French electricity network price controls: first consultation

Commission de régulation de l'énergie consultation (9 pages in French, PDF) on its approach to the price control review for electricity transmission and distribution in France.

The paper reports a request by RTE (transmission) for a three-year control period with a CPI-X formula, passthrough of taxes, and an incentive scheme for transmission losses. RTE also asks for higher prices to provide a higher return on capital and cover the effect of energy price increases on transmission losses.

ERDF (distribution) is asking for a four-year price control, with higher prices to cover the effect of energy price increases on distribution losses (which ERDF has to purchase), network reinforcement and new metering technologies.

Details of the CRE's thinking to date are provided in separate papers:

Responses by Tuesday 12 March 2008.

For further information or advice please contact Franck Latrémolière.

Filed under CRE, Electricity, France, Price controls.

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