23.3.2017

ACER publishes an overview of cross-border cost allocation decisions

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The Agency publishes today an updated overview of cross-border cost allocation (CBCA) decisions for electricity and gas infrastructure projects of common interest (PCIs). CBCA decisions are one of the regulatory tools provided by the trans-European energy infrastructure EU Regulation to facilitate the implementation of PCIs.  
Apart from a few exceptions in 2014, NRAs and the Agency, based on project specific cost-benefit analysis (CBA) showing in general net positive impacts in the hosting countries, decided to allocate investment costs following the “territorial principle”, meaning that costs are borne by the country where the project is located. In some cases, NRAs allocated only part of the investment costs due to expected excessive increase in transmission tariffs, and relied on EU funds to fill the financing gap. In all the cases, including for projects located in one Member State only, the project promoter(s) expressed their intention to apply for EU grants. ​​​​ The Agency also notes a decreasing trend in the applications for CBCA over time with a more even distribution between the gas and electricity sectors in the past two years. Almost half of the CBCA decisions referred to PCIs belonging to the Baltic electricity and gas priority corridors. The Agency’s findings also confirmed the trend that the vast majority of the investment requests are for projects located in only one Member State.    

The overview and main findings is available here .