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European Developments

European Developments. Transmission Workgroup 5 th January 2012. European Gas Balancing Network Code Update. Chris Shanley. ENTSOG’s Project Plan Consultation. Respondents : 38, including companies, associations and academics

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European Developments

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  1. European Developments Transmission Workgroup 5th January 2012

  2. European Gas Balancing Network Code Update Chris Shanley

  3. ENTSOG’s Project Plan Consultation • Respondents: 38, including companies, associations and academics • Project timeline - ENTSOG to maintain the timeline in the original project plan, making revisions only when strictly necessary • Stakeholder participation - Indicated participation levels should provide a good basis for discussing Balancing Network Code challenges • Planned stakeholder involvement in project - ENTSOG to maintain the number and schedule of Stakeholder Workshops (SJWSs) as in the original project plan

  4. Participants • Prime Movers: 8 • Rene Luijten (Enexis) - CEDEC • Gunnar Steck (E.ON) - EFET • Eva Henning (Thuega); Paul de Wit (Alliander); others - eurogas • Miguel Vazguez; Michelle Hallack - Florence School of Regulation, EUI • Claude Mangin - GdFSuez • Charlotte Patrigeon - GrDF • Kees Bouwens (Esso); Christiane Sykes (Statoil) - OGP Europe • Steve Rose - RWE Supply & Trading • Active SJWS Participants: 27 • Consultation respondents: 11 • Observers: 4

  5. Currentproject plan ACER FG Development of Network Code with stakeholder on the basis of the final Framework Guidelines 2011 2012 Nov Jan June July Mar Apr Sep Dec Apr Oct Nov Feb May Jun Jul May Oct Aug SubmitNetwork Code Project launch 13/14 Dec Consultation Invitation from Commission 23SJWS 11-12SJWS 26SJWS Workshop Workshop 7-8SJWS 9SJWS Development of launch documentation Development of draft network code in cooperation with stakeholders Refinement of network code based on the feedback by stakeholders ENTSOG Feedback on drafted Network Code by ENTSOG Work shop Stakeholder SJWS SJWS SJWS SJWS SJWS Main activities of ENTSOG and stakeholders during BAL NC development phase • SJWS 1 • Roles & responsibilities • Imbalances / financial • Within-day obs. • Info. Provision • Above to be confirmed • SJWS 5 • To be confirmed • SJWS 2 • Balancing products • Merit order • Charges • Interim measures • Above to be confirmed • SJWS 3 • Within-day obs. • Info. provision • Balancing products • Nominations • Above to be confirmed • SJWS 4 • Consolidation • Preview of network code • Cross-border topics • Above to be confirmed 5

  6. ENTSOG-internalorganisation for project ENTSOG Brussels Team Tori Gerus Noel Regan Nigel Sisman Frederik Thure Ruud van der Meer ENTSOG governance General Assembly Board BAL Working Area External stakeholders SJWSs, meetings, consultations, etc. Prime movers Expert Kernel Groups of TSO members - Advisory - Commercial framework - Cross-border issues - Info Flows/DSO - Genuine system needs (GSN) - Others (TBD) 6

  7. Balancing Network Code - Launch Event • Balancing Network Code Launch Workshop was held 13th and 14th December • 89 Stakeholders attended • live web-streaming • All presentations and launch documentation is available via http://www.entsog.eu/events/BALNC1/presented.html • Next SJWS: SJWS1, 11-12 January 2012

  8. Balancing Network Code - Launch document • The scope of the Launch Document is guided by ACERs framework guidelines on gas balancing • Intended to provide a foundation for discussions with stakeholders and the development of the network code • Contains several concepts for further consideration with stakeholders • Divided into two sections: • Balancing Target Model (BTM) and • Transitional Steps - interim measures that can be used during the transition to the balancing target model

  9. Transparency update

  10. Transparency Compliance Monitoring Background Regulators of the Gas Regional Initiative North West (GRI NW) agreed to examine compliance of TSOs against the new gas transparency requirements TSOs within the GRI NW region were asked to complete: a questionnaire to explain whether or not they publish the required information required include links to the relevant information All TSOs have responded 10

  11. Transparency Compliance Monitoring Consultation on Compliance Monitoring of TSOs against the Third Package Gas Transparency Requirements  http://www.acer.europa.eu Issued 18/11/11 In order to provide an assessment of TSOs’ compliance, the regulators are now seeking stakeholder views on the content of the TSOs’ responses ACERwould welcome your views by email to TransparencyNW@Acer.europa.eu by 20 January 2012. 11

  12. ENTSOG Winter Outlook 2011/12

  13. ENTSOG Winter Outlook 2011/12 • ENTSOG have published their Winter Outlook Report for 2011/12 • The report provides an assessment of the European gas network regarding its ability to a) allow for supply flexibility when meeting the High Daily Demand and b) shows various scenarios of storage stock level during Winter 2011-2012 (October to March). • The Key Conclusions were: • Gas stocks available on 1 October 2011 are sufficient to cover at least a 10% increase in the overall European Winter demand in comparison with an average winter (this is equivalent to about 365 TWh of additional consumption, which is as high as the total French Winter demand). • The European gas network is sufficiently robust in all parts of Europe to offer significant flexibility even under High Daily Demand conditions. • The report can be found on the ENTSOG website at: http://www.entsog.eu/publications/index_g_OR.html

  14. EU CAM Network Code and CMP Guideline Proposal Update Transmission Workgroup 5th January 2012

  15. Capacity Allocation Mechanism (CAM) - Update • Amendments have been made to the CAM Code following the 2nd Stakeholder Consultation • Main aspects detailed in last months update. • Work continues to finalise the Code.

  16. Congestion Management Procedures (CMP) Guidelines - Update • A revised version was issued 20th December 2011. • DECC seeking GB Stakeholder views on current version. • The 1st Comitology meeting for Member States is expected to be 26th January 2012. The final version needs to be in place by then.

  17. Interoperability Update Phil Hobbins

  18. Interoperability – a reminder • ‘Interoperability’ represents the third priority area of European Network Code development • The term refers to the ability of diverse networks to work together - ‘inter-operate’ • The aim of the Code is to harmonise the physical / operational differences between TSOs that could impair the functioning of the EU gas market

  19. Interoperability Framework Guideline • We had expected ACER to publish a consultation on the Framework Guideline in mid-December but at the time of writing this has not yet happened • Key issues: • Scope of application - all European TSO entry and exit points or cross border interconnection points only? • Gas quality • Capacity calculation • Nomination ‘matching’ processes supported by OBAs

  20. Gas Quality Update (1 of 3) • The EC chaired a Gas Quality Harmonisation workshop for member states on 5th December 2011 • Series of set piece presentations from: • The Commission • GL/Poyry • ACER • GIE • EUROMOT • ENTSOG • Marcogaz View the presentations at:http://ec.europa.eu/energy/gas_electricity/gas_quality_harmonisation_en.htm • Followed by open floor discussion

  21. Gas Quality Update (2 of 3) • A ‘theoretical’ discussion followed on the key issues: • Options for delivering harmonisation • Who bears the costs • Who has responsibility • Safety • GL/Poyry have been asked to conclude their cost/benefit analysis by February 2012 • The Commission invited further views / analysis and intend to convene a smaller group in the near future with a view to publishing a ‘roadmap’ for the next Madrid Forum in March 2012

  22. Gas Quality Update (3 of 3) • CEN Phase 1 Final Report was published just before Christmas • Describes the results of the appliance testing programme in a ‘step’ format, i.e. the wider the wobbe range the more appliances are impacted • There is to be a period of national assessment of the results although the process for this is currently unclear • Phase 2 work (non-combustion parameters and development of the European Standard) has started but will require a definitive conclusion from phase 1

  23. EU Updates timetable

  24. EU Updates Timetable • Timetable aims to highlight the key items (consultations, workshops, decisions, etc.) NG NTS expect to cover via this agenda item in the forthcoming months

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