By an OGJ correspondent
PARIS, July 23 -- The French Parliament is trying to accelerate the authorization of a directive that would put France's gas market in line with the 2-year-old gas liberalization process in the European Union.
French Industry Minister Nicole Fontaine told the European Energy Commissioner Loyola de Palacio that an ordinance is expected before Dec. 31. Fontaine said Parliament intends to delegate to the government the right to legislate through an ordinance.
The fast-track approach is intended to slash through potentially long, complex parliamentary debates. The directive was supposed to have become French law on Aug. 10, but its adoption was delayed because Parliament linked the EU gas liberalization directive with the opening up of Gaz de France to other investors.
It's not a question of privatizing GdF, but of turning it into a "societi anonyme" to bring in other companies as shareholders (OGJ Online, Mar. 23, 2001).
But the former government balked at opening up Gdf because of strong opposition from the powerful trade unions within GdF and Electricité de France, both state-owned companies.
However, Prime Minister Jean-Pierre Raffarin assumed office in early June and has said he intends to proceed with the opening up of both GdF and EdF to other investors. Although both companies would still be primarily owned by the state, GdF and EdF employees are fearful they could lose many of the advantages they now have as civil servants.
GdF has long wanted other investors to provide both money and alliances to help it expand internationally. Since August 2000, GdF has opened up its market with the EU gas liberalization process, even though the EU directive has not yet been adopted by Parliament.
GdF has opened its gas network to competition and provided clear tariffs and a level of access through the internet. Still, the lack of a proper law has created problems for GdF.
For example, Repsol-YPF SA's Spanish gas utility unit Enagas has refused GdF access to Enagas's network since spring 2001. This has prevented GdF from supplying contracts it has with large customers in Spain.