Energy Council

Wednesday 14th December 2016 Written Statements

[The Parliamentary Under-Secretary of State for Business, Energy and Industrial Strategy (Jesse Norman)]

The Energy Council, chaired by the Slovak presidency, took place in Brussels on 5 December. I represented the UK at the Council on 5 December.

The meeting began with a political debate on the options for regional co-operation, solidarity and transparency for the gas security of supply regulation. The aim of the presidency was to find compromises and get political guidance from member states.

On regional co-operation, there was a broad split with no clear majority for either option put forward by the presidency. A majority of member states supported a risk-based approach, while others wanted the clarity and certainty provided by the fixed region approach. On solidarity, most member states supported some flexibility but others wanted some detail laid down in the regulation in order for arrangements to be consistent across the Union. On transparency of contracts, most member states agreed on the need for strengthened exchange of information. On the basis of the discussion, the presidency developed a compromise set of conclusions which gave more flexibility to member states on solidarity, more transparency on contracts and agreement to pursue a risk-based approach to regional co-operation but with greater clarity on the composition of regions. These conclusions were consistent with the UK position and were agreed by all member states. Adoption of these conclusions sets the path towards a general approach, which will form the basis for negotiating a final agreement with the European Parliament.

Vice-President Šefcovic (energy union) introduced the Commission’s clean energy package, which was published on 30 November. He highlighted the energy union governance framework, and a need for reliable, transparent and long-term monitoring that streamlined reporting as well as the need to support the 2014 and 2015 European Council conclusions. Commissioner Cañete (climate action and energy) then provided a high-level overview of each of the main elements of the package, which together were intended to ensure that the EU stayed ahead in the clean energy transition and in mobilising the Paris agreement. An informal exchange of views on the package took place over lunch. We are considering how best to work with the Commission and other member states during the forthcoming negotiations to improve the proposals in the package.

The Council then held an exchange of views on the external dimensions of EU energy policy. There was general support for the progress that the EU had made in relation to its relationship with third countries on energy policy. Some member states stressed the importance of the work with Ukraine, and that it should remain a priority. Others stated that diversification of supply sources and routes for energy into Europe was critical.

The Council received an update from the presidency on progress in negotiation of the energy efficiency labelling directive and the decision on inter-governmental agreements.

The Commission presented recent developments in the field of external energy relations, which included the Paris agreement entering into force and the recent signature of the memorandum of understanding with Ukraine.

Finally, the Maltese delegation presented its priorities for its presidency. These fell into three areas: completing files already under discussion; creating momentum on the clean energy package, with informal and formal Council meetings focused on this agenda; and EU-Mediterranean co-operation.

[HCWS354]