News brief of 23.1.2017

News from the Greek energy market:

Α. Adoption of Network Management Code for the Hellenic Electricity Distribution Network

By its post on its website on 05.01.2017 RAE announced the adoption of the Network Management Code for the Hellenic Electricity Distribution Network.

The post emphasized the following:
Regulatory Authority for Energy has completed the main secondary regulatory framework governing the primary activity of electricity distribution in Greece by adopting the Network Management Code for the Hellenic Electricity Distribution Network (EDDIE Code or Network Code, RAE Decision No. 395/2016) under provisions of Article 128 in Ν. 4001/2011.
EDDIE Code is the crowning achievement of long and strenuous efforts by both RAE and Network Operator (HEDNO S.A., former operator PCC (DEI.S.A.)), with Greek universities and, mainly NTUA (National Technical University of Athens) contributing to this venture, i.e., to further specify law provisions and draw up the rules that would regulate Distribution and the carrying out of such activity by the Network Operator. The ultimate goal is to achieve the fundamental objectives of reliable and secure supply and to ensure equal network access to consumers, and that is done in the most cost-efficient, transparent, direct and fair manner. Specifically, EDDIE Code:

● Introduces the concept of Regulatory Period and the setting of permitted revenue coming from such activity for multi-annual Periods; this will be calculated based on the overall business planning of the Operator, which will be subject to RAE's approval in order to ensure regulatory stability for revenue, but also performance targets of the activity, and motivate Network Operator to enhance effectiveness and reduce operational costs.
● Connects Operator's revenue and Network users charges with the level of quality of the provided services and the energy efficiency offered by the Distribution Network.
● Introduces regulations on quality of service and provides for consequences where quality standards of services are not met.
● Outlines the procedures and technical issues associated with the access to the Distribution Network, the rights and obligations of the Network Operator and the users, and lays down the basic principles for the calculation of charges for both the connection and use of the Network.
● Steers the designing and planning of the deployment of the Distribution Network and sets targets. criteria and general principles of development.
● Sets the main design and operational specifications and requirements of the Distribution Network at the same time laying down the general principles governing the Network structuring, operation and maintenance procedures.
● Tackles issues relating to the meter and metering management and incorporates special regulations on handling and addressing electricity theft.
● Tackles issues relating to Network Operator's support to the energy market and stakeholders (Α1).

Β. Special duty of Greenhouse Gas Emissions Reduction (ΕΤΜΕΑΡ): 2017 charges

By its decision No. 621/2016 RAE announced the charges applicable to the special duty of Greenhouse Gas Emissions Reduction (ΕΤΜΕΑΡ) for the year 2017.

 

Customer Group

Unit charge – ΕΤΜΕΑΡ

(€/MWh)

High voltage (HV)

2.51

ΜV - usage >13GWh

2.51

MV agricultural consumers

9.71

ΜV - usage < 13GWh

9.76

LV agricultural consumers

10.47

LV residential consumers

24.77

Other LV consumers

27.79


The above mentioned unit charges also apply to self-producers with the exception of the following: a) self-producers of clean energy generated by RES and CHP/CHP of High Efficiency regarding the self-generated clean energy, and b) RES self-producers falling within the provisions in para. 1 of Article 14Α in L.3468/2006, which shall pay the special duty exclusively and solely for the overall part of electricity that they draw from the Network or the System (Α3).

C. Loss factors in the Interconnected Distribution Network for the year 2017

By its decision No. 573/2016 RAE approved Loss factors in the Interconnected Distribution Network for the calendar year 2017, as follows:
a) Customers whose installation is connected to Medium Voltage on the Interconnected Network: 1.0333
b) Customers whose installation is connected to Low Voltage on the Interconnected Network:1.1136 (Α4).


European news:

Α. Report by the International Energy Agency (IEA) “Energy efficiency Indicators”

The International Energy Agency – IEA) released its statistics report entitled “Energy efficiency Indicators”. The report is intended to provide a complete picture through data on energy efficiency, in tables and graphical format at a global level. The report presents a selection of energy efficiency indicators data for the 26 IEA Member countries, among which is Greece, broken down per sector, as follows: residential sector, industry and services sectors, transport sector, but also a cross-sectoral overview (Β1) (attached) .

Β. Council of European Energy Regulators (CEER) 2017 Work Programme

The Council of European Energy Regulators (CEER) published its 2017 Work Programme. CEER core priorities continue to emphasize on the following areas:
 Ø Consumers and retail markets
 Ø New legislative/policy developments
 Ø The role of Distribution System Operators
 Ø International work beyond the borders of the EU
Moreover, CEER will complement the work of the Agency for the Cooperation of Energy Regulators (ACER) in the development and implementation of the European regulatory framework in both gas and electricity.
CEER will also prepare good practice guidelines relating to the use of auctions for the allocation of support to renewable energy sources (RES) and will examine how obstacles to the development of cross-border co-operation mechanisms can be removed. (Β3) (attached).

C. ENTSO-E Annual Work Programme 2017

ENTSO-E publishes an Annual Work Programme for 2017. The Work Programme has also been joined by the four European associations representing electricity DSOs (CEDEC, EDSO for Smart Grids, EURELECTRIC, and GEODE). All five associations will work on data management, data hubs, congestion management, balancing, flexibility, etc. (Β4).

D. Hands-on-Manual for DSOs

The “Hands-on-Manual for DSOs” published in the framework of the EU funded project scheme “FP7 INCREASE” provides an overview of the results of field trials of the Programme using data from four different DSOs (The Netherlands, Belgium, Austria and Slovenia). Finally, the report gives practical recommendations and instructions to DSOs based on the experience gained through the Programme (Β6) (attached). 

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