Decision on cost recovery submissions under the Capacity Allocation and Congestion Management (CACM) Regulation
Decision
- Publication date
- Industry sector
- Transmission Network
This document sets out our final decision on the assessment of IFA, BritNed, Nemo Link, EWIC and Moyle's interim period and enduring development cost recovery submissions. These submissions relate to costs that were incurred in connection with historic obligations set out under the European Commission Regulation (EU) 2015/1222 on Capacity Allocation and Congestion Management (the “CACM Regulation”), and are therefore known as the remaining CACM Regulation historical costs.
Following the submissions of interim period and enduring development costs from IFA, BritNed, Nemo Link, EWIC and Moyle, we have carried out a cost assessment and consulted upon our minded-to position in our consultation published on 29 August 2023. This document sets out our final decision on the amounts of interim period and enduring development costs determined as efficient, reasonable proportionate. We also note that this will be the final remaining GB costs to be recovered under CACM Regulation and do not expect any further claims to be made.
The interim period costs in this decision which have been determined as efficiently incurred, reasonable and proportionate will be recovered through the 2024 cycle of Transmission Network Use of System (“TNUoS”) charges. Once these interim period costs have recovered from GB interconnector TSOs through TNUoS charges, we expect NEMOs including EPEX Spot to recover their share of costs from the respective GB interconnector TSOs.
The enduring arrangement costs in this decision determined as efficiently incurred, reasonable and proportionate will be recovered through the GB interconnector TSOs. We also expect NEMOs including EPEX Spot to recover the enduring development costs from the respective GB interconnector TSOs.