Aim
The Energy Community aims at establishing a Pan-European energy market by extending the energy ''Parties, participants and observers
Parties
Parties to the Energy Community Treaty are the European Union and nine Contracting Parties (date of ratification): After having obtained the observer status, Moldova and Ukraine formally expressed their interest in full membership. Mandated by the Ministerial Council, the European Commission had the first round of formal negotiations with Moldova and Ukraine in late 2008. After three negotiation rounds, the technical negotiations were concluded in 2009. The Ministerial Council, however, made the membership conditional on legislative amendments. In concrete terms, it requested both countries to revise their gas laws and to align them with the EU's Gas Directive 2003/55/EC. Whilst Moldova became a full-fledged member as of 1 May 2010, Ukraine officially acceded to the Energy Community on 1 February 2011. Georgia applied for full membership in 2014 and joined the organization as a fully-fledged member on 1 July 2017.Observers
Any other neighbouring third country can obtain an observer status upon approval of a reasoned request by the Ministerial Council. A separate Procedural Act regulates the rights and obligations of the observers to the Treaty. The observers to the treaty are:Participants
Pursuant to the treaty, any EU member state may obtain the status of a participant. In doing so, the EU member state has the right to attend the Ministerial Council, the Permanent High Level Group, the Regulatory Board and the fora and participate in the discussions in these bodies. This privilege is used by 19 EU member states, namely Following their accession to the European Union, three of the original treaty signatories, Bulgaria, Croatia and Romania, have matured from a Contracting Party to a Participant.Institutions
The main institutions established by the treaty are: * Ministerial Council * Permanent High Level Group * Energy Community Regulatory Board (ECRB) * Fora * SecretariatMinisterial Council
The Ministerial Council is the principal decision-making institution of the Energy Community. It takes the key policy decisions and adopts the Energy Community's rules and procedures. The Ministerial Council is composed of one representative from each Contracting Party, usually the Minister responsible for energy, and of two representatives from the European Union, the European Commissioner for Energy and a high-level representative of the Presidency of the European Union. Following a decision in December 2009, the Ministerial Council meets once a year. Moreover, the Presidency of the council is held in turn by each contracting party for a term of 12 months. For the period of 1 January to 31 December 2021, Serbia holds the presidency in office and chairs the key institutional meetings.Permanent High Level Group
The Permanent High Level Group brings together senior officials from each Contracting Party and two representatives of the European Commission. It ensures the continuity of and follow-up to the political meetings by the ministers and decides, in certain cases, on implementing measures.Energy Community Regulatory Board
The Regulatory Board is composed of high level representatives from the national energy regulatory agencies of the Energy Community Contracting Parties, Observers and Participants. It advises the Energy Community Ministerial Council and Permanent High Level Group (PHLG) on details of statutory, technical and regulatory rules and makes recommendations in the case of cross-border disputes between regulators. The Board can take regulatory measures when empowered by the Energy Community Ministerial Council. The Board is currently chaired by its President (2020-2023), Mr Marko Bislimoski, President of the Energy and Water Services Regulatory Commission of the Republic of North Macedonia. The European Union, represented by the European Commission, acts as vice-president and is assisted by the Agency for the Cooperation of Energy Regulators ( ACER). The Regulatory Board meets in Athens. Its work is supported by the Energy Community Secretariat.Fora
The fora have the task to advise the Energy Community. Chaired by the European Commission, a forum brings together all interested stakeholders from the industry, regulators, industry associations and consumers. Their conclusions, agreed by consensus, are addressed to the Permanent High Level Group. The establishment of the fora reflects the process leading to the creation of the Energy Community. The Athens Electricity Forum, previously known as South East Europe Energy Regulation Forum, met for the first time in 2002. The terms governing the Gas Forum were established in 2006. It was decided that the Gas Forum shall convene in Slovenia. The first Social Forum took place in November 2008. At its December 2008 meeting, the Ministerial Council decided to adopt oil stock legislation and to establish the Oil Forum. The first Oil Forum convened in 2009 inSecretariat
The day-to-day activities of the Energy Community are administered by the Secretariat. The Secretariat assists the Contracting Parties in their implementation of the acquis. The Secretariat supports the Contracting Parties in the drafting of legislation and conducts expert missions when requested by the national authorities. The Secretariat organizes annually over 60 events, including institutional meetings and expert workshops. Each year the Secretariat submits an Annual Implementation Report to the Ministerial Council of the Energy Community, which assesses the compliance of each Contracting Party with respect to its obligations under the treaty. If a Contracting Party fails to comply with its treaty obligations, the Secretariat may open an infringement procedure. Since 1 December 2021, the director of the Secretariat is Mr Artur Lorkowski. Mr Lorkowski is the third Energy Community director, following Mr Janez Kopač (2012-2021) and Mr Slavtcho Neykov (2007-2012). The director of the Secretariat is responsible for ensuring that the Energy Community budget – to which all Parties contribute – is correctly spent and accounted for. The director also selects and appoints the staff on the basis of the approved establishment plan of the Energy Community. As of December 2021, the Secretariat has 34 staff members holding 18 nationalities. The Secretariat has its seat in Vienna, Austria.Role of the European Union
Represented by the European Commission, the European Union holds the permanent Vice-Presidency of the Energy Community. The European Commission assists the Presidency in the chairing of the Permanent High Level Group and the Ministerial Council and the preparation of agendas of all institutional meetings. At the annual Ministerial Council meeting, the European Commission is represented by the Commissioner for Energy. The European Union is the largest contributor to the Energy Community budget. Its contribution is nearly 95 percent.History
The roots of the Energy Community Treaty go back to the South-East Europe Regional Energy Market for electricity and natural gas formed originally in the framework of theAthens Memorandum
The 'Athens Memorandum' refers to the memorandum of understanding of 2002 and its revision of 2003, signed in Athens. It was proposed by the European Union and it outlined the principles and the institutional necessities for regional electricity market development in South East Europe. Following intense discussions, an agreement was reached at the first South East Europe Electricity Regulation Forum in June 2002. The signing of the memorandum took place in November 2002 by Albania, Bosnia and Herzegovina, Bulgaria, Croatia, Greece, FYR of Macedonia, Romania,Energy Community Treaty
In May 2004, the European Union opened negotiations with the countries of the south-eastern European region to conclude a legal agreement. The negotiations took place between the European Community on one side, and Albania, Bosnia and Herzegovina, Bulgaria, Croatia, FYR of Macedonia, Republic of Montenegro, Serbia, Romania, Turkey and UNMIK on behalf of Kosovo on the other side. The treaty establishing the Energy Community was signed in Athens, Greece, on 25 October 2005. Signature of the treaty was approved by theCritics
The treaty has been criticised by the European Public Service Union as it lacks a social dimension. The Energy Community ''acquis'' makes an explicit reference to public service obligations and customer protection. Whilst the Treaty may lack a legally binding ''acquis'' on social dialogue, the Contracting Parties have a legally binding obligation to foster social dimension within the process. In October 2007, the Parties signed the Memorandum of Understanding on Social Issues in the context of Energy Community. The Memorandum recognises that economic development and social progress are mutually linked and should go hand in hand. It also spells out the importance and the necessity to involve social partners in the reform process. Ukraine and Moldova signed the Declaration of Memorandum of Understanding on Social Issues in October 2011. Environmental organisations from south-eastern Europe criticised the process in December 2008 as they believed that the ECSEE contains insufficient safeguard mechanisms to ensure that the well-intentioned promotion of energy efficiency and renewable energy is not drowned out by the promotion of large and often environmentally harmful coal and hydropower plants. The Energy Community Ministerial Council decided to establish a task force in energy efficiency in 2007. It was renamed in 2013 to Energy Efficiency Coordination Group (EECG), providing a broad platform for cooperation between representatives of ministries and agencies in charge for energy and energy efficiency from Contracting Parties, Observer Countries and Participants. Since 2009 the Energy Community implements the core EU energy efficiency ''acquis''. In the area of renewable energy the discussion to adopt the EUSee also
* Energy policy of the European UnionReferences
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