HC Deb 05 December 1994 vol 251 cc99-100W
Mr. Llew Smith

To ask the President of the Board of Trade what matters were discussed and what decisions taken, with what votes, at the EU Energy Council on 29 November.

Mr. Eggar

The Council considered several issues and received reports from the Commission on matters of interest. Significant progress was made on electricity liberalisation, the energy charter treaty and deregulation. I represented the United Kingdom.

Council conclusions on electricity liberalisation were agreed establishing a number of important principles, notably the introduction of competition in generation, and the unbundling of accounts. It also required the Commission to undertake a thorough study of the alternative sole purchaser model as a possible equivalent to negotiated third party access.

I stressed the UK's commitment to opening up energy markets and emphasised the importance of access to networks and of allowing distributors, as well as large industrial users, to choose suppliers.

The Council reached political agreement on a list of projects of common European interest for energy trans-European networks in preparation for a formal decision on the energy network guidelines once the opinion of the European Parliament has been received. This is expected shortly.

Council conclusions were agreed calling for the commission to submit a green paper on the need for a Community energy policy and continue dialogue with member states and industry representatives. The green paper is now expected to be issued later this month. I attach particular importance to the close involvement of industry in the continuing debate on this issue and my Department will maintain close contact with UK industry.

Council conclusions on the energy charter treaty were agreed noting its importance and calling for the Community to sign the treaty in Lisbon on 16 and 17 December. I welcome the progress made towards the completion of this important Community initiative, which will open up important trade and investment opportunities for British business in the independent states of the former Soviet Union and countries of central and eastern Europe.

The Council adopted conclusions on energy deregulation which called upon the Commission to review existing legislation in the energy sector, and to submit where appropriate proposals for simplifying and reducing it.

The Council called for further consideration to be undertaken of a Commission proposal for Thermie II, which is concerned with support for the demonstration and dissemination of results of near-market energy technology projects.

The Commission was requested to submit proposals on energy efficiency standards for fridges and freezers.

There were no formal votes by the Council.