC". 
 
EN 5   EN sources of energy and increased energy efficienc y. It will encourage the Contracting Parties to 
participate actively in Security of Supply Group7. 
2.7. Appointment of a Director of  the Energy Community Secretariat 
The Commission shall approve the Procedural Act of the Ministerial Council appointing Mr. 
Janez Kopa č as Director of the Secretariat for a fixed renewable term of three years. 
Based on the Commission proposal the Ministerial Council shall decide on the appointment of 
the Director on a simple majority. 
                                                 
7 Procedural Act 2008/02/MC-EnC of the Ministerial Council of the Energy Community of 11 December 
2008, on the Establishment of a Security of Supply Coordination Group 
 
EN 6   EN 2012/0254 (NLE) 
Proposal for a 
COUNCIL DECISION 
on establishing the European Union positi on within the Minist erial Council of the 
Energy Community (Budva, 18th October 2012) 
THE COUNCIL OF THE EUROPEAN UNION, 
Having regard to the Treaty on the Functioning of the European Union, and in particular 
Articles 194 and 218, paragraph 9, thereof, 
Having regard to Council Decision 2006/500/EC , of 29 May 2006, on the conclusion by the 
European Community of the Energy Community Treaty,1 and in particular Articles 4 and 5 
thereof, 
Having regard to the proposal from the European Commission, 
HAS DECIDED AS FOLLOWS:  
Sole Article 
In view of the 10th meeting of the Ministerial Council of the Energy Community to be held in 
Budva on 18th October 2012, the position of the European  Union regarding the issues falling 
under the scope of Article 218, para graph 9, of the Treaty on the Functioning of the European 
Union is set out in the Annex to this Decision. 
Done at Brussels,  
 For the Council 
 The President 
                                                 
1 OJ L 198, 20.7.2006, p. 15. 
 
EN 7   EN ANNEX  
European Union position  
• The European Union approves the financial discharge of the Director of the Energy 
Community Secretariat for 2011. 
• The European Union approves the 2011 A nnual Report on the activities of the 
Energy Community to the Parliaments, fo reseen in Article 52 of the Energy 
Community Treaty. 
• The European Union approves the impl ementation by the Energy Community of 
Regulation (EC) No 1099/2008, on energy statistics, and Directive 2008/92/EC, 
concerning a Community procedure to im prove the transparency of gas and 
electricity prices charged to  industrial end-users, not later than 31st December 2015. 
• The European Union approves the impleme ntation of Directive 2009/119/EC on the 
obligation to maintain minimum stocks of  crude oil and/or petroleum products, not 
later than 1st January 2023. 
• The European Union approves the impl ementation by the Energy Community of 
Directive 2009/28/EC, on the promotion of renewables, not later than 1st January 
2014, whereby Contracting Parties commit to targ ets of a level of effort similar to the 
one applicable to EU Member States, taki ng into account also the shorter period of 
implementation allowed to Contracting Parties. 
• The European Union approves amendments to Article 20 of the Energy Community 
Treaty, in line with Council Decision of 28 June 2011 authorising the Commission to 
negotiate on behalf of the European Un ion amendments to the Energy Community 
Treaty. 
• The European Union approves the Energy Strategy of the Energy Community. 
• The European Union approves the extension of the mandate of the Energy Strategy 
Task Force until June 2013. 
• The European Union approves the appointment of Mr. Janez Kopa č as Director of 
the Secretariat for a fixed renewable term of three years.