• Client: European Commission - DG Energy
  • Implementation period: 2016 - 2017 (Completed)
  • Geographic coverage: European Union

What is the impact of diverging transmission tariff structures in EU Member States?

This study was prepared with the overall objective to support the European Commission in the impact assessment exercise concerning the new market design initiative. The study was carried out by ECN, DCision! and Trinomics, over the course of May 2017 until December 2017. It consists of two specific parts:

1: Impact assessment of options to harmonise transmission tariff structures in EU Member States

The objective of this part of the study was to assess different policy options to overcome potential distortions of competition between technologies and market parties (in particular power generators) due to different network charging regimes in the Member States. The study focused in particular on the implementation of the opinion of April 2014 of ACER regarding transmission charges for power generators, the appropriateness of applying location based transmission charging in the EU and the harmonisation of charges related to ancillary services.

2: Use of congestion income to fund measures and investments to increase the available interconnection capacity

The second part focused on congestion income, aiming to asses different policy options to ensure that, as much as possible, congestion income is used to maximise the amount of cross border capacity available to market participants, for example by guaranteeing the availability of existing capacity (e.g. via redispatching measures) or through the development of new interconnectors. Also links with other policy initiatives (TEN-E, CEF, ITC regulations) were taken into account.