The Commission for Energy Regulation (CER), Ofgem and the Utility Regulator (the National Regulatory Authorities) are today jointly publishing their final decision on the cross border allocation of investment costs for the proposed Shannon LNG project.
The Shannon LNG project has been adopted as a Project of Common Interest (PCI) by the European Commission. Given this PCI status the promoter of this project may apply for European funding. A part of this process requires that projects be considered for a Cross Border Cost Allocation (CBCA) decision by the National Regulatory Authorities (NRAs) of impacted jurisdictions. These requirements are set out in the trans-European energy infrastructure Regulation 347/2013 (“the Regulation”).
Shannon LNG applied for a CBCA in accordance with Article 12 of the Regulation. Article 12 of the Regulation also requires that the NRAs come to a co-ordinated decision on the CBCA of investment costs for the project.
Accordingly, the NRAs have evaluated the information provided in the project promoter’s application and have come to a co-ordinated decision. The NRAs have agreed to allocate all costs to Ireland for the Shannon LNG project.
The formal co-ordinated decision between the NRAs and the decision letters from each of the NRAs to the project promoters are available below. The letters to the project promoter set out the NRAs’ reasoning for coming to this decision.
For further information please contact either Barry Hussey (email@example.com); Iain Morgan (Iain.Morgan@ofgem.gov.uk); or Richard Hume (firstname.lastname@example.org).