TAR NC Implementation Document – Second Edition September 2017 |
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Tariff Principles
TARIFF PRINCIPLES FOR INCREMENTAL
CAPACITY
Responsibility: TSO/NRA responsibility: TSOs submit the project proposal to
NRAs; NRAs take and publish coordinated decisions on the project proposal
Adjustment of the reference price
The reference price is the minimum price at which TSOs must accept a request for
incremental capacity. For the calculation of the economic test, reference prices
must be determined by including all relevant assumptions related to the offer of
incremental capacity into the RPM.
If a fixed payable price approach is proposed for the incremental capacity and
approved by the NRA, then the reserve price must be based on projected invest-
ment and operating costs. Once the incremental capacity is commissioned, the
reserve price must be adjusted proportionally to reflect the difference between the
projected investment costs and the actual investment costs, regardless of a positive
or negative difference. Figures 40 and 41 show two examples of adjustments to the
reference price.
ARTICLE 33
Figure 40:
Adjustment of the reference price where the projected investment costs are lower than
actual investment costs in case of fixed payable price
projected investment costs
actual investment costs
projected operation costs
projected operation costs
Proportional adjustment of
Reserve Price due to higher
actual investment costs
before commissioning
after commissioning
Figure 41:
Adjustment of the reference price where the projected investment costs are higher
than actual investment costs in case of fixed payable price
projected investment
costs
actual investment costs
projected operation costs
projected operation costs
Proportional adjustment of
Reserve Price due to lower
actual investment costs
before commissioning
after commissioning