31. 12. 90 Official Journal of the European Communities No C 332/75 
Opinion on the Commission notice to the Member States laying down guidelines for 
operational programmes in the framework of a Community initiative concerning transmission 
and distribution networks for energy which Member States are invited to establish (REGEN) 
(90/C 332/22) 
On 3 July 1990 the Commission decided to consult the Economic and Social Committee, 
under Article 198 of the Treaty establishing the European Economic Community, on the 
abovementioned Commission notice. 
The Section for Regional Development and Town and Country Planning, which was respon­
sible for preparing the Committee's work on the subject, adopted its Opinion on 10 September 
1990. The Rapporteur was Mr Battaglini. 
At its 279th plenary session (meeting of 20 September 1990) the Economic and Social 
Committee adopted the following Opinion unanimously. 
INTRODUCTION GENERAL COMMENTS 
1. In the context of Community policy on the periph­
eral areas of the Community, and in view of the aim 
of economic and social cohesion laid down in the Single 
Act, the Commission has decided on an initiative to 
grant financial incentives for the establishment and 
development of energy infrastructures for the trans­
mission of natural gas and electricity. 
The initiative has two aims: 
— to speed up the creation of infrastructures for the 
reception and transmission of natural gas in the 
outlying regions which have none at present, 
— to speed up the completion of Community-wide 
networks for the transmission of gas, and exception­
ally of electricity, so as to ensure adequate intercon­
nections between the peripheral regions and the rest 
of the Community, thus enhancing the security of 
energy supply within the Common Market. 
The granting of the incentive is linked inter alia to the 
following: 
— the justification for the choice of the route and the 
capacity of the system, 
— the expected internal rate of return of the invest­
ment, 
— other benefits of the cost of energy to users in the 
regions and the better management and greater 
security of energy supplies for the regions in ques­
tion and for the Community as a whole, 
— the effects of the projects on the environment. 
Under the procedure of the European Regional Devel­
opment Fund (ERDF), the Member States will be 
required to submit specific requests to obtain incentives, 
confirming the details sent the Commission in the initial 
stage of project identification. 2. The Committee regards the premise of the Com­
mission's initiative, viz. secure global energy supplies, 
as a key component of EC socio-economic cohesion. 
The initiative corresponds to the priority which some 
Member States attach to the strengthening of infrastruc­
tures and the further development of transmission net­
works. The main thrust is the development of methan-
ization, and priority is given to projects which are likely 
to be decisive in development industrial activities. 
3. The Committee particularly stresses the potential 
offered by natural gas for the creation, in the areas 
considered by the Commission, of economic activities 
with beneficial employment effects. 
Stress should also be placed on the contribution which 
the infrastructure envisaged can make to the Com­
munity commitment to safeguard the environment, 
through greater use of natural gas and electricity—less 
polluting products—in energy consumption. 
As well as the advantages of natural gas over other 
fossil fuels—for example, the reduction of harmful 
emissions—one should stress the flexibility of its uses. 
Bearing in mind the aim of economic and social 
cohesion laid down in the Community Treaties, the 
Committee takes the view that the following factors 
should also be taken into account: 
— the initiative is a valid contribution to interconnect­
ing the networks with a view to the Single European 
Market, 
No C 332/76 Official Journal of the European Communities 31. 12. 90 
— the many uses of natural gas, for example in the 
domestic, tertiary, agricultural and crafts sectors, 
— the ease with which it can be used to provide indi­
vidual heating in buildings which were not designed 
for that purpose, 
— the probable reduction in vehicle traffic linked to 
the carriage of petroleum products and coal which 
would be replaced by natural gas, and security of 
supply regardless of weather or the state of the 
roads. 
4. This initiative is to be welcomed for its aims and 
for the positive reasons set out above. The contribution 
it can make to achieving the Community's aims of 
development and socio-economic cohesion and safe­
guarding the environment is undeniable. 
5. The Commission rightly states the need for the 
Member States concerned to guarantee additional 
investments which may be necessary to the proper 
functioning of the interconnections covered by the pre­
sent initiative, at other points of the European transport 
and energy distribution networks. 
The Committee takes the view that this commitment 
should also concern the context of the present initiative, 
given that it concerns primary transport networks and 
interconnections and therefore excludes measures for 
the distribution sector (1). 
Indeed, the Committee feels that the coordinated estab­
lishment of suitable distribution networks ('downstre­
am' of the initiatives in question) is essential to make 
the investments covered by the incentives effective, since 
it is through the distribution network that the gas 
reaches the final consumer (whether industrial, dom­
estic or a craft industry) and it is also through it that 
the initiatives can be made viable). 
Incorporation in the initiative of a guarantee by the 
Member States concerned of any additional investments 
which may be necessary at a later stage of distribution 
could also determine a priori either their eligibility for 
financial aid under the Community support frameworks 
(laid down by the Commission for objective 1 regions) 
or the application of Article 92(3) of the Treaty of 
Rome in the case of state aid. 
(*) In relation to this exclusion, the word 'distribution' should 
be deleted from the title of the notice and from its point 1.3 
(second part), to avoid any possible ambiguity. 6. The Committee therefore endorses the aim of the 
initiative—drawn up in consultation with the Member 
States—but has considerable reservations as to the 
funds which the Commission intends to commit: 300 
million ECU over three years, compared with the meas­
ures envisaged by the Commission, of which the cost 
can be assumed to be considerable. 
In order to express a comprehensive opinion as to 
whether the Community contribution is capable of 
ensuring effective implementation of these projects, it 
would be necessary to obtain up-to-date estimates of 
investments for each project and the probable allocation 
of the total EEC contribution. 
These data are not yet available. 
In these circumstances it is difficult to see how the 
Committee could issue an Opinion on the appropriate­
ness of the breakdown of funds. 
7. The Committee wonders what criteria the Com­
mission will use for allocating the funds, which—it 
should be remembered—concern works the return on 
which is not likely to encourage spontaneous private 
investment. (On the contrary, the Commission initiative 
arises precisely from the realization that the investments 
in question cannot be achieved by the spontaneous 
action of market forces in the sectors concerned.) 
CONCLUSIONS 
In principle the Committee feels that to implement this 
initiative the Community and the Member States should 
provide funds which constitute a real incentive for 
developing the infrastructures in question. 
It takes the view that it should be possible to assess the 
contributions (EEG + Member States) for individual 
projects at up to 80% of the cost of the necessary 
investments—bearing in mind the specific character­
istics of the regions concerned. 
If this is not done, the Committee thinks that the 
proposed funds may well turn out to be merely sym­
bolic, and at best likely seriously to jeopardize the 
effective establishment of these important infrastruc­
tures. 
Bearing in mind the importance of the aims pursued 
and the time needed to carry out the works, the Com­
mittee takes the view that, when the period of this 
31. 12. 90 Official Journal of the European Communities No C 332/77 
initiative expires, the Commission should assess its 
effectiveness, and, after consulting the ESC, adopt a 
Done at Brussels, 20 September 1990. 
1. Introduction 
1.1. Within the framework of Council Regulation 
(EEC) No 4253/88 (*), the Commission is seeking to 
launch an initiative in data communications entitled 
TELEMATIQUE; its aim is to promote regional devel­
opment and to consolidate and build on the achieve­
ments of the STAR programme and the momentum that 
programme has generated (2). The Committee issued a 
favourable Opinion on the STAR programme, which 
began in 1987 and is due to end in 1991. 
1.2. TELEMATIQUE targets objective 1 regions, i.e. 
regions whose per capita domestic product is less than 
75% of the Community average (framework Regu­
lation 2052/88). 
1.3. The initiative seeks to (i) introduce advanced 
telecommunications services into firms, (ii) set up and new initiative designed to continue the work with 
adequate funds. 
The Chairman 
of the Economic and Social Committee 
Alberto MASPRONE 
develop data communications services in the public 
sector and (iii) encourage the installation of equipment 
to provide an interface between data communications 
systems within objective 1 regions and between them 
and the rest of the Community. The importance and 
potential effectiveness of such measures in correcting 
regional imbalances as quickly as possible should be 
stressed. 
This initiative appears promising for manufacturers, in 
that it will improve (i) the conditions governing ther 
market access and (ii) their communication with the 
different agents in the economic production chain. It 
also looks positive for the services sector, particularly 
on the transport front. Two areas in the public services 
sector, namely health and education, could benefit con­
siderably. 
2. Eligible measures Opinion on the draft notice from the Commission to Member States laying down guidelines 
for operational programmes in the framework of a Community initiative for regional 
development concerning services and networks related to data communication 
TELEMATIQUE 
(90/C 332/23) 
On 2 August 1990 the Commission decided to consult the Economic and Social Committee, 
under Article 198 of the Treaty establishing the European Economic Community, on the 
abovementioned draft notice. 
The Section for Regional Development and Town and Country Planning, which was respon­
sible for preparing the Committee's work on the subject, adopted its Opinion on 10 September 
1990. The Rapporteur was Mr Ataide Ferreira. 
At its 279th plenary session (meeting of 19 September 1990) the Economic and Social 
Committee adopted the following Opinion unanimously. 
(!) OJ No L 374, 31. 12.1988. 
(2) OJ No L 305, 31. 10. 1986 (Regulation (EEC) No 3300/86). 2.1. Paragraphs 6,7 and 8 of the draft notice indicate 
three key areas to be targeted (also outlined in point 1.3 
of the present Opinion).