26-27 June 2007

In accordance to the agreed INOGATE working programme 2007-2008 and in order to meet the objectives set out during the Astana Declaration, the INOGATE Technical Secretariat successfully organised on 26-27 June 2007 in Brussels, with the support of the European Commission, the Round-table “Why energy market convergence makes good sense”.  

The Round-table was attended by high level representatives of the Ministries of Energy and the Regulatory Authorities of the INOGATE participating countries, namely Armenia, Azerbaijan, Belarus, Georgia, Kazakhstan, Kyrgyz Republic, Moldova, Tajikistan, Turkey, Ukraine and Uzbekistan. The Round-table was also attended by representatives of the European Commission  such as DG EuropeAid, DG RELEX and DG TREN, and a wide range of important European associations namely representatives from EURELECTRIC, EUROGAS, the European Renewable Energy Council (EREC), Council for European Energy Regulators (CEER), Energy Regulators Regional Association (ERRA), the Energy Charter, as well as representatives from the Italian Regulatory Authority, French Energy Regulatory Commission, the National Control Commission for Prices and Energy of Lithuania and the Florence School of Regulation.

The purpose of this 2-day Round Table in Brussels was to present the latest energy policy objectives, to explain the reasons that the process in converging the energy markets is needed, to present which will be the benefits from the convergence procedure, to present the general European legislative framework relevant to the energy sector and to give some successful stories of energy markets convergence (i.e. Italy, and the Baltic States).

In this context and according to our panel of Regulators, convergence in market integration can only be reached through the creation and establishment of a set of common, transparent and harmonised rules.  Convergence of the energy market requires cooperation on infrastructure and systems operation.  It was further discussed that market integration is a long term process that requires institutional and legal diversity, investments and political support and agreement from all involved parties- crucial for achieving market convergence. Convergence of markets will bring equivalent level of competitiveness and environmental protection, while optimizing energy market and infrastructure developments, attracting investments, benefiting the industry production and efficiency, providing security of supplies, delivering energy services with improved quality and reliability, preserving economic competitiveness and affordability for consumers. All in all, to secure the energy market there needs to exist a consistent and balanced approach between the internal and external markets, investments, open dialogue between the producers and transit countries on issues such as rules, stable regulatory and political framework.

As such this event provided an open forum of discussions and exchanges between energy regulators from the EU and the INOGATE participating countries with a view of convergence of the energy markets of partner countries with those of the EU. Regulators and other institutions provided hands-on experience on regulatory issues with a view in enhancing international cooperation with our counterparts in the NIS countries.

For more information on the EC Energy Round-Table results, please contact the INOGATE Secretariat:

INOGATE Technical Secretariat Kyiv

26/28 Koudriavska Str., Kyiv 04053, Ukraine

Tel: +380.44.2302754, Fax: +380.44.2302753

e-mail: secretariat.kiev@inogate.org