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Regulation (EU) 2024/1789 Section 5 — Demand aggregation and the joint purchasing of natural gas, and mechanism to support the market development of hydrogen

Article 42–Article 54 · 13 articles

Compiled from an official source version. Later amendments or repeals may not be reflected; the official text prevails. · Read the official text ↗

Mechanism for demand aggregation and the joint purchasing of natural gas

Article 42

The Commission shall establish a mechanism for voluntary demand aggregation and the joint purchasing of natural gas pursuant to Articles 43 to 49.

Contract with a service provider

Article 43

1.   By way of derogation from Article 176 of Regulation (EU, Euratom) 2018/1046, the Commission may contract the necessary services of an entity or entities established in the Union through the relevant procurement procedures under Regulation (EU, Euratom) 2018/1046, in order to implement the objective laid down in Article 42 of this Regulation. 2.   Where the Commission selects a service provider, it shall do so on the basis of criteria that safeguard the integrity of the internal market, that ensure competition and security of supply, and that comply with Article 44. The Commission shall specify the requirements applicable to the service provider in the relevant tender specifications.

Criteria for selecting the service provider

Article 44

1.   The service provider shall be selected by the Commission among entities complying with the following eligibility criteria: (a) the service provider shall be established and have its operational seat in the territory of a Member State; (b) the service provider and its subcontractors shall not be: (i) subject to Union restrictive measures adopted pursuant to Article 29 TEU or Article 215 TFEU, consisting of a prohibition to make available or transfer funds or economic resources or to provide financing or financial assistance to them directly or indirectly, or of an asset freeze; or (ii) directly or indirectly owned or controlled by, or acting on behalf or at the direction of natural or legal persons, entities or bodies subject to such Union restrictive measures. 2.   Without prejudice to other due diligence obligations, contractual obligations between the Commission and the service providers shall be put in place to ensure that the service provider when carrying out its tasks under Article 45 does not make any funds or economic resources available, directly or indirectly, to or for the benefit of natural or legal persons, entities or bodies: (a) subject to Union restrictive measures adopted pursuant to Article 29 TEU or Article 215 TFEU, consisting of a prohibition to make available or transfer funds or economic resources or to provide financing or financial assistance to them directly or indirectly, or of an asset freeze; or (b) directly or indirectly owned or controlled by, or acting on behalf or at the direction of natural or legal persons, entities or bodies subject to such Union restrictive measures. 3.   The service provider shall not be part of a vertically integrated undertaking, except for an entity unbundled in accordance with Chapter IX of Directive (EU) 2024/1788.

Tasks of the service provider

Article 45

1.   The service provider shall organise the tasks of demand aggregation and the joint purchasing of natural gas. In particular, but not exclusively, the service provider may implement the following elements: (a) assessment and aggregation of demand of natural gas undertakings and undertakings consuming natural gas; (b) collection of offers from natural gas suppliers or producers in order to match such offers with the aggregated demand; (c) allocation of supply offers to participants in demand aggregation, taking into account a proportionate distribution between smaller and larger participants depending on the volumes of demand submitted; (d) provide any related ancillary services, including services to facilitate the conclusion of contracts for the purchase of natural gas.

Participation in the mechanism for demand aggregation and the joint purchasing of natural gas

Article 46

1.   Participation in the mechanism for demand aggregation and the joint purchasing of natural gas shall be open to natural gas undertakings and undertakings consuming natural gas established in the Union on a non-discriminatory basis. Such undertakings shall be precluded from participating as suppliers, producers and purchasers, if they are: (a) subject to Union restrictive measures adopted pursuant to Article 29 TEU or Article 215 TFEU, consisting of a prohibition to make available or transfer funds or economic resources or to provide financing or financial assistance to them directly or indirectly, or of an asset freeze; or (b) directly or indirectly owned or controlled by, or acting on behalf or at the direction of natural or legal persons, entities or bodies subject to such Union restrictive measures. 2.   Contractual obligations shall be put in place to ensure that no funds or economic resources are made available, directly or indirectly, to or for the benefit of natural or legal persons, entities or bodies, which are: (a) subject to Union restrictive measures adopted pursuant to Article 29 TEU or Article 215 TFEU, consisting of a prohibition to make available or transfer funds or economic resources or to provide financing or financial assistance to them directly or indirectly, or of an asset freeze; or (b) directly or indirectly owned or controlled by, or acting on behalf or at the direction of natural or legal persons, entities or bodies subject to such Union restrictive measures. 3.   Natural gas undertakings and undertakings consuming natural gas established in the Energy Community Contracting Parties may participate in the mechanism for demand aggregation and the joint purchasing of natural gas provided that the necessary measures or arrangements are in place to allow their participation in the mechanism for demand aggregation and the joint purchasing of natural gas pursuant to this Section. 4.   Natural gas undertakings and undertakings consuming natural gas participating in demand aggregation may, on a transparent basis, coordinate elements of the conditions of the purchase contract or use joint purchase contracts in order to achieve better conditions with their suppliers, provided that they comply with Union law, including Union competition law, in particular Articles 101 and 102 TFEU. 5.   Participants in the mechanism for demand aggregation and the joint purchasing of natural gas shall report to the Commission or the relevant service provider, as appropriate, the following elements of the concluded contracts: (a) volume; (b) counterparts; (c) duration. 6.   Participants in the mechanism for demand aggregation and the joint purchasing of natural gas may report to the Commission or the relevant service provider, as appropriate, if matching and tendering did not result in the conclusion of a supply contract. 7.   The recipient of the information reported under paragraphs 5 and 6 shall ensure that access to confidential information is strictly limited to the service provider and to Commission services for whom it is absolutely necessary to have the information available. Such information shall be handled with due confidentiality.

Temporary limitation of participation in the mechanism for demand aggregation and the joint purchasing of natural gas

Article 47

1.   In order to protect the essential security interests of the Union and of its Member States, and in the interest of safeguarding security of supply, natural gas supplies originating in, and LNG supplies from LNG facilities located in, the Russian Federation or Belarus shall not be offered through the mechanism for demand aggregation and the joint purchasing of natural gas until 31 December 2025. 2.   The exclusion referred to in paragraph 1 shall apply to all LNG supplies originating in any LNG facility located in the Russian Federation or Belarus and natural gas supplies entering the Member States or Energy Community Contracting Parties through the following entry points: (a) Greifswald; (b) Lubmin II; (c) Imatra; (d) Narva; (e) Värska; (f) Luhamaa; (g) Šakiai; (h) Kotlovka; (i) Kondratki; (j) Wysokoje; (k) Tieterowka; (l) Mozyr; (m) Kobryń; (n) Sudzha (RU)/(UA); (o) Belgorod (RU)/(UA); (p) Valuyki (RU)/(UA); (q) Serebryanka (RU)/(UA); (r) Pisarevka (RU)/(UA); (s) Sokhranovka (RU)/(UA); (t) Prokhorovka (RU)/(UA); (u) Platovo (RU)/(UA); (v) Strandzha 2 (BG)/Malkoclar (TR).

Possibility to limit the participation in the mechanism for demand aggregation and the joint purchasing of natural gas

Article 48

1.   From 1 January 2026, the Commission may decide, by means of an implementing act, to temporarily exclude natural gas originating in, or LNG supplies from LNG facilities located in, the Russian Federation or Belarus from the participation in the mechanism for demand aggregation and the joint purchasing of natural gas, where that is necessary to protect the essential security interests or the security of supply of the Union or of a Member State, provided that such measures: (a) do not unduly disrupt the proper functioning of the internal market for natural gas and cross-border flows of natural gas between Member States, and do not undermine the security of supply of the Union or of a Member State; (b) respect the principle of energy solidarity; (c) are taken in accordance with the rights and obligations of the Union or of the Member States with respect to third countries. 2.   Sufficiently in advance of the first tendering round in 2026, the Commission shall assess whether all the conditions laid down in paragraph 1 are met with the view to deciding on any measures referred to therein. Any such decision shall be valid for a period of up to one year and may be renewed if justified. The Commission shall continuously assess whether the conditions laid down in paragraph 1 are met and shall keep the European Parliament and the Council duly informed about its assessments, including the assessment referred to in the first subparagraph of this paragraph. 3.   Taking into account the need to ensure the security of supply of the Union, the measures taken by the Commission pursuant to paragraph 1 may be aimed at diversifying natural gas or LNG supplies with a view to reducing dependence on Russian natural gas, where it can be demonstrated that such measures are necessary to protect the essential security interests of the Union and of the Member States. 4.   Decisions referred to in paragraph 1 shall contain a list of: (a) all entry points from the Russian Federation or Belarus or other third countries serving as transit countries which shall not be used to deliver natural gas supplies subject to demand aggregation and joint purchasing; and (b) all LNG facilities located in the Russian Federation or Belarus. Natural gas suppliers or producers participating in the mechanism for demand aggregation and joint purchasing of natural gas shall provide assurance on the compliance with Article 47 and the decisions adopted pursuant to paragraph 1 of this Article. 5.   The Commission shall take appropriate measures to ensure the effective application of this Article and of Article 47 and may require from natural gas suppliers or producers participating in the mechanism for demand aggregation and the joint purchasing of natural gas all the necessary information to assist it in that task, including the submission to the purchasers of the relevant shipping documents when delivering the natural gas supplies, where technically feasible.

Steering Board

Article 49

1.   In order to facilitate coordination and information exchange in relation to the mechanism for demand aggregation and the joint purchasing of natural gas, the Commission shall be assisted by a Steering Board. 2.   The Steering Board shall be composed of representatives of Member States and one representative of the Commission. The participation of Member States shall be voluntary and depends in particular upon the agenda of the Steering Board’s meetings. The representatives of the Energy Community Contracting Parties may participate in the Steering Board upon invitation of the Commission on all matters of mutual concern. The Commission shall chair the Steering Board.

Guarantees

Article 50

Member States, in respect of participants established in their territories, or other relevant stakeholders may provide liquidity support, including guarantees, to participants in the mechanism for demand aggregation and the joint purchasing of natural gas, in accordance with State aid rules where applicable, in particular where the competent authority of the relevant Member State has declared one of the crisis levels referred to in Article 11(1) of Regulation (EU) 2017/1938.

Reporting

Article 51

The Commission shall regularly report to the Steering Board and submit an annual report to the European Parliament and to the Council on the functioning of the mechanism for demand aggregation and the joint purchasing of natural gas. The information provided in the report shall include at least: (a) information on the number of natural gas undertakings and volumes of natural gas participating in the mechanism for demand aggregation and the joint purchasing of natural gas; (b) information on the number of contracts concluded and the resulting volumes of natural gas respectively contracted and delivered to the Union; (c) a description of the applicable rules in tendering rounds to participants in demand aggregation and natural gas suppliers or producers; (d) an overview of the overall cost of the mechanism for demand aggregation and the joint purchasing of natural gas, including the expenses incurred for the service provider; (e) any major development of the functioning of the mechanism for demand aggregation and the joint purchasing of natural gas.

Mechanism to support the market development of hydrogen

Article 52

1.   The Commission may establish a mechanism to support the market development of hydrogen including the elements specified in paragraph 2 to be implemented under the activities of the European Hydrogen Bank. That voluntary mechanism may be in place until 31 December 2029. 2.   The Commission may contract the relevant service provider, applying by analogy the procedure set out in Articles 43 and 44, for the implementation, in particular, but not exclusively, of the following elements: (a) collection and processing of market data on, for instance, availability of infrastructure or development of hydrogen flows and prices, to increase the transparency of the market development of hydrogen; (b) collection and assessment of demand from off-takers; (c) collection of offers for hydrogen from suppliers; (d) access to relevant and necessary information collected pursuant to this paragraph to suppliers and off-takers, subject to their consent and pursuant to Union competition rules. 3.   In order to contribute to the decarbonisation objectives laid down in this Regulation, Member States may ensure liquidity support, including guarantees, for hydrogen under the activities of the European Hydrogen Bank and in accordance with State aid rules where applicable. 4.   Coordination and information exchange in relation to the mechanism referred to in paragraph 1 may be facilitated by the relevant coordination group separate from expert groups dedicated to natural gas. In the case of hydrogen, such coordination group shall be established and it shall carry out its activities under those of the European Hydrogen Bank. 5.   Prior to the expiry of the mechanism referred to in paragraph 1, the Commission shall submit a report to the European Parliament and to the Council assessing the performance of that mechanism. In particular, the Commission shall assess the contribution of that mechanism to the development of the hydrogen market in the Union. Where appropriate, that assessment may be accompanied by a legislative proposal to develop a mechanism for voluntary demand aggregation and the joint purchasing of hydrogen.

Participation in the mechanism to support the market development of hydrogen

Article 53

1.   Participation in the mechanism to support the market development of hydrogen shall be open to hydrogen undertakings and undertakings consuming hydrogen established in the Union on a non-discriminatory basis. Such undertakings shall be precluded from participating as suppliers and off-takers if they are: (a) subject to Union restrictive measures adopted pursuant to Article 29 TEU or Article 215 TFEU, consisting of a prohibition to make available or transfer funds or economic resources or to provide financing or financial assistance to them directly or indirectly, or of an asset freeze; or (b) directly or indirectly owned or controlled by, or acting on behalf or at the direction of natural or legal persons, entities or bodies subject to such Union restrictive measures. 2.   Contractual obligations shall be put in place to ensure that no funds or economic resources are made available, directly or indirectly, to or for the benefit of natural or legal persons, entities or bodies which are: (a) subject to Union restrictive measures adopted pursuant to Article 29 TEU or Article 215 TFEU, consisting of a prohibition to make available or transfer funds or economic resources or to provide financing or financial assistance to them directly or indirectly, or of an asset freeze; or (b) directly or indirectly owned or controlled by, or acting on behalf or at the direction of natural or legal persons, entities or bodies subject to such Union restrictive measures. 3.   Hydrogen undertakings and undertakings consuming hydrogen established in the Energy Community Contracting Parties may participate in the mechanism to support the market development of hydrogen provided that the necessary measures or arrangements are in place to allow their participation in the mechanism to support the market development of hydrogen pursuant to this Article and to Articles 52 and 54.

Possibility to limit the participation in the mechanism to support the market development of hydrogen

Article 54

1.   The Commission may decide, by means of an implementing act, to temporarily exclude offers of hydrogen supplies originating in the Russian Federation or Belarus from being collected through the mechanism to support the market development of hydrogen, where necessary to protect the essential security interests or the security of supply of the Union or of a Member State, provided that such measures: (a) do not unduly disrupt the proper functioning of the internal market for hydrogen and do not undermine the security of supply of the Union or of a Member State; (b) respect the principle of energy solidarity; (c) are taken in accordance with the rights and obligations of the Union or of the Member States with respect to third countries. 2.   Sufficiently in advance of the first collection of offers, the Commission shall assess whether all the conditions laid down in paragraph 1 are met with the view to deciding on any measures referred to therein. Any such decision shall be valid for a period of up to one year and may be renewed if justified. The Commission shall continuously assess whether the conditions laid down in paragraph 1 are met and shall keep the European Parliament and the Council duly informed about its assessments, including the assessment referred to in the first subparagraph of this paragraph. 3.   The Commission shall take appropriate measures to ensure the effective application of this Article.

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