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We recognised from an early stage that the issue of market opening cannot be detached from the difficult issue of so-called "take-or-pay" contracts.
I now turn to two other major issues: market opening and the take-or-pay contracts.
The committee was strongly of the view that if the oil industry did not need take-or-pay contracts, why did the gas industry need them?
Equally, there is the problem of take-or-pay contracts.
We are backing the effort of the regulator to prevent regional electricity companies from passing on excessive costs under early take-or-pay gas contracts to consumers.
It is, in effect, one of the biggest take-or-pay contracts in history.
The second significant issue relates to take-or-pay contracts.
The draft directive deals with the take-or-pay problem by offering derogations from the market opening provisions for companies which encounter serious difficulties as a result of their take-or-pay commitments.
Fourthly, we are encouraging the regulator to prevent generators from passing on excessive costs under the early take-or-pay gas contracts to ensure that there is no uneven playing field.
We are asking the gas regulator to examine urgently the resale provisions of the early take-or-pay gas contracts to establish if they are anti-competitive and distort the market against coal.
Many will be on a take-or-pay basis.
It was structured as a take-or-pay contract with pre-determined prices and volumes for the entire contract period.
