Directive (EU) 2024/1788 on common rules for the internal markets for renewable gas, natural gas and hydrogen

WHAT IS THE AIM OF THE REGULATION?

Regulation (EU) 2024/1789 is part of a package designed to push the European Union (EU) towards decarbonising its energy systems by integrating renewable and low-carbon gases, particularly hydrogen, focusing on:

• fair rules for accessing natural gas transmission networks, storage facilities and liquefied natural gas (LNG) infrastructure;
• mechanisms to aggregate demand and joint purchasing of natural gas; and
• supporting the development of hydrogen markets.

By promoting fair access to gas infrastructure and transparent network planning, the regulation aims to build a more resilient, secure and sustainable energy future for Europe.

KEY POINTS

Regulation (EU) 2024/1789, which is a recast of Regulation (EC) No 715/2009 (part of the third energy package), is part of a broader effort, which also includes the corresponding Directive (EU) 2024/1788, to decarbonise Europe’s energy systems, focusing on natural gas and hydrogen markets. It is an essential piece of the fit-for-55 package, which aims to reduce carbon emissions by 55 % by 2030 and ultimately reach climate neutrality by 2050.

The main objectives are the following.

• Promoting renewable and low-carbon gases and facilitating the integration of renewable gases like biomethane and hydrogen into the energy system.
• Shifting away from fossil fuels by encouraging a transition from natural gas to renewable and low-carbon gases to meet the EU’s climate action targets for 2030 and 2050.
• Ensuring fair and transparent access to gas networks, storage and LNG facilities for all market participants.

Integrating renewable gases

The European Commission will encourage the use of renewable and low-carbon gases, especially hydrogen and biomethane, across the EU, with a particular focus on coal and carbon-intensive regions.

Renewable gas will be promoted in industrial processes, district heating and energy storage sectors to reduce reliance on solid fossil fuels.

The Commission will support the conversion of current fossil fuel systems to renewable and low-carbon hydrogen and biomethane.

A hydrogen-ready workforce will be created to ensure skilled labour is available to manage the transition to hydrogen and renewable gases.

Network planning

The regulation emphasises the importance of integrated, transparent network planning across the EU, based on the principle of energy efficiency first.

Gas and hydrogen network operators are required to prepare a 10-year EU network development plan, outlining the infrastructure and capacity needed to support the transition to renewable gases and hydrogen.

Natural gas demand aggregation and joint purchasing

The Commission will establish a voluntary mechanism for EU Member States to aggregate their natural gas demand and purchase gas jointly.

This mechanism is designed to diversify gas supplies and phase out dependence on Russian natural gas.

Gas companies in Energy Community countries may also participate in joint purchasing efforts.

Supplies from Russia and Belarus are excluded from the joint purchasing mechanism to reduce dependency on these sources.

Developing a hydrogen market

The Commission may set up a mechanism to support the hydrogen market, to be implemented through the European Hydrogen Bank. This voluntary mechanism may remain in place until December 2029.

A new EU entity, the European Network of Network Operators for Hydrogen (ENNOH), is established, independent of existing entities of gas (ENTSOG) and electricity (ENTSO-E) transmission system operators but collaborating with them to enhance synergies across sectors.

Possibility for national measures against natural gas supplies from Russia and Belarus

Member States may impose restrictions on capacity bookings for natural gas, including LNG, from Russia or Belarus, to protect national and EU essential security interests.

These measures are designed to safeguard the security of supply while ensuring a diverse range of energy sources.

Solidarity between Member States

The regulation also amends Regulation (EU) 2017/1938, establishing default provisions for solidarity between Member States during a gas supply crisis when bilateral agreements are not in place.

• A cross-border mechanism will handle compensation disputes and the revision of compensation after such crises.
• Member States may reduce the non-essential gas consumption of protected customers to facilitate more natural gas savings, in particular during a crisis.
• Safeguards will be in place to maintain cross-border gas flows during a crisis.\
• Member States may also voluntarily supply gas through market-based mechanisms, if they are not directly connected to the gas network of a requesting country.

Network tariffs for hydrogen

National regulatory authorities must consult neighbouring regulatory bodies on their draft tariff methodologies for hydrogen networks.

The Agency for the Cooperation of Energy Regulators (ACER) will review these methodologies and provide non-binding opinions if requested by national regulators.

Each national regulatory authority will retain the final decision-making power to set tariffs, but ACER will provide guidance and inform the Commission of outcomes.

FROM WHEN DOES THE REGULATION APPLY?

The regulation has applied since 5 February 2025, except Article 11(3)(b), Article 34(6) and Article 84, which have applied since 1 January 2025. Section 5 has also applied since 1 January 2025, except Articles 42, 43, 44, 52, 53 and 54, which have applied since 4 August 2024.

BACKGROUND

For further information, see: Hydrogen and decarbonised gas market (European Commission).

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Translator: Nguyễn Minh Đức

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