Parliament backs 'third way' for gas market opening[fr][de] 

The vote - 579 in favour with 80 against and 52 abstentions - paves the way for a deal between the Council and Parliament on EU gas sector liberalisation, since the measures endorsed by the Parliament are in line with a June agreement among member states that would allow former state monopolies such as GDF in France and E.ON in Germany to retain ownership of their gas grids (EurActiv 09/06/08).

Paris and Berlin insist such a deal should also be extended to the electricity sector.

In its original proposals to further liberalise the EU's gas and electricity sectors, the Commission was pushing for either the full separation of energy firms' gas and/or electricity supply assets from transmission assets through 'ownership unbundling'. A second option, the so-called Independent System Operator (ISO) model, would have allowed companies to retain indirect legal ownership while ceding operational control (EurActiv 20/09/07).

France and Germany, backed by six other member states, were successful in watering down the plans. They introduced the possibility of a 'third way' option, whereby companies retain full network ownership and control, while operations are managed by an independent transmission operator (ITO) that would ensure fair network access and push for investments to upgrade and expand grids.

In its vote, Parliament rejected the Commission's ISO option but backed the ITO, or third way, as favoured by the eight member states. However, Parliament wants to strengthen the ITO model by creating an 'independent trustee' who would closely oversee the internal decisions of the gas transmission system operator.

MEPs are also calling for a number of additional consumer protection measures, including the right to withdraw from gas contracts without charge.

While the gas vote makes a deal between the Parliament and Council on gas liberalisation more likely, strong differences remain in the electricity sector. In June, Parliament voted against both the ITO and ISO options, preferring full ownership unbundling as the only option for electricity (EurActiv 19/06/08).

Member states and MEPs will now begin to negotiate a possible deal on electricity amid speculation that the talks will drag on at least into the beginning of 2009.