WRITTEN QUESTION E-1122/01 by Raffaele Costa (PPE-DE) to the Commission. Request for investigations into the liberalisation of the market in gas in Italy.
Date: 2001-04-06
Institutions: European Parliament, Provisional data
Subjects: Italy, competition law, fixing of prices, gas, liberalisation of the market, national implementing measure

4.4.2002

EN

Official Journal of the European Communities

C 81 E/11

The energy balance of using either skimmed milk or skimmed milk powder as animal feed will differ from
case to case, but the Commission agrees that using skimmed milk may ultimately result in less energy
consumption. Therefore, in specific situations the savings on energy costs may result in making the use of
skimmed milk economically attractive despite the loss of the subsidy. However, globally the energy
argument cannot compensate for the overriding arguments in favour of suppressing the aid scheme as
indicated above.

(2002/C 81 E/014)

WRITTEN QUESTION E-1122/01

by Raffaele Costa (PPE-DE) to the Commission

(6 April 2001)

Subject: Request for investigations into the liberalisation of the market in gas in Italy

Can the Commission say what measures the European Union intends to take to ensure that a policy of
liberalisation with regard to the services of distribution, supply and sale of heating gas is at last introduced
in Italy? At present these services are almost exclusively performed by subsidiary undertakings of Snam,
amongst which ITALGAS and EDISON are in a dominant position. They impose conditions, tariffs and
prices without any proper control by their supervisory authorities or consumers, who are unable to
the services
negotiate, discuss or check objectively the prices, consumption, quantity or quality of
provided.

Answer given by Mrs de Palacio on behalf of the Commission

(7 September 2001)

Directive 98/30/EC of the Parliament and of the Council of 22 June 1998 concerning common rules for
the internal market in naturel gas (1) introduces competition in the gas sector and obliges Member States to
open up at least 20 % of demand to competition. Italy has implemented this Directive mainly through a
Government Decree dated 23 May 2000 (Decree No 164/2000) which entered into force on 21 June
2000.

The implementation chosen by Italy goes further than required by the Directive in the sense that 65 % of
final customer demand has already been liberalised. As from 1 January 2003, all customers will be eligible
(100 % opening).

The fact remains that, as in many other Member States, effective choice will evolve gradually, due to the
near monopoly structure of most of the gas markets. The Commission notes here that the Honourable
Member seems to consider Edison to be a subsidiary company of SNAM. This is, however, not the case.
Edison is part of the Montedison group, which is independent of the ENI group, of which SNAM forms
part.

The Italian authorities have taken steps to improve the situation in which little competition exists,
stipulating that from 1 January 2003, no operator can sell to final customers more than 50 % of the
annual national consumption of gas and that 1 January 2002 no operator can introduce in the Italian gas
pipelines more than 75 % of the annual national consumption of gas. These figure will be reduced by 2 %
each year till 2010.

The Italian regulator is responsible for setting the transport, storage and distribution tariffs of natural gas
in Italy, and the Commission understands that it is in the process of setting these tariffs.

In addition, the Commission(cid:146)s proposed new directive concerning common rules for the internal markets
in electricity and natural gas (2) is intended to remove the remaining main obstacles to competition and
create a level playing field in the Community gas market. Among other requirements, it strengthens the
current provisions ensuring the independent behaviour of the operators of transmission and distribution
system, and sets out minimum powers for national regulators.

(1) OJ L 204, 21.7.1998.
(2) COM(2001) 125 final.