On 15 December, the European Commission published its ‘Decarbonised Gas Markets Package’.

The set of legislative proposals aims at updating EU gas market rules to prepare for the transition to low-carbon and renewable gases (including clean hydrogen) and to improve the EU’s resilience to gas supply shocks.

The package contains a number of individual proposals, including:

• Rules for planning and financing the development of hydrogen pipelines;
• Requirements for cross-border natural gas infrastructure to be ready to accommodate hydrogen blends up to 5% by volume;
• Making it easier for consumers to switch gas suppliers and get more transparent bills;
• An EU-wide certification scheme for low-carbon fuels;
• Changes to rules on gas transmission tariffs, including the possibility of discounts for renewable and low-carbon gas injections;
• Rules for the voluntary purchase of strategic gas stocks, to be used in case of supply emergencies; and
• Requiring the energy industry to report on (and limit) methane emissions.

The Commission’s proposals will now be debated (and possibly amended) by the European Parliament and Council, before becoming EU law. 

Over the last year (and building on earlier Frontier advice), we have been advising the Commission on the development of significant parts of the Package, including three separate assignments on the regulation of hydrogen infrastructure, gas quality and policies for gas distribution networks and consumer participation.

We have also been advising other clients on related issues and have created a Roadmap to Hydrogen handbook to share insights and help facilitate conversations around the future of hydrogen.

For more information, please contact media@frontier-economics.com or call +44 (0) 20 7031 7000.