Brussels, 24/01/2007 (Agence Europe) - On Wednesday 24 January, the European Commission decided to bring Spain before the European Court of Justice, because it believes that certain provisions of the Spanish law which extends the powers of the Comisión Nacional de Energía (CNE), the Spanish electricity and gas regulator, constitute unjustified restrictions to the free movement of capital and the right of establishment, in violation of the rules of the EC Treaty (articles 56 and 43 respectively).
The decision of the Commission relates to the royal decree 4/2006, of 24 February 2006, which modifies the duties of the CNE. Under the terms of this decree, an authorisation procedure is required prior to the acquisition of over 10% in the capital of companies which are subject to special administrative control, including companies which own assets in the energy sector. These provisions help establish a link with Madrid's protective position towards the ambitions of the German company E.ON for its Spanish counterpart Endesa, a position which has already attracted the Commission's reproof (see EUROPE 9332 and 9348).
Speaking to press, a spokesperson for Charlie McCreevy, Commissioner for the Internal Market and Services, , confirmed that it was not the Commission's intention to dictate to the member states how they must organise their energy markets, as long as these measures are in line with the EC Treaty. When asked about the possibility of an "express procedure" at the Court of Justice, the spokesperson stressed that this remained entirely at the discretion of the latter institution. (cd)