Decree No. 436 / 2013 Coll.
Decree on the method of regulating prices and procedures for regulating prices in electricity and heating and amending Decree No. 140 / 2009 Coll., on the method of regulating prices in energy sectors and procedures for regulating prices, as amended
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436
DECLARATION
of 16 December 2013
on the method of regulating prices and procedures for regulating prices in electricity and heating and amending Decree No. 140 / 2009 Coll., on the method of regulating prices in energy sectors and the procedures for regulating prices, as amended
The Energy Regulatory Authority (hereinafter "the Authority '), pursuant to Article 98a (2) (f) of Act No. 458 / 2000 Coll., on the Terms and Conditions of Business and on the Performance of Government Administration in the Energy Sector and on the Amendment of Certain Laws (Energy Act), as amended by Act No. 158 / 2009 Coll., and pursuant to § 53 (2) (l) of Act No. 165 / 2012 Coll., on Supported Energy Resources, and § 11 (12), § 13 (3), § 28 (3), § 43 (1) of the Law on Supported Energy Sources:
METHOD OF CEN REGULATIONS AND PROCEDURES FOR CEN REGULATIONS IN ELECTROENERGY AND TEPLARIES
Basic concepts
For the purposes of this decree:
(a) the regulated year of the calendar year for which prices are regulated by the Office;
(b) a regulatory period defined by a period of six consecutive controlled years.
Method of regulation and price formation in electricity
(1) The Authority shall regulate electricity transmission prices as set out in Annex 1 to this Regulation.
(2) The Office shall regulate the price of system services as set out in Annex 2 to this Regulation.
(3) The Authority shall regulate the electricity distribution prices of the regional distribution system operator as set out in Annexes 3 and 4 to this Regulation and the electricity distribution prices of the local distribution system operator in accordance with Article 3 (5).
(4) The price for the transmission of electricity and the prices for the distribution of electricity at high voltage and high voltage levels consist of the price for the reserved capacity of the transmission or distribution system and the price for the use of the transmission or distribution system networks. The price for distribution of electricity at low voltage level consists of the price for the reserved capacity of the distribution system determined by the current value of the main circuit breaker before the electric meter and the prices for the use of the distribution system. The price for the use of the distribution system may be divided into the price for the high tariff electricity distributed and the price for the low tariff electricity distributed.
(5) The price for electricity distribution also includes the component related to the cost of electricity transmission and to the distribution of electricity in neighbouring distribution systems at very high, high and low voltage levels and the component related to covering part of the cost of higher voltage levels of the distribution system.
(6) The Authority regulates the price of electricity from the supplier of the last instance by means of a material price adjustment.
(7) The Office shall fix the price to be paid for the costs of the electricity promotion in the manner set out in Annex 7 to this Decree.
(8) The Authority will fix an hourly green bonus for electricity produced from renewable sources as set out in Annex 8 to this Decree.
(9) The Office shall determine the price for the activity of the Purchaser in the manner set out in Annex 9 to this Order.
(1) The price-setting procedure for electricity transmission, system services and electricity distribution is set for a regulatory period using a regulatory formula.
(2) For the regulatory period, the Authority shall determine and notify the parameters of the regulatory formula to the extent that:
(a) holder of a licence for electricity transmission
1. the starting value of the authorised costs;
2. the annual value of the efficiency factor;
3. price index of business services,
4. the starting value of the asset base;
5. profit for system service activities;
(b) holder of a licence for distribution of electricity
1. the starting value of the authorised costs;
2. the annual value of the efficiency factor;
3. price index of business services,
4. the permitted level of total losses at individual voltage levels of the distribution system,
5. the starting value of the asset control base;
6. the share of the proceeds of the claim for compensation in the event of undue withdrawals.
(3) Amendments to the parameters of the regulatory formula referred to in paragraph 2 are only possible during the regulatory period in cases where:
(a) amendments to the legislation directly related to the licensed activity of the licence holder which have a significant impact on the parameters of the regulatory formula;
(b) exceptional changes in the electricity market or other exceptional changes in the national economy of special consideration; or
(c) setting parameters on the basis of incorrect, incomplete or false supporting documents or data.
(4) For a regulated year, the Authority shall determine and notify the licence holder of the parameters of the regulatory formula to the following extent:
(a) holder of a licence for electricity transmission
1. the value of the consumer price index;
2. the value of the business services price index;
3. the value of the planned depreciation of fixed assets,
4. depreciation correction factor,
5. the rate of return on the regulatory base of assets;
6. the planned value of the activated investments;
7. the planned value of the outstanding assets,
8. conversion factor of depreciation,
9. Profit matching factor,
10. the planned value of the investment development factor,
11. Investment development factor correction factor,
12. Planned values of electricity collection and consumption for the calculation of the prices of the regulated year;
13. price of power electricity to cover transmission losses;
14. income from other activities linked to the licensed activity;
15. Allowed amount of total losses in the transmission system,
16. the proceeds of auctions on cross-border profiles used to reduce the permitted revenues for electricity transmission activities;
17. incentive component of the profit for organising the trade in support services,
18. Escalation factor of permitted costs for the purchase of support services,
19. Differences between revenues and the settlement of differences arising from the settlement of the costs of derogation, regulatory energy, regulatory energy from the operational supply of electricity from abroad and abroad in the framework of cooperation at the level of the transmission system operator, the redispatching and compensation for the non-recovery of electricity in the dispatching proceedings;
20. Correction factor for the asset base;
21. Profit correction factor,
22. correction factor using the transmission network;
23. correction factor for system services,
24. investment factor,
25. a factor taking into account changes in the organisation of the electricity market affecting the activity of providing system services related to wind and solar power generation,
(b) holder of a licence for distribution of electricity
1. the value of the consumer price index;
2. the value of the business services price index;
3. the value of the total planned depreciation of fixed assets, broken down by voltage levels;
4. depreciation correction factor,
5. the rate of return on the regulatory base of assets;
6. the planned value of the activated investments;
7. the planned value of the outstanding assets,
8. the planned value of the investment development factor;
9. Investment development factor correction factor,
10. the planned value of electricity collection and consumption for the calculation of the prices of the regulated year;
11. the price of power electricity to cover losses in the distribution system;
12. revenue from other activities linked to the licensed activity broken down by voltage level;
13. a proportional number expressing the maximum value of the bonus or penalty payments in the field of quality,
14. maximum limit value of the quality indicator;
15. Minimum limit value of the quality indicator,
16. upper and lower limits of the neutral quality band;
17. coefficient of distribution of the quality factor per voltage level;
18. correction coefficients for permitted revenues between voltage levels,
19. Balance of revenues and costs of overflows between distribution system operators' networks broken down by voltage levels,
20% premium on the uneven coefficient;
21. Correction factor for the asset base;
22. profit correction factor,
23. correction factor for electricity distribution activity;
24. correction factor for grid-level support services,
(c) the holder of a licence for trade in electricity which carries out the activity of the purchaser under another legislature1)
1. planned costs of derogations in connection with the purchase of electricity;
2. planned administrative costs associated with the purchase of electricity;
3. planned costs related to the purchase of electricity in the form of ransom prices,
4. correction factor for the activity of the obligor;
5. the planned quantity of purchased electricity under the ransom price regime.
(5) The local distribution system operator shall use electricity distribution prices up to the prices for distribution of the regional distribution system operator's electricity to which the distribution system is connected. If the Authority decides on the different determination of the permitted revenues and cost variables of the distribution system operator under the Energy Act, it shall, in adjusting the electricity distribution prices of the local distribution system operator, proceed mutatis mutandis in accordance with Annexes 3 and 4 to this Decree. The prices set by this procedure shall be used by the local distribution system operator until the end of the regulatory period in which they are determined.
(1) The Authority shall notify the parameters of the regulatory formula
(a) the transmission system operator shall not later than 6 months before the start of the regulatory period, if the parameters referred to in Article 3 (2) are concerned, and not later than 6 months before the beginning of each regulated year, if the parameters referred to in Article 3 (4) (a) (13) are concerned, except for the parameter notified by the Authority no later than 10 October of the year preceding the regulated year;
(b) the distribution system operators shall not be less than 5 months before the start of the regulatory period, if the parameters referred to in Article 3 (2) are concerned, and not more than 5 months before the beginning of each regulated year, if the parameters referred to in Article 3 (4) (b) (11) and (18), which the Authority shall notify no later than 25 October of the year preceding the regulated year,
(c) to the Purchaser not later than 5 months before the start of each regulated year, if the parameters referred to in Article 3 (4) (c) are concerned, with the exception of those referred to in Article 3 (4) (c) (1) and (3), which the Authority shall notify no later than 5 November of the year preceding the regulated year.
(2) The Authority will notify the transmission system operator by 10 October and the regional distribution system operator by 25 October of the calendar year preceding the regulated year of the calculated price for the reserved capacity of the transmission system, the price for the use of transmission system networks and the price for system services, including the other prices needed for the calculation.
(3) The Authority will notify the regional distribution system operator by 25 October of the calendar year preceding the regulated year and, upon request by the local distribution system operator, by 31 October of the calendar year preceding the regulated year of the calculated price for the reserved capacity of the regional distribution system, the price for the use of the regional distribution system networks for high and high voltage levels. The Authority shall also notify the regional distribution system operator and, at the request of the local distribution system operator, by 5 November of the calendar year preceding the regulated year the calculated low voltage electricity distribution price.
(4) The Office shall notify the Purchaser by 5 November of the calendar year preceding the regulated year of the calculated price for the activity of the Purchaser.
(5) The Authority will notify the local distribution system operator, to which it sets different electricity distribution prices by 15 November of the calendar year preceding the regulated year, the calculated price for the reserved capacity of the local distribution system and the price for the use of the local distribution system networks for high and high voltage levels and prices for low voltage electricity distribution.
(6) The Office shall fix the prices by 30 November of the calendar year preceding the regulated year, with effect from 1 January of the regulated year. In the case of price regulation, the Office shall determine the conditions for the negotiation of prices by 30 November of the calendar year preceding the calendar year for which the conditions for the negotiation of prices are laid down, with effect from 1 January of that year. Where the Office regulates prices with a different effect from 1 January of the regulated year, it shall determine the prices or conditions for the negotiation of prices at least 30 calendar days before the date of their application.
The method of determining the correction factors in electricity is set out in Annex 11 to this Decree.
Method of regulation and pricing process for the activities of the market operator in electricity and heating
(1) The Authority regulates the price for the activities of the market operator in electricity and heating as set out in Annex 5 to this Decree.
(2) The pricing process for the activities of the market operator is set for a regulatory period using a regulatory formula.
(3) For the regulatory period, the Authority shall determine and notify to the licence holder the parameters of the regulatory formula for electricity and heating activities to the following extent:
(a) the starting value of the authorised costs;
(b) the annual value of the efficiency factor;
(c) price index coefficient of business services;
(d) the price index of the services provided in the field of programming and consultancy.
(4) Changes to the parameters of the regulatory formula referred to in paragraph 3 shall only be possible during the regulatory period where:
(a) amendments to the legislation directly related to the licensed activity of the licence holder which have a significant impact on the parameters of the regulatory formula;
(b) exceptional changes in the electricity market or other exceptional changes in the national economy of particular concern;
(c) setting parameters on the basis of incorrect, incomplete or false supporting documents or data.
(5) For a regulated year, the Authority shall determine and notify the parameters of the regulatory formula to the licence holder for the activities of the market operator, to the following extent:
(a) the value of the consumer price index;
(b) the value of the business services price index;
(c) the value of the price index of services provided in the field of programming and consultancy;
(d) the value of the planned depreciation of fixed assets for electricity activities;
(e) depreciation correction factor for electricity activities;
(f) the correction factor for the activities of the market operator in electricity and heating under another legislation1),
(g) the planned administrative costs associated with the promotion of electricity, the decentralised production of electricity and the operational support of heat under other legislation1),
(h) planned costs associated with the promotion of electricity and the decentralised production of electricity under other legislation1);
(i) the planned electricity consumption and consumption values for the calculation of the price per regulated year in electricity;
(j) revenues from other electricity activities;
(k) the market factor for electricity activities;
(l) the rate of return on authorised costs for electricity activities.
(6) The Authority shall notify the market operator of the parameters of the regulatory formula no later than 5 months before the start of the regulatory period, if it is the parameters referred to in paragraph 3, and no later than 4 months before the start of each regulated year, if it is the parameters referred to in paragraph 5.
(7) The Authority will notify the market operator by 30 September of the calendar year preceding the regulated year of the calculated price for the regulated activities of the market operator.
(8) The Office shall fix the prices by 30 November of the calendar year preceding the regulated year, with effect from 1 January of the regulated year.
Method of determining the costs of the market operator associated with the promotion of electricity and the promotion of the decentral production of electricity
(1) The Office shall determine the price to be paid for the costs associated with the promotion of electricity under another legislature1) in the manner set out in Annex 7 to this Decree and the component of the price for the distribution of electricity associated with the promotion of the decentral production of electricity under another legislature1) in the manner set out in Annex 10 to this Decree.
(2) The price-setting procedure to cover the costs associated with the promotion of electricity, the component of the electricity distribution price to cover the costs associated with the promotion of the decentral production of electricity, is laid down for a regulatory period using the regulatory formula.
(3) For a regulated year, the Authority shall determine and notify the parameters of the regulatory formula to the licence holder for the activities of the market operator referred to in paragraph 2, to the following extent:
(a) the planned costs associated with the payment of the electricity support and the decentralised electricity production separately for the purchase price support, green bonuses and bonuses;
(b) the planned value of the total electricity consumption for the determination of the price for the costs associated with the promotion of electricity and for the determination of the component of the price for the distribution of electricity to cover the costs associated with the promotion of the decentral production of electricity;
(c) planned State budget funds for the operational promotion of renewable heat;
(d) the correction factor of the market operator relating to the payment of electricity aid;
(e) the correction factor for State budget resources for the promotion of heat from renewable sources.
(4) The Authority shall notify the market operator of the parameters of the regulatory formula not later than 15 September of the calendar year preceding the regulated year, if the parameters referred to in points (d) and (e) of paragraph 3 are concerned, and by 5 November before the start of each regulated year, if the parameters referred to in points (a) to (c) of paragraph 3 are concerned.
(5) By 15 November of the calendar year preceding the regulated year, the Authority will notify the market operator of the calculated price for the costs associated with the electricity support and the component of the electricity distribution price to cover the costs associated with the support for the decentral generation of electricity.
(6) The Authority will determine the price to be paid for the costs associated with the electricity promotion and the component of the price for the distribution of electricity to cover the costs associated with the support for the decentralised production of electricity by 30 November of the calendar year preceding the regulated year, with effect from 1 January of the regulated year.
Procedure for setting the prices for the creation of a licence holder and the conversion of existing licence holders in electricity
(1) Where a licence is granted to a legal person without a legal predecessor or a licence is granted to a natural person during a calendar year and the licence holder has not carried out the licensed activity in the previous calendar year, the Office shall apply the provisions of paragraphs 3 and 4 mutatis mutandis in determining electricity prices.
(2) Where, during a calendar year, a licence is granted to a legal successor as a result of a merger of 2) two or more licence holders for the same activity, the prices of regulated activities laid down for the licensor's legal predecessor for each of their designated territories shall continue to apply to such licence holders until the end of the calendar year. Where, during a calendar year, two or more licence holders are involved in the same activity, the prices of the regulated activities set for the licensee in respect of each of their designated territories shall continue to apply to the licence holder to which the assets of the existing or existing licence holders are transferred until the end of the calendar year.
(3) If, during a calendar year, the assets of the licence holder are transferred to a single shareholder or shareholder (3) who holds or applies for the same activity as the licensee being acquired, the prices of the regulated activities of the licensee being acquired will continue to apply until the end of the calendar year. Where, during a calendar year, a division of the licence holder with the setting-up of new companies or compounds (4) is made, the prices of the regulated activities of the licence holder shall continue to apply to the legal successor or successors, provided that they hold licences for the same activity as the licensee being acquired, until the end of the calendar year. If, during a calendar year, a division of the licence holder by the segregation of new companies or by the segregation of compounds (4) is made, the prices of the regulated activities of the licence holder shall continue to apply to the legal successor or successors, if they are holders of licences for the same activity as the licensee being acquired, until the end of the calendar year.
(4) Where, during a calendar year, the transfer or lease of an undertaking or part thereof involving an energy installation for the performance of a licensed activity or the transfer or lease of an energy facility for the performance of the licensed activity is made, the acquirer or lessee shall be subject to the price of regulated activities applied by the transferor or lessor in the designated territory where the energy installation is located by the end of the calendar year.
(5) Where the effects of the merger or merger referred to in paragraph 2, the transfer of assets to a shareholder or shareholder, the division of the licence holder or the divestment of the undertaking or part of it or the transfer or lease of an energy installation to a licensed activity referred to in paragraph 4 take place after 30 November of the calendar year, the Office shall base the determination of the regulated prices for the regulated year on the information provided by the legal predecessors of the licence holder, the distributed companies, the transferee or the lessor the lessor lessor the lessee of the licensed activity and the prices established for those entities and their designated territories for the subsequent regulated activity for the whole year, unless it is otherwise provided for in justified cases, the latter, the transferor the transferor the lessee of the acquirer or the lessee of the licensee of the licensed activity, or the lessee of that activity or the lessee of the activity. The same shall apply where the legal effects of the merger, merger, division, separation, transfer of assets to one member or shareholder, transfer or lease of an undertaking or part of it, or transfer of an energy facility for the licensed activity referred to in this paragraph, initiated during a calendar year, would not occur until the first day of the regulated year.
Method of price regulation in heating
The Authority shall regulate the price of heat energy by means of material price control. The price decision shall be published by the Office no later than 30 days before the date of its entry into force.
Cost sharing for cogeneration
The supplier of heat energy shall, in dividing the common costs of cogeneration, proceed in the manner set out in Annex 12 to this Decree.
Transitional provisions
(1) For the regulatory period beginning on 1 January 2010 and ending on 31 December 2015, the Authority shall act for the first time in accordance with this Decree for the regulated year 2014.
(2) The correction factor of the market operator related to the promotion of electricity from renewable sources, combined production of electricity and heat and secondary sources created before the entry into force of Act No. 165 / 2012 Coll., on supported energy sources and on the amendment of certain laws, as amended by Act No. 310 / 2013 Coll., is determined in accordance with Decree No. 140 / 2009 Coll., as amended by Decree No. 348 / 2012 Coll.
(3) The correction factors established in accordance with Annex 11 to this Regulation for the last two years of the regulatory period starting on 1 January 2010 and ending on 31 December 2015 will be compensated during the regulatory period starting on 1 January 2016.
(4) The actual value of the investment development factor established in relation to the adjustment factors for the regulated years 2014 and 2015 will not be included in the asset base parameter and the related depreciation values for the relevant regulated years.
(5) The rate of return on the regulatory base of assets determined on the basis of the weighted average pre-tax cost methodology for the regulated year 2015 will be determined on the basis of the average of this parameter from 2013 and 2014, i.e. for the electricity transmission activity of 5,765% and for the electricity distribution activity of 6,146%. The value of the authorised costs for 2015 will be determined without influence of the escalation cost factor of the year in question and the efficiency factor, i.e. at the level of the authorised costs for the regulated year 2014.
EFFECTIVE
This Decree shall take effect on 1 January 2014.
President:
Ing. Vitásková v. r.
Příloha č. 1
Annex No 1 to Decree No 436 / 2013 Coll.
Procedure for setting electricity transmission prices
The unit price for the annual reserved capacity of the transmission system cperci in CZK / MW is determined by the regulatory formula
cperci = UPVpei vijk = nRRKPS-VVVVki
where
i is the serial number of the regulated year;
UPVpei [CZK] is the value of the adjusted allowed revenues of the transmission system operator for the electricity transmission activity for the regulated year, determined by the relationship
UPVpei = PVpei + IRFpei + IFpei-VpeAi-Vpeosti-VpeVYRi × CPIi-2100 × CPIi-1100
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Regulation Information
| Citation | Decree No. 436 / 2013 Coll., on the method of regulating prices and procedures for regulating prices in electricity and heating and amending Decree No. 140 / 2009 Coll., on the method of regulating prices in energy sectors and procedures for regulating prices, as amended |
|---|---|
| Regulation Type | Order |
| Author | - |
| Collection | Code of Laws |
| Date of Promulgation | 23.12.2013 |
|---|---|
| Effective from | 01.01.2014 |
| Effective until | - |
| Status | Valid |
The regulation text is for informational purposes only.
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