3.9.2010 Official Journal of the European Union L 233/1 II (Non-legislative acts) REGULATIONS COMMISSION REGULATION (EU) No 774/2010 of 2 September 2010 on laying down guidelines relating to inter-transmission system operator compensation and a common regulatory approach to transmission charging (Text with EEA relevance) THE EUROPEAN COMMISSION, (4)  Transmission system operators from third countries or from territories which have concluded agreements with the Union whereby they have adopted and are applying Having regard to the Treaty on the Functioning of the European Union law mn the ﬁel_d of electrlcllt)fl should be entitled to Union participate in the inter-transmission system compen- ’ sation Mechanism on an equivalent basis to transmission system operators from Member States. Having regard to Regulation (EC) No 1228/2003 of the European Parliament and of the Council of 26 June 2003 on ) ) o conditions for access to the network for cross-border exchanges (5 It is appropriate to a%low transmission system operators in electricity ('), and in particular Article 8(1) thereof, in third countries which have not concluded agreements with the Union whereby they have adopted and are applying Union law in the field of electricity to enter Wh . into multi-party agreements with the transmission ereas: system operators in the Member States which enable all parties to be compensated for the costs of hosting cross- border flows of electricity on a fair and equitable basis. (1) Regulation (EC) No 1228/2003 provides for the estab- lishment of an inter-transmission system operator compensation mechanism. In accordance with that Regu- o hould b d lation, the Commission is to establish the guidelines ) Transmission system operators should be compensate o . for energy losses resulting from hosting cross border specifying details of the procedure and methodology to a fg}i o h 8 . % 1d be based be applied in the inter-transmission system operdtor on an estimate of what loses would have been fncured compensation mechanism and appropriate rules leading ) . L . . . in the absence of transits of electricity. to a progressive harmonisation of the setting of charges under national tariff systems. (7) A fund should be established to compensate transmission (2)  Valuable experience has been gained since the need for system operators for the costs of making 1nfrgsFructure intertransmission  system  operator compensation available to host cross border flows of electricity. The mechanism was first recognised, in particular through value of this ffu}rlld IShOUId be based on a Un10r11 wide voluntary mechanisms by transmission system operators. assessment ol the long run average Incremental costs However, transmission system operators have found it of making infrastructure available to host cross border increasingly difficult to reach agreement on such flows of electricity. voluntary mechanisms. ransmission system operators in third countries shou 8 T yst perat third t hould (3)  Binding guidelines establishing an inter-transmission face the same cos‘ts‘for using the Union transmission system operator compensation mechanism should system as transmission system operators in Member provide a stable basis for the operation of the inter-trans- States. mission system operator compensation mechanism and fair compensation to transmission system operators for the costs of hosting cross border flows of electricity. (9)  Variations in charges applied to producers of electricity () O] L 176, 15.7.2003, p. 1. for access to the transmission system should not undermine the internal market. For this reason average