Updates to the EU Market Rules for Gas Capacity Allocation

ACER Recommendations

On January 7th, ACER issues its Recommendation proposing potential improvements to the gas Capacity Allocation Mechanisms Network Code (CAM NC).

The CAM NC harmonises how Transmission System Operators (TSOs) offer and allocate available gas transmission pipeline capacity to network users. The network code, last amended in 2017, needs to be updated to reflect Europe’s decarbonisation goals and the evolving gas market.

 

The revision process

In 2023, ACER initiated the revision process, as invited by the European Commission. The revision process was informed by new regulatory elements from the hydrogen and gas decarbonisation package, ACER’s initial analysis of the network code’s achievements and areas for improvement, and dialogue with stakeholders.

Following the analysis of inputs received during the last consultation (September-October 2024), ACER concluded the revision process by issuing its Recommendation to the European Commission on 20 December 2024.

 

What are the main recommendations?

Utilise the current gas system efficiently and strengthen its monitoring by improving transparency on how capacity is maximised, and enhance coordination and consultation among relevant regulatory authorities, TSOs and network users.

Enhance transmission capacity that is made available by increasing auction opportunities for existing capacity products and introducing a capacity offer between monthly and daily auctions, thereby contributing to security of supply.

Allow a quick modification of non-essential auction details to ensure auctions can reflect the evolving market conditions, while maintaining harmonised rules for capacity allocation across all interconnection points.

 

What are the next steps?

The European Commission can amend the network code following the comitology process. ACER’s Recommendation offers a starting point for that process.

 

About ACER

The European Union Agency for the Cooperation of Energy Regulators (ACER) was established in March 2011 (Third Energy Package legislation) to foster cooperation among the EU’s energy National Regulatory Authorities (NRAs) and help ensure that a single European market for electricity, and similarly natural gas, functions well. ACER’s headquarters are in Ljubljana, Slovenia.

ACER is one of the EU decentralised agencies. Distinct from the EU institutions, agencies are set up as separate legal entities to perform specific technical and scientific tasks that help the EU institutions and Member States to implement policies and take decisions. EU agencies support the cooperation between the EU and national governments by pooling technical and specialist expertise. Besides working with a wide range of energy stakeholders, the EU institutions and policy makers, ACER works closely with other European agencies through the EU Agencies Network (EUAN).

ACER’s role includes:

  • Supporting the integration of energy markets in the EU (by common rules at EU level).
  • Contributing to efficient trans-European energy infrastructure, ensuring alignment with EU priorities.
  • Monitoring energy markets so that they function well, deterring wholesale energy market manipulation and abusive behaviour.
  • Where necessary, coordinating cross-national regulatory action.

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