Consultation on implementation of CP5 capacity charge for new open access operators

Date published: 16 May 2014
Closing date: 1 July 2014 

Consultation about our proposed approach to implement our decision on the capacity charge rates payable by new entrant open access operators (OAOs) during CP5.

In our final determination we made our decision on the capacity charge rates payable by new entrant open access operators (OAOs) during CP5. We said that:

New entrant OAOs will pay CP4 rates on services below a threshold (set to provide broadly equivalent treatment with existing OAOs) and CP5 rates above the threshold. This approach is to ensure that we are treating existing and new entrant OAOs in the same way, as required by European law and our section 4 duties.

This consultation letter set out our proposed approach to implement this decision.

In particular, we invited comments on our implementation proposals on:

  1. the threshold at which capacity charge wash-up rates (CP5 equivalent rates) are payable instead of CP4 equivalent capacity charge rates;
  2. how this threshold would be converted into a monetary baseline to go into the formula in Schedule 7 of track access contracts;
  3. the approach that should be followed when calculating CP4 equivalent capacity charge rates for a new entrant OAO; and
  4. how we define new entrant OAO.

Decision letter

Consultation letter

Responses