The modification of the Hydrocarbons Sector Act 34/1998 was probably the most important legislative event of the year. A number of regulations were approved aimed at adapting Spanish legislation to the second Directive, of which only certain features have been necessary.

Mention must be made of the fact that the Spanish deregulation process has progressed on various fronts towards Community legislation, applying the legislative development of the Hydrocarbons Act of 1998. Here, we refer to Act 12/2007, Royal Decree 1068/2007 and ORDER ITC/2309/2007 (Official State Gazette of 31 July 2007). We have already referred briefly to Act 12/2007.

Royal Decree 1068 designates the markets that are to assume the obligation of last-resource supplies and lays down the obligations for promoting the choice of a marketer by consumers. ORDER ITC/2309 lays down the transfer mechanism for changing clients with current contracts from the tariff market to the marketing companies that are to assume the obligation of last-resource supplies.

Other legislation that affects gas activities in Spain and which must be mentioned here is that which is constituted by virtue of the following orders: Accordingly, mention must be made of the fact that the price of gas bottles with loads of less than 8 kg had already been deregulated in Spain some years ago.

Decisions published in the Official State Gazette before 1 January, April, July and October, respectively, laid down the maximum prices for the kilogram of LPG sold in containers of more than 8 kg and less than 20 kg, the only one whose price has not been deregulated. Temporary provision five of Act 12/2007, which modified the Hydrocarbons Act, laid down the schedule with the deadlines for applying for the last-resource tariff. As from 1 July 2008, the consumers connected to gas pipelines with a pressure that is equal to or less than 4 bar and an annual consumption of less than 3 GWh can apply. From 1 July 2009, the limit is reduced to 2 GWh and, one year later, to 1 GWh.