Ministers make a breakthrough on the security of gas supply and indicate the direction of travel

Today, we held an important debate on the direction of travel for the new Security of Supply Regulation in three main areas. I am pleased that a clear solution is emerging. Our ambition is to transform this political guidance immediately into concrete provisions. That would allow our successors to open negotiations with the Parliament and pave the way for a new system in the near future.

Peter Žiga

In their meeting today, ministers responsible for energy discussed the way forward on the Security of Supply draft Regulation issued in February this year. After months of in-depth examination at technical level spearheaded by the Slovak Presidency, the ministers today set out clear parameters in three areas: regional cooperation, exchange of information on commercial gas contracts, and solidarity.

Minister Peter Žiga said: 'Security of gas supply remains Europe´s Achilles heel. Of course, there are countries that are better off and others that are worse off. If we should rally our countries around one issue of common interest, it is this. Today, we held an important debate on the direction of travel for the new Security of Supply Regulation in three main areas. I am pleased that a clear solution is emerging. Our ambition is to transform this political guidance immediately into concrete provisions. That would allow our successors to open negotiations with the Parliament and pave the way for a new system in the near future.'

There was agreement that regional cooperation would be based on risk-based groups of Member States identified on the basis of the main transnational risks for the EU's gas supply. Groups of Member States and the relevant risks will be specified in the Regulation, taking into account the results of a preliminary ENTSO-G assessment. Such groups may be updated after a final ENTSO-G simulation, which will deliver data on impacts and possible solutions, including emergency supply corridors along the lines of the main existing infrastructure.

Concerning the exchange of information on commercial gas contracts, it was agreed that the competent authority would be notified of long-term contracts which provide 40 % or more of annual gas consumption in the Member State concerned. The contracts would be assessed by the competent authority, especially as regards their impact on the security of gas supplies in the Member State and the region. With regard to key gas supply contracts, even if they do not fulfil the 40 % threshold, the competent authority and the Commission will also be able to request other information relevant to security of supply. Such requests cannot concern price information and should not create a disproportionate administrative burden.

Finally, regarding solidarity, there was broad approval for the concept and support for its inclusion in the proposal. Solidarity is a last-resort mechanism after all emergency measures have been exhausted. Ministers agreed that solidarity, together with general principles regarding compensation, should be defined in the text of the Regulation, while allowing Member States to take into account their specific national situation and possible different approaches to calculating the compensation.

In the coming days, the Presidency will implement the guidance provided today and bring negotiations as far forward as possible. This should allow the incoming Maltese Presidency to initiate negotiations with the European Parliament.