The International Network
for Sustainable Energy

May 30, 2008

The EU supports Trans European Network: transport networks, energy networks and telecommunication networks. This page deals only with energy networks. Read about transport networks at Friends of the Earth - www.foeeurope.org or Transport & Environment.

Description of Existing System

The current guidelines and priority projects were decided in 2006 (Decision No. 1364/2006/EC) and include 9 major axes for electricity and 6 major axes for gas to support transport of gas, and electricity. The support consists of defining the priority projects and more generally establishing favourable conditions for development of these networks, using existing EU and national grants and loans, fast approval procedures etc. The new project presents three main objectives: sustainability, competitiveness and security of supply.

Major Amendments Introduced by the 2006 Decision

• Revised priorities including: opening up bottle-necks (especially trans-frontier ones), promoting the diversification of energy sources and the use of renewable energy sources, ensuring interoperability of the networks, developing natural gas networks.
• Relations with 3rd countries should be strengthened in the energy sector to reinforce the energy security of supply.
• When applying for either Cohesion, Structural or trans-European network funding, the Member States must give priority to projects of a "European Interest". These projects of a “European Interest” will have the priority for the grant and the EU Commission will ensure that they are implemented rapidly.
• Priority project should fulfil sustainability criteria to be considered as priority.
• Introduction of a "European Coordinator". This coordinator works on European interest projects to facilitate cooperation between all parties. He also ensures that an adequate monitoring is carried out in order to keep the Community inform of progress.

This decision repeals Council Decision 96/391/EC of 28 March 1996 and Decision 1229/2003/EC.

Read the Decision on the European Commission website: pdf file (536kB)


Environmental Guidelines

The evaluation of the economic viability of the projects shall be based upon a cost benefit analysis which shall take account of all costs and benefits. The analysis shall include costs and benefits in the medium and/or long term, in connection with environmental aspects, security of supply and the contribution to economic and social cohesion.

The projects shall be compatible with sustainable development, have a significant impact on the competitive operation of the internal market, and/or strengthen security of supply in the Community.

(from the guidelines for Trans-European Energy Guidelines)

A Green Paper on the TEN-E will be launched by the end of 2008 to launch a consultation on topics such as the development of the TEN-E, solidarity tool and the inclusion of oil and CO2 infrastructure in the TEN-E.

Financial Aspects

Financial aspects are ruled by a Regulation of the European Parliament and of the Council. (EC) No 680/2007. This Regulation defines the conditions, methods and procedures for granting Community financial aid to projects of common interest in the field of the trans-European transport and energy networks under Article 155 of the Treaty establishing a European Community.

Read the Regulation on the European Law website

Next Steps

A Green Paper on the TEN-E will be launched by the end of 2008 to launch a consultation on topics such as the development of the TEN-E, solidarity tool and the inclusion of oil and CO2 infrastructure in the TEN-E.

INFORSE-Europe Opinion

The aim of the networks should be sustainable development rather than increased competition and a possible lower price.
Support of transnational energy transmission systems should only be given when it clearly improves the opportunities for renewable energy, e.g. because large resources of renewable energy can only be used when a large group of consumers are connected. The transmission lines should be for intelligent use, e.g. combining areas with different renewable supply structures that complement each other, such as windpower and hydropower. The construction of transmission lines between areas with similar, fossil energy structures is waste of resources just for the idea of increased competition. Such projects should be avoided.
The guidelines and the environmental assessments should ensure that there is no promotion of projects that increase sale of electricity in the EU internal market that is produced with lower environmental or safety standards than those used in EU.
Natural gas transmission lines outside the EU countries should in general not be supported as they tend to increase EU's dependence on imported fossil fuel.
In general transmission lines should be made as commercial projects without support or guarantees from states of EU.

Major Axes for Priority Projects
(Total amount: 28 billion € )

Major Axes for Electricity Priority Projects:

• France - Belgium - Netherlands - Germany: electricity network reinforcement in order to resolve congestion in electricity flow through the Benelux States. (EL1)
  
• Borders of Italy with France, Austria, Slovenia and Switzerland: increasing electricity interconnection capacities. (EL2)
  
• France - Spain - Portugal: increasing electricity interconnection capacities between these countries and for the Iberian peninsula and grid development in island regions. (EL3)
  
• Greece - Balkan countries - UCTE System (Union for the co-ordination of transmission of Electricity): development of electricity infrastructure to connect Greece to the UCTE System and to enable the development of the South-East European electricity market. (EL4)
  
• United Kingdom - continental Europe and northern Europe: establishing/increasing electricity interconnection capacities and possible integration of offshore wind energy. (EL5)
  
• Ireland - United Kingdom: increasing electricity interconnection capacities and possible integration of offshore wind energy. (EL6)
  
• Denmark - Germany - Baltic Ring (including Norway - Sweden - Finland - Denmark - Germany - Poland - Baltic States - Russia): increasing electricity interconnection capacities and possible integration of offshore wind energy. (EL7)
  
• Germany - Poland - Czech Republic - Slovakia - Austria - Hungary - Slovenia: increasing electricity interconnection capacities. (EL8)
  
• Mediterranean Member States - Mediterranean Electricity Ring: increasing electricity interconnection capacities between Mediterranean Member States and Morocco – Algeria - Tunisia - Libya - Egypt - near eastern countries - Turkey. (EL9)
  
  

Major Axes for Gas Priority Projects:

• United Kingdom - northern continental Europe (including the Netherlands, Belgium, Denmark, Sweden and Germany) - Poland - Lithuania - Latvia - Estonia - Finland - Russia: Gas pipelines to connect some of the main sources of gas supply in Europe, improve network interoperability, and increase security of supply. (NG1)
  
• Algeria - Spain - Italy - France - northern continental Europe: construction of new natural gas pipelines from Algeria to Spain, France and Italy, and increasing network capacities in and between Spain, France and Italy. (NG2)
  
• Caspian Sea countries - Middle East - EU: new natural gas pipeline networks to the European Union from new sources. (NG3)
  
• Liquefied natural gas (LNG) terminals in Belgium, France, Spain, Portugal, Italy, Greece, Cyprus and Poland: diversifying sources of supply and entry points, including the LNG terminals' connections with the transmission grid. (NG4)
  
• Underground natural gas storage in Spain, Portugal, France, Italy, Greece and the Baltic Sea Region: increasing capacity in Spain, France, Italy and the Baltic Sea Region and construction of the first facilities in Portugal, Greece, and Lithuania. (NG5)
  
• Mediterranean Member States - East Mediterranean Gas Ring: establishing and increasing natural gas pipeline capacities between the Mediterranean Member States and Libya - Egypt - Jordan - Syria - Turkey. (NG6)

Background

The first guidelines for TEN-Energy were adopted in 1996, including the list of projects of common interest (Council Decision 96/391/EC of 28 March 1996). The list has been then revised three times, in 1997, 1999 and 2003.

In December 10, 2003, the Commission proposed a new text to review the guidelines. (COM 2003 - 742)

After more than two years of negotiations, the European Parliament adopted the revision in second reading in plenary session on the 4 June 2006. The Council of the European Union confirmed the Parliament's vote on 24 July 2006.

Read the press release on the European Commission website


Read the Commission's Description of the Trans-European Energy Networks

Return to INFORSE-Europe EU Policy Page