Legal Framework of the Direct Line in the European Union Law

Abstract

This paper provides a legal analysis of the direct line in the legislation of the European Union. The direct line, serving as a legal instrument to implement offgrid solutions, plays a crucial role in amplifying competition within the energy market. Compared to other instruments introduced by the First Liberalization Package in 1992, the direct line is not a subject commonly brought about by legal literature. The core part of legal analyses is divided into two parts, which focus on different approaches of direct line, i.e., European Union and selected Member States (Estonia, Latvia, Lithuania, and Poland). The motives of the Union in establishing the direct line instrument was to support opening the energy market to increase energy generating units. During the transposition of the direct line into national laws, analysed countries have directed the usage of this mechanism to promote renewable energy sources. The presented case studies create a rare pattern of how the Member States form their own interpretations and hence use the Union law in practice, which differs from the direction established in the Union forum. The research focused on legal dogmatic examining of regulations at both European and national levels, with a particular emphasis on the definition part while figuring a crucial role in shaping the direct line concept. The paper also presents other convoluted legal schemes, such as the permit issuance process for direct line construction. The conclusions assess the modifications in the European Union regime, but also their impact on electricity prices and green investments. direct line, energy market, liberalization, energy transformation, energy security, energy law, European Union