European Union and its Member States –
Certain Measures Relating
to the Energy Sector
Request for the Establishment of a Panel by the Russian
Federation
The following
communication, dated 11 May 2015, from the delegation of the Russian Federation to the Chairperson
of the Dispute Settlement Body, is circulated pursuant to Article 6.2 of the
DSU.
_______________
My authorities have instructed me to request
the establishment of a panel, pursuant to Article 6 of the DSU, Article XXIII
of the General Agreement on Trade in Services ("GATS"), and Article
XXIII of the General Agreement on Tariffs and Trade 1994 ("GATT 1994"),
with respect to certain measures maintained by the European Union ("EU")
and its Member States, and implemented within EU territory by the EU and its
Member States, including through the so-called "Third Energy Package"
and related legal instruments, as described below.
On
30 April 2014, the Russian Federation requested consultations with the EU and
its Member States pursuant to Articles 1 and 4 of the DSU, Article XXIII of the
GATS, Article XXIII of the GATT 1994, Articles 4.1, 7.1 and 30 of the
Agreement on Subsidies and Countervailing Measures and Article 8 of the
Agreement on Trade-Related Investment Measures, with respect to certain restrictions
and requirements adopted, maintained and implemented by the EU and its
Member States within their respective territories , including Croatia, Hungary
and Lithuania, through the so-called "Third Energy Package" and
related legal instruments. The request
was circulated on 8 May 2014 as document WT/DS476/1, S/L/409, G/L/1067,
G/SCM/D102/1, G/TRIMS/D/40. On 23-24
June and 10 July 2014, the Russian Federation held consultations with the EU
and its Member States with a view to reaching a mutually satisfactory
solution. Unfortunately, the
consultations failed to settle the dispute.
The
EU adopted the Third Energy Package ("TEP") in July 2009. The TEP's principal component regarding gas,
Directive 2009/73/EC (the "Directive"),[1]
establishes what it describes as common rules for the transmission,
distribution, supply and storage in the EU of natural gas, including LNG.[2] The Directive also states that the TEP
repealed and replaced the legal acts making up the Second Energy Package ("SEP"),
even though certain SEP measures related to exemptions remain in effect. As such, the TEP is the latest in a series of
legal instruments and policy initiatives designed to tighten and centralize
control over the EU energy market, including the rights of Russian suppliers of
natural gas and natural gas services, as well as imported Russian gas as a
source of supply to the EU market. The
Russian Federation considers that the TEP, like the EU's natural gas and
broader energy policy overall, unjustifiably restricts imports of natural gas
originating in Russia and discriminates against Russian natural gas pipeline
transport services and service suppliers.[3]
Accordingly,
the Russian Federation respectfully requests that, pursuant to Article 6 of the
DSU, the DSB establish a Panel, with the standard terms of reference contained
in Article 7.1 of the DSU, to examine the following matter:
1. Unbundling, Third-Country
Certification and Infrastructure Exemption Measures
The
Directive requires "vertically integrated natural gas undertakings" ("VIUs")
to undergo "unbundling" and to separate their transmission system
assets, or the transmission system operator ("TSO"), from assets
relating to production and supply. The
Directive grants Member States discretion to select from among three
alternative unbundling models: ownership unbundling, independent system
operator ("ISO"), and independent transmission operator ("ITO").[4] Ownership unbundling is the most restrictive
model. It precludes the same person or
persons from exercising control over an undertaking performing any of the
functions of production or supply and exercising control or any right over the
TSO or the transmission system, and vice versa. Among the rights that ownership unbundling
precludes is the holding of a majority share.[5] The ISO model, in contrast, permits the VIU
to retain full ownership of the TSO upon designation of an outside entity, the
ISO, to operate the TSO.[6] The ITO model is even less restrictive and
permits VIUs to maintain control and operate the TSO through a separate
subsidiary.[7]
The
implementing laws of Croatia and Hungary permit all three unbundling models,
whereas Lithuania permits only the ownership unbundling model. In the pipeline transport services sector, as
set out in their GATS Schedules of Specific Commitments on Services (the "Schedules"),
Croatia, Hungary and Lithuania undertook commitments under Articles XVI and
XVII of the GATS with respect to pipeline transport services. In light of these commitments, the Russian
Federation considers that the unbundling measures, as implemented in the laws
of Croatia, Hungary and Lithuania, are inconsistent with these Members' market
access obligations under GATS Article XVI:1 to accord services and service
suppliers of any other Member treatment no less favorable than that provided
for in their Schedules, and that all three Members are each maintaining or
adopting measures set out in GATS Article XVI:2.
The
Directive also provides that, when the owner of the VIU is the Member State or
another public body, two separate public bodies exercising control over the TSO
and over an undertaking performing production or supply functions shall be
deemed not to be the same person or persons.[8] In reality, this measure permits a Member
State government to own and control both the TSO and the production or supply
portions of the VIU, whereas third-country service suppliers, including those
of Russia, may not. Croatia, Hungary and
Lithuania have each implemented versions of this measure in their respective legislation. The Russian Federation considers that these
measures are inconsistent, de jure, with
the obligations of Croatia, Hungary and Lithuania under GATS Article XVII to
accord services and service suppliers of any other Member treatment no less
favorable than they accord to their own like services and service
suppliers. Moreover, the governments of
Croatia and Lithuania both own and control the TSO and production or supply
portions of the single VIU supplying pipeline transport services in their respective
territories. Therefore, the Russian
Federation considers that these measures are inconsistent, de facto,
with the obligations of Croatia and Lithuania under GATS Article XVII.
In
addition, in certain Member States that have adopted implementing legislation
requiring ownership unbundling, including Lithuania and Estonia, the Russian
supplier of pipeline transport services has been required to cede control in
the TSO or will be required to do so in the future on the basis of existing
legislation. In other Member States that
permit the ISO and/or ITO models, VIUs that are owned or controlled by a person
or persons of other third-countries have been permitted to adopt either of
those unbundling models, and thus to maintain ownership and varying degrees of
control over both the TSO and production or supply portions of the VIU. The Russian Federation considers that these
measures result in less favorable treatment being accorded to pipeline
transport services and service suppliers of Russia than to like services and
service suppliers of other third-countries, contrary to the EU's obligations
under GATS Article II:1. Moreover,
contrary to the requirements of Article I:1 of GATT 1994, the fact that
third-country natural gas suppliers in certain Member States have been
permitted to adopt the ISO or ITO unbundling models grants an advantage, favor,
privilege or immunity to the natural gas imported from those third-countries
that is not immediately and unconditionally accorded to natural gas originating
in Russia, which is transported and placed on the market in Member States that
require ownership unbundling. Such
Russian-origin natural gas is also accorded less favorable treatment than
domestic natural gas that is transported and placed on the market in Member
States permitting the ISO and/or ITO models, contrary to the EU's obligations
under Article III:4 of GATT 1994.
Next,
the Directive requires that TSOs in each Member State be certified as complying
with the relevant unbundling requirements.
However, when certification is requested by a transmission system owner
or TSO controlled by a person or persons from a third-country, the Directive
requires that the request be refused unless it is demonstrated that
certification "will not put at risk the security of supply" of the
Member State and the EU.[9] No similar requirement applies to
certification requests by domestic persons.
Croatia, Hungary and Lithuania have implemented versions of this "third-country
certification measure" in their respective legislation. The Russian Federation considers these
measures to be inconsistent, de jure, with
the obligations of Croatia, Hungary and Lithuania under GATS Article XVII to
accord services and service suppliers of any other Member treatment no less
favorable than these three Members' like services and service suppliers. In addition, pursuant to the Directive,
requests for certification by a transmission system owner or TSO located in one
EU Member State, but controlled by a person or persons of another Member State,
are not subject to the third-country certification measure. The services and service suppliers of one EU
Member State are thus treated more favorably by other Member States than are
the services and service suppliers of other third-countries, including
Russia. This is despite the fact that
the EU and each such Member State is also a Member of the WTO. The Russian Federation considers this measure
to be inconsistent, de jure, with
the EU Member States' obligations under Article II:1 of the GATS to accord
immediately and unconditionally to services and service suppliers of each
Member treatment no less favorable than that it accords to like services and
service suppliers of any other country.
In
the same sense, given the general applicability of the certification
requirement, Croatia, Hungary and Lithuania do not administer the third-country
certification measure in a reasonable, objective and impartial manner, contrary
to these Members' obligations under GATS Article VI:1. Likewise, Russia considers the third-country
certification measure as constituting a licensing and qualification requirement
that nullifies or impairs the specific commitments of Croatia, Hungary and
Lithuania in the pipeline transport services sector, in a manner inconsistent
with GATS Article VI:5(a).
Moreover,
various Member States have issued certification decisions, most of which the
European Commission ("Commission") has approved. Yet the Commission refused to approve Poland's
certification of Gaz-System S.A. as an ISO for the Polish section of the
Yamal-Europe Pipeline ("Yamal").
Having found that Yamal's owner, Europolgaz, is jointly controlled by
the Polish gas incumbent and a Russian pipeline transport service supplier, the
Commission required Poland to conduct a security of supply assessment. Previously, however, the Commission approved
certification of at least two TSOs in Member States in which other
third-country persons owned up to 100 percent interests, without any control or
"security of supply" assessments having been conducted. In so doing, contrary to its obligations
under GATS Article II:1, the EU accorded Russian services and service suppliers
less favorable treatment than like services and service suppliers of those third-countries.
The
Directive further requires Member States to ensure implementation of a system
of third-party access ("TPA") to the transmission and distribution
system and LNG facilities in the EU.[10] The Directive permits "major new gas
infrastructure, i.e. interconnectors, LNG and storage facilities," to be
exempted from the unbundling, TPA and other requirements under certain
conditions. The same exemptions are also
permitted for "significant increases of capacity in existing
infrastructure and to modifications of such infrastructure which enable the
development of new sources of gas supply."[11] The conditions to be examined in assessing
such requests permit Member States and the Commission significant discretion in
determining whether to grant infrastructure exemptions.
A
number of infrastructure exemptions have been granted under these provisions of
the Directive. Similar exemptions remain
in effect that were previously granted pursuant to comparable provisions of
Directive 2003/55/EC, as part of the SEP.[12] A Russian pipeline transport service supplier
controls the Ostseepipeline-Anbindungsleitung
("OPAL") pipeline. After being categorized as an "inter-connector,"
the Germany authority granted the OPAL pipeline owners a limited infrastructure
exemption for capacity used to transport natural gas from Griefswald, where gas
enters Germany from the Nordstream Pipeline ("Nordstream"), to
Brandov, where gas exits Germany and enters the Czech Republic. However, the Commission imposed a 50 percent
cap on the ability of the Russian supplier operating the OPAL pipeline,
described as a "dominant undertaking," to acquire exit capacity at
the Czech border. The Russian supplier
may exceed this cap only by implementing a "gas release" program and
selling 3 billion cubic meters ("bcm") of its gas annually at a
government-set, fixed price to competing gas suppliers on the Czech market,
regardless of what amount of additional capacity is booked by the Russian
supplier. No similar gas release
requirement was imposed in decisions granting infrastructure exemptions
concerning pipelines defined as interconnectors and controlled by other
third-country suppliers of natural gas and pipeline transport services.
In
addition, the Nordeuropäische Erdgasleitung ("NEL")
pipeline is intended to transport Russian gas westward through Germany from
Griefswald, the Nordstream entry point, to Rehden in Germany. The owners of the NEL pipeline, which include
a Russian service supplier, requested an exemption from the requirements of the
Directive. Germany denied this request on
the basis that the pipeline does not qualify as an interconnector. Although the definition of interconnector in
the Directive was interpreted strictly in denying an exemption for NEL,
exemption requests were granted to the third-country service suppliers or
owners of other pipelines, which also do not meet the definition of an
interconnector in the Directive (and in the SEP).
The
Russian Federation considers that, contrary to its obligations under GATS
Article II:1 in the case
of both the OPAL and NEL decisions, the EU accorded Russian services and
service suppliers less favorable treatment than it accorded to like services
and service suppliers of other third-countries pursuant to relevant decisions
granting exemptions to those suppliers.
As a result of these measures, natural gas originating in Russia is not
accorded immediately and unconditionally any advantage, favor, privilege or
immunity granted to natural gas originating in certain third-countries,
contrary to the EU's obligations under Article I:1 of GATT 1994.
In
addition, requiring that the operator of the OPAL pipeline adopt the 3 bcm gas
release program has a limiting effect on the volume of Russian gas being
imported into the EU market. The measure
thus maintains or institutes a de facto restriction
on importation, contrary to the requirements of Article XI:1 of GATT 1994. The Russian Federation also considers that
the OPAL gas release requirement also violates Article X:3(a) of GATT 1994. Specifically, by imposing the 3 bcm gas
release requirement under the conditions described above only on imported
Russian gas, but not third-country gas transported through pipelines subject to
other exemption decisions, the EU has failed to administer the infrastructure
exemption provisions in the Directive and the SEP in a uniform, impartial and
reasonable manner, including with regard to the sale, distribution and
transportation of natural gas.
Furthermore,
the definition of "transmission" in the Directive expressly exempts "upstream
pipeline networks," which are defined separately. The Directive also defines the functions of
transmission and LNG as separate from the functions of natural gas production
and supply. The unbundling provisions,
in turn, apply only to the transmission system and TSO, which must be separated
from the production and supply portions of the VIU. Domestic and third-country pipeline transport
service suppliers are thus exempt from the unbundling requirements with regard
to their upstream pipeline networks and LNG facilities. As a result, contrary to the EU's obligations
under Article I:1 of GATT 1994, natural gas originating in third-countries that
is transported and placed on the EU market through either of these types of
infrastructure is accorded an advantage, favor, privilege or immunity that is
not immediately and unconditionally accorded to natural gas originating in
Russia, which is transported and placed on the market by pipeline transport
service suppliers that are subject to the unbundling requirements. Such Russian-origin natural gas is also
accorded less favorable treatment than domestic natural gas that is transported
and placed on the market through upstream pipeline networks, and possibly LNG
facilities, in a manner inconsistent with Article III:4 of GATT 1994.
The
Russian Federation understands that these measures are enacted and implemented
through the following legal instruments:
·
Directive
2009/73/EC;
·
Directive
2003/55/EC;
·
Regulation (EC)
No 715/2009 on conditions for access to the natural gas transmission networks
and repealing Regulation (EC) No 1775/2005 ("Regulation (EC) No 715/2009");[13]
·
Regulation (EC)
No 713/2009 of the European Parliament and of the Council of 13 July 2009
establishing an Agency for the Cooperation of Energy Regulators ("Regulation
(EC) No 713/2009");[14]
·
Regulation (EU)
No 994/2010 of the European Parliament and of the Council of 20 October 2010
concerning measures to safeguard security of gas supply and repealing Council
Directive 2004/67/EC;[15]
·
Certification
decisions and opinions pursuant to Articles 10 and 11 of the Directive by the
Commission, and certification decisions and opinions by national regulatory
authorities of the EU Member States pursuant to their implementing laws,
including but not limited to:
§
Commission
Opinion, 6.9.2012, C(2012) 6255, Certification of jordgas Transport GmbH
(Germany), pursuant to Article 3(1) of Regulation (EC) No 715/2009 and Article
10(6) of Directive 2009/73/EC;
§
Commission
Opinion, 11.12.2012, C(2012) 9575, Certification of NABUCCO Gas Pipeline International
GmbH (Austria), pursuant to Article 3(1) of Regulation (EC) No 715/2009 and
Article 10(6) of Directive 2009/73/EC;
§
Commission
Opinion, 9.9.2014, C(2014) 6463, Certification of Gaz-System S.A. as the
operator of the Polish section of the Yamal-Europe Pipeline, pursuant to
Article 3(1) of Regulation (EC) No 715/2009 and Article 10(6) and 11(6) of
Directive 2009/73/EC;
·
Infrastructure
exemption decisions and opinions pursuant to Article 36 of the Directive and
its predecessors, including the SEP, by the Commission and national regulatory
authorities of the EU Member States;
·
Member State
legislation implementing the TEP, including but not limited to:
§
Austria, Natural
Gas Act of 2011 (Gaswirtschaftsgesetz), FLG I no 107/2011 (National Council: GP
XXIV RV 1081 AB 1128 p. 124. Federal Council: 8581 AB 8593 p. 801);
§
Belgium
(Federal), Act of 8 January 2012, amending the Federal Gas Act of 12 April
1965; Government of Belgium (Flanders), Decree of 8 July 2011, amending the
Energy Decree of 8 May 2009; Government of Belgium (Brussels Capital Region),
Edict of 20 July 2011, amending the Gas Edict of 1 April 2004; Government of
Belgium (Wallonia), various amending decrees and governmental orders
implementing the Directive;
§
Bulgaria, Energy
Act (as amended through SG No. 66/26.07.2013, effective 26.07.2013);
§
Croatia, Energy
Act (Official Gazette 120/12); Government of Croatia, the Act on the Regulation
of Energy Activities of 11 November 2012; Government of Croatia, Gas Market Act
of 14 March 2013;
§
Cyprus, Law for Regulating
the Natural Gas Market, Law 1219(I)/2012, which amends Laws for Regulating the
Natural Gas Market 2004-2007;
§
Czech Republic,
Amendment of the Energy Act, Act No. 211/2011 Coll., amending the Act no.
458/2000 Coll., on business conditions and public administration in the energy
sectors and on amendment of certain laws (the Energy Act), as amended, and
other related laws;
§
Denmark,
Amendments to the Electricity Supply Act and the Natural Gas Supply Act, Act
no. 466 of 18 May 2011;
§
Estonia, Natural
Gas Act, Maagaasiseaduse muutmise seadus, seaduse parandus, RT I, 28.06.2012,
2; Elektrooniline Riigi Teataja (MNE(2012) 52911);
§
Finland, Act to
amend the Natural Gas Market Act (laki maakaasumarkkinalain muuttamisesta
589/2013); Electricity and Gas Market Supervision Act (laki sähkö- ja
maakaasumarkkinoiden valvonnasta 590/2013); and Act on the Energy Market
Authority (laki energiamarkkinavirastosta 591/2013);
§
France, Ordonnance no 2011-504 du 9 mai 2011 portant codification de la
partie législative du code de l'énergie;
§
Germany,
Energiewirtschaftsgesetz (Gesetz über die Elektrizitäts- und Gasversorgung
(Energiewirtschaftsgesetz – EnWG) i.d.F. von Artikel 2 des Gesetzes vom
16.1.2012, BGBl I S. 74.);
§
Greece, Law
4001/2011, "For the operation of the energy markets of Electricity and
Natural Gas, for research, production and transmission networks of hydrocarbons
and other arrangements" (Official Gazette A'176/22.08.2011);
§
Hungary, Act No.
XXIX of 2011 amending the Gas Supply Act; Act No. XL of 2008 on Natural Gas
Supply;
§
Ireland, S.I. No.
463 of 2011, European Communities (Internal Market in Electricity and Gas)
(Consumer Protection) Regulations 2011;
§
Italy, Legislative Decree, 1 June 2011, no. 93, "Attuazione delle
direttive 2009/72/CE, 2009/73/CE e 2008/92/CE relative a norme comuni per il
mercato interno dell'energia elettrica, del gas naturale e ad una procedura
comunitaria sulla trasparenza dei prezzi al consumatore finale industriale di
gas e di energia elettrica, nonche' abrogazione delle direttive 2003/54/CE e
2003/55/CE;
§
Latvia, Energy
Law (amended as of 25.03.2014);
§
Lithuania, Law on
Natural Gas, No VIII-1973, 10 October 2000 (amended as of 13 March 2014 – No
XII-772); Law Implementing the Law Amending the Law on Natural Gas, No.
XI-1565, 30 June 2011; Resolution No. 1239 of 28 October 2011, on Approval of
the Plan for Performing the Unbundling of Activities and Control of Natural Gas
Undertakings That Do Not Conform to the Requirements of the Law on Natural Gas
of the Republic of Lithuania; Plan for Performing the Unbundling of Activities
and Control of Natural Gas Undertakings That Do Not Conform to the Requirements
of the Law on Natural Gas of the Republic of Lithuania, Approved by Resolution
No. 1239 of 28 October 2011 (Official Gazette, 2011, No. 130-6170);
§
Luxembourg, Loi du 7 août 2012 modifiant la loi modifiée du 1er août
2007 relative à l'organisation du marché du gaz naturel;
§
Malta, Subsidiary
Legislation 423.21, Natural Gas Market Regulations, 5 May 2011, Legal Notice
167 of 2011, as amended by Legal Notice 189 of 2012;
§
Netherlands,
Dutch Gas Act (Gaswet) (amended as of April 2013);
§
Poland, The
Energy Law of 10 April 1997 - consolidated text (Journal of Laws of 2012, item
1059, as amended).;
§
Portugal, Decreto Lei 77/2011, de 20 de Junho (20 June 2011);
§
Romania, Propunere ANRE de transpunere a Directivei CE si PE nr.73/2009;
§
Slovakia, Act No.
251/2012 Coll. on the Energy Industry and on Amendment and Supplement of
several acts;
§
Slovenia, Energy
Act;
§
Spain, Legal
Decree (Real Decreto-ley) 13/2012, 30 March 2012;
§
Sweden, Natural
Gas Act (2005:403) (amended as of 1 January 2012);
§
United Kingdom,
Electricity and Gas (Internal Markets) Regulations 2011;
·
as well as any
amendments or extensions, any replacement measures, any renewal measures, any
other implementing measures or legal instruments, and other related measures of
the foregoing.
2. Capacity Allocation
Measures
Access
to transmission networks within the EU is granted by selling rights to gas
suppliers for a particular volume of capacity.
The TEP imposed a system of regulations concerning the manner in which
capacity allocation takes place. These
included Regulation (EC) No 715/2009 and Commission Regulation (EU) 984/2013,
which was adopted subsequently.[16] These regulations grant Member States discretion
to define interconnection points ("IPs") and entry points. Capacity at IPs must be sold by auction,
whereas capacity at entry points is typically sold on a first-come-first-served
("FCFS") basis. Capacity for
natural gas originating in Russia is disproportionately defined as entering
through IPs and thus is subject to auction, whereas domestic-origin and other
third-country-origin gas is generally defined as entering through entry points,
making it subject to FCFS. FCFS (a)
results in a tariff freely negotiated between the contracting parties, while
auctioning is subject to a tariff approved by the regulator; and (b) can be
contracted for 20 or more years, while auctioned capacity is limited to 15
years.
As a
result, contrary to the EU's obligations under Article I:1 of GATT 1994,
natural gas originating in third-countries that is transported, placed on the
EU market and made subject to FCFS is accorded an advantage, favor, privilege
or immunity that is not immediately and unconditionally accorded to natural gas
originating in Russia, which is transported, placed on the market and made
subject to auction. Such Russian-origin
natural gas is also accorded less favorable treatment than domestic natural gas
that is transported, placed on the market and made subject to FCFS, in a manner
inconsistent with Article III:4 of GATT 1994.
The
Russian Federation understands that these measures are enacted and implemented
through the following legal instruments:
·
Directive
2009/73/EC;
·
Regulation (EC)
No 715/2009;
·
Regulation (EC)
No 713/2009;
·
Commission
Regulation (EU) 984/2013;
·
as well as any
amendments or extensions, any replacement measures, any renewal measures, any
implementing measures, and other related measures of the foregoing.
3. "Projects of Common
Interest" Measures
The
EU has also enacted regulations establishing "trans-European energy
infrastructure priority corridors and areas," including four specific "priority
gas corridors." The principal
regulation, Regulation (EU) No 347/2013, is referred to as the "TEN-E
regulation." It sets forth
criteria for identifying "projects of common interest" or "PCIs,"
which are accorded priority status, including within priority gas
corridors. The TEN-E regulation provides
for the implementation of PCIs, including those concerning natural gas, to be
facilitated by "streamlined and efficient permit granting procedures,"
"improved regulatory treatment" and EU financial assistance. In October 2013, the Commission issued
an amendment to the TEN-E regulation setting out the initial list of PCIs.[17]
These include a number of projects that
promote and facilitate the production and transportation of domestic natural
gas, as well as the importation and transportation of gas from various
third-countries, including numerous LNG projects. However, the list of PCIs excludes any
project designed to facilitate the importation or transportation of natural gas
from Russia. The Russian Federation is
not aware of any such projects currently under consideration for designation as
a PCI.
The
Russian Federation considers that, contrary to GATS Article II:1, these
measures accord Russian services and service suppliers less favorable treatment
than is accorded to like services and service suppliers of other
third-countries, which benefit from having projects listed as PCIs. Natural gas originating in third-countries
that is transported and placed on the EU market through pipelines or other
infrastructure listed as PCIs is also accorded an advantage, favor, privilege
or immunity that is not immediately and unconditionally accorded to natural gas
originating in Russia, contrary to Article I:1 of GATT 1994. Such Russian-origin natural gas is also
accorded less favorable treatment than domestic natural gas that is transported
and placed on the market through pipelines or other infrastructure listed as
PCIs, in a manner inconsistent with Article III:4 of GATT 1994.
The
Russian Federation understands that these measures are enacted and implemented
through the following legal instruments:
·
Directive
2009/73/EC;
·
Regulation (EC)
No 715/2009;
·
Regulation (EU)
No 347/2013;
·
Commission
Delegated Regulation (EU) No 1391/2013; and
·
Regulation (EU)
No 1316/2013 of the European Parliament and of the Council of 11 December
2013 establishing the Connecting Europe Facility, amending Regulation (EU) No
913/2010 and repealing Regulations (EC) No 680/2007 and (EC) No 67/2010, OJ L
348, 20.12.2013.
·
as well as any
amendments or extensions, any replacement measures, any renewal measures, any
implementing measures, and other related measures of the foregoing.
The
Russian Federation considers that the above-mentioned measures are inconsistent
with the obligations of the EU and its Member States under Articles II:1, VI:1,
VI:5(a), XVI, including XVI:1 and XVI:2(a), (e) and (f), and XVII of the GATS;
and Articles I:1, III:4, X:3(a) and XI:1 of the GATT 1994. These measures also appear to nullify or
impair the benefits accruing to the Russian Federation directly or indirectly
under the cited agreements.
The Russian
Federation asks that this request be placed on the agenda for the regular
meeting of the Dispute Settlement Body to be held on 19 June 2015.
__________
[1] Directive 2009/73/EC of the European Parliament and of the Council
of 13 July 2009 concerning common rules for the internal market in natural gas
and repealing Directive 2003/55/EC, OJ L 211/94 of 14.8.2009 ("Directive
2009/73/EC" or the "Directive").
[2] "Natural gas" includes liquefied natural gas ("LNG"),
consistent with the provisions of the Directive.
[3] "Natural gas pipeline transport services" (or "pipeline
transport services") include, but are not necessarily limited to, the
transmission (or transport) and supply of natural gas, including LNG, and the
services related to the transmission and supply of natural gas, including LNG
services.
[4] Directive, Article 9.
Article 9(9) of the Directive provides for a fourth ownership unbundling
model. For the sake of clarity, the Russian Federation notes that the
references to specific provisions of legal instruments in this request are for
explanatory purposes and without prejudice to the examination in the
proceedings of other relevant provisions of the specific legal instruments
cited herein.
[5] Directive, Article 9(2)(c).
[6] Directive, Article 14.
[7] Directive, Chapter IV.
[8] Directive, Article 9(6).
[9] Directive, Article 11.
[10] Directive, Article 32.
[11] Directive, Article 36.
[12] Directive 2003/55/EC of the European Parliament and of the Council
of 26 June 2003 concerning common rules for the internal market in natural gas
and repealing Directive 98/30/EC, Article 22, OJ L 176, 15.7.2003, pp. 57-78 ("Directive
2003/55/EC").
[13] OJ L 211, 14.8.2009, pp. 36-54.
[14] OJ L 211, 14.8.2009, pp. 1-14.
[15] OJ L 295, 12.11.2010, pp. 1-22.
[16] Commission Regulation (EU) 984/2013 of 14 October 2013 establishing
a Network Code on Capacity Allocation Mechanisms in Gas Transmission Systems
and supplementing Regulation (EC) 715/2009, OJ L 273, 15.9.2013, pp. 5-17 ("Commission
Regulation (EU) 984/2013").
[17] Commission Delegated Regulation (EU) No 1391/2013 of 14 October
2013, amending Regulation (EU) No 347/2013 of the European Parliament and of
the Council of 17 April 2013 on guidelines for trans-European energy
infrastructure as regards the Union list of projects of common interest, OJ L
349, 21.12.2013, pp. 28‑43 ("Commission Delegated Regulation (EU) No
1391/2013").