This year the New Commissioner Training provides a structured and relaxed discussion of six outstanding topics highly relevant for energy regulators of the ERRA countries. Each session takes a morning/afternoon of the course. The Guides of the session briefly introduce the major topics of the given issues; then participants are invited to present their own country-specific questions and problems and then an informal discussion follows.

19:30 Group Dinner at the Széchenyi Restaurant of the Danubius Grand Hotel Margitsziget (which is located next to the Hotel in which you are accommodated).

Morning: Organizational Structure & Management of a Regulatory Body

This session raises all the relevant organisational and management issues that New Commissioners are to face when managing their institution and their job. Issues include: primary requirements for regulators: authority/autonomy/accountability; overview of the decision making process; managing the Commission and relationships with the Government and Parliament and the public; how to deal with the government/parliament/public/companies.

Afternoon: Price Regulation

This session discusses the basic principles of and issues related to the most important regulatory task: energy price and tariff regulation. Issues cover: economic principles of price regulation, rate base determination, principles for tariff setting, price adjustment regimes including rate of return but also incentive price regulatory schemes. The problem of low income consumers discussed in its relation to energy pricing.

Morning: Electricity Market Models

This session gives an overview on the basic building blocks as well as on principal models of electricity markets. Introduction is provided on the operations of wholesale markets as well as on retail choice of customers. Major issues in network regulation under liberalised circumstances are discussed, including the regulation of cross-border trade. International experience with the operation of electricity markets is provided. An overview of efforts to create regional electricity markets is given (USA, EU, Central and Southern Eastern Europe). Finally, specific issues related to electricity market developments in the ERRA countries are provided (impacts of increasing private participation in the sector; removing cross-subsidies; non-payment).

Afternoon: European Energy Policy Initiatives

This session introduces the participants to the basics of European energy policy initiatives. Motivations for and details of the EU Electricity and Gas Directives and associated regulations are discussed. A critical overview of market developments is provided. The basic proposals of the recent Green Paper on a common European energy policy is discussed.

17:10 Visit to the Hungarian Parliament* (Guided Tour in English and Russian)

* Participants from non-EU Member countries will have to pay an admission fee in value of HUF 2,650

Morning: European Energy Policy Initiatives, Regulatory Monitoring and Reporting

This is supposed to be a global session on regulation & energy supply security. Discussions will include regulatory roles in broader sense; the impact of regulatory behavior on investment decisions, gas dependency & security of supply. Finally, the session will give an introduction to the monitoring activities that regulatory commissions are to set up in order to support their regulatory & enforcement activities. It will introduce the participants into the most important areas to monitor & the techniques they can use in order to collect & analyze data to support their major activities.