Annual Report 2010 - Enel.com

the ARENH price will be set with a ministerial decree,
using the level of the TaRTAM at December 31, 2010
as a benchmark; as from 2013 the ARENH price will be
determined directly by CRE;
> each supplier shall provide direct or indirect guarantees
of capacity for consumption reduction and electricity
generation: this could give rise to the formation of a capacity
market, presumably in operation as from 2015;
> the number of CRE commissioners has been reduced,
although CRE’s responsibilities will increase within the
scope of the duties assigned to it under the NOME Act;
> starting from 2015 the regulated rates for major electricity
consumers will be eliminated, while the regulated
rates for the sale of electricity to minor consumers
will be maintained;
> a new local electricity consumption tax will be introduced
(TLE) for customers with a supply contract of
more than 250 kVA;
> payment of connection costs is transferred to the generation
companies in order to reduce the impact on distribution
companies and to contain requests for connection
made by generators using renewable energy
resources.
Recently, France’s ministers for energy and for the economy
recommended the establishment of new committee
headed by Paul Champsaur to set the ARENH price.
Poniatowski Act
On June 8, 2010 the Poniatowski Act was officially published.
It introduces the option for final customers who
have transferred to the free market to return to a regulated
supply market, although until 2015 they must remain
in the free market for at least one year. The law also
extends the TaRTAM until December 2010. The rates was
extended further during the Senate debate on the NOME
Act: the TaRTAM will therefore remain in effect until the
actual implementation of the ARENH mechanism.
Taxation
A new tax, the IFER (Imposition Forfaitaire sur les Entreprises
de Réseaux), introduced with the 2010 Finance Act, is
in effect starting from 2010. The new tax of €2,913/MW/
year, will be paid by hydroelectric and wind power plants
with a capacity in excess of 100 kW and by nuclear and
conventional power plants with a capacity in excess of 50
MW. The 2011 Finance Act increased the IFER for wind
plants (€5,000/MW/year).
Roussely Report and nuclear policy
On May 11, 2010 a confidential report prepared under the
guidance of François Roussely was sent to the French President.
In July 2010 a summary of the report was published,
containing guidelines for France’s nuclear energy policy.
Among its objectives, the report calls for forging a partnership
between EDF and AREVA and making them more
competitive in the global nuclear energy market in order
to create opportunities for exporting French technology.
The report suggests ensuring that the construction of the
Flamanville 3 plant proceed as quickly and cost-effectively
as possible and calls for making investments to expand existing
plant availability. Recognizing that certain problems
faced by EPR plants are the result of the large number of
safety standards imposed during construction, the Report
recommends greater cooperation between EDF and the
French nuclear safety authority (Autorité de Sûreté Nucléaire
- ASN) concerning safety measures and the operational
life of French nuclear power plants to make them more
competitive. Finally, the report suggests that smaller-scale
plants (1,000-1,150 MW), for which there is higher demand
internationally, be added to France’s portfolio.
Regulated electricity rates
On August 15, 2010 the French Energy Ministry set the
new final regulated electricity rates, featuring average
increases of 4%, 4.5% and 5.5% for small, medium and
large customers, respectively.
TaRTAM rates, in effect through December 2010, were
also increased by an average of 0.6%. The 2011 Finance
Act set out a new regulatory framework for the operation
of the electricity public service contribution (CSPE), raising
that component of electricity rates from €4.5/MWh to
€7.5/MWh.
Russia
Capacity market
The volumes of capacity sold on the free market are rising
in line with the volume of liberalized electricity envisaged
in the decree of April 7, 2007: since January 1, 2011, all
capacity for non-household customers is sold on the free
market.
At the conclusion of the long consultation process, in February
and April 2010 the government published two decrees
regulating the new long-term capacity market and
setting out the pricing parameters for both new and existing
capacity.
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