login
login
Image header Agence Europe
Europe Daily Bulletin No. 8610
Contents Publication in full By article 41 / 42
SUPPLEMENT / “europe”/documents no. 2343

Barcelona Process: Decisions of Euro-Mediterranean Forum on Energy

On 1 and 2 December, the Euro-Mediterranean Energy Forum met in Rome at ministerial level (see EUROPE of 5 December, p.14). The declaration adopted on this occasion by the EU Member State ministers and their partners of the southern rim of the Mediterranean is published in full in our series EUROPE/Documents (in French and English).

- - - - - - - -

MINISTERIAL DECLARATION BY THE EURO-MEDITERRANEAN ENERGY FORUM

Rome, 1 and 2 December 2003

Building on the Ministerial Declaration of the Euro-Mediterranean Energy Forum held in Athens on 21 May 2003 which approved the priorities for 2003-2006 MINISTERS AGREED ON THE FOLLOWING:

As regards energy policy objectives:

the mutual interest of the Euro-Mediterranean Partners in the effective establishment of a Euro-Mediterranean Energy Partnership which will fully contribute to the future free trade area,

the anchoring of this Partnership to a genuine Euro-Mediterranean energy policy based on sustainable development, i.e. the equally balanced objectives of security of supply, competitiveness and transparency of markets, and on protection of the environment,

the importance of implementing regional energy policy initiatives and carrying out infrastructure projects of common interest to consolidate existing interconnections and the gradual development of new network interconnection infrastructure projects.

the essential role of the Euro-Mediterranean Energy Forum in the development of the Euro-Mediterranean Energy Partnership and the importance of providing the Forum with ad hoc logistical support for monitoring the implementation of a Euro-Mediterranean energy policy on the basis of the priorities selected for 2003-2006,

the need to establish mechanisms, within the framework of existing Community and other sources, which will facilitate the funding of projects of common interest and the development of industrial cooperation in this respect, whereas the funding of energy projects is a matter principally for the private sector,

As regards implementation of the priorities for 2003-2006 the need:

to ask the Forum's secretariat to present a contribution to the Conference regarding the necessary establishment and terms of reference of operation of the ad hoc logistical support for the Forum for the specific purpose of monitoring the implementation of a Euro-Mediterranean energy policy.

for all players (Mediterranean Partners, EU Member States, European institutions, industry, financial institutions, etc.) to take appropriate measures to implement the priorities.

As regards technical assistance:

the importance of the efforts made by the EU Member States, the Mediterranean Partners and the Commission regarding technical assistance under the MEDA programme and the need to concentrate on preparing regional initiatives and priority projects,

to place more importance on energy at the level of industrial cooperation,

to improve the coordination of future activities under the MEDA and other Community programmes by means of the Forum's ad hoc logistical support.

As regards actions of common interest, to support:

the Italian initiative to present at the Conference the results of a preliminary examination of the need for concerted action between the EU, neighbouring and partner countries, notably in the framework of the International Maritime Organisation to ensure the highest possible safety standards for the maritime transportation of oil, in order to reduce the shipping of oil through the Mediterranean by developing oil pipelines, provided they can be shown to be technically, economically and environmentally feasible, and the need to step up maritime safety measures and, in particular to prohibit, as a matter of urgency, the transport of heavy oils in single-hull tankers and to speed up the phasing-out of single-hull tankers and promote the use of double-hull tankers for the shipping of oil and petroleum products.

Germany's intention to host an International Conference for Renewable Energies in June 2004 in Bonn, and in this context, the importance of reforms in the energy sector and the need to substantially increase the role of energy efficiency and renewable in order to secure a sustainable energy future as recommended at the last summit in Johannesburg (WSSD).

the intention of Algeria, Morocco and Tunisia to work, in collaboration with the European Commission, on gradually creating the necessary conditions for the development of a Maghreb electricity market and its future integration into the EU's internal electricity market, aiming at the eventual creation of a Maghreb electricity market.

the launching of the technical studies by the UCTE, complementary to the concluded feasibility studies funded under the TEN Programme, on the interconnection of the electricity networks of Turkey and Greece in view of the(integration of the Turkish Electricity grid with the UCTE system for synchronous operation envisaged to be completed by 2006. This interconnection is highly important for ensuring the Balkan electricity market integration and enhancing cross-border trade in the enlarged EU electricity market and the Balkans.

the launching by the Commission of feasibility studies, funded under the Trans-European Energy Networks programme, on gas network interconnections between Greece and Turkey - the construction of which should be completed at the end of 2005 - between Greece and Italy, between Turkey and Austria via Bulgaria, Romania and Hungary and between Greece and Austria via Former Yugoslav Republic of Macedonia -Serbia-Montenegro-Bosnia Herzegovina-Croatia and Slovenia. All these projects are very important for the security of gas supply of all countries involved as well as of the EU gas markets, where gas demands are expected to grow rapidly, and should also strengthen the competitiveness of the future Euro-Mediterranean integrated gas market including the Balkans gas markets.

the intention of the Palestinian Authority and Israel to cooperate, within a technical working group including the Palestinian Authority, Israel and the European Commission in order to identify and promote energy projects which fall within the ambit of the Euro-Mediterranean Energy Partnership,

Libya's participation as an observer at this conference and, to the extent that Libya is willing to participate in the Barcelona process, Libya's wilingness to be actively engaged in the Euro Mediterranean Energy cooperation and its subregional working groups.

Considering the activities of the Euro-Mediterranean Investment and Partnership Facility (FEMIP) of the European Investment Bank since its inauguration on 18 October 2002 in Barcelona and the Ministerial Declaration of the Euro-Mediterranean Energy Forum in Athens on 21 May 2003 which:

confirmed its political support for the projects of common interest and regional initiatives of the Euro-Mediterranean Energy Forum for 2003-2006

asked for these projects to be considered for the priorities for EIB funding under the FEMIP.

asked the Forum to conduct an analysis for presentation at the Conference, in collaboration with the EIB and other international financial institutions such as the MIGA, on the development of new Euro-Mediterranean regional financial products involving International Financial Institutions, States and the private sector in Mediterranean Partners and the EU, for funding major energy infrastructure projects and regional projects of common interest.

Considering the Commission's Communication "Wider Europe" and in particular the importance of the Euro-Mediterranean Energy Partnership as well as the possible creation, beyond 2006, of a new Neighbourhood instrument;

Considering the Commission's Communication (COM (2003)262) on the development of energy policy for the enlarged European Union, its neighbours and partner countries, the interest of a common analysis on the modalities related to the use of the Euro for the energy exchanges, the important role of the Pan-European Energy Networks and the Commission's intention to revise the TENs mechanisms to permit the eligibility and financing of the Euro-Mediterranean interconnection projects of common interest proposed in the said communication, taking under consideration mainly market oriented criteria in the framework of the TEN-Energy Programme and the Barcelona Process, taking also into account the agreed objectives of energy policy;

Considering the Forum's Communication of 20 November 2003;

Taking note of the progress reports on Initiatives on the development of infrastructure projects of common interest, on financing of energy infrastructures in the Euro-Mediterranean region, on the Draft proposal of the ad hoc logistical support organisation for the Euro-Mediterranean energy partnership and on the conclusions of the Rome Euro-Mediterranean Energy Industry Summit (REMEIS) as contained in the five Technical Annexes attached.

MINISTERS AGREED ON THE FOLLOWING

Ministers, recalling energy's central role in the economic and social development of all partners in the Barcelona Process, reaffirm the urgent need to establish, straightaway, the necessary conditions and mechanisms for developing a Euro-Mediterranean energy policy based on sustainable development, i.e. the equally balanced objectives of security of supply, competitiveness and transparency of markets, and protection of the environment.

Ministers stress that the numerous incidents that have occurred during the summer 2003 in the electricity sector, in Europe and in some south Mediterranean countries, represent "alarm bells" that reinforce the urgent need to give priority to cooperation on security, safety and continuity of supplies to the Euro-Mediterranean energy market, with due regard for the principles of competitiveness and protection of the environment.

Ministers, aware of the importance of the regional and subregional integration of energy markets and the role and responsibility of public authorities in achieving this objective, confirm their willingness to continue and speed up reforms in their national energy sectors. In this context they confirm their willingness to take advantage, where possible, of the possibilities offered by bilateral cooperation between their respective countries, the European Union and the EU Member States, in order to successfully reform and develop their national energy sectors.

Ministers stress the importance of the role of the Energy Charter Treaty in supporting long-term co-operation between the European Union and its neighbours and partners by promoting the investment in energy facilities, the free trade in energy and the uninterrupted transit of energy. The possible extension of the Energy Charter Treaty towards non-Member countries in the Euro-Mediterranean area will aid energy market reforms.

Ministers recall the private sector's pivotal role in Euro-Mediterranean energy policy development, in particular with respect to the financing of infrastructure interconnection projects of common interest, important for the security and safety of energy supplies, the competitiveness of markets and protection of the environment. In this context they emphasise the need to improve the overall framework conditions for investment in energy infrastructure. In particular they reaffirm the priority they give to establishing the conditions necessary for a healthy investment climate, to establishing the regulatory conditions for the development of projects, to consolidate and develop existing interconnections and the gradual development of new network interconnection projects which should eventually lead to the completion of the Mediterranean electricity and natural gas rings.

Ministers confirm that in view of the above and in order to create favourable conditions for the development and effective implementation of the elements of Euro-Mediterranean energy policy decided on at the Athens Ministerial Conference on 21 May 2003, the Euro-Mediterranean Energy Partnership must now be given, within the framework of existing Community and other resources, appropriate technical and financial instruments it needs to perform its task. In this context, they agree to establish ad hoc logistical support for the Euro-Mediterranean Energy Forum and to this end, the Commission will determine the arrangements for establishing such support in collaboration with all the Member States and partners wishing to participate, taking note of the proposals.

Ministers note in particular:

the Memorandum of Understanding on the progressive integration of electricity markets of Algeria, Morocco and Tunisia and in the EU electricity internal market. They recall the need to quickly implement this agreement in order to meet the objectives fixed for the creation of an electricity market between themselves as from 2006 and ensuring its integration into the EU's internal electricity market. In this context they recall the private sector's pivotal role in particular with respect to technical questions of infrastructure interconnection projects and technical questions of the integration into the EU's internal electricity market as well as with respect to the financing of such projects.

the preliminary studies carried out under the MEDRING project on the development of the Euro-Mediterranean electricity ring and the intention to ensure that the interconnections are technically safe.

the technical studies carried out in the framework of the TEN Programme as well as agreements and declarations on the development of the electricity networks interconnection between Turkey and Greece and their willingness to cooperate for a rapid realization of this project.

the completion of the feasibility studies on submarine gas (and electricity) interconnection projects between Algeria, Spain and the European gas network as well as the progress of the feasibility studies for submarine electricity and gas interconnection projects between Algeria, Italy and France.

the interest of the consultations between the countries of the Maghreb region and the European Union in view of identifying best ways, for the benefit of all, to construct the Euro-Maghreb energy market .

the implementation of the cooperation agreements in the energy sector between the Palestinian Authority and Israel obtained within the framework of the technical working group set up in Athens including the Palestinian Authority, Israel and the European Commission. The group was asked to identify and promote projects of common interest which could be integrated under the Euro-Mediterranean Energy Partnership. In this context, they note the efforts deployed by the Italian Presidency to facilitate this cooperation and stress the importance of the agreements so far concluded. On the 30th of October 2003, in Jerusalem, agreements were signed in the sphere of electricity. These agreements identified emergency projects and other projects of common interest, and include between others the establishment of a Joint Energy Office to conduct joint analysis of common projects and prepare long term orientation plans. The Joint Energy Office will act and will be hosted in the framework of REMEP.

the finalization of the construction of the first phase of the Trans-Mashrek Gas Pipeline between Egypt and Jordan (Aqaba) in July 2003, and the progress made by Egypt and Jordan to execute the second phase from Aqaba to the Jordanian/Syrian borders. The Trans-Mashrek Gas Pipeline (the legally called Arab Natural Gas Pipeline) should bring Egyptian and Syrian gas to the gas market of the Mashrek, the enlarged EU and the Balkans. They ask to analyze, in collaboration with the countries concerned and taking into consideration the interest of the companies which are developing the project as well as the already signed agreements, the potential offered by this infrastructure for transporting other Middle Eastern gas resources to the markets of the enlarged EU. They note also the progress achieved by Egypt towards supplying the EU's internal gas market with LNG by the end of 2004.

the need for exploratory preliminary technical discussions between the European Commission and Libya with a view to integrating Libya into the Barcelona process. This would entail consultations to establish a possible detailed technical cooperation programme.

Ministers stress their interest in the Commission's Communication "Shaping Support for private Sector Development in the Mediterranean" which deals with the future of the FEMIP and reaffirm the importance of the funding of projects of common interest included in the priorities for 2003-2006 under existing instruments, such as in particular MEDA and FEMIP. They note in particular that:

as a priority, projects will be financed in those countries which are carrying out reforms to liberalise their energy sector, be they energy infrastructure projects undertaken by the private sector or public-private partnership projects,

an envelope of € 25 million per year from the MEDA programme is available to the FEMIP to cover the technical assistance needed for the development of projects financed by FEMIP, including energy projects of common interest,

the loan envelope of € 1 billion for a 7-year period set aside at the EIB in 2000 for trans-regional projects in the fields of energy, transport and the environment, may contribute, if conditions permit, to the realisation of energy projects of common interest.

Ministers, note the European Union's intention to develop, from 2006, as part of its "Wider Europe" policy, a single proximity instrument to assist partner and neighbouring countries.

Ministers note the European Commission's initiatives to extend the Trans-European Energy Networks to neighbouring and partner countries and permit the eligibility and funding of projects of pan-European interest described in the Commission Communication "Energy policy for the enlarged European Union, its neighbours and partner countries". They confirm the importance of developing cooperation under the MEDA programme in conjunction with INTERREG, with the “MEDOC” programme for the Maghreb and the “ARCHIMED” programme for the Mashreq.

Ministers take note of the constructive discussions between the representatives of the industries and of the Governments that took place on the occasion of the 'Rome Euro-Mediterranean Energy Industry Summit' (REMEIS). The Ministers also take note of the results of the two parallel thematic sessions on 'Infrastructures' and 'Financing of Investments' and in particular of the discussions concerning the Kyoto mechanisms in respect of the financing of projects relating to the rational use of energy and renewable energy;

Ministers take note of the contribution presented by the Forum's secretariat regarding the ad hoc logistical support. They emphasise that the ad hoc logistical support shall not lead to permanent structures and shall operate - on a case by case basis - within the framework of existing Community and other resources.

Ministers reaffirm the interest they attach to the need to substantially increase the role of energy efficiency and renewable energy sources in order to secure a sustainable energy future as recommended at the last summit in Johannesburg (WSSD). They confirm their full support for Germany's initiative to host an International Conference on Renewable Energy in June 2004 in Bonn. In this context they again call on the countries which have not yet joined the Johannesburg coalition "The Way Forward on renewable Energy" to consider doing so.

Ministers thank the Italian Presidency on this important ministerial conference and invite the Commission to come forward rapidly with proposals on the appropriate follow-up to the Conference, together with a detailed calendar on the next steps towards the development of the Euro-Mediterranean energy policy.

- - - - - - - - -- - -

PARTICIPANTS:

EU PRESIDENCY: Antonio Marzano, Minister for Productive Activities

EUROPEAN COMMISSION: Loyola de Palacio, Vice-President of the European Commission

ALGERIA: Chakib Khelil, Minister of Energy and Mines

AUSTRIA: Bruno Zluwa, General Director, Federal Ministryfor Economic Affairs and Labour

BELGIUM: Fernand Sonck, Director General for Energy, Federal Ministry of Economy

CYPRUS: Yiorgos Lillikas, Minister, Ministry of Commerce, Industry and Tourism

DENMARK: Hans Jorgen Koch, Deputy Permanent Secretary, Ministry of Economic and Business Affairs

EGYPT: Amin Sameh Fahmy, Minister of Petroleum and Hassan Younes, Minister of Electricity

FINLAND: Taisto Turunen, Director General Energy, Ministry of Trade and Industry

FRANCE: Nicole Fontaine, Minister of Industry, Ministry of Economy, Finance and Industry

GERMANY: Georg Wilhelm Adamowitsch, State Secretary, Ministry of Economy and Labour

GREECE: Apostolos Athanassios Tsohatzopoulos, Minister of Development

IRELAND: John Browne, Minister of State, Department of Communications, Marine and Natural Resources

ISRAEL: Joseph I. Paritzky, Minister of Infrastructures

JORDAN: Kaldoun Qutishat, Secretary General, Ministry of Energy and Mineral Resources

LEBANON: Ayoub F. Hmayed, Minister of Energy and Water

LUXEMBURG: Carlo Hastert, Inspector, Ministry of Economy

MALTA: Anthony Zammit, Minister for Resources and Infrastructure

MOROCCO: Mohammed Boutaleb, Minister of Energy and Mines

NETHERLANDS: Pieter Boot, Director for Energy Strategy, Ministry of Economic Affairs

PALESTINIAN AUTHORITY: Azzam Shawwa, Minister, President of the Energy Authority of the Palestinian Authority

PORTUGAL: Jorge Borrego, Director General, Ministry of Economics Affairs, Directorate General for Energy

SPAIN: Jose Folcado Blanco, Secretary of State for Energy, Ministry of Economy

SYRIA: Ibrahim Haddad, Minister of Petroleum and Mineral Resources

SWEDEN: Bo Diczfalusy, Director General, Ministry for Industry and Trade

TUNISIA: Fethi Merdassi, Minister of Industry and Energy

TURKEY: Hilmi Güler, Minister of Energy and Natural Resources

UNITED KINGDOM: Joan Mac Naughton, Director General, Ministry of State for Energy, e-Commerce and Postal Services

- - - -- - - - - - -

Accession Countries:

CZECH REPUBLIC: Martin Pecina, Deputy Minister, Ministry for Industry and Trade

ESTONIA: Katrin Moon, Embassy of the Republic of Estonia in Italy

HUNGARY: Zoltan Horvàth, Ministry of Economy and Transport

LATVIA: /

LITHUANIA: Anicetas Ignotas, Under Secretary, Ministry of Economy

POLAND: Krzysztow Krystkowski, Under Secretary of State, Ministry of Economy

SLOVAKIA: Richard Vojna, Ambassador, Embassy of the Slovak Republic in Italy

SLOVENIA: Janez Kopac, Minister of the Environment, Spatial Planning and Energy

- - - - - - - - -

Countries invited by the Italian Presidency:

BULGARIA: Milko Kovachev, Minister of Energy and Energy Resources

ROMANIA: Ioan-Dan Popescu, Minister of Economy and Trade

- - - - - - - --

Observer country:

LIBYAN ARAB JAMAHIRIYA: Omran Ibrahim Abukraa, Secretary of the Popular Committee, GEC

Contents

A LOOK BEHIND THE NEWS
THE DAY IN POLITICS
GENERAL NEWS
SUPPLEMENT