CHAPTER VICLEARING PRICE AND PAYABLE PRICE

Article 23Calculation of clearing price at interconnection points

The clearing price for a given standard capacity product at an interconnection point shall be calculated in accordance with the following formula:

  • Pcl = PR,au + AP

Where:

  • Pcl is the clearing price;

  • PR,au is the applicable reserve price for a standard capacity product which is published at the time when this product is auctioned;

  • AP is the auction premium, if any.

Article 24Calculation of payable price at interconnection points

The payable price for a given standard capacity product at an interconnection point shall be calculated in accordance with either of the following formulas:

  1. (a)

    where the floating payable price approach is applied:

    Pflo = PR,flo + AP

    Where:

    • Pflo is the floating payable price;

    • PR,flo is the reserve price for a standard capacity product applicable at the time when this product may be used;

    • AP is the auction premium, if any.

  2. (b)

    where the fixed payable price approach is applied:

    Pfix = (PR,y × IND) + RP + AP

    Where:

    • Pfix is the fixed payable price;

    • PR,y is the applicable reserve price for a yearly standard capacity product which is published at the time when this product is auctioned;

    • IND is the ratio between the chosen index at the time of use and the same index at the time the product was auctioned;

    • RP is the risk premium reflecting the benefits of certainty regarding the level of transmission tariff, where such premium shall be no less than 0;

    • AP is the auction premium, if any.

Article 25Conditions for offering payable price approaches

1.

Where and to the extent that the transmission system operator functions under a non-price cap regime, the conditions for offering payable price approaches shall be as follows:

(a)

for cases where only existing capacity is offered:

  1. (i)

    the floating payable price approach shall be offered;

  2. (ii)

    the fixed payable price approach shall not be allowed.

(b)

for incremental capacity and existing capacity offered in the same auction or same alternative allocation mechanism:

  1. (i)

    the floating payable price approach may be offered;

  2. (ii)

    the fixed payable price approach may be offered where one of the following conditions is met:

    1. (1)

      an alternative allocation mechanism set out in Article 30 of Regulation (EU) 2017/459 is used;

    2. (2)
      a project is included in the Union list of projects of common interest as set out in Article 3 of Regulation (EU) No 347/2013 of the European Parliament and of the Council7 F1as it had effect in EU law immediately before IP completion day.

2.

Where and to the extent that the transmission system operator functions under a price cap regime, the floating payable price approach or the fixed payable price approach, or both, may be offered.