The European Wind Energy Association (EWEA) welcomes yesterday’s European Parliament vote in favour of full ownership unbundling of vertically-integrated power companies, and its rejection of the Independent Systems Operator and Independent Transmissions Operator options. The votes demonstrate the Parliament’s support for a properly liberalised energy market and a level playing field for renewables.

“Allowing power generation companies to own the transmission grid makes no more sense than allowing an airline company to own the sky,” commented Christian Kjaer, EWEA Chief Executive. “The European Parliament has shown its commitment to fair access to the electricity grids, which is essential if the EU is ever to attain effective competition in the power market while meeting its objective of 20% renewable energy by 2020.”

MEPs rejected the Commission’s ‘second option’ for energy market liberalisation and the ‘third option’ proposed by France, Germany and six other Member States in January this year. The ‘second option’ would have an Independent Systems Operator (ISO) oversee network activities, and the ‘third option’ would put day-to-day grid management in the hands of an Independent Transmission Operator (ITO), but both options would allow European energy companies to retain their network assets.

The Parliament also voted in favour of the regulatory authorities having, as one of their required tasks, to take “all reasonable measures”, including the removal of any barriers, to ensure the integration of “large and small-scale renewables” into the grids.

Rapporteur Eluned Morgan said that the votes had clearly shown "the will of the Parliament and that the best way to deliver the level playing field we need is through the total separation of energy supply from transmission.”

The Parliament’s position is different to that of the Council, which agreed on 6 June on a ‘general approach’ that included the ITO option as an alternative to unbundling. The second reading of the draft directive will take place later this year.