WRITTEN QUESTION No. 511/99 by Ludivina GARCÍA ARIAS Criteria to assess non-profit-making investment in the future of the European electricity sector
Date: 1999-03-08
Institutions: European Parliament, GARCIA ARIAS
Subjects: State aid, competition, consumer protection, electrical energy, investment cost, liberalisation of the market, price of energy, single market

C 348/90

Official Journal of the European Communities

EN

3.12.1999

networks and closed user groups for their use, comprising voice telephony and data services as from 1 January
1998, and that the regulatory functions are entrusted to an independent body as from 1 January 1998.

The Estonian government has recently adopted the draft telecommunication law, which will introduce the
regulatory framework in the sector and in particular will establish an independent regulatory body. Even
though it appeared later than planned, this draft appears to be in compliance with Community legislation in
this area. The Commission expects a prompt adoption of the law once the recently elected Estonian Parliament
starts its activities.

There is no reason to believe that Estonia does not fulfil its obligations under Article 63 of the EA. It does not
seem likely that the creation of a new regulatory body could be hastened by making use of Article 65 of the EA.
Nevertheless, in the context of the negotiations towards Estonia’s membership of the Community and the pre-
accession strategy, the Commission will closely monitor progress by Estonia in this area.

(1999/C 348/111)

WRITTEN QUESTION E-0510/99

by Ludivina García Arias (PSE) to the Commission

(8 March 1999)

Subject: Consumer protection with a view to the liberalisation of the electricity sector

On various occasions during debates and in response to parliamentary question on the liberalisation of the
electricity sector, the Commissioners responsible for competition and energy policy have announced that the
costs of the transition to competition which may be authorised should relate to real investment arising out of
former universal service obligations under previous regulatory frameworks which it will probably not be
possible to refund in future.

Does the Commission not feel that it is inconsistent with the principle of economic and social cohesion for
domestic consumers and SME, who will not benefit from liberalisation in the medium term, to be the ones to
have to meet the cost of investments made in order to comply with public service obligations?

(1999/C 348/112)

WRITTEN QUESTION E-0511/99

by Ludivina García Arias (PSE) to the Commission

(8 March 1999)

Subject: Criteria to assess non-profit-making investment in the future of the European electricity sector

What competition policy criteria does the Commission intend to adopt to assess non-profit-making
investment effected by the electricity sector arising out of the universal service obligations established within
regulatory frameworks prior to the liberalisation introduced by Directive 96/92/EC (1)? Does it intend to
consider only the economic evaluations submitted by undertakings and Member States, or will it compare
them with independent audits which take the established market value into account? Are its administrative
services sufficiently capable of ascertaining whether a part of the investment was financed from State aid at any
time?

(1) OJ L 27, 30.1.1997, p. 20.

Joint answer
to Written Questions E-0510/99 and E-0511/99
given by Mr Van Miert on behalf of the Commission

(12 April 1999)

The Commission is examining the notifications given by different Member States of the schemes they intend to
apply in order to offset the stranded costs incurred in connection with Parliament and Council Directive
96/92/EC of 19 December 1996 concerning common rules for the internal market in electricity (1). In the