Traders and External Agentes
|Profession:||Macedo Vitorino e Associados|
Decree-Law 184/2003, of 20 August, establishes the conditions under which traders and external agents may develop their activity in Portugal.
Decree-Law 184/2003, of 20 August, establishes the conditions under which traders and external agents may develop their activity in the Portuguese electricity market.
These new operators of the electricity market were created by Decree-Law 185/2003 of 20 August and it is now required to establish the rules that will govern their activity in the Portuguese market.
The traders are in charge of wholesale purchasing of electricity and of selling it to other traders (wholesale) or to customers (retail). They may act on their own behalf or on behalf of third parties. They are required to obtain a license for the trading of electricity from the General Directorate for the Energy market (DirecÁ„o Geral de Energia - "DGE").
Trading licenses do not have a pre-established duration. However, only companies incorporated under the laws of Portugal and adopting one of the legal forms established in Portuguese law may apply for such licenses. Also, the applicant should evidence before the DGE that it possesses the appropriate technical and financial capabilities.
It also should be noted that the trading licenses granted by DGE may be transmitted to a third party. An authorisation of DGE is, in this case, required and shall only be granted if the conditions under which the license was initially granted are to be complied with the new licensee.
As to external agents, they purchase electricity and place it in their market of origin, in an organised market or through bilateral contracts. They may also sell the electricity as of their market of origin, in an...
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