Report
05.11.2025
Cross Sectoral

NRA Oversight on Electricity Transmission Grid Development and Investment

Introduction

CEER has published its latest report on NRA Oversight on Electricity Transmission Grid Development and Investment, providing a comprehensive overview of how National Regulatory Authorities (NRAs) govern and support the expansion and modernisation of the electricity transmission grid. The report examines how regulatory frameworks, competences, and resources shape the effectiveness of grid planning, investment, and cost control across CEER Member Countries.

Context and Purpose

Europe’s energy transition relies on the rapid and efficient development of its electricity transmission infrastructure to integrate growing shares of renewable energy and ensure system reliability. NRAs play a crucial role in this process by overseeing transmission investments, safeguarding cost efficiency, and ensuring alignment with EU policy goals.
This report assesses NRA involvement across the three key stages of grid development:

  • Planning and Approval: Evaluation of National Development Plans (NDPs) and their assessment processes.
  • Investment Execution: The extent of NRA powers to ensure that approved projects are implemented.
  • Monitoring and Cost Control: How NRAs track project progress, assess costs, and enforce efficiency.

The study provides insights into the division of responsibilities between NRAs, Transmission System Operators (TSOs), and public authorities, identifying regulatory gaps, best practices, and key challenges in the governance of transmission grid development.

Key Findings

The report highlights a fragmented regulatory landscape across Europe. While EU legislation provides a common foundation, national implementation and NRA competences differ considerably:

  • NDP Content: All countries include cost estimates in their NDPs, but few provide detailed explanations of cost evolution or tariff impacts. The scope and depth of cost-benefit and risk analyses vary significantly, and certain key investment topics remain optional or absent.
  • Regulatory Powers: Around half of the NRAs lack authority to unilaterally amend NDPs. While approved plans are typically binding on TSOs, regulatory influence tends to be stronger during planning than during implementation and cost monitoring.
  • Resources and Capacity: Large disparities exist among NRAs in staffing and technical expertise. Many regulators depend heavily on TSO-provided data due to limited in-house modelling capabilities, reinforcing information asymmetries.
  • Challenges: Persistent obstacles include resource limitations, data asymmetry between NRAs and TSOs, and the difficulty of planning under rapidly evolving energy system conditions and compressed timelines.

Recommendations

The report aims to support European and national stakeholders in identifying where regulatory practices could be strengthened to enhance transparency, accountability, and efficiency in grid development. It calls for improved data access and modelling capacity for NRAs, clearer guidance on NDP content requirements, and more balanced powers across all stages of grid development. These measures would help ensure that transmission investments are both efficient and consistent with Europe’s long-term energy and climate objectives.