FAQs on transaction reporting – Question III.4.2.7

Reference to Article 7(5) of the Implementing Acts in case of transformations of the contract

Examples for transformations of the contract:

  • The contractual nature of a capacity contract can change. For instance, it is possible to convert interruptible capacity into firm capacity.
  • Transformation of capacity from interruptible to firm.

According to Article 7(5) of the Implementing Acts, details of contracts referred to in Article 3(1)(b)(i) of the Implementing Acts shall be reported as soon as possible but no later than on the working day following the availability of the allocation results. Any modification or the termination of the concluded contracts shall be reported as soon as possible but no later than on the working day following the modification or termination.

How to understand the provisions of Article 7(5) of the Implementing Acts in case of transformation of the contract – as a new or as a modified contract?

Should the case of capacity conversion from interruptible to firm be reported as contract modification?


Answer:

It is the Agency’s current understanding that the TSOs will have to report the transformation of a contract as modification of contracts to the Agency since there is a change of the main contractual aspect (product quality). The transformation of a contract shall be reported with 66G 66G = Changed (please refer to TRUM field (14) Action type for details)

Other fields have to be updated accordingly.

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FAQs on transaction reporting – Question III.4.2.8

Reference to Article 7(5) of the Implementing Acts in case of Floating tariffs: change of tariff (regulated price), in particular in case of long term contracts.

According to Article 7(5) of the Implementing Acts, details of contracts referred to in Article 3(1)(b)(i) of the Implementing Acts shall be reported as soon as possible but no later than on the working day following the availability of the allocation results. Any modification or the termination of the concluded contracts shall be reported as soon as possible but no later than on the working day following the modification or termination.

How to understand the provisions of Article 7(5) of the Implementing Acts in case of Tariff change?

Does the TSO have to report the tariff change as modification of the contract?


Answer:

It is the Agency’s current understanding that there is no need to send tariff changes as a modification of the contract if the usage of the tariff is well-defined in a contract and if the tariff change is made publically available by the TSO or by the respective NRA. The Agency reserves the right to request data on tariffs from TSOs.

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FAQs on transaction reporting – Question III.4.2.9

Secondary Transactions (transfer of rights to use/sell transmission capacity from shipper to shipper) that will be reported via capacity platforms – OMP (XX, YY, etc.)

Does ACER require reporting of transfer of rights to use of capacities or is reporting only required in case that a shipper sells the capacity itself to another shipper?


Answer:

The Agency considers the described transfer of rights as a secondary market transaction which has to be reported. The reporting responsibility lies with the market participants.

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FAQs on transaction reporting – Question III.4.2.10

The following cases result from the application of Congestion Management Procedures (CMP) according to No. 2.2. of Annex I of Regulation (EC) No 715/2009.

  • Surrender of capacity;
  • Re-surrender of capacity;
  • Withdrawal of capacity rights (LT UIOLI);
  • Transactions relating to overbooking and/or buyback of capacities;
  • Day-ahead UIOLI (renomination restrictions).

Which of the following transactions need to be reported as primary transactions and should the following cases be considered as contractual modifications to be reported acc. to Art. 7 Para 5 sentence 2 of the REMIT Implementing Acts:

a) Surrender of capacity (Application of No 2.2.4 Annex I Regulation (EC) No 715/2009)?

b) Re-surrender of capacity (Surrendered capacity handed back to the shipper, because the TSO was not able to reallocate it to a new customer)?

c) Withdrawal of capacity rights (Application of Long Term Use-it-or-loose-it mechanism acc. to No. 2.2.5 Annex I Regulation (EC) No 715/2009)?

d) Transactions relating to overbooking and/or buyback of capacities (According to No. 2.2.3. Annex I Regulation (EC) No 715/2009):

Shall the TSOs report transactions for Buyback of capacity (In case of over-demand the TSO buys back the primary capacity itself)?

Shall the TSOs report transactions for Buyback of rights to nominate (In case of overdemand the TSO buys back the right to nominate (in main or reverse flow direction) but the capacity contract in this case still remains with the shipper)?

e) Day-ahead UIOLI – renomination restrictions – Shall the TSOs report the renomination restrictions?


Answer:

According to the Agency’s current understanding, the following applies:

a) Successful surrender of capacity shall be reported as contract modification, insofar as capacity is reallocated to a new customer and therefore remains with the new customer and the original contract is adjusted accordingly.

The relevant information shall be reported only in case of successful surrender.

b) Transactions in case of re-surrender of capacity shall not be reported, because in this case the capacity could not be reallocated and remains with the original customer.

c) Withdrawal of capacity rights shall be reported as contract modification, insofar as capacity is reallocated to a new customer and therefore remains with the new customer and the original contract is adjusted accordingly.

The relevant information shall be reported only in case of successful application of LT UIOLI procedure.

d) The Agency understands that in case the TSO is buying back primary capacity on the basis of a bilateral contract between the TSO and the market participant this transaction will be reported by the TSO as a new contract for primary transportation capacity. In case the buy-back procedure is handled by the TSO buying back capacity on the secondary market (or the right to nominate via transfer of use) this transaction will be reported by the OMP.

e) The Day-ahead UIOLI transactions shall not be reported because the renomination restrictions are initially included in the contracts, which means that if applied, this cannot be considered as contract modification.

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FAQs on transaction reporting – Question III.4.2.11

Identification of the party and its role in the reporting process in case that one entity plays different market roles:

  • one TSO can act not only as TSO, but also as:
  • operator of capacity trading allocation platform (not being a separate legal entity – e.g. XX Auction Platform);
  • independent system operator (of a different transmission system) – ISO TSO;
  • market participant (gas purchase for technological needs, gas for balancing needs, use of storage capacities);
  • RRM.

What is the concept for reflecting the role fulfilled by TSO/Market Participant in a given situation?

How should the different roles be identified during the reporting process taking into consideration that the entity that plays all these different roles on the market could have only one VAT and one EIC?

Which codes defining the entity role in the reporting process shall be used for:

  • TSO;
  • market participant;
  • RRM;
  • OMP?

Answer:

There can be overlaps of the roles. The TRUM already clarifies which code should be applied.

The roles can be identified from schemas. For gas transportation contracts the fields for identifying the roles are:

  • TSO (field 1 for primary allocations and fields 25/26);
  • market Participant (field 1/field 27 for primary allocations, fields 36/37 for secondary allocations);
  • RRM (outside of the schema);
  • OMP (field 2).

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FAQs on transaction reporting – Question III.4.2.12

Contractual changes of the original capacity contract in case of application of CMP measures (e.g. ‘successful surrender’; ‘successful reallocation of capacity in case of withdraw’ (=LT UIOLI); ‘secondary sale’)

The TSOs shall submit the contractual changes of the original contract acc. to Art. 7 Para 5 Implementing Regulation (EU) No 1348/2014.

Example: Shipper A holds a capacity contract of 100 amount of capacity. Shipper A sells 40 to Shipper B on the secondary market (full sale, no sublet of use). OMP (in case of OTC TSO) will report: Shipper A sold 40 to shipper B, price XYZ. TSO reports to ACER: contractual change of the original contract: Shipper A contracted amount is now 60. ACER will not know the reason for the modification of the contract (why the quantity amount was changed), which could be due to:

  • the shipper surrendered 40 to the TSO;
  • the TSO withdrawn 40 from the Shipper because he systematically did not use the capacity (LT UIOLI);
  • the Shipper sold the capacity at the secondary market?

Does ACER need to know the reason for the modification of contract (changed quantity amount) when the contractual change is reported?

In case that ACER needs to know the reason for a contractual change is it possible this reason to be specified and reported through the current Gas Capacity Allocation schema. If yes – which elements and codes shall be used for this purpose?

Which codes shall be used for reporting of capacity change due to surrender and LT UIOLI mechanisms, secondary market transactions etc?

In case that the current Gas Capacity Allocation schema does not allow to specify the reason for a contract modification, does ACER intend to request a change of EASEEgas Gas Capacity Allocation schema?


Answer:

The Agency currently does not plan to add such an additional field to the schema.

The changes should be visible since the modifications need to be reported and the capacity right identification remains the same.

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FAQs on transaction reporting – Question III.4.2.13

According to the schema for gas transportation transactions reporting: urn-easee-gas-eu-edigas-remit-gascapacityallocationsdocument-5-1.xsd, the only currency code allowed is EURO.

Please see the document Edig@s Message Implementation Guidelines, schema: Gas Capacity Allocation, element 3.1.3.15 Currency.Code.

Does ACER intend to change this schema/element in order to be able to accept reports for transactions performed in other currencies (valid for UK, and the EU countries outside the monetary union Eurozone)?

Or does the Agency require conversion from the different currencies to EURO? If yes, what are requirements for this conversion?

What exchange rate shall be used?


Answer:

The Agency, after consulting relevant parties, established procedures, standards and electronic formats based on established industry standards for reporting of information referred to in Articles 6, 8 and 9 of the Implementing Acts. The current schemas foreseen for data reporting to the Agency under REMIT are the result of extensive consultations with stakeholders during 2014 and 2015.

This includes the accepted values for the currency code in the above-mentioned schema. The Agency will base data collection as of 7 April 2016 on the currently applicable schemas in order to facilitate reporting for all reporting parties. This is why the Agency, for reasons of legal certainty and consistency, will currently not modify the schema in the near future. The Agency is currently aiming at reviewing the current schemas for data reporting in early 2017. The Agency will consult relevant parties on material updates of the referred procedures, standards and electronic formats.

In the light of the above, the only currency code allowed for the relevant schema is EUR. Prices which were originally not expressed in EUR should be converted to EUR.

The Agency recommends using the last available ECB reference rate for the currency conversion at the time before the trade is concluded. Please refer to https://www.ecb.europa.eu/stats/exchange/eurofxref/html/index.en.html for further details on the ECB’s reference rate updates.

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FAQs on transaction reporting – Question III.4.2.14

According to the schema for gas transportation transactions reporting: urn-easee-gas-eu-edigas-remit-gascapacityallocationsdocument-5-1.xsd, the only Primary Market Participant identification coding scheme allowed is 305 (EIC). Please see the document

Edig@s Message Implementation Guidelines, schema: Gas Capacity Allocation, element 3.1.4.2.

In case that a TSO shall report data about a transportation contract concluded outside an OMP and the respective client of the TSO (Primary Market Participant) is not registered as Market participant, neither possess EIC, how shall it be identified in the report file when the only allowed coding scheme is 305?


Answer:

The Agency, after consulting relevant parties, established procedures, standards and electronic formats based on established industry standards for reporting of information referred to in Articles 6, 8 and 9 of the Implementing Acts. The current schemas foreseen for data reporting to the Agency under REMIT are the result of extensive consultations with stakeholders during 2014 and 2015. As a result of the aforementioned consultations, only EIC codes are accepted for identifying the reporting parties when reporting gas and electricity transportation contracts.

All reporting parties need to make sure to apply for an EIC code if they do not have one. The EIC codes can be obtained from the local issuing office. Since the EIC code will be used for reporting, it must be registered by the market participant’s registration as market participant according to Article 8 of REMIT.

Please note that it is the market participant’s responsibility for the completeness, accuracy and timely submission of data to the Agency and, where required so, to national regulatory authorities. Where a market participant reports those data through a third party, the market participant shall not be responsible for failures in the completeness, accuracy or timely submission of the data which are attributable to the third party. In those cases the third party shall be responsible for those failures, without prejudice to Articles 4 and 18 of Regulation (EC) No 543/2013 on submission of data in electricity markets. Market participants using a third party for reporting purposes shall nevertheless take reasonable steps to verify the completeness, accuracy and timeliness of the data which they submit through third parties. This includes the completeness and accuracy of the market participant identification through a relevant identification code.

Potential sanctions for the breach of reporting obligations as laid down in Article 8 of REMIT are defined at national level. In case reporting parties are facing technical issues when reporting data to the Agency, the Agency has established a contingency plan for Registered Reporting Mechanisms which provides all instructions on what reporting parties have to do in case of different scenarios that may impact the reporting. Any such possible technical issues should not be confused with possible breaches of the reporting obligations under REMIT.

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FAQs on transaction reporting – Question III.4.2.15

Reference to Articles 6(2) and 7(2) of the Implementing Acts

Article 6(2) of the Implementing Acts state that TSOs or third parties acting on their behalf shall report details of contracts referred to in Article 3(1)(b)(i) of the Implementing Acts including matched and unmatched orders.

Article 7(2) of the Implementing Acts state that in the case of auction markets where orders are not made publicly visible, only concluded contracts and final orders shall be reported. They shall be reported no later than on the working day following the auction.

How should TSOs understand the provisions of Articles 6(2) and 7(2) of the Implementing Acts?

Shall the TSOs or third parties acting on their behalf report all orders (matched and unmatched) or only information about the concluded contracts as the result of successful orders?


Answer:

It is the Agency’s current understanding that each auction rounds can impact the final price for transmission capacity.

Accordingly, all orders matched and unmatched which were taken into consideration for the calculation of any auction round need to be reported.

Please note that orders (matched or unmatched) are not relevant for back loading.

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FAQs on transaction reporting – Question III.4.2.16

Reference to Article 7(5) of the Implementing Acts  in case of Over-nomination.

Article 7(5) of the Implementing Acts stipulate that details of contracts referred to in Article 3(1)(b)(i) shall be reported as soon as possible but no later than on the working day following the availability of the allocation results. Any modification or the termination of the concluded contracts shall be reported as soon as possible but no later than on the working day following the modification or termination.

Over-nomination:

(According to Article 3(12) Regulation (EU) No 984/2013, CAM NC):

Network user nominates more than transport customer has booked.  According to CAM rule this constitutes a booking of interruptible within-day capacity.

How to understand the provisions of Article 7(5) of the Implementing Acts  in case of Over-nomination?

Should the cases of Over-nomination be reported?

If yes, as a new contract or as a modification of existing one?

What PROCESS_TRANSACTION.TYPE (corresponding to TRUM field 9 Transportation transaction type) shall be used in case of process not included in the Edig@s coding scheme such as:

  • over-nomination;
  • open Subscription Window;
  • open season;
  • storage allocation;
  • non-ascending clock pay-as-bid auction?

Answer:

The Agency, after consulting relevant parties, established procedures, standards and electronic formats based on established industry standards for reporting of information referred to in Articles 6, 8 and 9 of the Implementing Acts. The current schemas foreseen for data reporting to the Agency under REMIT are the result of extensive consultations with stakeholders during 2014 and 2015. As a result of the aforementioned consultations, the accepted values are limited to the relevant EDIGAS Code list document for valid codes.

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