2.1. Transfer of Competence to the Regions

The 2013 annual report (page 9) anticipated events of 2014 somewhat by announcing the enactment of the Special Law of 6 January 2014 on the Sixth State Reform. This special law included the transfer to the regions of jurisdiction over the tariffs of the electricity distribution network and the gas public distribution network; however, responsibility for the tariffs of gas and electricity networks with a transmission function and which are operated by the same operator as the transmission system remains federal. This refers notably to local and regional transmission systems.

For the other matters, federal jurisdiction over «tariffs» was confirmed and even specified, as the special legislature saw fit to indicate that this jurisdiction also includes the (social) pricing policy. «This does not undermine, according to the preparatory work, the jurisdiction of the regions over public service obligations related to their powers or their jurisdiction over distribution tariffs.» (Senate, Doc. Parl., sess. 2012-2013, No. 5-2232/1, p. 103).

The special law of 6 January 2014 came into force on 1 July 2014, the date from which the CREG no longer has jurisdiction over tariff decisions in relation to distribution.

  • Foreword
  • The Electricity Market

Key National Legislative Developments