Considerations on COM(2024)539 - - Main contents

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dossier	COM(2024)539 - .
document	COM(2024)539
date	November 28, 2024

(1) On 29 April 2021, the Council adopted Decision (EU) 2021/689 ⁵ on the conclusion of Trade and Cooperation Agreement between the European Union and the European Atomic Energy Community, of the one part, and the United Kingdom of Great Britain and Northern Ireland, of the other part ⁶ (the ‘Agreement’). The Agreement entered into force on 1 May 2021.

(2) Article 8(1)(l) of the Agreement established the Specialised Committee on Energy. Its competences are set out in Article 8(4) of the Agreement.

(3) Pursuant to Article 8(4), point (c), of the Agreement, the Specialised Committee on Energy (the ‘Specialised Committee’) may adopt decisions and recommendations in respect of all matters where the Agreement or any supplementing Agreement so provides or for which the Partnership Council has delegated powers to it, on issues related to its area of competence. Pursuant to Article 10(2) of the Agreement, a Committee shall adopt decisions and make recommendations by mutual consent.

(4) Regarding the EU-UK electricity trading arrangements, Article 312(1) of the Agreement requires that for capacity allocation and congestion management at the day ahead stage, the Specialised Committee take, as a matter of priority, the necessary steps in accordance with Article 317 to ensure that TSOs for electricity develop arrangements setting out technical procedures for the day ahead timeframe.

(5) In particular, the Trade and Cooperation Agreement provides for the development of a new procedure for the allocation of capacity on electricity interconnectors at the day-ahead market timeframe. This new procedure is to be based on the model of ‘multi-region loose volume coupling’ (‘MRLVC’).

(6) On 10 July 2023, the TSOs of the EU and the UK delivered a report, following on the Specialised Committee Recommendation No. 1/2023 of 7 February 2023, requesting the TSOs to address a number of questions as regards the implementation of the multi-regional loose volume coupling. This was supplemented by an informal opinion of ACER and the UK regulatory authorities.

(7) Considering the conclusions of the TSO report of 10 July 2023, supported by the informal opinion of ACER and of the UK regulatory authorities, it is appropriate for the Specialised Committee to recommend further action to the Parties.

(8) The Specialised Committee is to adopt the Recommendation either at a forthcoming meeting, or by written procedure, following the completion of domestic procedures by each Party.

(9) It is appropriate to establish the position to be taken on the Union's behalf in the Specialised Committee, as the Recommendation of the Specialised Committee will be capable of decisively influencing the content of or the way in which the Union acquis is to be implemented, in particular Commission Regulation (EU) 2015/1222,⁷ while the Decision of the Specialised Committee on Energy will be binding on the Union.