Meeting in Bruxelles, negotiators from the European Parliament and the Council of the European Union reached a provisional agreement on the revision of the Trans-European Energy Network (TEN-E) Regulation (347/2013) on Wednesday 15 December, just before 6 am, after a fourth negotiation session (‘trilogue’) lasting around 12 hours.
Dating from 2013, this Regulation defines the criteria and selection process for the formation of lists of ‘projects of common interest’ (PCIs), which allow trans-European energy infrastructure projects to benefit from advantages such as accelerated administrative processing and eligibility for EU funding.
One of the sticking points in the negotiations was the possibility of derogations from the European Commission’s proposal to exclude fossil gas projects from the scope of the Regulation (see EUROPE 12623/3, 12618/9).
Exemption for Malta and Cyprus
At the request of the EU Council, the co-legislators finally decided that some gas projects will be allowed to retain their PCI status in Malta and Cyprus’ case.
However, it should be only one gas interconnector per Member State, under development or planning, which has been granted PCI status and which is necessary to ensure the permanent interconnection of Cyprus and Malta to the Trans-European gas network.
While the exemption will apply until 31 December 2029, the possibility to benefit from European funding will end on 31 December 2027.
In addition, as part of any application for EU funding, promoters will have to present a roadmap specifying the date by which the asset will become a dedicated hydrogen infrastructure, with a target of 2036, “if market conditions allow”.
The negotiators also added a recital to recall the obligation to respect certain conditions in the use of EU funds, notably not to grant funding to entities convicted of fraud, corruption or behaviour linked to criminal organisations.
According to our information, this provision was included in response to criticism relating to the murder of journalist Daphne Caruana Galizia, who was investigating corruption around the Delimiara power plant in Malta.
On 8 December, at a press conference organised by MEPs Marie Toussaint (Greens/EFA, France) and Claudia Gamon (Renew Europe, Austria), the journalist’s son, Matthew Caruana Galizia, called on co-legislators to reject EU funding for the Maltese Melita gas pipeline project - included in the list of PCIs - which will be linked to the Delimiara power plant partly owned by businessman Yorgen Fenech, the alleged mastermind of Ms Caruana Galizia’s assassination.
‘Blending’
The co-legislators also agreed on a transitional period for retrofitted gas infrastructure for the transport or storage of a pre-defined mixture of hydrogen and fossil gas or biomethane (‘blending’).
Cross-border ‘blending’ projects will thus be eligible for PCI status until 31 December 2029. However, the right to EU financial support for these projects will end on 31 December 2027.
The agreement also provides that projects no longer on the PCI list, but for which an application has been accepted for examination by the competent authority, will continue to benefit from accelerated authorisation procedures.
Governance
On the governance side, the co-legislators agreed to increase the role of the Agency for the Cooperation of Energy Regulators (ACER) and stakeholders in the PCI selection process.
The options developed by the European Networks of Transmission System Operators for Gas and Electricity (ENTSOs) will be submitted to ACER for review and final approval by the Commission.
The compromise also foresees that the European Scientific Advisory Board on Climate Change, established by the European Climate Law (see EUROPE 12750/27), will assess the consistency of infrastructure priorities with the EU’s climate and energy objectives.
If it issues an opinion, the network operators (ENTSOs) will have to take it into account or, if not, justify their decision.
Next steps
According to one source, some elements of the agreement still need to be clarified during a technical trilogue scheduled for tomorrow (Thursday).
The provisional agreement will then have to be approved by Parliament - in the Committee on Industry, Research and Energy (ITRE) and in plenary - and by the Member States.
The vote in the ITRE Committee is scheduled for 26 January. The Member States’ ambassadors to the EU (Coreper) will vote on 22 December. (Original version in French by Damien Genicot)