1. By three months after the entry into force of this Regulation all TSOs shall jointly develop a common proposal regarding the determination of capacity calculation regions. The proposal shall be subject to consultation in accordance with Article 12.
2. The proposal referred to in paragraph 1 shall define the bidding zone borders attributed to TSOs who are members of each capacity calculation region. The following requirements shall be met:
(a)
it shall take into consideration the regions specified in point 3(2) of Annex I to Regulation (EC) No 714/2009;
(b)
each bidding zone border, or two separate bidding zone borders if applicable, through which interconnection between two bidding zones exists, shall be assigned to one capacity calculation region;
(c)
at least those TSOs shall be assigned to all capacity calculation regions in which they have bidding zone borders.
3. Capacity calculation regions applying a flow-based approach shall be merged into one capacity calculation region if the following cumulative conditions are fulfilled:
(a)
their transmission systems are directly linked to each other;
(b)
they participate in the same single day-ahead or intraday coupling area;
(c)
merging them is more efficient than keeping them separate. The competent regulatory authorities may request a joint cost-benefit analysis from the TSOs concerned to assess the efficiency of the merger.