Close to 400 million euros is expected, according to reports, to be collected by the Ministry of Environment and Energy (MoEEE) from energy suppliers in December 2022, when, according to the design of the Revenue Refund Mechanism, they will pay 60% of the above amounts received for the energy they sold in the August-October 2022 quarter.
As stated in the amendment of the Ministry of Environment, which was passed yesterday in Parliament, by December 23, suppliers will have to pay 60% of the amounts to be determined by the calculations of RAE and the Ministry of Environment, that must be returned as excess revenue.
This process will be repeated on a quarterly basis until July, at which time the 40% balance of the total amounts will be cleared and paid.
What will be set out in an EIA
The exact formula for calculating the overruns, as well as any other details for the allocation of the amounts to be accrued will be determined by a Joint Decision of the Ministers of Finance and Environment & Energy to be followed, while the calculations will be carried out by RAE.
The determination of the additional revenue will be made by the definition for each month of a «reasonable price» for the supply of electricity. Therefore, if a company's profits exceed this price in one month and the next month are below the above-mentioned bar, then a set-off will be made. The excess revenue will be any positive difference resulting from the balance of the whole quarter.
«Reasonable price» is called in the amendment «Reasonable Maximum Retail Price» (EMTL), which for each month and for each supplier will be compared with the nominal charges announced by the supplier, i.e. the «Average Billing Price (AMP)». It is worth noting that the «Average Billing Price» will be the average nominal charge for all the invoices of a supplier for that month.
Finally, the mechanism will take into account parameters that reflect the actual commission costs, which will be compared with the nominal charges and deducting the amounts paid by each supplier in the context of the settlement of monthly power purchase contracts and monthly hedging operations.
Offsets against last year's TEM payments
Article 3 of the amendment provides that the D.A.P.E.E.P. S.A., as manager of the Energy Transition Fund, may offset claims between the Revenue Sub-account and the Expense Sub-account of the special account when they relate to the same beneficiary debtor.
As mentioned, this also applies in the case of advances made to electricity suppliers before November 18, 2022, for the granting of subsidies to final consumers, in accordance with the decisions issued.
That is, the DAPEP, which is an Administrator in the Energy Transition Fund, will deduct the subsidy amounts it gave above last year, offsetting them against what it owes for subsidies now. It is reported that these amounts are in the order of EUR 200 million.
