European Union Energy and Financial Market Regulations

European Union Energy Market Regulations

1st package- Directives 96.92 concern common rules for the internal market in electricity and 98.30 internal market of natural gas. Liberalization was to be progressive, applying gradually to different categories of consumers. Introduce a partial opening of national markets to competition, both required liberalization of certain segments of their electric and gas markets to enlarge. 2nd- 2003.55-54 liberalization process took place at different speeds in different member states aiming at the creation of an internal market. Required national gas and electric markets to be liberalized for large consumers by 2004 and 2007, respectively. 3rd- Directive on electric, on gas, security of supply electric, regulate security of gas. Establish an agency for cooperation of energy regulation, its mission and tasks, organized in annual work programmes. Complements and regulates work of national energy regulator.

European Union Financial Market Regulations

1 character of single supervisory mechanism- Dual system bank supervision with oversight power for both ECB and national bank. ECB responsibility for the effectiveness and consistency of the SSM, authorize & withdraw authorization regarding credit institutions, ensure compliance with EU law, carry out supervisory reviews. Dual system of bank supervision needs cooperation between the ECB and national bank. 2 single resolution mechanism- Much because it involves different agencies. The regulation board establishes for the first time common objectives of national resolution authorities to avoid significant effects on financial stability, encompasses all member states participating in the SSM, council may, under the recommendation of commission, initiate a resolution procedure. Based on BRRD- resolution board will have broad powers vis-à-vis national authorities.