Forward and Daily Capacity Allocation on Bidding Zone border Croatia-Serbia

Dear Market Participants,

We hereby inform you that the Border Specific Annex for the Bidding Zone border Croatia-Serbia to the Harmonised Allocation Rules for long-term transmission rights has been published on the JAO website. Please find it attached to the Harmonised auction rules 2018: JAO website à Support à Resource center à Auction rules à 2018.

Clarification: Participating in the long-term auctions (yearly and monthly) held on the Bidding Zone border Croatia-Serbia does not require additional registration from Market participants already registered with JAO for forward capacity allocation (e.g.: Market Participants who successfully concluded the Participation Agreement and Financial Agreement with JAO).

We also inform you that the Rules for explicit Daily Capacity Allocation on Bidding Zone border Croatia-Serbia has been published on the JAO website as well: JAO website à Support à Resource center à Auction rules à 2018.

Consequently the registration for the Daily Capacity Allocation on Bidding Zone border Croatia-Serbia is also open.

· Market Participants already registered with JAO (successfully concluded the Participation Agreement and Financial Agreement) shall submit Amendment to Participation Agreement. Depending on the individual intention there are two options available:

1. Submitting Amendment No. 3 to Participation Agreement: Amending the Participation Agreement with the acceptance of the Rules for explicit Daily Capacity Allocation on Bidding Zone border Croatia-Serbia only.

or,

2. Submitting Amendment No. 4 to Participation Agreement: Amending the Participation Agreement with the acceptance of all available additional rules.

Please note that, the “Amendment No. 3 to Participation Agreement” or the “Amendment No. 4 to Participation Agreement” shall be duly signed by the authorized signatory persons as kept in the records of JAO S.A. In case signatory powers have changed and/or not properly evidenced please provide us with a Commercial Register Extract / Constitution Deed clearly proving signatory powers within your company. These additional documents must be either original English hardcopies, or an original notarized translation to the English language (attached to the original written in another language) and be no older than 3 months from the day the signature of “Amendment No. 3 to Participation Agreement” or “Amendment No. 4 to Participation Agreement” took place.

In the meantime, should you have any questions or further clarification needed, please do not hesitate to contact us.

Yours faithfully,

Operations Team