European Court Defends Right Of Legal Recourse For Gas Traders

  • 20 Mar 2015 8:00 AM
European Court Defends Right Of Legal Recourse For Gas Traders
The European Court of Justice ruled that Hungarian regulations that prohibit legal recourse by gas traders against resolutions by the national regulatory authority affecting them go against European Union rules.

In the case, the local unit of German utilities giant E.ON challenged a resolution by the Hungarian Energy and Utilities Regulatory Authority instructing transmission system operator FGSZ Földgázszállító to modify its rules of trade and operation to create a more level playing field on the deregulated gas market.

FGSZ had turned to the authority for guidance after E.ON made requests for a large volume of capacity, prompting a rethink of its mandate to ensure access to all market players free of discrimination.

The Hungarian court ruled that E.ON could not challenge a resolution that was addressed to FGSZ, not itself. But the European Court said prohibiting E.ON from challenging the resolution went against the EU principle of effective judicial protection.

Source www.hungarymatters.hu

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