The European Commission has proposed new legislation that seeks to resolve structural failings in the electricity and gas markets and improve a number of areas. The technical measures cover five main areas: (i) unbundling; (ii) regulatory oversight and co-operation; (iii) network cooperation; (iv) transparency and record keeping; and (v) access to gas storage and liquefied natural gas (LNG) facilities. The most controversial issue has been the proposed ownership unbundling (the separation of the operation of electricity and gas transmission networks and supply and generation activities). According to the proposal, electricity and gas network operators would no longer be affiliated to, or part of, a group which is also active in supply and generation. However, there may be a derogation whereby the network assets would remain with a company also active in supply, but the technical and commercial operation of those assets would be put in an independent company to be designated by the Member State concerned. Despite this derogation possibility, France and Germany have already expressed their concerns about the ownership unbundling aspects of the legislative package.