2006/500/EC: Council Decision of  29 May 2006  on the conclusion by the European Community of the Energy Community Treaty
Date: 2006-05-29
Institutions: Council of the European Union
Subjects: Central and Eastern Europe, European treaties, electrical energy, energy policy, natural gas, ratification of an agreement

20.7.2006

EN

Official Journal of the European Union

L 198/15

II

(Acts whose publication is not obligatory)

COUNCIL

COUNCIL DECISION

of 29 May 2006

on the conclusion by the European Community of the Energy Community Treaty

(2006/500/EC)

THE COUNCIL OF THE EUROPEAN UNION,

(3)

establishing the European
Having regard to the Treaty
Community and in particular Articles 47(2), 55, 83, 89, 95,
133 and 175, in conjunction with the first sentence of the first
subparagraph of Article 300(2) and the second subparagraph of
Article 300(3) thereof,

Having regard to the proposal from the Commission,

Having regard to the assent of the European Parliament (1),

Whereas:

(1)

In accordance with the Council Decision of 17 May
2004, the Commission has negotiated the Treaty estab-
lishing the Energy Community, hereinafter referred to as
‘the Energy Community Treaty’, with the Republic of
the Republic of Bulgaria, Bosnia and Herze-
Albania,
the former Yugoslav
the Republic of Croatia,
govina,
the Republic of Montenegro,
Republic of Macedonia,
Romania,
and the United
Nations
Interim Administration Mission in Kosovo
(pursuant to United Nations Security Council Resolution
1244) with the view to establishing an Integrated Energy
Market Organisation in South-East Europe.

the Republic of Serbia

(2)

in accordance with the Council
On 25 October 2005,
Decision of 17 October 2005, the Energy Community
Treaty was signed on behalf of the Community.

(1) Opinion delivered on 18 May 2005 (Not yet published in the

Official Journal).

and electricity supply that

The Energy Community Treaty provides for the creation
of an integrated market in natural gas and electricity in
South-East Europe which will create a stable regulatory
and market framework capable of attracting investment
in gas networks, power generation and transmission
networks, so that all Parties have access to the stable
and continuous gas
is
essential for economic development and social stability.
It
set up,
permitting the efficient operation of energy markets in
the
congestion
issues
management, cross-border flows, power exchanges and
others.
therefore aims at promoting high levels of
gas and electricity supply to all citizens based on
public service obligations, and achieving economic and
social progress and a high level of employment.

regulatory framework to be

including

enables

region,

such

as

It

a

(4)

(5)

in June 2003 aims

‘The Thessaloniki Agenda for
the Western Balkans:
moving towards European integration’, endorsed by the
European Council
further
strengthening
the privileged relations between the
European Union and the Western Balkans. By creating
favourable economic conditions and imposing the imple-
mentation of
the
Energy Community Treaty contributes to the economic
integration of the other parties to that Treaty.

the relevant acquis

communautaire,

at

The Energy Community Treaty enhances the security of
supply of the parties to that Treaty by connecting Greece
to the continental European Union gas and electricity
markets,
the
Balkans to the Caspian, North African and Middle East
gas reserves.

and providing incentives

to connect

(6)

The Energy Community Treaty makes possible the devel-
opment of energy market competition in a broader scale
and the exploitation of economies of scale.

L 198/16

EN

Official Journal of the European Union

20.7.2006

(7)

(8)

(9)

The Energy Community Treaty improves the environ-
mental situation in relation to gas and electricity, and
promotes
energy
sources.

and renewable

efficiency

energy

In special circumstances such as the event of disruption
of network energy,
to be
security of
ensured in the Energy Community. The mutual assistance
mechanism of the Energy Community Treaty can help to
mitigate the consequences of the disruption, in particular
in the territories of the Contracting Parties within the
meaning of that Treaty.

supply needs

Energy Community Treaty

The
interested
adjoining States such as Moldova to become observers
to the Energy Community.

enables

(10)

The Energy Community Treaty should therefore be
approved.

(11)

(12)

(13)

The Energy Community has
autonomous decision-
making powers. The European Community is represented
by two representatives in the Ministerial Council and the
Permanent High-Level Group set up under the Energy
Community Treaty. Appropriate rules and procedures
must therefore be provided for organising, within the
institutions of the Energy Community, the representation
of the European Community, and the determination and
expression of the European Community's position.

For decisions of
the Energy Community having legal
effects, the Council shall determine the position of the
European Community in accordance with the second
subparagraph of Article 300(2) of the Treaty establishing
the European Community.

the objectives of

The Member States directly affected by Title III of the
Energy Community Treaty have to play a crucial role in
the implementation of
the Energy
Community. It is therefore necessary, without prejudice
to the relevant procedures of the Treaty establishing the
European Community, to acquire the active participation
of such Member States in the decision-making process
and their full support for the implementing measures
that will be adopted under that Title.

HAS DECIDED AS FOLLOWS:

Article 1

The Energy Community Treaty is hereby approved on

1.
behalf of the European Community.

The text of the Energy Community Treaty is attached to

2.
this Decision.

Article 2

The President of the Council is hereby authorised to designate
the person empowered to notify on behalf of the European
Community, the act of approval provided for in Article 1(1)
to the Secretary-General of the Council acting as depositary for
the Energy Community Treaty pursuant to Article 105 thereof,
in order to express the consent of the Community to be bound.

Article 3

The European Community shall be represented in the
1.
Ministerial Council and the Permanent High Level Group set
up under the Energy Community Treaty by:

(a) a Council representative designated by the Member State
holding the Presidency of the Council; when this Member
State designates as the Council representative a represen-
tative of one of
the Member States directly affected by
it shall do so
Title III of the Energy Community Treaty,
on the basis of a rotation between those Member States; and

(b) a Commission representative.

2.
A Commission representative shall act as Vice President of
the Ministerial Council and the Permanent High-Level Group.

A Commission representative shall represent the European
3.
Community in the Regulatory Board and the Forum set up
under the Energy Community Treaty.

(14)

It is appropriate to lay down rules for cases in which a
Council or Commission representative is
to express
positions of the European Community.

(15)

It is appropriate to lay down a specific procedure for the
application of the internal revision clause provided for in
Article 100(i),
(iii) and (iv) of the Energy Community
Treaty,

Article 4

The position to be taken by the European Community
1.
within the Ministerial Council,
the Permanent High-Level
Group and the Regulatory Board for decisions as referred to
in Article 76 of the Energy Community Treaty pursuant to
Articles 82, 84, 91, 92, 96, and 100 thereof, having legal
effect, shall be adopted by the Council acting in accordance
with the relevant provisions of
the Treaty establishing the
European Community.

20.7.2006

EN

Official Journal of the European Union

L 198/17

Article 5

1.
The procedure set out in paragraph 2 shall apply before a
position can be taken by the European Community pursuant to
Article 4(1) for decisions adopted by the Energy Community
the Energy
pursuant
Community Treaty.

to Article 100(i),

(iii) and (iv) of

2.
Upon recommendation by the Commission, the Council,
acting in accordance with the relevant provisions of the Treaty
establishing the European Community,
shall authorise the
Commission to deliberate within the institutions of the Energy
Community. The Commission shall conduct these deliberations
in consultation with a special committee appointed by the
Council to assist it in this task and within the framework of
such directives as the Council may issue to it.

Article 6

1. Without prejudice to paragraph 2, the position of the
European Community shall be expressed by the representative
of
the Energy
Community.

the Commission within the institutions of

2. Within the Ministerial Council,
the
European Community shall be expressed by the representative
of the Council
for decisions taken under Article 92 of the
Energy Community Treaty.

the position of

Article 7

Three years after the entry into force of this Decision,
the
Commission shall submit to the European Parliament and to
the Council a report on the experiences gained from the imple-
mentation of this Decision, accompanied, if appropriate, by a
proposal for further measures.

Article 8

This Decision shall be published in the Official Journal of the
European Union.

Done at Brussels, 29 May 2006.

For the Council
The President

M. BARTENSTEIN

For decisions of the Energy Community falling under Title
2.
III of the Energy Community Treaty, and applicable to the
territory of one or more Member States, positions adopted
under paragraph 1 shall not go beyond the acquis communautaire.

3.
For decisions of the Energy Community falling under Title
IV of the Energy Community Treaty, and applicable to the
territories
to which the Treaty establishing the European
Community applies under the conditions laid down therein,
positions adopted under paragraph 1 shall not go beyond the
under
acquis
paragraph 1 may go beyond the acquis communautaire with
respect
that Title in the event of special
circumstances.

communautaire. However, positions

to Chapter IV of

adopted

4. Without prejudice to the relevant procedures of the Treaty
establishing the European Community, before the Commission
tables a proposal for a measure under Title III of the Energy
Community Treaty,
it shall duly consult the Member States
directly affected by the proposal.

5.
The European Parliament shall be immediately and fully
informed of any decision of the Council under paragraph 1
the Community position
concerning the establishment of
within the Ministerial Council,
the Permanent High-Level
Group and the Regulatory Board.

6.
The positions of the European Community to be taken
within the institutions of the Energy Community shall ensure
that the Energy Community does not take any measure having
legal effect that

— conflicts with any part of the acquis communautaire,

— creates any discrimination between Member States, or

— affects the competence and rights of an EU Member State as
regards the determination of the conditions for exploiting its
energy resources, the choice between energy resources and
the general structure of its energy supply.

7.
The positions of the European Community to be taken
within the Regulatory Board shall be determined after the
European Regulators Group for Electricity and Gas (ERGEG)
has been consulted in accordance with Commission Decision
2003/796/EC of 11 November 2003 on establishing the
European Regulators Group for Electricity and Gas (1).

(1) OJ L 296, 14.11.2003, p. 34.