Five European countries have signed an agreement to increasingly link their power grids to make it easier to trade electricity across their borders.
France, Germany, Belgium, Luxembourg and the Netherlands aim to create a single integrated electricity market by 1 January, 2009.
European Union Energy Commissioner Andris Piebalgs said the deal would mean lower prices for consumers.
He added that it would also increase security of electricity supply.
Make it easier
At present not much electricity is sold across European borders.
The current problem is that buying electricity from another country is a time consuming, two-fold operation.
Firstly the nation in question has to buy the electricity, and then it has to buy the capacity, or space on the grid, to transport it.
The supply of electricity in Europe became a major issue last November when a massive power cut in Germany temporarily hit supplies across the continent.
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