The European energy commissioner Andris Piebaigs spoke at a seminar on energy competition organised by Ofgem in London on March 3rd. He said that the Commission had begun a wide-ranging investigation into competition in the electricity and gas markets, which should be completed by the end of this year. It was being carried out jointly by the energy and competition directorates and its full conclusions were due to be published in 2006.

He also confirmed that the Commission was due to start enforcement proceedings later this month against 12 European Union states for failures over the detailed implementation of the electricity and gas directives, designed to create a single European energy market. Germany , Sweden , Spain , Belgium and Greece were among those facing court action.

But he said it was too early to say if further legislation would be needed to force unbundling to speed up market opening. "We will be looking at how the markets are integrating" he said, and added that the Commission would not flinch from further measures if new steps were necessary.

However he said that the Commission had no immediate plans to require Europe ’s integrated energy giants to unbundle their transmission and retail activities. However, he said that the prospect had not been ruled out for the future.

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