Opinion of the Commission pursuant to Article 251 (2), third subparagraph, point (c) of the EC Treaty, on the European Parliament's amendments to the Council's common position regarding the proposal for a Directive of the European Parliament and of the Council on the promotion of cogeneration based on a useful heat demand in the internal energy market and amending Directive 92/42/EC amending the proposal of the Commission pursuant to Article 250 (2) of the EC Treaty
Date: 2004-01-26
Institutions: European Commission
Subjects: domestic market, electrical energy, energy policy, energy production, energy saving, security of supply

COMMISSION OF THE EUROPEAN COMMUNITIES

Brussels, 26.1.2004
COM(2004) 49 final

2002/0185 (COD)

OPINION OF THE COMMISSION

pursuant to Article 251 (2), third subparagraph, point (c) of the EC Treaty,
on the European Parliament's amendments
to the Council's common position regarding the
proposal for a

DIRECTIVE OF THE EUROPEAN PARLIAMENT
AND OF THE COUNCIL

on the promotion of cogeneration based on a useful heat demand in the internal
energy market and amending Directive 92/42/EC

AMENDING THE PROPOSAL OF THE COMMISSION
pursuant to Article 250 (2) of the EC Treaty

EN

  EN

2002/0185 (COD)

OPINION OF THE COMMISSION

pursuant to Article 251 (2), third subparagraph, point (c) of the EC Treaty,
on the European Parliament's amendments
to the Council's common position regarding the
proposal for a

DIRECTIVE OF THE EUROPEAN PARLIAMENT
AND OF THE COUNCIL

on the promotion of cogeneration based on a useful heat demand in the internal
energy market and amending Directive 92/42/EC

1.

INTRODUCTION

Article 251(2), third subparagraph, point (c) of the EC Treaty provides that the Commission is
to  deliver  an  opinion  on  the  amendments  proposed  by  the  European  Parliament  at  second
reading.  The  Commission  sets  out  its  opinion  below  on  the  20  amendments  proposed  by
Parliament.

2.

– 

– 

– 

– 

– 

– 

– 

1

2

3

4

BACKGROUND

On 22 July 2002, the Commission transmitted to the European Parliament and to the
Council its proposal for a Directive (COM(2002)415 final1

 - 2002/0185(COD)).

The  European  Economic  and  Social  Committee  delivered  a  favourable  opinion  on
26 February 20032

The Committee of Regions delivered a favourable opinion on 9 April 20033

On 13 May 2003, the European Parliament, at its first reading, delivered its opinion,
containing a number of amendments to the Commission proposal.

On  23  July  2003  (COM(2003)416  final),  the  Commission  adopted,  in  accordance
with Article 250(2) of the Treaty, an amended proposal incorporating, wholly  or in
part, a large number of amendments adopted by the Parliament.

The Council adopted its Common Position on 8 September 2003.4

On 19 September 2003, the Commission adopted its Communication to the European
Parliament on the  Council's Common Position, pursuant  to  the  2nd  subparagraph  of
Article 251(2) of the Treaty.

OJ C 291 E, 26.11.2002, p. 182
OJ C 95, 23.4.2003, p. 12
OJ C 244, 10.10.2003, p. 1
OJ C 258 E, 28.10.2003, p. 1

2

 
                                                
– 

3.

On  18  December  2003,  the  European  Parliament  adopted,  at  the  second  reading,  a
resolution containing 20 amendments to the Common Position.

PURPOSE OF THE PROPOSAL

The Commission’s initiative is in response to the wishes set forth by the European Parliament
and  the  Council  for  action  in  favour  of  promoting  cogeneration,  with  a  view  to  realise  the
large  energy  savings  potential.  Realising  this  potential  was  foreseen  to  make  a  major
contribution  to  improving  security  of  supply  in  the  EU  and  to  meeting  the  EU  Kyoto
commitment.

The Commission accordingly presented a proposal with the basic objective of promoting the
cogeneration technique within the EU, ensuring in so far as possible that only cost-effective,
technically  feasible  and  environmentally-friendly  measures  are  undertaken.  The  practical
application of the elements of this proposal should remain the responsibility  of  the Member
States.

The main elements of the proposal are the following:

– 

– 

– 

– 

– 

– 

4.

common  definitions  of  cogeneration  and  common  criteria  for  high  efficiency
cogeneration via calculation of primary energy savings.

obligations on Member States to carry out analysis of the national potential for high
efficiency cogeneration.

provisions  for  a  system  of  “Guarantee  of  origin”  enabling  producers  of  electricity
from  cogeneration  to  demonstrate  that  the  electricity  really  is  produced  from
cogeneration.

provisions for evaluating the experiences gained with the application and coexistence
of different support mechanisms for cogeneration used by Member States

provisions  laying  down  the  principles  for  the  interaction  between  cogeneration
producers and the electricity grid;

provisions  requiring  Member  States  to  evaluate  current  administrative  procedures
with  a  view  to  reducing  the  administrative  barriers  to  the  development  of
cogeneration.

OPINION  OF  THE  COMMISSION  ON  THE  AMENDMENTS  BY  THE  EUROPEAN
PARLIAMENT

Parliament  adopted  20  amendments  to  the  Common  Position  of  the  Council  at  the  second
reading, one of which was for a new recital.

The Commission accepts all 20 amendments proposed by the European Parliament, which are
in line with the objectives of the Commission’s original proposal or constitute an acceptable
compromise.

4.1
Amendment  C1  concerns  recital  2,  which  deals  with  the  relations  to  the  Directive
2003/54/EC on the internal electricity market. This amendment emphasises that development
of cogeneration contributes to enhancing competition on the internal electricity market.

3

 
The Commission is  able to  accept  this  amendment as  it  is in line  with  the  objectives  of  the
Commission’s original proposal.

4.2
Amendment  C2  is  a  change  of  recital  3  in  the  common  position.  This  amendment
makes  it  clearer  that  import  dependency  and  raising  import  ratios  heighten  the  risk  of
interruption or difficulties in supply.

The Commission  is  able  to  accept  this  amendment as it  is in line  with the  objectives  of  the
Commission’s original proposal.

4.3
Amendment C3 is an amendment for a new recital (5a) in the Common Position. This
amendment  presents  a  reference  to  the  European  Parliament’s  resolution  of  25  September
2002  on  the  Commission  communication  on  the  implementation  of  the  first  phase  of  the
European Climate Change Programme.

The Commission  is  able  to  accept  this  amendment as it  is in line  with the  objectives  of  the
Commission’s original proposal.

4.4
Amendment  C4  is  an  amendment  to  recital  14  in  the  Common  Position.  The
amendment  deals  with  the  objective  to  ensure  a  harmonisation  of  calculation  methods  for
calculation  of  electricity  from  cogeneration.  The  amendment  also  makes  a  reference  to  the
necessity  of  being  able  to  adapt  the  calculation  methods  to  technical  progress.  Finally  the
amendment outlines that for micro cogeneration units the calculations can be based on values
provided by a certification process.

The Commission is able to accept this amendment as it presented in the context of adaptation
to  technical  progress  of  the  methodology  of  calculation  and  based  on  the  principle  of
proportionality, which is in line with the objectives of the Commission’s original proposal.

Amendment C5 is an amendment to recital 18 of the Common Position and provides

4.5
a more clear understanding of the term “cogeneration unit”.

The Commission  is  able  to  accept  this  amendment as it  is in line  with the  objectives  of  the
Commission’s original proposal.

Amendment  C6  is  an  amendment  to  recital  26  of  the  Common  Position.  This
4.6
amendment  emphasises  that especially  for  micro  cogeneration  units  access  to  the  electricity
grid may be facilitated.

The Commission is able to  accept  this  amendment as it  is in line  with the  objectives  of  the
Commission’s original proposal.

Amendment  C7  is  an  amendment  to  recital  27  of  the  Common  Position.  This
4.7
amendment is a necessary editorial change to make the proposal consistent in order to reflect
the compromises regarding micro cogeneration units.

The Commission is able  to  accept  this  amendment as it  is in line  with the  objectives  of  the
Commission’s original proposal.

4.8
Amendment C8 concerns Article 3 point (i) of the Common Position and clarifies that
high  efficiency  cogeneration  shall  mean  cogeneration  meeting  the  criteria  of  the  whole
Annex III.

4

 
The Commission is  able to  accept  this  amendment as  it  is in line  with  the  objectives  of  the
Commission’s original proposal.

4.9
Amendment  C9  deals  with  Article  3,  point  (k)  of  the  Common  Position.  This
amendment changes the definition of the “power to heat ratio”. The amendment is in line with
amendment  C18  where  the  Commission  is  obliged  to  establish  guidelines  for  the
implementation  of  Annex  II  (calculation  of  electricity  from  cogeneration)  via  committee
procedure. The amendment leaves the necessary flexibility to develop the guidelines.

The Commission is able to accept this amendment because it makes it possible to develop the
technical guidelines in the established Committee and as it is in line with the objectives of the
Commission’s original proposal.

4.10 Amendment  C10  is  a  new  point  in  Article  3  of  the  Common  Position.  This
amendment  defines  micro  cogeneration  units  as  units  with  a  maximum  capacity  below
50kWe.

The Commission is  able to  accept  this  amendment as  it  is in line  with  the  objectives  of  the
Commission’s original proposal.

4.11 Amendment  C11  deals  with  Article  4,  paragraph  1  of  the  Common  Position.  This
amendment is an editorial change providing a clearer wording.

The Commission is  able to  accept  this  amendment as  it  is in line  with  the  objectives  of  the
Commission’s original proposal.

4.12 Amendment  C12  concerns  Article  6,  paragraph  1,  of  the  Common  Position.  This
amendment emphasises that the analysis of the national potential for the application of high
efficiency cogeneration should include high efficiency micro cogeneration.

The Commission  is  able  to  accept  this  amendment as it  is in line  with the  objectives  of  the
Commission’s original proposal.

4.13 Amendment  C13  is  an  amendment  to  Article  8,  paragraph  3,  of  the  Common
Position. This amendment emphasises that Member States also may particularly facilitate grid
access for micro cogeneration units. In the Common Position this possibility was only applied
to small scale cogeneration.

The Commission  is  able  to  accept  this  amendment as it  is in line  with the  objectives  of  the
Commission’s original proposal.

4.14 Amendment C14 concerns Article 11 and introduces two new paragraphs (2 and 3).
This amendment emphasises in the new paragraph 2, that the Commission - in the report to be
submitted  to  the  European  Parliament  and  Council  four  years  after  entry  into  force  of  the
Directive - shall consider to what extent the national potentials have been or are foreseen to be
realised.  If  appropriate  the  Commission  shall  submit  further  proposals  aiming  at  the
establishment of an action plan for the development of high efficiency cogeneration.

Similarly it is outlined in the new paragraph 3, that the Commission shall consider the impact
of the coexistence of the alternative calculation methods and  if  appropriate the Commission
shall submit further proposals aiming at further harmonisation of the calculation methods.

5

 
The Commission is  able to  accept  this  amendment as  it  is in line  with  the  objectives  of  the
Commission’s original proposal.

4.15 Amendment C15 includes a new paragraph 2 in Article 13 of the Common Position.
This amendment  empowers the Committee established in  accordance  with  Article  14  of  the
Common Position also to  review  the guidelines for  determining  the power  to  heat  ratio  and
adapt these guidelines to technical progress.

The Commission is able to accept this amendment as it allows for keeping the guidelines up
to date and is in line with the objectives of the Commission’s original proposal.

4.16 Amendment C16 concerns Annex II, subparagraph 1 of the Common Position. This
amendment  introduces  the  possibility  for  micro  cogeneration  units  to  carry  out  the
calculations using values from a certification process. This will allow calculation of electricity
from  micro  cogeneration  units  without  imposing  costly  measurement  on  each  individual
installation.

The Commission is able to accept this amendment because it is in line with the principle of
proportionality and as it is in line with the objectives of the Commission’s original proposal.

4.17 Amendment  C17  concerns  Annex  II,  paragraph  2  of  the  Common  Position.  This
amendment is clarifying that the default values of the power to heat ratio should only be used
for statistical purposes.

The Commission  is  able  to  accept  this  amendment as it  is in line  with the  objectives  of  the
Commission’s original proposal.

4.18 Amendment C18 introduces a new paragraph in Annex II of the Common  Position.
This  amendment  obliges  the  Commission  to  establish  guidelines  for  the  implementation  of
Annex II (calculation of electricity from cogeneration) via committee procedure.

The Commission is able to accept this amendment because it makes it possible to develop the
technical guidelines in the established Committee and as it is in line with the objectives of the
Commission’s original proposal.

4.19 Amendment  C19  deals  with  Annex  III  a,  second  indent,  of  the  Common  Position.
This amendment defines that micro cogeneration units providing primary energy savings may
qualify as high-efficiency cogeneration.

The Commission is  able to  accept this  amendment as  it  is in line  with  the  objectives  of  the
Commission’s original proposal.

4.20 Amendment C20 introduces a new paragraph in Annex III of the Common Position.
This  amendment  introduces  the  possibility  for  micro  cogeneration  units  to  carry  out  the
calculations  using  values  from  a  certification  process.  This  will  allow  micro  cogeneration
units to qualify as high efficiency cogeneration without imposing costly measurement on each
individual installation.

The Commission is able to accept this amendment because it is in line with the principle of
proportionality and as it is in line with the objectives of the Commission’s original proposal.

6

 
5.

CONCLUSION

Pursuant to Article 250(2) of the EC Treaty, the Commission amends its proposal as set out
above.

7