Service quality

From 1 January 2012 and until 31 December 2015 (fourth regulatory period) the technical quality of the electrical energy distribution service is governed by Resolution 198/11.

Resolution 198/11 retains governance of the four different regulation types already in place in the third regulatory cycle (2008-2011), i.e.:

  • Regulation of prolonged or extended outages;
  • Individual standards regarding the number of outages for MV customers;
  • Regulation of the total duration of long outages without advance warning;
  • Regulation of the average number of long and short outages without advance warning.

The more important elements introduced by the new regulations refer to the regulation of individual standards for the number of outages for MV customers. Basically, Resolution 198/11 includes short outages among the calculation of disruptions, in addition to the long outages envisaged thus far. The specific continuity levels to be observed have increased but, again with respect to the previous regulatory period, envisage caps on the higher penalties and assessment indicators for the more challenging individual penalties. These increases are to be implemented in two steps: a first step already for the period 2012-13, and a second, more aggressive step for 2014-15.

In parallel, an incentive mechanism has been introduced to reduce the worst served MV customers (a worst served customer being an MV customer who in one year has had most standard-level outages). 

Regarding real continuity recoveries, i.e. regulation of the cumulative duration and average number of outages, a “preferential” form of regulation has been established for concentrations with a departure level (the two-year period 2010-11) more than 1.5 times higher than the target duration. For these areas an additional continuity recovery is envisaged if the annual indicator for 2015 is lower than the target level and “higher” excess bands are applied for all four years of the fourth regulatory period.

Note also that the restriction of a maximum required improvement of 6% on regulation of the number of outages per LV customer has been eliminated.

With regard to activities in 2012 note that the 2011 reporting exercise was concluded by the deadline established by the Authority (31 March 2012) in accordance with previous sector regulations, i.e. Resolution 333/07. Reporting for 2012 shall take place by 31 March 2013.