1. Bucharest, 24 October 2008 Making the third package work in practice Wolfgang Urbantschitsch, E-Control

2. 2 GIE Annual Conference, 24 October 2008  Unbundling: three equivalent models to separate interests – how will the ITO model work in reality?  Level playing field – will there be one with three available, quite different models?  Clarify who does what - especially between Cion, Agency and the ENTSOs  How to make the whole legislation consistent in the remaining time?  Considerable practical divergencies in the process adopting codes – how to reconcile the positions and strengthen the new institutions? Hot issues of the 3rd package

3. 3 GIE Annual Conference, 24 October 2008 Many open political issues still...some examples  Legal quality of the 10 year investment programmes  binding or non binding  Who starts the process of framework guidelines  EC or Agency  Adoption of codes  EC or Agency  Consultation  ENTSO or Agency  Monitoring of implementation  ENTSO or Agency  Enforcement  Agency or NRAs or EC

4. 4 GIE Annual Conference, 24 October 2008 Timetable – if everything goes well Q1 2009 3 rd Package Adopted Q2 2010 Agency operational Q1 2011 ENTSOs in place 2012? First codes

5. 5 GIE Annual Conference, 24 October 2008 Implementing the 3rd Energy Package  Close cooperation between Agency and ENTSOs is necessary  Involvement of other stakeholders has to be guaranteed  The energy regulators are consulting on  Work timetable and future stakeholder involvement with the Agency  Developing Framework Guidelines and prioritising Network Codes  The coordination of regional and national issues  Consultation opened on 21 October and closes 31 December 2008

6. 6 GIE Annual Conference, 24 October 2008 Consultation Paper I  Agency  Consultation by the Agency and the ENTSOs  Role of the stakeholders  Accountability  Framework Guidelines and Codes  Nature of framework guidelines and codes  Priorities and Grouping  Capacity allocation calculation and congestion management  Transparency rules  Balancing rules including transparency provisions on balancing  ERGEG will develop guidance on  10 year investment plan  Storage and LNG

7. 7 GIE Annual Conference, 24 October 2008 Consultation Paper II  Regional considerations  Single European energy market as ultimate goal  Regional Initiatives are essential steps towards the common market  Jurisdiction at national or EU level only  Greater co-operation between TSOs and NRAs needed

8. 8 GIE Annual Conference, 24 October 2008 Conclusions  Close co-operation between ERGEG and GTE+ (ENTSO-E)  Effective involvement of stakeholders in the process  Starting early is important for progress  Preparatory work in the period from adoption to formal implementation of 3 rd Package can be used by Agency and ENTSOs as basis for their formal decisions

9. 9 GIE Annual Conference, 24 October 2008 Wolfgang Urbantschitsch Head of Legal, Energie-Control GmbH A-1010 Vienna, Austria, Rudolfsplatz 13a wolfgang.urbantschitsch@e-control.at Further information is available at www.energy-regulators.eu Thank You !