Regional Seminar on “EU Gas and Electricity Tariffs” – Hungary

Objective

The objective of the seminar was to establish a common understanding and vocabulary of the strategies and methodologies underlying the regulation of gas and electricity tariffs in Europe in order to assist the participants in the development of local tariff methodologies in compliance with the provisions of the Energy Community Treaty. 

The three-day seminar concentrated on presentations by the Energy Regulators Regional Association (ERRA). They covered all aspects of tariff setting, including setting the revenue requirement, establishment of the Regulatory Asset Base and calculation of the weighted cost of capital (WACC), tariff design for end consumers, the treatment of new investments etc. The meeting also focused on the partner countries, presenting a general tariff review and continuing with presentations from each participant on their own tariff methodologies. A round table discussion completed the event.