http://www.legislation.gov.uk/eur/2017/460/chapter/IVCommission Regulation (EU) 2017/460 of 16 March 2017 establishing a network code on harmonised transmission tariff structures for gas (Text with EEA relevance)Commission Regulation (EU) 2017/460Commission Regulation (EU) 2017/460 of 16 March 2017 establishing a network code on harmonised transmission tariff structures for gas (Text with EEA relevance)King's Printer of Acts of Parliamenthttps://webarchive.nationalarchives.gov.uk/eu-exit/https://eur-lex.europa.eu/legal-content/EN/TXT/?uri=CELEX:32017R0460texttext/xmlen2025-01-08Expert Participation2020-12-31 CHAPTER IV <Strong>RECONCILIATION OF REVENUE</Strong> General provisionsArticle 171Where and to the extent that the transmission system operator functions under a non-price cap regime, the following principles shall apply:athe under- or over-recovery of the transmission services revenue shall be minimised having due regard to necessary investments;bthe level of transmission tariffs shall ensure that the transmission services revenue is recovered by the transmission system operator in a timely manner;csignificant differences between the levels of transmission tariffs applicable for two consecutive tariff periods shall be avoided to the extent possible.2Where and to the extent that the transmission system operator functions under a price cap regime or applies a fixed payable price approach set out in Article 24(b), no revenue reconciliation shall occur and all risks related to under- or over-recovery shall be covered exclusively by the risk premium. In such case Articles 18, 19(1) to (4) and 20 shall not apply.3Subject to the requirements of periodic consultations pursuant to Article 26 and subject to approval by the national regulatory authority, non-transmission services revenue may be reconciled as set out in this Chapter, mutatis mutandis. Under- and over-recovery Article 18 1 The under- or over-recovery of the transmission services revenue shall be equal to: RA – R Where: RA is the actually obtained revenue related to the provision of transmission services; R is the transmission services revenue. The values of RA and R shall be attributed to the same tariff period and, where an effective inter-transmission system operator compensation mechanism referred to in Article 10(3) is established, shall take such mechanism into account. 2 Where the difference calculated in accordance with paragraph 1 is positive, it shall indicate an over-recovery of the transmission services revenue. Where such difference is negative, it shall indicate an under-recovery of the transmission services revenue. Regulatory accountArticle 191The regulatory account shall indicate the information referred to in Article 18(1) for a given tariff period and may include other information, such as the difference between the anticipated and the actual cost components.2The transmission system operator's under- or over-recovered transmission services revenue shall be attributed to the regulatory account, unless other rules have been enacted by the national regulatory authority.3Where incentive mechanisms for capacity sales are implemented, subject to a decision by the national regulatory authority, only a part of the transmission system operator's under- or over-recovery shall be attributed to the regulatory account. In such case, the residual part thereof shall be kept or paid, as relevant, by the transmission system operator.4Each transmission system operator shall use one regulatory account.5Subject to a decision by the national regulatory authority, the earned auction premium, if any, may be attributed to a specific account separate from the regulatory account referred to in paragraph 4. The national regulatory authority may decide to use this auction premium for reducing physical congestion or, where the transmission system operator functions only under a non-price cap regime, to decrease the transmission tariffs for the next tariff period(s) as set out in Article 20. Reconciliation of regulatory accountArticle 201The full or partial reconciliation of the regulatory account shall be carried out in accordance with the applied reference price methodology and, in addition, by using the charge referred to in Article 4(3)(b), if applied.2The reconciliation of the regulatory account shall be carried out pursuant to the rules enacted by the national regulatory authority over a given reconciliation period, meaning the time period over which the regulatory account referred to in Article 19 shall be reconciled.3The regulatory account shall be reconciled with the aim of reimbursing to the transmission system operator the under-recovery and of returning to the network users the over-recovery. Words in Art. 17(3) substituted (31.12.2020) by S.I. 2019/531, Sch. 5 para. 5G (as inserted by The Gas Tariffs Code (Amendment) (EU Exit) Regulations 2019 (S.I. 2019/1393), reg. 1(2), Sch. para. 3); 2020 c. 1, Sch. 5 para. 1(1)Words in Art. 19 substituted (31.12.2020) by S.I. 2019/531, Sch. 5 para. 5H (as inserted by The Gas Tariffs Code (Amendment) (EU Exit) Regulations 2019 (S.I. 2019/1393), reg. 1(2), Sch. para. 3); 2020 c. 1, Sch. 5 para. 1(1)Words in Art. 20(2) substituted (31.12.2020) by S.I. 2019/531, Sch. 5 para. 5I (as inserted by The Gas Tariffs Code (Amendment) (EU Exit) Regulations 2019 (S.I. 2019/1393), reg. 1(2), Sch. para. 3); 2020 c. 1, Sch. 5 para. 1(1)