Assoambiente wins at the TAR against ARERA on the automatic recognition of waste inflation

Assoambiente wins at the TAR against ARERA on the automatic recognition of waste inflation
Assoambiente wins at the TAR against ARERA on the automatic recognition of waste inflation

The judges of the Lombardy TAR, following numerous reports from ASSOAMBIENTE (the Association representing companies operating in the urban hygiene, recycling, recovery, circular economy, waste disposal and reclamation sectors) and following an appeal, annulled ARERA resolution no. 389/2023 and Resolution no. 1/2023 in the part in which the Authority did not provide for an automatic adjustment system for the calculation of inflation (which excludes the discretionary intervention of Territorially Bodies).

Thanks to the intervention of Assoambiente, ARERA’s waste tariff method (MTR-2) will therefore have to provide for the automatic recognition of a positive adjustment in the economic-financial plan (PEF) equal to 4.5%.

“Always alongside companies in the sector on regulatory issues, Assoambiente has been calling for about two years for the integration of non-ordinary corrective mechanisms/factors into the waste tariff method – the association writes in a note – proportionate and consistent with the extraordinary nature of the context in which managers have found themselves operating since 2022, with the aim of confirming the regulation approach as an effective tool for guaranteeing the continuity of essential services”.

“Although the Authority with the Determination of 6 November 2023, No. 1/DTAC/2023, had ‘opened up’ to the possibility of recognising a positive adjustment attributable to the actual inflation rate for 2023, this possibility was left to the assessments of opportunity of the Territorially Competent Bodies (ETC) required to validate the PEFs; a context that had determined strong uncertainty as well as being inconsistent with the principles of regulation regarding the recognition of efficient costs incurred by managers”.

“With the ruling, which we hope will soon become definitive – says President Chicco Testa – we acknowledge a principle that has always been reiterated by Assoambiente: the preparation of the multi-year PEF cannot derogate from the key principles of regulation relating to the use of certain accounting sources and the adjustment of costs relating to previous years, applying inflationary indices determined by monitoring the actual price dynamics. The balancing component, no longer at the discretion of the Bodies, but automatically recognized, represents an important step for the stability of management and the correct coverage of operating and investment costs”.

 
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