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TAR NC Implementation Document – Second Edition September 2017 |
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General
ARTICLE 17
GENERAL PROVISIONS
Responsibility: no implications for TSO/NRA responsibility
General
The TAR NC clarifies which rules of this Chapter apply under different regulatory
regimes:
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All the rules of the Chapter apply if a TSO functions only under non-price cap
regime.
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If a TSO functions only under a price cap regime, then only three rules apply:
(1) Article 17(2) on addressing a TSO’s risk; (2) Article 17(3) on the possible
extension of the scope of the Chapter to non-transmission services; and (3)
Article 19(5) on the treatment of the auction premium. The rest of the Chapter
does not apply, including the specific terms for ‘revenue reconciliation’,
‘regulatory account’ and ‘under-/over-recovery’.
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If a TSO functions under a combination of non-price cap and price cap regimes,
then the respective rules apply for the respective shares of the TSO assets.
Principles of revenue reconciliation
For a non-price cap regime, the three principles for revenue reconciliation are:
minimising the under-/over-recovery of the transmission services revenue, ensuring
that transmission tariffs recover revenues
‘in a timely manner’
, and avoiding
significant differences between transmission tariffs in consecutive tariff periods
‘to
the extent possible’
.
The above principles do not apply when a TSO: (1) functions under a price cap
regime; and (2) offers a fixed payable price approach, regardless of the applicable
regulatory regime.
ARTICLE 17