TITLE IIREQUIREMENTS FOR TERMS, CONDITIONS AND METHODOLOGIES CONCERNING CAPACITY ALLOCATION AND CONGESTION MANAGEMENT

CHAPTER 2Bidding zone configuration

Article 34Regular reporting on current bidding zone configuration by ENTSO for Electricity and the Agency

1

The Agency shall assess the efficiency of current bidding zone configuration every three years.

It shall:

a

request ENTSO for Electricity to draft a technical report on current bidding zone configuration; and

b

draft a market report evaluating the impact of current bidding zone configuration on market efficiency.

2

The technical report referred to in paragraph 1 second subparagraph point (a) shall include at least:

a

a list of structural congestion and other major physical congestion, including locations and frequency;

b

an analysis of the expected evolution or removal of physical congestion resulting from investment in networks or from significant changes in generation or in consumption patterns;

c

an analysis of the share of power flows that do not result from the capacity allocation mechanism, for each capacity calculation region, where appropriate;

d

congestion incomes and firmness costs;

e

a scenario encompassing a ten year time-frame.

3

Each TSO shall provide data and analysis to allow the technical report on current bidding zone configuration to be produced in a timely manner.

4

ENTSO for Electricity shall deliver to the Agency the technical report on current bidding zone configuration no later than nine months after the request by the Agency.

5

The technical report on current bidding zone configuration shall cover the last three full calendar years preceding the request by the Agency.

6

Without prejudice to the confidentiality obligations provided for in Article 13, ENTSO for Electricity shall make the technical report available to the public.

7

If the technical or market report reveals inefficiencies in the current bidding zone configuration, the Agency may request TSOs to launch a review of an existing bidding zone configuration in accordance with Article 32(1).