European TSOs established new organisation ENTSO-E

The European transmission system operators (TSOs) made a unanimous decision today to establish a new co-operation organisation ENTSO-E. A total of 42 TSOs from 34 countries signed the charters of the organisation in Brussels. The new organisation comprises TSOs from Iceland to Cyprus and from Finland to Portugal. ENTSO-E is due to launch operations in April 2009. The European TSOs established the new organisation so as to develop the electricity market within the European Union and to intensify TSO co-operation. The establishment is related to the third legislative package on the energy market in the EU and to the EU’s energy and climate package, which require active co-operation from TSOs. All TSOs in the EU countries and in countries which have signed an agreement on the single electricity market with the EU can join the organisation. The organisation aims to promote electricity market integration within the EU and create market and security of supply rules related to transmission grids in co-operation with the Commission of the EU and with ACER (Agency for Cooperation of Energy Regulators). ENTSO-E is also to draw up ten-year plans for grid development, monitor the trend in security of supply, and prepare shared procedures to support grid operation.
 
The supreme decision-making body of the organisation is the general assembly where all the members are represented. ENTSO-E is headed by a Board with 10 members, representing the various regions of Europe. Subject to the Board, there is a Market Committee, System Development Committee and Operations Committee as well as a group for legal affairs, with all members having an opportunity to name their representatives to these. Functional and regional groups work under the committees. The practical efforts are in the hands of a co-ordinating secretariat in Brussels, consisting of 10 to 20 persons. The objective is that ENTSO-E makes decisions unanimously, but ultimately decision-making follows the same patterns as that in the Council of the European Union. Daniel Dobbeni of Belgium was elected President of the organisation for a two-year period, and Fingrid’s President & CEO Jukka Ruusunen was elected Vice President. Graeme Steele of Great Britain serves as the Chairman of the Board. The actual work in ENTSO-E is carried out in the three committees, with Fingrid’s Executive Vice President Juha Kekkonen elected Chairman of the Market Committee. The present TSO organisations, such as Nordel in the Nordic countries, will merge into the new organisation, and the present organisations will be dissolved. In practice, for example Nordic co-operation will continue within regional groups in the new organisation. The existing agreements will be transferred from the present organisations to ENTSO-E. ENTSO-E will commence operations in April 2009. “For Finns, the establishment of ENTSO-E means that the pan-European aspects will be considered more broadly in the development of the electricity market and grid planning and use,” says Jukka Ruusunen. “All European electricity market players are expected to contribute actively to this development work.” Further information:
Jukka Ruusunen, President & CEO, tel. +358 (0)40 593 8428 or
Juha Kekkonen, Executive Vice President, tel. +358 (0)40 560 5274.