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Commission Regulation (EU) 2016/1719 CHAPTER 8 — Cost recovery

Article 58–Article 61 · 4 articles

Compiled from an official source version. Later amendments or repeals may not be reflected; the official text prevails. · Read the official text ↗

General provisions on cost recovery

Article 58

1.   Costs incurred by TSOs arising from obligations in this Regulation shall be assessed by all regulatory authorities. 2.   Costs assessed as reasonable, efficient and proportionate shall be recovered in a timely manner through network tariffs or other appropriate mechanisms as determined by the competent regulatory authorities. 3.   If requested by regulatory authorities, relevant TSOs shall, within three months of the request, provide information necessary to facilitate the assessment of the costs incurred.

Cost of establishing, developing and operating the single allocation platform

Article 59

All TSOs issuing long-term transmission rights on the single allocation platform shall jointly bear the costs related to the establishment and operation of the single allocation platform. Within six months of entry into force of this regulation, all TSOs shall propose a methodology for sharing these costs, which shall be reasonable, efficient and proportionate, for example on the basis of principles similar to those provided under Article 80 of Regulation (EU) No 2015/1222.

Cost of establishing and operating the coordinated capacity calculation process

Article 60

1.   Each TSO shall individually bear the costs related to the provision of inputs to the capacity calculation. 2.   All TSOs shall jointly bear the costs related to the establishment and operation of merging the individual grid models. 3.   All TSOs in each capacity calculation region shall bear costs of establishing and operating the coordinated capacity calculators.

Cost of ensuring firmness and remuneration of long-term transmission rights

Article 61

1.   The cost of ensuring firmness shall include costs incurred from compensation mechanisms associated with ensuring firmness of cross-zonal capacities as well as the cost of re-dispatching, countertrading and imbalance associated with compensating market participants and be borne by TSOs, to the extent possible in accordance with Article 16(6)(a) of Regulation (EC) No 714/2009. 2.   When fixing or approving transmission tariffs or other appropriate mechanism in accordance with Article 37(1)(a) of Directive 2009/72/EC, and having regard to Article 14(1) of Regulation (EC) No 714/2009, regulatory authorities shall consider compensation payments as eligible costs provided that they are reasonable, efficient and proportionate. 3.   Within six months after the approval of the methodology for sharing congestion income referred to in Article 57, all TSOs shall jointly develop a methodology for sharing costs incurred to ensure firmness and remuneration of long-term transmission rights. This methodology shall be consistent with the methodology for sharing congestion income from forward capacity allocation as referred to in Article 57.

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Source: EUR-Lex (Publications Office of the EU), © European Union, reuse permitted under Commission Decision 2011/833/EU.

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