Investor Presentaiton
Belgium:
2.2 Cost+ model
2020-2023
Average RoE ~6%
Key principles
next tariff methodology
elia group
2024-2027
Average RoE ~5.7%²
Fair remuneration
Net return: 4.68%
+
Incentives: ~1.3%
Elia
Transmission
Net Profit
O Cost+ model
• No volume risk
> Embedded debt principle
Regulatory gearing: 40%
Additional incentives for
interconnection and sustainability
> Risk Premium MOG II1
Fair remuneration
Net return: ~4.10%³
+
Risk premium
MOG I & II: ~0.2%
+
Incentives: ~1.4%
Elia
Transmission
Net Profit
1. MOG II refers to the Energy Island in the North Sea.
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2.
Based on the parameters described in the draft methodology published on 21 April 2022, average RoE is based on BEGAAP figures.
The value of the risk free rate of 1.6% may be revised upwards by the CREG by 30 June 2022 up to a maximum of 1.68% based on the arithmetic average of the latest forecasts published by the Federal
Planning Bureau on 29 June 2022 on the average arithmetic yield of 10-year linear bonds (OLO) issued by the Belgian authorities during each year of the relevant regulatory period, i.e. 2024-2027.
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