Europe's national energy giants would face greater competition or even be broken up under a drive to transform the sector announced by José Manuel Barroso, European Commission president.
Mr Barroso says new laws are the only way to guarantee increased access to Europe's energy market and to give "muscle" to regulators to break the grip of monopolies on the market.
In an interview with the Financial Times, Mr Barroso says: "In energy terms I can tell you that I am more convinced than ever that we need new legislation concerning regulation."
His comments came as French opposition politicians yesterday introduced the first of a record 137,449 amendments aimed at halting a government bill to privatise Gaz de France, opening the way for the state-owned company to merge with Suez, the utility, and create a "national champion".
Rising energy prices and European dependency on Russian and Algerian gas have persuaded Mr Barroso of the need for an overhaul of the EU energy market.
Aides say he wants to create a framework where perhaps four or five big pan-European energy companies compete across borders.
- (Financial Times service)
