9th SG Meeting, GRI SSE Vienna, Austria, 2 December 2010 GRI South South-East Region.

9th SG Meeting, GRI SSE

Vienna, Austria, 2 December 2010

GRI South South-East Region

29th SG Meeting, Vienna, Austria, 2 December 2010

1. Agenda

Agenda Topics Rapporteur

10.00 1.Opening- Approval of the agenda / Approval of minutes of the 8th SG meeting

Co-chairs

10.15 2. a) Security of Supply Regulation – the regional dimension b) Energy Infrastructure Package

European Commission, Jean-Arnold Vinois, DG ENER

10.40 2.1 Consultation of Preventive Action Plans and Emergency Plans at regional level (Articles 4.2, 4.3 an 4.4)

SG - Tour de Table

11.00 2.2 Fulfilment of infrastructure standard on regional level (Article 6.3)

SG - Tour de Table

11.20 2.3 Fulfilment of supply standard on regional level (Article 8.5) SG - Tour de Table

11.40 2.4 Cooperation of NRAs regarding the costs of enabling permanent bi-directional capacity (Article 6.8)

SG - Tour de Table

12.00 2.5 Regional cooperation (Annex IV) SG - Tour de Table

12.15 2.6 Vysegrad Group Regional Cooperation Mr. Marias, Ministry of Economy of the Slovak Republic

12.30 2.7 Polish emergency plan / Austrian Emergency Plan Gaz-System, E-Control

12.45 2.8 Status of reverse flow projects TSOs

13.00 LUNCH


1. Agenda

Agenda Topics Rapporteur

14.00 3. Future role of the Regional Initiatives European Commission /ENTSOG

4. Update on actual developments SG

14.20 4.1 Italy – Launch of Gas Exchange P-Gas and authority Investigation on Italian Gas market

AEEG

14.30 4.2 Austria – Launch CEGH futures market CEGH

14.45 4.3 Open Season Procedures (SK-HU interconnector, LBL, …) TSOs

15.15 4.4 New Operator on Polish Yamal transit pipeline Gaz-System

15.30 4.5 GATRAC bundled day-ahead capacity Mr. Kleefuss, Net4Gas

15.45 4.6 Regional 10YNDP TSOs

16.00 4.7 For Information: “European discussion on target model for the European gas market” (Workshop on 3.12. in Vienna)

E-Control

16.15 AoB & Closing


1.b) Approval of minutes of 8th SG meeting

http://www.energy-regulators.eu/portal/page/portal/EER_HOME/EER_INITIATIVES/GRI/South_South_East/Meetings1/SG_meetings/8supthsup%20SSE%20SG/AD/Draft_Minutes%208th%20SG%20Meeting_Rome_v.3_heo_comments.doc

- Comments by Hungarian Energy Office included!- revised version available since 5 July


2. a) Security of Supply Regulation – the regional dimension

• Presentation not available


2. b) Energy Infrastructure Package

• Presentation not available


2.1 Consultation of Preventive Action Plans and Emergency Plans at regional level

Art. 4: Establishment of a preventive Action Plan and an Emergency Plan

• Competent authority to establish a Preventive Action Plan and an Emergency Plan on national level

• Consultation on a regional level • Preventive Action Plan and Emergency Plan can be

established on a regional level• No later than 3 December 2012, the plans need to be

published


1. Does a Prevention Action Plan or Emergency Plan already exist?

2. Can the GRI be regarded as the right platform to coordinate Prevention Action Plans and Emergency Plans?

3. Is it necessary to create a Regional Emergency Plan or Prevention Plan?

2.1 Consultation of Preventive Action Plans and Emergency Plans at regional level


2.2 Fulfilment of infrastructure standard on regional level (Article 6.3)

Art. 6: Infrastructure standard

• by December 3 2014, the infrastructure standard is applicable to a MS infrastructure (meaning that in the event of a disruption of the single largest gas infrastructure, the capacity of the remaining infrastructure can satisfy total gas demand of the calculated area)

• Competent authorities may decide that this criteria can be fulfilled at a regional level instead of a national level

4. In which MS (or parts of MS) of the region should the N-1 formula be calculated on a regional level?


2.3 Fulfilment of supply standard on regional level (Article 8.5)

Art. 8: Supply standard (1/3)• Competent Authority to take measures to ensure gas supply to

the protected customers of the Member State in the following cases: • extreme temperatures during a 7-day peak period • any period of at least 30 days of exceptionally high gas

demand• for a period of at least 30 days in case of the disruption of

the single largest gas infrastructure under average winter conditions.



Art. 8: Supply standard (2/3)• increased supply standard going beyond the 30-day period

shall: • comply with Article 3(6); • not unduly distort competition or hamper the functioning of

the internal market in gas; • not impact negatively on the ability of any other Member

State to supply its protected customers • comply with the criteria specified in Article 11(5) in the event

of a Union or regional emergency.



Art. 8: Supply standard (3/3)• Competent Authority shall identify in the Preventive Action Plan

and the Emergency Plan how any increased supply standard or additional obligation imposed on natural gas undertakings may be temporarily reduced in the event of a Union or regional emergency.

5. Are national regulations which prohibit the fulfilment of the supply standard on regional or Union level in place?


2.4 Cooperation of NRAs regarding the costs of enabling permanent bi-directional capacity (Article 6.8)

• TSOs shall enable permanent bi-directional capacity on all IPs

by December 3, 2013 (except where an exemption is granted)

• NRA shall take into account the efficiently incurred costs of

fulfilling the infrastructure standard and the costs for enabling

permanent bi-directional capacity

• NRAs shall jointly decide on cost allocation, in case the

capacity is not required by the market

6. Do projects exist that require a joint decision of the concerned NRAs on cost allocation?


2.5 Regional cooperation (Annex IV)

ANNEX IV: Regional Cooperationcooperation between the following Member States can enhance their

individual and collective security of gas supply: - Poland and the three Baltic States (Estonia, Latvia and Lithuania), - Bulgaria, Greece and Romania, - Slovenia, Italy, Austria, Hungary and Romania, - Poland and Germany, - Germany, the Czech Republic and Slovakia, - others

7. Does the proposed regional cooperation between the Member States listed in Annex IV of the SoS Regulation (Regulation (EU) No 994/2010) meet the market participants’ expectations for enhanced collective security of supply?


2.6 Visegrad Group Regional Cooperation

Visegrád Group (V4) Regional Cooperation

in security of gas supply

Ministry of Economy of the Slovak RepublicMiroslav Marias

9. Meeting of Gas Regional Initiative SSE ERGEG

Vienna 2 December 2010Vienna 2 December 2010

Visegrád Region Objectives in Energy Sector

Improvement of stability in Central European Area and mutual cooperation, including energy security

Coordination of Strategic Objectives Preparation of common positions for EU strategic

documents Preparation and implementation of common energy

infrastructure projects Joint effort for gaining EU financial resources for

projects to diversify oil, gas and electricity supply Exchange of experiences during implementation of

energy legislation

GRI SSE, 2. 12. 2010 17V4 regional cooperation in SoS gas

V4 Energy Working Platforms

V4 High level group (HLG) for energy security Level of State Secretaries or Special Envoys Meeting on 14.9.2010

V4+ Working groups for oil and gas energy security Expert level, government and industry representatives First Meeting on 9.11.2010

V4+ Working group on north-south gas interconnection Expert level, government and industry representatives Meeting on 14.9.2010

18V4 regional cooperation in SoS gasGRI SSE, 2. 12. 2010

V4+ Budapest Declaration

Adopted on 24 February 2010 by Prime Minsters of V4+ countries (SK, CZ, HU, PL, SI, RO,BG, HR, AT)

Strenghtens regional dialogue for existing and new suppliers

Plans for joint development in oil and gas infrastructure Highlights North-South interconnections in the region Supports finalisation of EU internal market to ensure

mutual regional support in case of crisis Enables cooperation and joint effort towards EU

institutiuons supporting joint energy infrastructure projects Creation of ad-hoc working groups, having objectives to

work on concrete cooperation areas


Gas Diversification Projects V4+ Budapest Declaration

Construction of North South Gas Corridor, which will connect LNG terminals in Poland and Croatia passing through all V4 countries

Promotion and realisation of Nabucco and NETS projects

Support for LNG terminal in Constanca (RO) and other LNG and CNG terminals in Black Sea area.


V4 – Slovak Presidency(July 2010 - June 2011)

Increase security of supply – assessment of joint V4 cooperation in crisis situations

Activities towards oil and gas source and routes diversification Improvement of regional gas interconnection for additional gas supplies

including reverse flows

Create a preliminary technical design of the North-South Gas Corridor project - capacities, routes, financing

Strengten electricity and gas markets integration To increase market liquidity, improve market competition and increase

energy security

Create joint initiatives to receive higher allocation of the EU financial support for energy infrastructure projects, in particular from the EU cohesion policy funds


North – South Gas Corridor

• Composed of many national and crossborder projects of gas interconnections in V4 countries and Croatia– already existing or in the various stages of planning or

construction

• LNG terminal in Poland, Swinjousce – annual capacity of 5 bcm – planned for launching in 2014– later expected further capacity increase

• Adria LNG terminal – located at Krk island in Croatia – planned annual capacity of 10 – 15 bcm – planned launch after 2017

• V4 Slovak Presidency Objective– set up preliminary technical design - capacities, routes, financing


Map of North - South Gas Corridor

Crosssborder Projects:

2.1 PL - CZ

2.3 CZ - SK

3.2 SK - HU

4.1 HU - Croatia

1.9 PL - SK


Thank You Thank You For Your AttentionFor Your Attention

Miroslav MariasDepartment of International Energy RelationsMinistry of Economy of the SRMierová 19827 15 BratislavaSlovakia

[email protected]



2.7 Polish emergency plan

• See attached pdf on CEER Homepage


2.7 Austrian emergency plan

Austrian emergency plan

2 December 2010, Vienna

Agenda

1. Legal basis for SoS measures

2. National emergency plan

3. Monitoring the supply situation

4. Assessment of emergency measures in the recent crisis

5. Conclusion

Austrian Energy Emergency Act

contains tasks and responsibilities

enables Minister of Economy, Family and Youth to enact emergency

measures

Energy Emergency Measures Order for Gas

to be enacted by Minister of Economy, Family and Youth

in case gas supply cannot be guaranteed under market conditions

Energy Emergency Data Order for Gas

contains rules on data needed to monitor the supply situation

issued by E-Control

1. Legal basis for SoS measures

Operational Implementation

Monitors and prepares measures„Manual for the prevention of natural

gas crises“

Enacts emergency measures

E-Control GmbH

Independent System Operator

(AGGM)

Suppliers ProducersStorage

operators

Clearing & Settlement

Agent

Network operators

Large consumes

2. Involvement of authorities

Minister of Economy, Family and Youth Can order energy emergency measures aimed at mitigating effects of gas

supply disruptions Measures include partial or complete reduction of consumption by industrial

users, obligatory fuel switching for power stations etc.

E-Control Preparing and coordinating potential measures to be taken in the gas

market (“Manual for the prevention of natural gas crises”) Collecting data for the preparation of energy emergency measures

past, current and forecasted data for demand and supply contact persons for emergency situations data on industrial gas users and consumption patterns

Analyzing and evaluating the data – monitoring security of supply Practicing emergency actions and measures

2. SoS roles and responsibilities – 1

ISO (“AGGM”)

responsible for the operational implementation of the measures

Other participants in crisis prevention (suppliers, producers, etc.)

Implementing measures according to the Energy Emergency Order

Establishing individual crisis management plans

Providing relevant data to E-Control and AGGM Supply data (contracted supplies and potential for additional supplies, available

storage capacities) Technical data from large consumers > 100,000 kWh/h p.a. (actual consumption,

substitution possibilities, rules and restrictions of the plant)

2. SoS roles and responsibilities – 2

storage operators

suppliersnetwork operator

balancing groups

producersbig

consumers

Control area manager

information

supply potential extraction potential

Austrian Federal Minister for Economy, Family and Youth

E-Control GmbH

decisions

instructions

Order to implement

instructions

Trigger

2Trigger

3

production potential grid situation consumption Balancing energy

injectmore

extractmore

producemore

disconnectConsume

less

Trigger

2Trigger

3

blue: informationred: alarmfreen: instruction

key

several sources

general Information

information

CAMElectricity

emergency situation

incr

ease

vig

ilan

ce

Trigger

1

Trigger

1

2. Roles and responsibilities

E-Control in cooperation with market participants has developed a manual which aims at describing and making transparent the roles and responsibilities of the parties involved in preparing and

implementing emergency measures

the processes with relation to the implementation of emergency measures

The manual includes Indicators and triggers

Organizational chart

Emergency action plans

SoS Measures- Energy Emergency Measures Order

- Definitions of the measures

2. Manual for the prevention of natural gas crises

Trigger 1 forecasted consumption = available supply capacity

and situation is likely to become worse

Trigger 2 forecasted consumption > available supply capacity (but < total

supply capacity)and

critical pressure in transmission pipelines

Trigger 3 forecasted consumption > total supply capacity

and critical pressure in transmission pipelines

2. Triggers for measures are defined

Possible measures include Limiting the consumption of and/or substituting power stations and industrial

customers

Disconnecting customers > 100,000 kWh/h p.a.

Calling on customers to cut down on gas consumption

Further limitations and disconnections

2. Implementation of the Energy Emergency Order

Disconnections/reduction in supply

When disconnecting or reducing the supply to large customers in case of severe supply disruption the Authority has to take into account the following criteria: degree of urgency

substitution possibilities

macroeconomic impacts and

effects on the district heating supply

2. Implementation of the Energy Emergency Order

3. Monitoring the supply situation

Effective monitoring of the supply situation is key for proportionate

and targeted emergency measures

Market mechanisms should allowed to function as long as possible

Energy emergency measures only as last resort

E-Control continuously monitors the development of supply and

demand

1. Injections and withdrawals from the grid (hourly/weekly) separated for Import/export/storage/production Supply to final customers Supply to large customers (incl. forecasted nominations) Own consumption of network operators

2. Development of supply (weekly) Supply capacity available for the supply of the Austrian domestic market (kWh/h)

- For each injection point (import, production, storage)

- Forecasts for the following 4 weeks

- Update of information if changes occur

Additional (contractual) supply capacity (kWh/h)- For each injection point (import, production, storage)

- Forecasts for the following 4 weeks

- Update of information if changes occur

Potential for the supply of the Austrian domestic market- Storage levels/withdrawal rate

3. Monitoring – data analyzed I

3. Technical data of large consumers (yearly), especially Max. capacity in kWh/h for the production start-up process Max. capacity in kWh/h during operation Indication of pressure needed Possibility for substitution of natural gas

- Capacity which can be substituted- Alternative fuel used for substitution- Start-up time to switch to alternative fuel

Consequences for large customers in case of supply disruption Legal and other obligations to be considered (e.g. environmental, trade

regulations,...

4. From storage system operators (yearly) Storage capacity Max. injection and withdrawal rate Available cushion gas for each storage facility

5. From producers (yearly) Max. production capacity

3. Monitoring – data analyzed II

3 defined triggers with predefined measures

Imports

Production

Storage

Demand

3. Example: SoS monitoring – weekly data

Full supply of all customers during the whole critical period Market for balancing energy worked well and helped smaller

suppliers to be balanced Supply cut was compensated by voluntary commitments of gas-

fired power plants and large industrial customers to optimize their supply portfolio (fuel switch, peak shaving,...)

Increase of imports from Germany via Oberkappel by Austrian suppliers to reduce the storage withdrawal rate

Partly compensated by storage capacities from Gazprom and Wingas Storage in Haidach

New and flexible transport possibilities (Penta, WAG, KIP,...) have been realized

4. Supply cut was solved by market mechanisms

5. Conclusion

Emergency measures have been prepared and tested before the January 2009 crisis

Roles and responsibilities as well as the processes have been made transparent

E-Control monitors the supply situation and prepares measures to be enacted by the Minister of Economy, Family and Youth

Effective monitoring of the supply situation is key for proportionate and targeted emergency measures

Independent System Operator carries out measures


2.8 Status of reverse flow projects

OMV Gas & Power

Move & More.

Reverse Flow ProjectsÜberackern and Interconnection TAGVienna, November 2, 2010

46 |OMV Gas & Power, Gerhard Siegl, November 2, 2010

Background

RF-capabilityTurntableFunction


Project Descriptions

Reverse Flow Überackern: Allow reverse flow from SUDAL and/or ABG pipelines into PENTA West pipeline Installation of by-pass piping and valves Splitting of the separators Installation of metering for low flow rates Investment € 1,150,000

Interconnection TAG: Complete the Baumgarten turntable to allow physical wheeling between all major systems without capacity restrictions Connection of TAG to an already existing collector To be used only in case of emergency Investment € 850,000


Status

Reverse Flow Überackern Construction completed Begin of operation in January

Interconnection TAG Construction almost completed Tie-in together with shut-down for installation of TAG RF Begin of operation in October


Acknowledgement

Thanks to the Commission officers for their cooperation and support

Baumgarten-Oberkappel Gasleitungsgesellschaft m.b.H

Reverse flow projects:Achieving full reverse physical operation of WAG

GRI-SSEVienna, 02.12.2010

Folie Nr. 51N Peugniez – GRI SSE 02/12/2010

The context

In the past BOG had expanded the WAG system in reverse direction, physically up to the entrance of the Baumgarten station.

The January 2009 crisis showed the necessity to bridge also the “missing link” to Slovakia in case of any further crisis.

This required an investment of approx 3,8 MEur, for which BOG receives a 50% suppport of European Energy Program for Recovery (EEPR)

X


Some highlightsSpeediness of the project decision, engineering and construction phase: Application for EEPR and grant of support accelerated the decision process for

this project.

Engineering was commissioned by BOG to OMV Gas GmbH (OGG) engineering department. The engineering of OGG is common to all Austrian TSOs, which allowed to accelerate the process for ordering critical equipments (valves, Tee pieces, …).

Cooperation in order to minimize the impact on the shippers:”not to create a crisis in October 2010 when trying to avoid potential future crises” Efficient preparation by the OGG engineering department to minimise the

interruption duration. Close cooperation with OGG and Eustream in order to define a possibility of

temporary measurement of flows (allowing limited use instead of total shutdown).

BOG´s interruption procedure maximises the use of the available capacity. Request to shippers for “pre-nominations” in order to technically organise the

gas flow and to anticipate dispatching issues by using flexibilities.


Our conclusions: achievements : further developments considered

•Increased SoS for Slovakia •Technical procedures: still some fine tuning between adjacent TSOs is possible (e.g. re-opening valves after completion of works, early technical information, … ).

Foto: SITA/Jozef Jakubčo •A step to reinforce european solidarity and achieve the goals of EEPR.

•Dispatching procedures: still some improvements possible for anticipation of possible flows (early info to shippers), and for adapting the rules for re-nomination during such works (e.g. request in the context of french social crisis).

•A process which demonstrates the cooperations between TSOs for quick and efficient answers, with limited impact on shippers.

Feedback for the ENTSOG interoperability working group.


Your feedback?


13:00

LUNCH


3. a) Future role of the Regional Initiatives: ENTSOG’s view

• Will probably delivered at the next meeting due to time constraints


4. Update on actual developments


4.1 Italy – Launch of Gas Exchange P-Gas


4.1 authority Investigation on Italian Gas market

Launch of M-Gas and Authority Investigation on Italian Gas market

South South East Region

9th SG meeting

Wien, December 2, 2010

Launch of the spot market

• The GME is managing this market as established by law 99/09 (23 July 2009)

• Since then a step-wise approach towards full implementation starting from the implementation of P-GAS

Law no. 99 of 23 July 2009 came into force. Article 30 of the Law vests GME company (Gestore Mercati Energetici) with exclusive responsibility to economically manage the natural gas market under principles of neutrality, transparency, objectivity and competition.

P - GAS

Continuous Trading Auctions

Mainly import obligations

Royalties

First step

• In operation from May 2010 – GME operates as a broker no central counterparty

• Continuous trading for import shares prescribed by Italian law (and other volumes) and auctions for production royalties

• Physical delivery at the Italian Virtual Trading Point PSV

Second step

• In operation from Dec 10 2010 – GME operates as central counterparty

• Day ahead: continuous trading with closing auction at 10 am D-1

• Intraday: continuous trading

• Physical delivery at the Italian Virtual Trading Point PSV

M - GAS

Continuous Trading

Closing auction

Continuous Trading

Day Ahead Intraday

Second step

• Market units: day (6.00 to 6.00), Mwh/day, €/MWh

•Day ahead continuous trading from 8.00 D-3 to 10 am D-1

•Closing auction from 10 – to 11 am D-1 (registration on PSV at 11.30 am D-1)

•Intraday from 2 pm D-1 to 3.30 D (registration on PSV at 4 pm D)

M - GAS

Continuous Trading

Closing auction

Continuous Trading

Day Ahead Intraday

Investigation by the Authority

Investigation by the Authority /2

• On 23 July 2010 Transitgas pipeline suspended operations due to a severe outage

• No import available at GriessPass IP

• The Ministry issued a decree – followed by an Authority deliberation - in order to ease the full exploitation of existing injection capacities for storage

• In order to overcome the import reduction it is essential to maximise import from other entry points and in particular the Tarvisio entry point connecting TAG pipeline

• Also the market spreads registered in this period seem to justify a full exploitation of import capacities…

Investigation by the Authority /5• Investigation is still in the “enquiry” phase

• No results available for public disclosure at the moment as the Authority has not formally concluded the investigation


4.2 Austria – Launch CEGH futures market

ERGEG GRI SSE9th SG Meeting

December 2nd 2010

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Including intraday re-nominations:5,000 + total hub nominations per day

CEGH – Daily Hub Nominations

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CEGH – Herfindahl Index

• Exchange Development

Benchmark VOL [MWh]APX TTF, EEX NCG, CEGH Gas Exchange of Wiener Boerse AG

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.12

Delivery Day

VO

L [

MW

h]

EEX (NCG) Exchange VOL [MWh]

OTC vs. Exchange Development

* The exchange trading volume is calculated in single count method and crossings are excluded

0,00

500,00

1.000,00

1.500,00

2.000,00

2.500,00

3.000,00

3.500,00

01.0

1.06

01.0

4.06

01.0

7.06

01.1

0.06

01.0

1.07

01.0

4.07

01.0

7.07

01.1

0.07

01.0

1.08

01.0

4.08

01.0

7.08

01.1

0.08

01.0

1.09

01.0

4.09

01.0

7.09

01.1

0.09

01.0

1.10

01.0

4.10

01.0

7.10

OTC-Baumgarten-Net Trading VolumeExchange-Baumgarten Trading Volume *

Mio. m³

Live results since launch on 11th of December 2009 …

More information at: http://www.ceghex.com

http://www.ceghex.com/

http://www.ceghex.com/

Start of futures market

• Start date: Dec. 10th 2010

• General clearing members: 5-10

• Traders: ~20 applicants in pipeline, > 10 ready on start up.

• Products: start with 3 front months products

Börsegesetz

Federal ministry of financeFederal ministry of economy

Gas derivative marketGas spot market Gas OTC market

E – Control

Legal framework …

Austrian Financial Market Authority

Gas Exchange activities

Thank you very muchfor your attention


4.3 Open Season Procedures

Gas Regional Initiative

New investments in SoS infrastructure

SK/HU

The SK/HU Interconnector: Open Season II

Tariffs remain unchanged but:

• more flexibility in terms of lots (as regards duration)

• lower threshold for economic viability (as to minimum requirements for bookings)

• less strict rules for financial guarantees

• start of operations shifted from 2013 to 2014

Shippers’ information meeting 15 November 2010

Submission of binding bids until 8 December 2010

20.11.2009eustream, a.s.

Legenda:

1 - CZ/SK reverse flow Lanžhot2 - AT/SK reverse flow WAG3 - AT/SK reverse flow TAG4 - KIP5 - SK/HU interconnector6 - Internal reverse flow SK7 - PL/CZ interconnector Těšín8 - Gazelle9 - EuroPolGaz10 - Nord Stream11 - LNG PL12 - LNG CRO13 - OPAL14 - HU/CRO interconnector

1

45

6

7

8

9

10

11

12

13

2

3

14

Global overview

New reverse flow in Baumgarten since end of October 2010

EPm+Pm+Sm+LNGm+R – ImN-1[%] = --------------------------------------------------- * 100, N-1 > 100%

Dmax

Security of supply regulation

Country consumption

Transit

Import

Inflow

Transit

ExportOut-flow

Production/Storage

For further information: www.eustream.sk


4.3 a) Open Season Procedures: LBL

93 |OMV Gas GmbH, 2 December 2010

GRI SSE 9th Stakeholder Group Meeting

„LBL“ - Lanžhot – Baumgarten – Line

Vienna, 2 December 2010


Potential Investment ProjectsLBL – Market Survey …

…launched on 22 June 2010; corresponding information distributed via OCB® - newsletter

…window for placing interest was open until 22 September 2010

…was published on both websites (net4gas and OMV Gas GmbH)

…was carried out with online template and collected via automated database entries

…successfully completed -> 12 companies indicated interest in booking capacity


LBL Project (Goal – Description)

Project Goal

The project sponsors plan to connect their pipeline systems andcreate additional transportation possibilities between Lanžhot and the Interactive Trading Area Baumgarten (the location of the Central European Gas Hub – CEGH)

Goals: Enhance security of supply by offering more flexibility in transportation services available Enhance security of supply by offering additional downstream transportation possibilities for planned pipeline projects diversifying the existing pipeline routes Enhance security of supply by linking market areas and their storage facilities

Project Description

Projected Dimension DN 800 PN 7,35 Mpa

Length is approximately 60 km (46 km on in A and 14 km in CZ border) crossing will be nearby the village Reintal.

Requested capacity (in Market survey in 2010):CZ to Austria: 22,9 mcm/d Austria to the Czech Republic: 18,6 mcm/d


Non-binding Capacity Requests

LBL – Market Survey

Max CZ > AT:954.621 m³/h (0°)

Max AT > CZ:774.621 m³/h (0°)

0

100 000

200 000

300 000

400 000

500 000

600 000

700 000

800 000

900 000

1 000 000

Jan

-10

Jan

-11

Jan

-12

Jan

-13

Jan

-14

Jan

-15

Jan

-16

Jan

-17

Jan

-18

Jan

-19

Jan

-20

Jan

-21

Jan

-22

Jan

-23

Jan

-24

Jan

-25

Jan

-26

Jan

-27

Jan

-28

Jan

-29

Jan

-30

Jan

-31

Jan

-32

Jan

-33

Jan

-34

Jan

-35

Jan

-36

Jan

-37

Jan

-38

Jan

-39

Jan

-40

m³/h (0°)

AT > CZ

CZ > AT


4.3 b) Open Season Procedures:


4.3 c) Open Season Procedures:


4.4 New Operator on Polish Yamal transit pipeline

• See attached pdf


4.5 GATRAC bundled day-ahead capacity

Current regulations request intensified cooperation between adjacent TSOs

concerning allocation of cross border capacities, inter alia:

Gas Transmission Directive 715/2009

Framework Guidelines “Capacity Allocation Mechanism“ and „Gas Balancing Rules“

New German Gas Network access ordinance (GasNZV from 3.9.2010)

German “Festlegungsverfahren” for a Standard Capacity Contract

ONTRAS and NET4GAS therefore intend to further simplify cross border gas

transports by enhancing their cooperation aiming to meet traders needs

In facilitating closer cross border cooperation the TSOs are still bound to

existing national legal frameworks

In developing a cooperation model working across different frameworks

ONTRAS and NET4GAS aim to create a role model for Europe

Driver for cross border gas trading

102

Cross border VP2VP product

Direct connection between respective VPsBundled products with one single contract (similar “train tickets”)Bookable with each participating TSO on FCFS-principle First product:

Firm daily capacity Bookable one to more day(s) ahead*

Bookable from [01.11.2010]No renomination

VP

VTP

* More days ahead will be used to allow bookings over the weekend and holidays and to align capacity booking periods with trading times on the EEX Gas Spot Market

103

GATRAC a Role Model for Europe

Demand for easier cross border gas transports can be met rather quickly by expansion of the GATRAC cooperation

Benefits:No need to amend legal framework if national legal rules are not mandatory for cross border capacitiesSimilar procedures and contracts for all routes

VPGaspool

VTP

PEG

TTF

CEGH

VPNCG

current scope of cooperation

possible future routes


4.6 a) Regional 10YNDP

• Work Programme GRI SSE 2010-2011:


4.7 European discussion on target model for the European gas market

For Information: “European discussion on target model for the European gas market” (Workshop on 3.12. in Vienna)


AoB

• Next meeting in Milan?

• Outcome of Target Model Workshop? – Consequences for the Region?

• Outcome of Consultation on EC communication on RIs (Meeting in late March?)

9th SG Meeting, GRI SSE Vienna, Austria, 2 December 2010 GRI South South-East Region.

Documents

Transcript of 9th SG Meeting, GRI SSE Vienna, Austria, 2 December 2010 GRI South South-East Region.