TITLE VSETTLEMENT

CHAPTER 4 Imbalance settlement

Article 52Imbalance settlement

1.

Each TSO or, where relevant, third party shall settle within its scheduling area or scheduling areas when appropriate with each balance responsible party for each imbalance settlement period pursuant to Article 53 all calculated imbalances pursuant to Article 49 and Article 54 against the appropriate imbalance price calculated pursuant to Article 55.

2.

By one year after entry into force of this Regulation, all TSOs shall develop a proposal to further specify F1... at least:

(a)

the calculation of an imbalance adjustment pursuant to Article 49 and the calculation of a position, an imbalance and an allocated volume following one of the approaches pursuant to Article 54(3);

(b)

the main components used for the calculation of the imbalance price for all imbalances pursuant to Article 55 including, where appropriate, the definition of the value of avoided activation of balancing energy from frequency restoration reserves or replacement reserves;

(c)

the use of single imbalance pricing for all imbalances pursuant to Article 55, which defines a single price for positive imbalances and negative imbalances for each imbalance price area within an imbalance settlement period; and

(d)

the definition of conditions and methodology for applying dual imbalance pricing for all imbalances pursuant to Article 55, which defines one price for positive imbalances and one price for negative imbalances for each imbalance price area within an imbalance settlement period, encompassing:

  1. (i)

    conditions on when a TSO may propose to F2the regulatory authority F3... the application of dual pricing and which justification must be provided;

  2. (ii)

    the methodology for applying dual pricing.

F43.

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

4.

The proposal pursuant to paragraph 2 shall provide an implementation date no later than eighteen months after approval by F5the regulatory authority.