ENTSO-E: With License to Regulate. The transformative impact of ENTSO-E as a new mode of governance in the internal energy market for electricity

Abstract

While energy traditionally has been a competence closely linked to national level of governance in the European Union, the year 2009 marked a critical juncture in the development of an European energy policy as both the Third Energy Package and the Treaty of Lisbon came into force. The introduction of the Lisbon Treaty gave the European Union the leeway and clout to pursue an European energy policy, and as part of the Third Package, the European Networks of Transmission System Operators for electricity (ENTSO-E) was formally established and given its legal mandates. This thesis investigates the transformative impact of ENTSO-E as new mode of governance, in the form of central penetration of national systems of governance by answering the following research question: To what extent has ENTSO-E had a transformative impact on the governance of the internal energy market for electricity, in terms of the central penetration of national systems of governance? ENTSO-E as a new mode of governance is evaluated on the transformative impact on the internal energy market for electricity, by investigating its success in achieving declared policy objectives, and by addressing the structural impact of ENTSO-E as a new mode of governance in terms of resulting shifts of power between the national and European level of governance. This thesis concludes that while ENSTO-E as a new mode of governance has been successful in reaching its intended policy objectives, ENTSO-E has not had a transformative impact in terms of the central penetration of national systems of governance in the internal energy market for electricity. The institutional framework of ENTSO-E has however laid the foundation for future and deeper integration in this policy field.