a general assessment of the progress achieved with regard to bilateral relations with third countries which produce and export or transport natural gas, including progress in market integration, trade and access to the networks of such third countries;

Whereas Decision No 1254/96/EC of the European Parliament and of the Council of 5 June 1996 laying down a series of guidelines for trans-European energy networks (6), contributes to the development of integrated infrastructures for the natural gas sector;

Nor does the fact that an entity supplies drinking water, electricity, gas or heat to a network which is itself operated by an entity enjoying special or exclusive rights granted by a competent authority of the Member State concerned in itself constitute an exclusive or special right within the meaning of this Directive.

For use in areas subject to resistance to fire regulations, in installations for the transport/distribution/storage of gas/fuel intended for the supply of building heating/cooling systems, from the external storage reservoir or the last pressure reduction unit of the network to the inlet of the heating/cooling systems of the building.

Local authorities, public law bodies or associations of public law bodies or State-controlled undertakings supplying gas or heat to others or operating a general supply network pursuant to Article 2(3) of the Gesetz über die Elektrizitäts- und Gasversorgung (Energiewirtschaftsgesetz) of 24 April 1998, as last amended on 10 November 2001.

The Commission has indicated its intention to set up a European Regulators Group for Electricity and Gas which would constitute a suitable advisory mechanism for encouraging cooperation and coordination of national regulatory authorities, in order to promote the development of the internal market for electricity and gas, and to contribute to the consistent application, in all Member States, of the provisions set out in this Directive and Directive 2003/55/EC of the European Parliament and of the Council of 26 June 2003 concerning common rules for the internal market in natural gas(5) and in Regulation (EC) No 1228/2003 of the European Parliament and of the Council of 26 June 2003 on conditions for access to the network for cross-border exchanges in electricity(6).

As to the development of infrastructure networks, especially in the fields of transport, telecommunications, electricity and energy-pipelines, the EU, through Tacis, pays particular attention to regional initiatives, such as Inogate (Interstate Oil and Gas Transport to Europe) and Traceca (Transport Corridor Europe Caucasus Central Asia), with the aim of improving economic cooperation in the region.

Directive 2003/54/EC of the European Parliament and of the Council of 26 June 2003 concerning common rules for the internal market in electricity and repealing Directive 96/92/EC(1), Directive 2003/55/EC of the European Parliament and of the Council of 26 June 2003 concerning common rules for the internal market in natural gas and repealing Directive 98/30/EC(2) and Regulation (EC) No 1228/2003 of the European Parliament and of the Council of 26 June 2003 on conditions for access to the network for cross-border exchanges in electricity(3) establish a new regulatory framework for the internal markets for electricity and gas.

For use in installations for the transport/distribution/storage of gas/fuel intended for the supply of building heating/cooling systems, from the external storage reservoir or the last pressure reduction unit of the network to the inlet of the heating/cooling systems of the building, and in installations for the transport/disposal/storage of water not intended for human consumption, and for heating systems, other than those specified in Annex II.

For use in areas subject to reaction to fire regulations, in installations for the transport/distribution/storage of gas/fuel intended for the supply of building heating/cooling systems, from the external storage reservoir or the last pressure reduction unit of the network to the inlet of the heating/cooling systems of the building, and in installations for the transport/disposal/storage of water not intended for human consumption for products for which the reaction to fire class is A(1), B(2) or C(3).

The Commission has indicated its intention to set up a European Regulators Group for Electricity and Gas which would constitute a suitable advisory mechanism for encouraging cooperation and coordination of national regulatory authorities, in order to promote the development of the internal market for electricity and gas, and to contribute to the consistent application, in all Member States, of the provisions set out in this Directive and Directive 2003/54/EC of the European Parliament and of the Council of 26 June 2003 concerning common rules for the internal market in electricity(5) and in Regulation (EC) No 1228/2003 of the European Parliament and of the Council of 26 June 2003 on conditions for access to the network for cross-border exchanges in electricity(6).

the provision or operation of fixed networks intended to provide a service to the public in connection with the production, transport or distribution of gas or heat or the supply of gas or heat to such networks;

contracts awarded by a contracting entity other than a public authority supplying gas or heat to networks which provide a service to the public, where the production of gas or heat by the entity concerned is the inevitable result of the exercise of an activity other than that referred to in Article 3(2)(e)(i) and the purpose of supply to the public network is solely the economic exploitation of such production and accounts for no more than 20 % of the entity's turnover, having regard to the average for the three preceding years, including the current year