Cost of electricity losses driving significant increase in Inter-TSO compensation fund which now reaches 289 million euros

What is it about?

The Inter-Transmission System Operator Compensation (ITC) mechanism increased by 13% surpassing 289 million euros according to the latest annual ACER Report on the implementation of this fund. The ITC fund compensates Transmission System Operators (TSOs) for the costs incurred on national transmission systems due to hosting cross-border flows of electricity.

The increase of the fund -established by the European Network of Transmission System Operators for Electricity (ENTSO-E) – is explained mainly by a significant 23 % rise in the weighted average value for transmission losses, while the volume of transmission losses due to transits went actually down by 2% in 2019.

The report also shows how non-ITC countries contributed 20.9 million euros to the fund, 38 % more than the year before. 

Access the Report.