ERRA in a Growing Pan- European Energy Setting Dr. Robert F. Ichord, Jr. Chief, Energy and Infrastructure Bureau for Europe and Eurasia Washington, D.C.

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Presentation transcript:

ERRA in a Growing Pan- European Energy Setting Dr. Robert F. Ichord, Jr. Chief, Energy and Infrastructure Bureau for Europe and Eurasia Washington, D.C. Presentation to 5 th Annual ERRA Meeting Budapest, Hungary; April 13-14, 2005

2 The Changing Landscape High Oil Prices and Prospects for Continued Tight Markets; The democratic revolutions in Georgia and Ukraine; The Baku-Tblisi-Ceyhan and South Caucases pipelines and East-West oil and gas supplies; Concern of Investors following Yukos and other events in Russia The debate on role of Regional Approaches as an intermediate step to a single EU Internal Energy Market; The initialing of ECSEE Treaty for electricity and gas; The evolving power market in Central Asia and exports to Russia and South Asia

3 Challenges for ERRA Address experiences and approaches to dealing with political interference and pressures to weaken regulators role; Continue to provide useful service to ERRA members and work to define ERRA’s role in light of EU accession and the soon-to-be established ECSEE Regulatory Board; Promote dialogue on Pan European regulatory norms and contribute to broader NARUC-CEER dialogue on wholesale and regional markets; Georgia and Ukraine political changes offer opportunities to advance regulatory and market development and expand “regulatory space”.

4 NARUC-CEER Dialogue: Issues in Wholesale Power Market Managing congestion Tariff structures Independent TSO governance Resource planning and adequacy Market monitoring and mitigation Jurisdiction and subsidiarity System failures Relationship between gas and electricity Emission trading and renewable energies

5 Continued USAID Support to ERRA Regional Budget Support for Core Costs in FY05 Mission budget support remains reasonably strong President’s budget for FY06 proposes special funding for ERRA training and sustainability USAID seeks to partner with other interested organizations to ensure sustainability Planning meeting in London at EBRD of potential contributors during next few months