Commission Regulation (EU) 2016/1447 of 26 August 2016 establishing a network code on requirements for grid connection of high voltage direct current systems and direct current-connected power park modules (Text with EEA relevance)

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Article 4U.K.Application to existing HVDC systems and DC-connected power park modules

1.Except for Articles 26, 31, 33 and 50, existing HVDC systems and existing DC-connected power park modules are not subject to the requirements of this Regulation, unless:

(a)the HVDC system or DC-connected power park module has been modified to such an extent that its connection agreement must be substantially revised in accordance with the following procedure:

(i)

the HVDC system or DC-connected power park module owners who intend to undertake the modernisation of a plant or replacement of equipment impacting the technical capabilities of the HVDC system or DC-connected power park module shall notify their plans to the relevant system operator in advance;

(ii)

if the relevant system operator considers that the extent of the modernisation or replacement of equipment is such that a new connection agreement is required, the system operator shall notify the F1... regulatory authority F2...; and

(iii)

the F3... regulatory authority F4... shall decide if the existing connection agreement needs to be revised or a new connection agreement is required and which requirements of this Regulation shall apply; or

(b)[F5the regulatory authority] decides to make an existing HVDC system or existing DC-connected power park module subject to all or some of the requirements of this Regulation, following a proposal from the relevant TSO in accordance with paragraphs 3, 4 and 5.

2.For the purposes of this Regulation, an HVDC system or DC-connected power park module shall be considered existing if:

(a)it is already connected to the network on the date of entry into force of this Regulation; or

(b)the HVDC system owner or DC-connected power park module owner has concluded a final and binding contract for the purchase of the main generating plant or HVDC equipment [F6before 28 September 2018]. The HVDC system owner or DC-connected power park module owner [F7must have notified] the relevant system operator and relevant TSO of conclusion of the contract [F8before 28 March 2019.]

The notification submitted by the HVDC system owner or DC-connected power park module owner to the relevant system operator and to the relevant [F9TSO must at least have indicated] the contract title, its date of signature and date of entry into force and the specifications of the main generating plant or HVDC equipment to be constructed, assembled or purchased.

[F10The regulatory authority] may determine whether the HVDC system or DC-connected power park module is to be considered an existing or new HVDC system or DC-connected power park module.

3.Following a public consultation in accordance to Article 8 and in order to address significant factual changes in circumstances, such as the evolution of system requirements including penetration of renewable energy sources, smart grids, distributed generation or demand response, the relevant TSO may propose to the regulatory authority [F11that] the application of [F12the requirements set out in] this Regulation [F13be extended] to existing HVDC systems and/or DC-connected power park modules.

For that purpose a sound and transparent quantitative cost-benefit analysis shall be carried out, in accordance with Articles 65 and 66. The analysis shall indicate:

(a)the costs, in regard to existing HVDC systems and DC-connected power park modules, of requiring compliance with this Regulation;

(b)the socioeconomic benefit resulting from applying the requirements set out in this Regulation; and

(c)the potential of alternative measures to achieve the required performance.

4.Before carrying out the quantitative cost-benefit analysis referred to in paragraph 3, the relevant TSO shall:

(a)carry out a preliminary qualitative comparison of costs and benefits;

(b)obtain approval from the F14... regulatory authority F15....

5.The F16... regulatory authority F17... shall decide on the extension of the applicability of this Regulation to existing HVDC systems or DC-connected power park modules within six months of receipt of the report and the recommendation of the relevant TSO in accordance with paragraph 4 of Article 65. The decision of the regulatory authority F17... shall be published.

6.The relevant TSO shall take account of the legitimate expectations of HVDC system owners and DC-connected power park modules owners as part of the assessment of the application of this Regulation to existing HVDC systems or DC-connected power park modules.

7.The relevant TSO may assess the application of some or all of the provisions of this Regulation to existing HVDC systems or DC-connected power park modules every three years in accordance with the criteria and process set out in paragraphs 3 to 5.

Textual Amendments

F1Word in Art. 4(1)(a)(ii) omitted (31.12.2020) by virtue of The Electricity and Gas (Internal Markets and Network Codes) (Amendment etc.) (EU Exit) Regulations 2020 (S.I. 2020/1006), reg. 1(2), Sch. 3 para. 4(2)(a)(i)

F2Words in Art. 4(1)(a)(ii) omitted (31.12.2020) by virtue of The Electricity and Gas (Internal Markets and Network Codes) (Amendment etc.) (EU Exit) Regulations 2020 (S.I. 2020/1006), reg. 1(2), Sch. 3 para. 4(2)(a)(ii)

F3Word in Art. 4(1)(a)(iii) omitted (31.12.2020) by virtue of The Electricity and Gas (Internal Markets and Network Codes) (Amendment etc.) (EU Exit) Regulations 2020 (S.I. 2020/1006), reg. 1(2), Sch. 3 para. 4(2)(b)(i)

F4Words in Art. 4(1)(a)(iii) omitted (31.12.2020) by virtue of The Electricity and Gas (Internal Markets and Network Codes) (Amendment etc.) (EU Exit) Regulations 2020 (S.I. 2020/1006), reg. 1(2), Sch. 3 para. 4(2)(b)(ii)

F5Words in Art. 4(1)(b) substituted (31.12.2020) by The Electricity and Gas (Internal Markets and Network Codes) (Amendment etc.) (EU Exit) Regulations 2020 (S.I. 2020/1006), reg. 1(2), Sch. 3 para. 4(2)(c)

F6Words in Art. 4(2)(b) substituted (31.12.2020) by The Electricity and Gas (Internal Markets and Network Codes) (Amendment etc.) (EU Exit) Regulations 2020 (S.I. 2020/1006), reg. 1(2), Sch. 3 para. 4(3)(a)(i)

F7Words in Art. 4(2)(b) substituted (31.12.2020) by The Electricity and Gas (Internal Markets and Network Codes) (Amendment etc.) (EU Exit) Regulations 2020 (S.I. 2020/1006), reg. 1(2), Sch. 3 para. 4(3)(a)(ii)

F8Words in Art. 4(2)(b) substituted (31.12.2020) by The Electricity and Gas (Internal Markets and Network Codes) (Amendment etc.) (EU Exit) Regulations 2020 (S.I. 2020/1006), reg. 1(2), Sch. 3 para. 4(3)(a)(iii)

F9Words in Art. 4(2)(b) substituted (31.12.2020) by The Electricity and Gas (Internal Markets and Network Codes) (Amendment etc.) (EU Exit) Regulations 2020 (S.I. 2020/1006), reg. 1(2), Sch. 3 para. 4(3)(a)(iv)

F10Words in Art. 4(2)(b) substituted (31.12.2020) by The Electricity and Gas (Internal Markets and Network Codes) (Amendment etc.) (EU Exit) Regulations 2020 (S.I. 2020/1006), reg. 1(2), Sch. 3 para. 4(3)(a)(v)

F11Word in Art. 4(3) substituted (31.12.2020) by The Electricity and Gas (Internal Markets and Network Codes) (Amendment etc.) (EU Exit) Regulations 2020 (S.I. 2020/1006), reg. 1(2), Sch. 3 para. 4(4)(a)