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CJEU Case C-454/18 / Judgment

Baltic Cable AB v Energimarknadsinspektionen.

Policy area:
Energy
Deciding Body type:
Court of Justice of the European Union
Deciding Body:
Court (Third Chamber)
Type:
Decision
Decision date:
11/03/2020

Key facts of the case:

Reference for a preliminary ruling — Internal market for electricity — Directive 2009/72/EC — Transmission of electricity — Concept of ‘transmission system operator’ — Regulation (EC) No 714/2009 — Interconnector — Transmission line connecting the national transmission systems of the Member States — Article 16(6) — Scope — Use of revenues resulting from the allocation of interconnection capacity — Undertaking which merely operates a cross-border high-voltage power line connecting two national transmission networks.

Outcome of the case:

On those grounds, the Court (Third Chamber) hereby rules:

  1. Article 16(6) of Regulation (EC) No 714/2009 of the European Parliament and of the Council of 13 July 2009 on conditions for access to the network for cross-border exchanges in electricity, and repealing Regulation (EC) No 1228/2003 must be interpreted as applying to an undertaking which merely operates a cross-border interconnector.
  2. Point (b) of the first subparagraph of Article 16(6) of Regulation No 714/2009 must be interpreted as meaning that, when a transmission system operator (TSO) merely operates a cross-border interconnector, the operation and maintenance costs of that interconnector cannot be regarded as network investments to maintain or increase interconnection capacities within the meaning of that provision.
  3. The second subparagraph of Article 16(6) of Regulation No 714/2009 must be interpreted as meaning that, when a national regulatory authority applies that provision to a transmission system operator (TSO) that merely operates a cross-border interconnector, it is for that authority to authorise that TSO to use part of its congestion revenues to make a return as well as for the operation and maintenance of the interconnector, in order to prevent it being discriminated against by comparison with the other TSOs concerned and to ensure that it is in a position in which it is able to carry out its activity in financially acceptable conditions, which includes making an appropriate profit.