Infrastructure reference costs

Infrastructure reference costs

A key role for network development

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Electricity Distribution

When developing new networks, setting up an appropriate and transparent cost estimation plays a key role. Using the reference values of specific costs can significantly facilitate many processes, increase their credibility and enable reliable comparisons at European level.

Pursuant the TEN-E Regulation (Article 11(9)), every three years ACER shall establish and publish a set of indicators and corresponding reference values for the comparison of unit investment costs (UICs) for comparable projects of the energy infrastructure categories included in Annex II.

ACER shall publish the first indicators for the infrastructure categories set out in points (1), (2) and (3) of Annex II by 24 April 2023. These reference values may be used by the European Network of Transmission System Operators for electricity (ENTSO-E) and gas (ENTSOG) for the cost-benefit analyses carried out for subsequent Union-wide ten-year network development plans (TYNDP).

These indicators and reference values can be used for preparation of the TYNDP, for assessment of the projects of common interest (PCIs) and their selection for the PCI list, for developing cross-border cost allocation (CBCA) decisions and many other analyses. This time UICs indicators have been established for the electricity infrastructure category and corresponding assets, based on data (and it’s robustness) provided by project promoters.

The unit investment costs values for indicators provided are: average, median, first and third quartile UIC indicator.

Would you like to know more?

Take a look at our report on UICs of European energy infrastructure and watch the recording of our workshop on the same topic. 

Infrastructure reference costs

What are the next steps?

According to new TEN-E regulation, ACER shall publish the first indicators for the energy infrastructure categories concerning large electrolyser facilities and carbon dioxide by 24 April 2025.

For the purpose of data collection, ACER will request project promoters to provide data on the commissioned projects every three years. Based on data received ACER will establish and publish a set of indicators and corresponding reference values for the comparison of unit investment costs for comparable projects of the energy infrastructure categories.

Infrastructure reference costs