Vol. 473 No. 5
173 Mr. Gallagher (Donegal South-West) asked the Minister for Transport, Energy and Communications the Government's current position regarding European proposals to liberalise energy networks in the EU; and if he will make a statement on the matter. [1889/97]
The Directive concerning common rules for the internal market in electricity was adopted by Council on 19 December 1996. This Directive provides for a progressive opening of the European electricity market while also providing for implementation of necessary public service obligations. Ireland has three years in which to bring into force the legislation necessary to comply with the Directive.
The Government is committed to the implementation of the Directive and the development of the internal market which is designed to promote efficiency and choice in electricity production and supply, thus improving competitiveness in member states.
There is also a draft EU Directive concerning common rules for the internal market in natural gas. The main provisions of this from the point of view of deregulation are that vertically integrated gas undertakings must unbundle their accounts for transmission and distribution activities and that transmission companies must provide third party access to their networks in respect of large industrial consumers are distribution companies on the basis of voluntary agreements. Large industrial consumers are defined as those consuming in excess of 25 million cubic metres of gas per annum. Ireland basically supports the Directive but seeks to limit customers eligible for third party access to large industrial customers consuming at least 25 million cubic metres of gas per annum at a single site. The total consumption by customers above that threshold in Ireland comes to 75 per cent of Bord Gáis Éireann's total gas deliveries. Ireland feels that with 75 per cent of the market open to third party access, it is already one of the most liberal in Europe.
