ENTSOG First Report on Implementation Monitoring and Baseline for Effect Monitoring of the Tariff Network Code

4.4 Results for the 5 EM Indicators

The assessment of TSOs for each indicator implied that each TSO was randomly attributed a reference, such as ‘TSO_01’. For example, TSO ‘X’ has generally different references across indicators TAR.1 to TAR.5 (however, for TAR.4 and TAR.5, which also comprise sub-indicators, each TSO keeps the same reference across all sub-indicators of TAR.4 and all sub-indicators of TAR.5).

4.4.1 RESULTS FOR TAR.1 (UNDER-/OVER- RECOVERY) IN 2017

The results in terms of value and variability of the regulatory account were assessed from data valid over the two periods   24) 2013–15 and 2014–16. The overlap of these periods is justified for 2 reasons: 1) the number of years considered since 2013 is too small to build two non-overlapping periods, and 2) the benefit of overlapping periods limits variation effects due to changes on one single year. Some information is available for 9 TSOs from 8MSs only   25) . This reduced number is explainable by 2 main factors: 1) this indicator is only applicable for TSOs operated under a non-price cap regime, and 2) the indicator requires that information on regulatory account and revenue reconciliation for years before the application of the TARNC is disclosed to allow calculations of the 2 ratios (many TSOs clarified that national provisions made by NRAs don’t oblige the publication of such data or even restrict such publication to preserve the confidentiality of commercially-sensitive data). The following figures give the values of the Average Balance to Revenue Ratio (ABRR) and the Standard Deviation of the Balance to Revenue Ratio (SDBRR) for periods 2013–15 and 2014–16.

 24) The starting date of 2013 was chosen as a compromise between the need for a sufficient number of years in the sample (which required to refer to as many past years as possible), and the availability of information from TSOs (data for past years was not always comparable because of changes in regulatory methods).  25) Out of the 9 TSOs, 1 TSO cannot be used for comparisons because it does not provide data for all years. No validated regulatory account balance data is available in 2016 because data for revenue recovery in 2016 has not yet been approved by the NRA.

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TAR NC Implementation and Effect Monitoring Report 2017