Changes from report parliamentary committee draft to plenary report

Added(38x) ‘ancillary services’ means ancillary services as defined in Article 2, point (30) of [the recast Gas Directive, COD 2021/0425];

RemovedRegulation (EU) 2017/1938

Added(38y) ‘interconnector’ means interconnector as defined in Article 2, point (33) of [the recast Gas Directive, COD 2021/0425];

RemovedArticle 67 – paragraph 1 – point 8, Article 7d – paragraph 1 – subparagraph 2: Such mechanism shall be designed in compliance with Union law, in particular Union and national competition rules and in a way so that gas can also be used as part of the actions coordinated by the Commission in the event of a regional or Union emergency, as referred to in Article 12(3).

Added(38z) ‘hydrogen interconnector’ means hydrogen interconnector as defined in Article 2, point (34) of [the recast Gas Directive, COD 2021/0425];

RemovedRegulation (EU) 2017/1938

Added(38aa) ‘system user’ means system user as defined in Article 2, point (40) of [the recast Gas Directive, COD 2021/0425];

RemovedArticle 67 – paragraph 1 – point 8, Article 7d – paragraph 1 – subparagraph 3: The mechanism shall be open to participation of all transmission system operators or other undertakings designated by the Member State, gas suppliers and other relevant market participants within the Union who wish to join after its establishment.

Added(38ab) ‘customer’ means customer as defined in Article 2, point (41) of [the recast Gas Directive, COD 2021/0425];

RemovedRegulation (EU) 2017/1938

Added(38ac) ‘final customer’ means final customer as defined in Article 2, point (44) of [the recast Gas Directive, COD 2021/0425];

RemovedArticle 67 – paragraph 1 – point 8, Article 7d – paragraph 2: 2. The participating Member States shall notify their intention to establish such a mechanism to the Commission. The notification shall include the information necessary to assess the compliance with this Regulation, such as the volume of gas to be purchased, the duration of the measure, the participating transmission system operators or other undertakings designated by the Member States as well as gas suppliers and other relevant market participants, the governance arrangements, the operating procedures and conditions for activation in an emergency situation. It shall also specify the costs and benefits expected.

Added(38ad) ‘security’ means security as defined in Article 2, point (48) of [the recast Gas Directive, COD 2021/0425];

RemovedRegulation (EU) 2017/1938

Added(38ae) ‘control’ means control as defined in Article 2, point (51) of [the recast Gas Directive, COD 2021/0425];

RemovedArticle 67 – paragraph 1 – point 8, Article 7d – paragraph 3: 3. Within three months of the notification referred to in paragraph 2, the Commission may issue an opinion as to the compliance of the envisaged mechanism with this Regulation. The Commission shall inform the Gas Coordination Group of the notification received and if appropriate ACER. The participating Member States shall take the Commission opinion in the utmost account.

Added(38af) ‘interconnection point’ means interconnection point as defined in Article 2, point (58) of [the recast Gas Directive, COD 2021/0425];

RemovedRegulation (EU) 2017/1938

Added(38ag) ‘virtual interconnection point’ means virtual interconnection point as defined in Article 2, point (59) of [the recast Gas Directive, COD 2021/0425];

RemovedArticle 67 – paragraph 1 – point 8, Article 7 e a (new): Article 7 ea / European Energy Security of Supply Projects / 1. Where the Commission has reasonable grounds to consider, such as in light of the analyses and assessments developed pursuant to Article 7, that additional infrastructure is essential to guarantee the security of supply of the Union or of a given region or of a Member State, in particular in light of the Union's aim to end dependence on Russian gas supplies and addressing any other potential security of supply risks, it shall immediately mandate the ENTSOG&H to carry out an in-depth analysis of the identified security of supply issue and of possible infrastructure-based solutions. / 2. Where the ENTSOG&H is mandated pursuant to paragraph 1, ENTSOG&H shall, by a deadline agreed with the Commission, prepare and submit to the Commission and to the Gas Coordination Group a report containing its detailed analysis of the identified risk to security of supply. / 3. Based on the identification of infrastructure needs performed by ENTSOG&H under paragraph 2, the Commission and the GCG shall establish a list of future-proof infrastructure projects intended to solve or mitigate the identified risk to security of supply, while avoiding any risk of stranded assets. / 4. Within the deadline agreed with the Commission, ENTSOG&H shall deliver an evaluation of the projects identified under paragraph 3 based on relevant cost benefit analysis methodology and indicators. / 5. As soon as possible, and in any event within 15 days of th…

Added(38ah) ‘market participant’ means market participant as defined in Article 2, point (60) of [the recast Gas Directive, COD 2021/0425];

RemovedAs per REPowerEU Plan, it is key to address existing capacity limitations hampering Member States' ability to alleviate dependence on one monopolist supplier. Analyses regarding security of supply demonstrated the need to address remaining risks, including fast-track development of targeted infrastructure projects, which will serve to meet diversification targets set out in the Plan and decrease energy dependence from Russia by 2027. European Energy Security of Supply Project instrument would provide transparency to the process (selection, financial support, permitting).

Added(38ai) ‘interoperability’ means interoperability as defined in Article 2, point (66) of [the recast Gas Directive, COD 2021/0425];

RemovedRegulation (EU) 2017/1938

Added(38aj) ‘energy poverty’ means energy poverty as defined in Article 2, point (69) of [the recast Gas Directive, COD 2021/0425];

RemovedArticle 67 – paragraph 1 – point 15 a (new), Article 17a – paragraph 1 a (new): (15a) in Article 17a, the following paragraph is added: / '2. The report that is to be submitted by 28 February 2025 shall also include a general assessment of the application of Articles 6a to 6d, Article 7(1) and (4)(g), Article 16(3), Article 17a, Article 18a, Article 20(4), and Annexes Ia and Ib to this Regulation. The report shall be accompanied, where necessary, by a legislative proposal to amend this Regulation.';

Added(38ak) 'energy efficiency first’ means ‘energy efficiency first’ as defined in Article 2, point (18) of Regulation (EU) 2018/1999;

RemovedGas Storage Regulation will shortly introduce into Regulation (EU) 2017/1938 new provisions regarding gas storage. Gas Storage Regulation, Article 1(8), will also introduce a sunset clause for these new provisions. Replacing the sunset clause with a review clause would give the Commission the possibility to review and if needed propose new provisions related to gas storage, as opposed to an outright cessation. This inter alia necessitates a deletion of the new paragraph in Article 22 of Regulation (EU) 2017/1938 regarding the sunset clause, as introduced by Gas Storage Regulation.

Added(38al) ‘repurposing’ means repurposing as defined in Article 2, point (18) of Regulation 2022/869.

RemovedRegulation (EU) 2017/1938

Added2. ▌

RemovedArticle 67 – paragraph 1 – point 16 a (new), Article 22 – paragraph 4: (16a) in Article 22, paragraph 4 is deleted; / (deleted)

AddedThe definitions in paragraph 1, points 4 to 23 in relation to transmission apply by analogy in relation to storage and LNG facilities.

RemovedReplaced by a review clause (amendment 117).

AddedGENERAL RULES APPLICABLE TO THE NATURAL GAS AND HYDROGEN SYSTEMS

RemovedRegulation (EU) 2017/1938

AddedGeneral rules for the organisation of the markets and infrastructure access

RemovedArticle 67 – paragraph 1 – point 18 a (new), Annex II a (new): (18a) the text set out in Annex IIa to this Regulation is added as Annex IXa to Regulation (EU) 2017/1938: / 'Annex IIa / Advantages accorded to European Energy Security of Supply Projects in accordance with Article 7ea(8) / 1. For the purpose of ensuring efficient administrative processing of the permit application related to European Energy Security of Supply Projects, all authorities of Member States concerned shall ensure that the most rapid treatment legally possible is given to such an application. / 2. By ... [three months after the date of entry into force of this Amending Regulation], each Member State shall designate one single national competent authority. Those competent authorities shall be responsible for facilitating and coordinating the permit granting process for European Energy Security of Supply Projects. They shall, in addition to handling the administrative procedure, guide promoters of European Energy Security of Supply Projects and facilitate the entire administrative permit application and granting process in a spirit of cooperation with such promoters. / 3. Without prejudice to applicable requirements under international and Union law, the competent authorities shall take action to facilitate the adoption of a comprehensive decision. This comprehensive decision shall be adopted as fast as possible and, in any event, within the time limit set in point 5. / 4. Member States shall ensure that any national rules concerning the authorisation, certification…

AddedMember States, regulatory authorities, transmission system operators, distribution system operators, storage operators, LNG operators, hydrogen system operators, and delegated operators such as market area operators or booking platform operators shall ensure that gas markets are operated in accordance with the following principles:

Added(a) prices for gas shall be formed on the basis of demand and supply;

Added(b) transmission and distribution system operators shall cooperate with each other to provide network users with the freedom to book entry and exit capacity independently. Gas shall be transported through the entry-exit system instead of along contractual paths;

Added(c) tariffs charged at the entry and exit points shall be structured in such a way as to contribute to market integration, enhancing security of supply and promoting the interconnection between gas networks;

Added(d) undertakings active in the same entry-exit system shall exchange gas at the virtual trading point;

Added(e) network users shall be responsible to balance their balancing portfolios in order to minimise the need for transmission system operators to undertake balancing actions;

Added(f) balancing actions shall be performed on the basis of standardized products and conducted on a trading platform;

Added(g) market rules shall avoid actions which prevent price formation on the basis of demand and supply for gas;

Added(ga) market rules shall ensure a consumer-centred and energy efficient approach in the natural gas and hydrogen market;

Added(h) market rules shall foster the emergence and functioning of liquid trading for gas, fostering price formation and price transparency;

Added(i) market rules shall enable the decarbonisation of the natural gas and hydrogen systems, including by enabling the integration into the gas market ▌of gas from renewable energy sources, by providing incentives for energy savings and efficiency, fostering the integration of energy systems, contributing to the prudent and rational use of natural resources and facilitating the achievement of the Union’s climate and energy targets;

Added(j) market rules shall deliver appropriate investment incentives and incentives for interventions that do not require infrastructure investments where they are more efficient, in particular for long-term investments in a decarbonised and sustainable gas system, for energy storage, energy efficiency and demand response to meet market needs, and shall facilitate fair competition and security of supply, while avoiding investment incentives that lead to stranded assets;

Added(ja) market rules shall prioritise the use of hydrogen for industrial customers in hard-to-decarbonise sectors, including in heavy-duty transport, with the highest greenhouse gas abatement potential, where more energy and cost efficient options are not available;

Added(k) barriers to cross-border gas flows, if existing, between entry-exit systems shall be removed;

Added(l) market rules shall facilitate regional cooperation and integration.

AddedIn order to safeguard the security of energy supply and the essential security interests of the Union in line with the objectives of the REPowerEU Plan, Member States shall diversify their gas supplies and shall ensure that imports of natural gas as well as of renewable gas and low-carbon gas through pipelines and LNG terminals do not originate from the Russian Federation.

AddedArticle 3b Upscaling of renewable gas and low-carbon gas in coal and carbon-intensive regions

Added1. The Commission shall support and provide incentives to encourage the penetration of renewable gas and low-carbon gas, in particular hydrogen and biomethane, into the Union energy system, in particular in coal and carbon-intensive regions pursuant to Regulation (EU) 2021/1056, by means of an enabling framework. That framework shall include:

Added(a) investments to facilitate a just transition of those regions, with the aim of increasing the share of renewable gas and low-carbon gas, in particular in industrial processes, district heating and energy storage for enhancing flexibility of the energy system;

Added(b) effective support measures to accelerate the phase out of solid fossil fuels in industrial and district heating sectors through investments in their modernisation, innovation and development as well as to decarbonise existing fossil-based hydrogen production sites;

Added(c) upskilling and reskilling programmes and projects aiming to create and strengthen a hydrogen-ready workforce;

Added(d) the implementation of hydrogen valleys or, where appropriate, Important Projects of Common European Interests (IPCEI), in particular innovation projects enabling the conversion from fossil fuels to renewable hydrogen and biomethane.