Regulatory Cooperation [EU]
Agency for the Cooperation of Energy Regulators
The Agency for the Cooperation of Energy Regulators was created with the aim of assisting the authorities regulating energy markets to exercise at Community level the regulatory tasks performed in the Member States and, where necessary, to coordinate their action.
Regulation (EC) No 713/2009 of the European Parliament and of the Council of 13 July 2009 establishing an Agency for the Cooperation of Energy Regulators (Text with EEA relevance).
Summary
This Regulation establishes the Agency for the Cooperation of Energy Regulators with the aim of exercising at Community level the tasks performed by the Member States’ regulatory authorities.
The Agency for the Cooperation of Energy Regulators is a Community body with legal personality. It shall issue opinions on all questions related to the field of energy regulators. It shall participate in the creation of network codes in the fields of electricity and gas and it can make decisions regarding cross-border infrastructure, including derogations from certain provisions in the applicable regulations.
Tasks
Tasks concerning the cooperation of transmission system operators
The Agency is responsible for issuing an opinion on the draft statutes, the list of members and the draft rules of procedure of the ENTSO (European Network of Transmission System Operators) for electricity and gas, and for monitoring the execution of the tasks. The Agency shall play an important role in drafting the framework guidelines which the network codes must comply with. In addition, the Agency shall monitor regional cooperation between transmission system operators in the electricity and gas sectors, and the execution of tasks by the ENTSO for electricity and gas.
Tasks concerning national regulatory authorities
The Agency is responsible for adopting, under certain conditions, individual decisions on technical issues. It may make recommendations with the aim of promoting the exchange of good practice between regulatory authorities and market players. It shall also provide a framework for cooperation between the national regulatory authorities.
The Agency may issue an opinion on whether a decision taken by a regulatory authority complies with the applicable Community rules. If its opinion is not followed, the Agency shall inform the European Commission and the Member State concerned.
The Agency is also responsible for determining, under certain conditions, the terms and conditions for access to and operational security of electricity and gas infrastructure, which connects at least two Member States.
Tasks concerning cross-border infrastructure
The terms and conditions for access applicable to cross-border infrastructure include:
- a procedure for capacity allocation;
- a time-frame for allocation;
- shared congestion revenues;
- the levying of charges on the users of the infrastructure.
The Agency is responsible for the terms and conditions for access and security only when the national regulatory authorities have not been able to reach an agreement within a period of six months or they have jointly requested it.
The Agency is responsible for monitoring the internal markets in electricity and natural gas, in particular the retail prices of electricity and natural gas.
Organisation
The Agency comprises:
- an Administrative Board which shall adopt a multi-annual programme;
- a Board of Regulators which is responsible for providing advice to the Director;
- a Director, appointed for five years and responsible for managing the Agency;
- a Board of Appeal.
Financial resources
The revenues of the Agency come from:
- a subsidy from the general budget of the European Union;
- fees paid to the Agency;
- voluntary contributions from Member States;
- legacies, donations or grants.
Participation of third countries
Third countries which have signed agreements with the Community may participate in the work of the Agency.
Context
To facilitate the consultation of Member States’ regulatory bodies, Commission Decision 2003/796/EC has established an independent consultation group for the electricity and gas sectors (European Regulatory Group for Electricity and Gas or ERGEG). Although the results of its work are positive, it became apparent that Member States need to cooperate under a Community structure in order to strengthen the internal market in gas and electricity.
References
| Act | Entry into force | Deadline for transposition in the Member States | Official Journal |
| Regulation (EC) No 713/2009 | 3.9.2009 | – | OJ L211 of 14.8.2009 |
Agency for the cooperation of national energy regulators
Regulation (EU) 2019/942 establishing a European Union Agency for the Cooperation of Energy Regulators
It updates the role and functioning of the EU Agency for the Cooperation of Energy Regulators (ACER).
It also adapts the agency’s tasks to the new energy market design introduced in the clean energy for all Europeans package.
Role of ACER
To assist the regulatory authorities in carrying out, at EU level, the regulatory tasks performed in the EU countries.
If necessary, to coordinate action by regulatory authorities and to mediate and settle disagreements.
To contribute to the adoption of high-quality common regulatory and supervisory practices, and thus to a coherent, effective and efficient application of Union law in order to achieve the Union’s climate and energy objectives.
Status
In carrying out its tasks, ACER acts independently, objectively and in the interest of the EU.
It takes its decisions autonomously, independently of private or corporate interests.
Opinions, recommendations and decisions
The agency issues opinions and recommendations to:
transmission system operators, the European Network for Transition System Operators (ENTSO) for Electricity, the ENTSO for Gas, the EU Distribution Systems Operators entity, regional coordination centres and designated operators in the electricity market;
regulatory authorities;
the European Parliament, the Council or the European Commission.
The agency is competent to take decisions, notably:
on approving terms, conditions and methodologies applicable in all EU countries which are foreseen in network codes and guidelines;
on bidding zone reviews;
on arbitration between regulatory authorities on regulatory cross-border issues;
on exemptions from certain market rules;
on infrastructure matters;
on matters related to wholesale market integrity and transparency rules;
for the purpose of information requests.
Monitoring and reporting
In cooperation with the Commission, EU countries and the relevant national authorities, including the regulatory authorities, ACER monitors the wholesale and retail markets in electricity and natural gas, including:
retail prices of electricity and natural gas;
compliance with consumer rights;
impact of market developments on household customers;
access to the networks including access of electricity produced from renewable energy sources.
ACER will publish annual monitoring reports which identify any barriers to the completion of the internal markets for electricity and natural gas.
Application & Background
It has applied since 4 July 2019. Regulation (EU) 2019/942 revised and replaced Regulation (EC) No 713/2009 and its subsequent amendments.
For more information, see:
Energy union for Europe (Council).
MAIN DOCUMENT
Regulation (EU) 2019/942 of the European Parliament and of the Council of 5 June 2019 establishing a European Union Agency for the Cooperation of Energy Regulators (recast) (OJ L 158, 14.6.2019, pp. 22-53)
RELATED DOCUMENTS
Regulation (EU) 2019/941 of the European Parliament and of the Council of 5 June 2019 on risk preparedness in the electricity sector and repealing Directive 2005/89/EC (OJ L 158, 14.6.2019, pp. 1-21)
Regulation (EU) 2019/943 of the European Parliament and of the Council of 5 June 2019 on the internal market for electricity (OJ L 158, 14.6.2019, pp. 54-124)
Directive (EU) 2019/944 of the European Parliament and of the Council of 5 June 2019 on common rules for the internal market for electricity and amending Directive 2012/27/EU (OJ L 158, 14.6.2019, pp. 125-199)
Regulation (EU) 2018/1999 of the European Parliament and of the Council of 11 December 2018 on the governance of the energy union and climate action, amending Regulations (EC) No 663/2009 and (EC) No 715/2009 of the European Parliament and of the Council, Directives 94/22/EC, 98/70/EC, 2009/31/EC, 2009/73/EC, 2010/31/EU, 2012/27/EU and 2013/30/EU of the European Parliament and of the Council, Council Directives 2009/119/EC and (EU) 2015/652 and repealing Regulation (EU) No 525/2013 of the European Parliament and of the Council (OJ L 328, 21.12.2018, pp. 1-77)
Directive (EU) 2018/2001 of the European Parliament and of the Council of 11 December 2018 on the promotion of the use of energy from renewable sources (OJ L 328, 21.12.2018, pp. 82-209)
Directive (EU) 2018/844 of the European Parliament and of the Council of 30 May 2018 amending Directive 2010/31/EU on the energy performance of buildings and Directive 2012/27/EU on energy efficiency (OJ L 156, 19.6.2018, pp. 75-91)
Directive 2012/27/EU of the European Parliament and of the Council of 25 October 2012 on energy efficiency, amending Directives 2009/125/EC and 2010/30/EU and repealing Directives 2004/8/EC and 2006/32/EC (OJ L 315, 14.11.2012, pp. 1-56)
Successive amendments to Directive 2012/27/EU have been incorporated into the original text. This consolidated version is of documentary value only.
Directive 2010/31/EU of the European Parliament and of the Council of 19 May 2010 on the energy performance of buildings (OJ L 153, 18.6.2010, pp. 13-35)