Mr. Mark Griffin:

I thank the Chairman for the invitation to appear before the committee. I hope this will be the first of many constructive engagements with him and his colleagues. Many of the issues I will mention in my presentations are live in both the Telecommunications and Energy Councils and the Minister has covered them to some extent in his presentation. The Department has a wide economic brief and is responsible for policy formulation and implementation in the key national areas of communications, including broadband and digital media, energy, broadcasting, postal services and exploration and mining. The formulation and implementation of public policy in these areas of the economy are fundamental to sustainable economic development and job creation. These are critical economic sectors and there is a heavy and ongoing European agenda across most of them.

While I was invited by the committee to discuss the 2012 reports, I would also like to take the opportunity to brief the members on the successful 2013 Irish Presidency of the Council of the European Union. While this predated my arrival in the Department, I know from my own experience of chairing the environment working group in Brussels for Ireland's 2004 Presidency the detailed planning, sound execution and absolute commitment of staff required to deliver such a successful Presidency in the first half of this year.

I will begin with the energy agenda. The Commission’s proposal for a regulation on guidelines for a trans-European energy infrastructure was progressed in the energy working group under the Danish Presidency in the first half of last year. Published in October 2011, the proposal was part of the Commission's comprehensive package to enhance trans-European infrastructure development in transport, energy and information society. The proposal replaced the existing financing regulation for major energy projects and aimed at delivering energy market integration and completing the internal energy market. A progress report was also provided at the June Council on the regulation on safety in offshore drilling adopted by the Commission in October 2011. The objectives of the regulation were to ensure consistent use of best practice for major hazards control; to implement best regulatory practices in all EU jurisdictions, ensuring no conflict of interest between regulatory activities for safety and the environment and the economic development of offshore natural resources; to strengthen preparedness and response capacity to deal with emergencies; and to improve liability and compensation provisions.

The Commission adopted a communication on a strategy for renewable energy on 6 June 2012 and presented it at the Transport, Telecommunications and Energy, TTE, Council in June. The communication outlined several renewable policy options for the period beyond 2020 and emphasised the importance of the integration of renewables into the energy market. It also called for a more co-ordinated European approach in the establishment and reform of support schemes and increased use of renewable energy trading among member states.

There was one Energy Council in December 2012 under the Cyprus Presidency, which made further progress on the regulation on safety in offshore oil and gas drilling. Most of the provisions were agreed in Council working group and an initial trilogue with the European Parliament was held at the end of November 2012. The completion of the agreement between member states and the negotiation of the file with the Parliament was passed to the Irish Presidency. Council conclusions were adopted by Ministers at the December Council on the Commission's communication on a strategy for renewable energy.

There were two Energy Councils and one informal meeting of energy ministers under the Irish Presidency. The Councils took place on 22 February in Brussels and 7 June in Luxembourg. An informal meeting of energy ministers was held in Dublin Castle on 23 and 24 April. The main proposal covered under the Energy Councils was the amending directive on the quality of petrol and diesel fuels and on the promotion of the use of energy from renewable sources, which amends both the renewable energy and fuel directives. The Minister discussed this with members earlier. The discussion on the file during the Irish Presidency led to general agreement that the risk of food and feed production being displaced for the production of biofuels is a serious issue that needs to be tackled. There was general support for the proposal and the Commission's objectives to promote the use of advanced biofuels to meet climate targets. There was a policy debate on the Commission's communication, Making the Internal Energy Market Work, and a general consensus that the implementation of the third package and the development of energy infrastructure, including cross-border, are essential for the completion of the internal energy market and to ensure energy security.

Following constructive negotiations by the Cyprus and Irish Presidencies of the Council and the European Parliament, the proposal for a regulation on safety in offshore oil and gas prospecting, exploration and production activities was adopted by the Council and the Parliament at the end of the Irish Presidency. This is key legislation which has as its central objectives the following: to ensure the consistent use of best practices for major hazard control by offshore oil and gas operators; to strengthen the EU’s preparedness and response capacity to deal with emergencies potentially affecting EU citizens or the environment; and to improve and clarify existing Union liability and compensation provisions.

A number of important issues were discussed at the informal Energy Council meeting in Dublin, including better control of energy consumption through smart technologies. This discussion focussed on the interaction of ICT, energy and innovation, and how to achieve better control of consumption through smart technologies. There was also an initial discussion on unconventional oil and gas and the effects on energy supply, competitiveness and prices at the informal Council. It was clear from the wide-ranging discussion and divergent views that these are early days in the discussion and that Europe is facing both opportunities and risks, which will vary depending on how the EU manages the framework for development. Such a framework would need to respect the environment and ensure public consultation and public acceptance of any emerging proposals in this area.

The informal Council also focused on identifying the barriers to financing energy efficiency. Presentations were also made on the economic effects of the integration of intermittent renewable sources into the grid. Member states noted the need for physical grid build-out and completion of market integration and that storage capacity needs to be built up to ensure intermittency is carefully and adequately managed. The joint lunchtime discussion by energy and environment Ministers at the informal Council was on the Commission’s Green Paper on the 2030 Climate and Energy Framework, which initiated a policy development process and provided a basis for a focused debate on shaping the framework for a new climate and energy package for the period to 2030. The primary aim of the Green Paper was to consult stakeholders to obtain evidence and views to support development of the 2030 framework.

It has also been a progressive 18 months in the Telecommunications Council. The Danish Presidency prioritised the proposal for a regulation on roaming on mobile telephone networks in the first six months of 2012 and reached an agreement with Parliament at first reading at the end of March. This proposal aims to bring competition into the roaming market through structural measures that will enable alternative operators to provide roaming services to consumers using the networks of the main operators. It also reduces further the wholesale and retail charges for voice, SMS and data services and introduces retail price caps for data roaming. The regulation came into effect on 1 July 2012.

The Danish Presidency also focused on two other legislative files: the amending directive on the re-use of public sector information, known as the PSI directive, and the regulation on guidelines for trans-European telecommunications networks, known as the CEF telecommunications guidelines. Both files were taken forward by the Danish Presidency and the Cypriot Presidency, which also identified the regulation concerning the European Network and Information Security Agency, ENISA, as a priority proposal. The Minister set out at the end of last year the incoming Irish Presidency priorities of reaching agreement with Parliament on the ENISA regulation, the PSI directive and the CEF telecommunications guidelines. Agreement was reached on the first two files by the end of the Presidency. The purpose of the CEF telecommunications guidelines was to establish a series of guidelines covering the objectives and priorities envisaged for broadband and digital service infrastructures in the telecommunications sector. Considerable progress was being made on this proposal under the Irish Presidency up to the end of February. In March, the European Council reduced the funding available for the sector from €9 billion to €1 billion, following which the Commission withdrew the proposal for reconsideration. Following lengthy internal discussions, a revised proposal was presented by the Commission at the end of May, which was too late for further work on the proposal under the Irish Presidency. Political agreement was achieved earlier this month. Agreement has also been reached on the umbrella CEF regulation and the other two sectoral guidelines in transport and energy.

Work was also substantially advanced under the Irish Presidency on the regulation on electronic identification and trust services for electronic transactions in the internal market, also known as the eIDAS, eID authentication and signing, proposal.

The purpose of this proposal is to enhance security and trust in online transactions and to encourage the provision and use of online services requiring electronic identification throughout the EU. This complex technical file was examined on 12 occasions in the Council working party during the Irish Presidency. In addition, two seminars on specific aspects of the proposal were held by the Presidency in conjunction with the Commission. Significant progress was achieved on the sections dealing with electronic identification and a substantial progress report was presented at the TTE Council in June.

With regard to the TTE Council, Ireland’s Presidency concluded with a highly successful digital agenda assembly which was held in Dublin Castle on 19 and 20 June. This was the first time the event had been held outside Brussels, and it was attended by more than 600 delegates, with a further 4,000 following it online. The assembly programme had a strong emphasis on digital skills, entrepreneurship and growth. The workshops that were held focused on ICT skills and jobs, public services, research and innovation, trust and security, entrepreneurship and the digital single market.

Since the conclusion of the Irish Presidency, the Commission published in September one of the most ambitious regulations in the telecommunications sector in the last five years - the proposal concerning the European single market for electronic communications and to achieve a connected Continent. The committee was briefed by the Department on the proposed regulation in October. The Commission’s aim is that the draft regulation be adopted by the Legislature by April 2014, when this Parliament’s term will end. At the October European Council, Heads of Government and State called for an intensive examination of the proposal with a view to its timely adoption. It is clear that member states will require more time to analyse and consult on this far-reaching regulation.