WRITTEN QUESTION No. 1525/99 by Luis BERENGUER FUSTER Possible difficulties hindering the entry of new undertakings to the Spanish generating market
Date: 1999-09-01
Institutions: BERENGUER FUSTER Luis, European Parliament
Subjects: Spain, common commercial policy, control of State aid, electrical industry, privatisation, restriction on competition

29.1.2000

EN

Official Journal of the European Communities

C 27 E/109

Although, for administrative reasons, the scheme has been entered in the register of non-notified aid
measures, the Spanish authorities have been informed that such entry does not necessarily mean that the
scheme will be classified as state aid or deemed incompatible with the EC Treaty.

Given the lack of an existing framework for the scrutiny of state aid in this field and bearing in mind that
this is a complex issue and that talks are still in progress with the Spanish authorities, the Commission
does not plan at this stage to order the suspension of the scheme under Article 11(1) of Council
Regulation (EC) 659/1999 of 22 March 1999 laying down detailed rules for the application of Article 93
of the EC Treaty.

(2000/C 27 E/134)

WRITTEN QUESTION E-1525/99

by Luis Berenguer Fuster (PSE) to the Commission

(1 September 1999)

Subject: Possible difficulties hindering the entry of new undertakings to the Spanish generating market

The Spanish Parliament(cid:146)s decision to amend the substance of the Sixth Transitional Provision of Law
54/1997 on the Electricity Sector (adopted by Law 50/1998) and to quantify the costs of transition to
competition (CTCs) arising for Spanish electricity undertakings by assessing the rate to be paid by
consumers at 4,5 % represents additional
income in excess of a billion pesetas for the undertakings
currently present on the market.

This step, which bears no relation to market trends nor to the actual costs, may provide electricity
companies with advantages over the competition (cid:129) to the detriment of Spanish consumers (cid:129) and increase
the obstacles hindering the entry of new undertakings to the generating market.

Does the Commission consider that this quantification of CTCs for Spanish undertakings may hinder the
entry of new undertakings onto the Spanish generating market?

Answer given by Mrs de Palacio on behalf of the Commission

(11 October 1999)

The issue of the charge of 4,5 %, which has been included in the Spanish electricity tariffs in order to
recover the payments under the title (cid:145)costs of transition to competition (CTC)(cid:146), has to be seen in the
context of the Commission(cid:146)s overall examination of the Spanish stranded cost regime pursuant to state aid
rules.

In particular, the question whether the introduction of the 4,5 % charge constitutes an additional income in
the context of the overall CTC payments, and the question whether this quantification of CTCs for Spanish
undertakings may hinder the entry of new undertakings onto the Spanish generating market, are issues
being considered in this examination under state aid rules.

The Commission(cid:146)s examination of the scheme is continuing, but until a final decision is adopted it is not
possible to comment on specific details of the CTC regime.

(2000/C 27 E/135)

WRITTEN QUESTION E-1526/99

by Mar(cid:237)a Sornosa Mart(cid:237)nez (PSE) to the Commission

Subject: Ecological disaster in the Pego-Oliva marsh

(1 September 1999)

Throughout the previous parliamentary term we have complained about the environmental damage being
done to the Pego-Oliva marsh and park in Valencia, one of the most important wetlands in Spain, which is