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HISTORY

HISTORICAL DEVELOPMENT OF THE GUIDELINE FORWARD CAPACITY ALLOCATION (FCA REGULATION)

 

The development of the FCA Regulation started in 2011 when the Agency developed the Framework Guidelines on Capacity Allocation and Congestion Management  for electricity. These framework guidelines were adopted on 29 July 2011.     

Among other elements, the Framework Guidelines included provisions for the forthcoming development of the Network Code on Forward Capacity Allocation. The core of these requirements was centred around forward capacity allocation based on explicit auctions in a form of Physical or Financial Transmission Rights allocated based on harmonised allocation rules and through single allocation platform. Other elements included requirements on the firmness of long term cross-zonal capacities, efficient definition of bidding zones as well as efficient and coordinated capacity calculation in forward timeframe.

Based on these Framework Guidelines, ENTSO-E was tasked to develop the Network Code on Forward Capacity Allocation. Subsequently, the draft network code was submitted to the Agency for opinion based on which ENTSO-E revised the network code and resubmitted it to the Agency. Finally, the Agency adopted a recommendation to the European Commission to adopt the Network Code on Forward Capacity Allocation subject to specific amendments proposed by the Agency. Following this recommendation, the European Commission also revised the network code, which was then finally adopted as a Commission guideline in September 2016 and entered into force in October 2016.

 

The detailed dates and documents of the above actions are presented below:

Action 1: 29 July 2011: The Agency adopts the Framework Guidelines on Capacity Allocation and Congestion Management for Electricity

Action 2: 1 October 2013: ENTSO-E submits the Network Code on Forward Capacity Allocation to the Agency

Action 3: 18 December 2013: The Agency adopts the Opinion on the Network Code on Forward Capacity Allocation

Action 4: 3 April 2014: ENTSO-E resubmits the amended Network Code on Forward Capacity Allocation to the Agency

Action 5: 22 May 2014: The Agency adopts the Recommendation on the Network Code on Forward Capacity Allocation