Management of the Hungarian Energy Office - Magyar Energia Hivatal
Management of the Hungarian Energy Office - Magyar Energia Hivatal Management of the Hungarian Energy Office - Magyar Energia Hivatal
hungarian energy office energy mix and a fi nancial assistance system promoting its implementation. The results of the project contribute to the preparation and implementation of the Renewables National Action Plan (Megújuló Nemzeti Cselekvési Terv - NCsT) to be submitted to the European Commission, and also to the preparation of the regulation that adapts Directive 2009/28/EC into the national law. Greenhouse gas emission allowance trading On the basis of Directive 2003/87/EC of the European Parliament and the Council the facilities with a combustion equipment of over 20 MW capacities may perform an activity including carbon dioxide emission only in possession of an allowance. The allowance trading system of the EU is applicable to facilities producing electricity and district heat, to oil refi neries, coking plants, to iron metallurgy and steel production, cement-, lime-, glass- and construction material production, as well as to paper mills. annual report 2009 | 46 In the fi rst trading period – between 2005 and 2007 - the Ministry of Environment and Water (KvVM) signifi cantly over-allocated the allowances to market actors. In most of the Member States of the European Union, a very similar situation evolved, so the price of allowances – because of the excessive offer of allowances – fell from the 30 Euro peak to 0.5 to 1 Euro in 2007. In the 2008-2012 (so-called second) trade period Hungary probably has to expect a shortage of allowances, primarily in the electricity and district heat production sectors. HEO as competent authority participates in the determination of the total annual sulphur-dioxide and nitrogen-oxide emission allowance of the power plants, and on the basis of Act 15 of 2005 on the trade of the greenhouse gas emission allowances HEO contributes to determine the allowances for the new entrants in the Allocation Plan. HEO only gives its positions concerning the electricity production licensees; the allocation authority is the National Inspectorate for Environment, Nature and Water.
annual report 2009 OPERATION OF THE HEO, INSTITUTIONAL RELATIONS, PUBLICITY INSTITUTIONAL AND INTERNATIONAL RELATIONS, PUBLICITY Bilateral institutional relations In addition to HEO, other administrative bodies also perform consumer protection tasks; HEO maintains – in accordance with the practice of the previous years – regular relationship with these bodies (Hungarian Competition Authority, Ombudsmen, Parliamentary Commissioner for Data Protection and Freedom of Information, Hungarian Authority for Consumer Protection), and performed its work in coordination with those. The cooperation with the Hungarian Authority for Consumer Protection was even closer than in the previous year, as the division of competencies, which took place in the electricity sector on 1 January 2008, and in the natural gas sector on 1 July 2009. From 1 July 2009, HEO provides continuous professional support for the Hungarian Authority for Consumer Protection in the management of diffi cult customer complaints not only on electricity licensees, but also on natural gas licensees. The competency rules were made more unambiguous by the amendments of the Electricity Act and the Gas Act, therefore fewer discussions were needed. Special attention was drawn to the defi nition of the forms and content of the data supply, as the information on complaints serves as a basis for the regulatory and supervising activities of HEO. In order to be able to monitor the observance of the prescribed requirements it is indispensable that the data supply of the Hungarian Authority for Consumer Protection fi ts to the statistical system according to which HEO collects the data, and on the basis of which it evaluates the activities of the licensees. HEO also has an active and continuous relationship with non-governmental organizations of customer protection. Within the framework of this relationship, non-governmental organizations give their opinion on the Business Conducts Rules and resolutions on the quality of supply, and participate in the work of the Energy Interest Representation Board on every occasion. International relations HEO is member of the Council of European Energy Regulators (CEER) and the European Regulators’ Group for Electricity and Gas (ERGEG), which is operating as the offi cial advisory body of the EU Commission. The employees of HEO actively took part in the work of several working groups and subcommittees of the CEER and ERGEG in 2009, therefore they directly obtained information regarding the questions and issues of European energy affairs (safety of supply, sustainability, energy consumers), and they had the possibility to represent the Hungarian interests during the elaboration of the measures affecting the sector. In addition to the above, from 2010, HEO delegates members to the Renewable Energy Sources Concerted Action (RES CA), which was established for the harmonic implementation of the Directive on Renewables. The President of the UN Working Party on Gas – which performs data collection for the UN for gas storage, gas transmission and security of supply studies – is one of the employees of HEO. HEO takes part in the work of the profession association of the energy regulators of several countries of Central Eastern Europe, Asia, and the Middle East, the Energy Regulators Regional Association (ERRA). The president of ERRA is one of the Directors of HEO, the Secretariat of ERRA operates in the building of HEO. From the sister authorities of the neighbouring countries, HEO has good bilateral relationships with the Austrian E-control and the Romanian ANRE. The Energy Interest Representation Board (EÉT – Energetikai Érdekképviseleti Tanács) In 2009, the Energy Interest Representing Board held semi-annual meetings with the participation of customers and licensees. Magyar Energiafogyasztók Szövetsége (The Association of the Hungarian Energy Customers), Ipari Energiafogyasztók Fóruma (Forum of Industrial Energy Customers) Országos Fogyasztóvédelmi Egyesület (Association for Consumer Protection of Hungary) were the permanent representatives of the customer’s side. At the fi rst semi-annual meeting, EÉT reviewed the experience of the gas crisis that occurred at the beginning of 2009, as well as the connections between the European wholesale prices and the Hungarian consumer prices. The Agenda of the second semi-annual meeting of EÉT included a report on the actual experience concerning the introduction of the new gas market model, a report on the experience gathered during the investigation of the electricity outage of January 2009, as well as the pricing of the universal natural gas service expected after July 2009. CONDITIONS OF OPERATION Financial Management of the HEO HEO stands as a separate title in the budget of KHEM, it receives state support for payment of the so-called income supplements; the support was centrally determined and obligatory. The extent of revenues of HEO and the procedures of collection are regulated by KHEM Decree 30/2008 (31.10) on the Service Fees of the Hungarian Energy Offi ce and the Rules of Payment of the Administrative Service Fee and the Supervision Fee, and GKM Decree 91/2007 (20.11) amended by KHEM Decree 6/2009 (28.02). HEO is an independently operating, fi nancially autonomous central administrative body, that has full authority in managing his budgetary annual report 2009 | 47
- Page 1 and 2: Hungarian Energy Office Report on t
- Page 3 and 4: Dear Reader, The regulation of the
- Page 5 and 6: Table of contents SUMMARY . . . . .
- Page 7: Management of the Hungarian g Energ
- Page 10 and 11: hungarian energy office The Gas Act
- Page 12 and 13: hungarian energy office REGULATION
- Page 14 and 15: hungarian energy office currently a
- Page 16 and 17: hungarian energy office COMPETITION
- Page 18 and 19: hungarian energy office (Table 4).
- Page 20 and 21: hungarian energy office Small custo
- Page 22 and 23: hungarian energy office • By Dece
- Page 24 and 25: hungarian energy office High voltag
- Page 26 and 27: hungarian energy office Trading mar
- Page 28 and 29: hungarian energy office In 2009, fo
- Page 30 and 31: hungarian energy office REGULATION
- Page 32 and 33: hungarian energy office for natural
- Page 34 and 35: hungarian energy office outages, wh
- Page 36 and 37: hungarian energy office The dispatc
- Page 38 and 39: hungarian energy office HUF/GJ 3 50
- Page 40 and 41: hungarian energy office Service qua
- Page 42 and 43: hungarian energy office REGULATION
- Page 44 and 45: hungarian energy office ENERGY SAVI
- Page 48 and 49: hungarian energy office appropriati
- Page 50 and 51: hungarian energy office GDP, Electr
- Page 52 and 53: hungarian energy office Trend of Na
- Page 54 and 55: hungarian energy office Development
- Page 56 and 57: hungarian energy office 4. DATA ON
- Page 58 and 59: hungarian energy office The Yearly
- Page 60 and 61: hungarian energy office Data on Bre
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- Page 64 and 65: hungarian energy office 5. DATA ON
- Page 66 and 67: hungarian energy office The Yearly
- Page 68 and 69: hungarian energy office Summary Dat
- Page 70 and 71: hungarian energy office Typical Ind
- Page 72 and 73: hungarian energy office Residential
- Page 74 and 75: hungarian energy office Regulated E
- Page 76 and 77: Table 7.5 Natural Gas Tariffs Valid
- Page 78 and 79: hungarian energy office Natural Gas
- Page 80 and 81: hungarian energy office 3. Storage
- Page 82 and 83: hungarian energy office Govt. Decre
- Page 84: hungarian energy office DIRECTIVES
hungarian energy <strong>of</strong>fice<br />
energy mix and a fi nancial assistance system promoting its<br />
implementation. The results <strong>of</strong> <strong>the</strong> project contribute to <strong>the</strong><br />
preparation and implementation <strong>of</strong> <strong>the</strong> Renewables National<br />
Action Plan (Megújuló Nemzeti Cselekvési Terv - NCsT) to<br />
be submitted to <strong>the</strong> European Commission, and also to <strong>the</strong><br />
preparation <strong>of</strong> <strong>the</strong> regulation that adapts Directive 2009/28/EC<br />
into <strong>the</strong> national law.<br />
Greenhouse gas emission allowance trading<br />
On <strong>the</strong> basis <strong>of</strong> Directive 2003/87/EC <strong>of</strong> <strong>the</strong> European<br />
Parliament and <strong>the</strong> Council <strong>the</strong> facilities with a combustion<br />
equipment <strong>of</strong> over 20 MW capacities may perform an activity<br />
including carbon dioxide emission only in possession <strong>of</strong><br />
an allowance. The allowance trading system <strong>of</strong> <strong>the</strong> EU is<br />
applicable to facilities producing electricity and district heat,<br />
to oil refi neries, coking plants, to iron metallurgy and steel<br />
production, cement-, lime-, glass- and construction material<br />
production, as well as to paper mills.<br />
annual report 2009 | 46<br />
In <strong>the</strong> fi rst trading period – between 2005 and 2007 - <strong>the</strong><br />
Ministry <strong>of</strong> Environment and Water (KvVM) signifi cantly<br />
over-allocated <strong>the</strong> allowances to market actors. In most <strong>of</strong> <strong>the</strong><br />
Member States <strong>of</strong> <strong>the</strong> European Union, a very similar situation<br />
evolved, so <strong>the</strong> price <strong>of</strong> allowances – because <strong>of</strong> <strong>the</strong> excessive<br />
<strong>of</strong>fer <strong>of</strong> allowances – fell from <strong>the</strong> 30 Euro peak to 0.5 to 1<br />
Euro in 2007.<br />
In <strong>the</strong> 2008-2012 (so-called second) trade period Hungary<br />
probably has to expect a shortage <strong>of</strong> allowances, primarily in<br />
<strong>the</strong> electricity and district heat production sectors.<br />
HEO as competent authority participates in <strong>the</strong> determination<br />
<strong>of</strong> <strong>the</strong> total annual sulphur-dioxide and nitrogen-oxide emission<br />
allowance <strong>of</strong> <strong>the</strong> power plants, and on <strong>the</strong> basis <strong>of</strong> Act 15 <strong>of</strong><br />
2005 on <strong>the</strong> trade <strong>of</strong> <strong>the</strong> greenhouse gas emission allowances<br />
HEO contributes to determine <strong>the</strong> allowances for <strong>the</strong> new<br />
entrants in <strong>the</strong> Allocation Plan. HEO only gives its positions<br />
concerning <strong>the</strong> electricity production licensees; <strong>the</strong> allocation<br />
authority is <strong>the</strong> National Inspectorate for Environment, Nature<br />
and Water.
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