The European Commission is working quietly on a revision of the previous directive on shared standards for the internal market for natural gas, which was passed on July 13, 2009.
The first draft is already taking shape, and while it is still in its early stages, it provides some insight into the directions that community energy policy may take in the coming decade. The European Commission is determined to lay the groundwork for the activation of a highway-capable of transporting green hydrogen across European territory, a goal that has taken on added significance in light of rising tensions with Russian President Vladimir Putin, whose country has established itself as one of the main gas suppliers for many of the EU’s member states.
The European Commission is working on a very secret document. Renaming the aforementioned regulatory framework to include green hydrogen in the title of the new directive is one of the modifications that the Community Executive is working on. The aims of the body led by Ursula von der Leyen, according to sources acquainted with the work of the commission consulted by La Información, are to move the time to begin the route for this renewable gas closer to 2040. The Russian invasion of Ukraine has had a significant impact on the EU’s energy transition goals.
The secrecy with which Brussels is conducting this assignment has not stopped commercial leaks. According to the sources consulted, this explains the unexpected interest of the energy industry’s behemoths in the new ‘El Dorado,’ which is none other than the desired green hydrogen. In this perspective, the impact of behemoths like Enel, which shocked the market in November by announcing that it will exit the gas sector entirely by 2040, is framed.
Endesa, the Italian giant’s Spanish affiliate, has been thrown off by the swap. Following in the footsteps of its parent firm, the company led by José Bogas enhanced its renewable aspirations by expanding its decarbonization targets to 2040, changing its strategic plan for 2023 with a stroke of the pen, where this milestone did not exist.
Endesa’s new goal will have far-reaching consequences in Spain, where the power firm has positioned itself as the country’s second-largest gas distributor, trailing only Naturgy. Bogas’ firm also has a number of combined cycle power plants with a combined capacity of 3,000 MW, which is critical for feeding major industrial groupings. Everything points to this technology becoming a key component of Endesa’s divestiture strategy in the near future.
It is the first thorough change of the gas market regulations in community territory, according to the working document handled by the European Commission. Since its adoption in 2009, the present directive has only seen minor revisions. This formal document superseded the previous standard, which was authorized in 2003 and rendered the regulatory framework from 1998 outdated. These are the three guiding principles that have traditionally harmonized the activity economy in Europe’s gas industry.
The 2009 directive addressed important concerns such as the proper separation of networks, production, and supply operations, which had an impact on the European energy giants’ internal organization. These vertically integrated behemoths had to adjust to the new cost and benefits divisions of their many operations. The new Brussels legislation goes a step further, since it may affect the strategic intentions of the major energy corporations, boosting the fierce green race that these businesses are waging throughout the continent.
Everything indicates the fact that the blow to the energy board of standards like Enel is an agony for the rest of its counterparts in this regard. Iberdrola and its European competitors, such as EDF France gala or the German energy conglomerate RWE, might follow in their footsteps. This battle to conquer new energy resources like green hydrogen is paving the way for major agreements between firms of all sizes, ranging from enormous industrial conglomerates to major investment funds, a trend that, according to sources consulted, will disrupt the existing energy market hierarchy.
