This deliverable acts as a cornerstone for the following research, regarding the development of co-optimised cross-border capacity auction algorithm which is the goal of WP8. The scope was to observe and discuss three important areas: A. Current EU legislation regarding the cross-zonal trading and reserves, B. Current capacity calculation methodology, and C. Current cross-border reserve projects which are developing as ENTSO-e platforms (so far only energy balancing projects). The EU legislation review aligns the research in this project with the rules set by the EU. The intention of the research was to consider the prescribed rules for co-optimised cross-border capacity auction. The review of current capacity calculation methodology for Core CCR tends to concisely describe the methodology which will be used in future. The review of current cross-border reserve projects intends to briefly elaborate on reserve projects which are being integrated as ENTSO-e platforms (so far only energy balancing projects). The focus of this review was twofold: i) the basic terms, definitions and concepts already defined and elaborated in mentioned ENTSO-e platforms, concerning cross-border reserves, could be applied in the FARCROSS project in order to have them harmonized; ii) specific parts of the algorithms or the communication ways developed in those projects could be applied in the algorithm development part of the FARCROSS project.