2009 Tariff Structure and Works Schedule Meeting February 13, 2009 - - PowerPoint PPT Presentation

2009 Tariff Structure and Works Schedule

Meeting February 13, 2009

Contents

New tariff structure

• Summary of principles
• Shipper feedback on the new tariff structure
• Interruptible capacity

Engineering works

• Principles
• 2009 Works Schedule

Your feedback on the introduction of the new tariff structure (January 1, 2009) …. And additional changes

• n April 1, 2009

April 2009: end of “Tariff 2009” implementation: Consistency with new Storengy offer

Ne Network Interconne twork Interconnecti ction

• n Poi

Point Entry Entry Poi Point from nt from an LNG terminal an LNG terminal Transmission Storage Transmission Storage Interface Poi Interface Point Title Transfer Poi Title Transfer Point nt

Sud Sud Nord Nord

Liaison Nord-S Liaison Nord-Sud ud Mid Midi (int (interconnection wit connection with TIGF) IGF) Dunkerque Dunkerque Taisnière Taisnières H s H Taisnière Taisnières B* s B* Obergailbac bergailbach Oltingue Oltingue PITS Sediane PITS Sediane PITS Sediane Littoral PITS Sediane Littoral PITS Saline PITS Saline PITS Sediane B PITS Sediane B PITS Serene Nord PITS Serene Nord Mon Montoir

• ir

Fo Fos PEG Sud PEG Sud PEG Nord (H+L) PEG Nord (H+L) PITS Serene S PITS Serene Sud

Sediane

(Ile de France Sud)

Sediane Littoral

(Centre)

Sediane B

(Picardie)

Serene Nord

(Ile de France Nord et Lorraine)

Saline

(Salins Sud)

Saline Multi Serene Sud

(Centre)

Zone Nord Zone Sud Sediane

(Ile de France Sud)

Sediane Littoral

(Centre)

Sediane B

(Picardie)

Serene Nord

(Ile de France Nord et Lorraine)

Saline

(Salins Sud)

Saline Multi Serene Sud

(Centre)

Zone Nord Zone Sud

* Taisnières B = L-gas

April 2009: focus on Sediane Littoral and Serene Sud (capacity allocation rules)

Automatic allocation on the basis of the storage capacity (firm + conditional) allocated by Storengy Any capacity allocated (entry and exit) is partly firm, party interruptible, proportionally to total marketable firm and interruptible capacity Exit capacity (injection) Entry capacity (withdrawal) PITS 130 200 70 300 Serene Sud 185 170 50 430 Sediane Littoral Interruptible (GWh per day) Firm (GWh per day) Interruptible (GWh per day) Firm (GWh per day)

April 2009: focus on Sediane Littoral and Serene Sud (operational rules)

South South North North

North-South L North-South Link nk PITS Centre PITS Centre

Today Today

South South North North

North-South L North-South Link nk PITS Sediane Littoral PITS Sediane Littoral PITS Serene S PITS Serene Sud

From April 2009 From April 2009

Nomination on PITS Centre-Nord and PITS Centre-Sud One nomination in the Storage operator’s IT system Nomination in the same direction for “Centre-Nord” and “Centre-Sud”: injection (Delivery) or

• r withdrawal

(Reception) Nomination on PITS Sediane Littoral and PITS Serene Sud Nomination in the same direction for both points: injection (Delivery)

• r
• r withdrawal (Reception)

Same physical structures Same physical structures

April 2009: focus on day-ahead / UIOLI capacities on PITS

On every PITS, possibility of obtaining additional capacity on top of annual allocation associated with your rights. This capacity his available if one shipper doesn’t use all its capacity. This capacity is obtained by means of nominations on top of annual allocations associated with your rights. Consistent with Storengy day-ahead offer In addition, in the event of capacity reduction or interruption, UIOLI rules, as on PIRs, in order to reallocate capacity

Focus on publication of available interruptible capacity

In 2008 In 2008

Availability of interruptible capacity published at 3.30 p.m. on D-1 Information sent by fax

Fr From January 2009

• m January 2009

Availability of interruptible the capacity forecast and published on D-3, updated on D-2, and finally published at 3.30 p.m. on D-1 Availability forecasts will take into account your own forecasts and nominations

From April 2009 From April 2009

Publication on the ECT website

Let’s get back to January 2009…

Please give us your feedback on the implementation of the new tariff on your side …

• it will be included in GRTgaz’s global feedback on this project (May 2009)
• in order to improve the implementation of future product and price changes

For example on:

• Implementation in your IT system
• Information and support provided by GRTgaz (not enough / too much, too late / on time / too

soon, clear / confused, inadequacy on specific points…)

• Difficulties in nominating at the beginning of January
• Use of the North-South link
• …any subject important to you!

Conditional interruptible capacity

AVALAIBILITY of INTERRUPTIBLE CAPACITY

The availability of interruptible capacity depends on 3 factors:

Climatic parameter Climatic parameter = Demand for gas or consumption levels Shippers’ Shippers’ Scheduling cheduling parameter arameter = Network configuration Maintena Maintenance work nce work

Points and links with interruptible capacity:

Delivery (Del) Delivery (Del)

• OLTINGUE
• MIDI
• Sediane Littoral → North
• North → Sediane Littoral
• Serene Sud → South
• South → Serene Sud
• NORTH - SOUTH
• SOUTH - NORTH

Recepti Reception (Rec)

• n (Rec)
• DUNKERQUE
• TAISNIERES B
• MIDI

PITS LINK PIR

AVALAIBILITY of INTERRUPTIBLE CAPACITY

Climatic parameter

Average daily temperature = Main consumption indicator Below a given temperature = Tthreshold: interruptible capacity increases in linear proportion to temperature fall Above Tthreshold: interruptible capacity depends on average monthly consumption

Shippers’ Scheduling requirements

The availability of interruptible capacity at one point on the network can increase as a result of quantities scheduled at other points on the network

PARTICULAR CASE of N > S LINK CAPACITIES

From January 1 to March 31, 2009 (excluding maintenance impact)

Sche hedule duled qua d quantities at ntities at Montoir Montoir LNG ter NG terminal inal make interruptible capacity available for the North > South link: depends on scheduled entry quantities on PITS Centre to the South zone depends on scheduled quantities on PIR MIDI up to 190 GWh per day of interruptible capacity Climatic conditi Climatic conditions

• ns create:

additional available interruptible capacity of up to 30GWh per day

PARTICULAR CASE of N > S LINK CAPACITIES

From April 1 to October 31, 2009 (excluding maintenance impact)

Sche hedule duled qua d quantities at ntities at Montoir Montoir LNG ter NG terminal inal make interruptible capacity available for the North to South link: 40% of the first 150 GWh per day at Montoir are dedicated to the N-S link (60% dedicated to extra capacity from PITS Sediane Littoral) 100% of the next 50 GWh per day at Montoir any unused interruptible exit capacity from the PITS Sediane Littoral can be re-allocated to the N-S link on day D-1 depending on aggregate nomination up to 190 GWh per day of interruptible capacity Climatic conditi Climatic conditions create

• ns create (lower probability):

additional interruptible capacity of up to 30GWh per day

SPECIFIC CASE of PITS SEDIANE LITTORAL

From April 1, 2009 (excluding maintenance impact)

Scheduled quantities at Montoir LNG terminal make interruptible exit capacity from from the Nort the North zone h zone available on PITS Sediane Littor

• n PITS Sediane Littoral

al: 60% of the first 150 GWh per day at Montoir any unused interruptible capacity on the N-S link can be re-allocated to the PITS Sediane Littoral on day D-1 depending on aggregate nomination up to 185 GWh per day Interruptible entry capacity from from PITS Sediane Litt PITS Sediane Littoral to t

• ral to the North zone

e North zone interruptible capacity up to 50 GWh per day is available when capacity scheduled at Montoir is less than 150 GWh per day

SPECIFIC CASE of PITS SERENE SUD

From January 1 to March 31, 2009 (excluding maintenance impact)

Interruptible entry capacity from PITS Centre Sud from PITS Centre Sud to the South zone

• the South zone

Interruptible capacity is available if temperature is below 15.5°C in Lyon = (15.5-T) x 7.9 GWh per day Additional Interruptible capacity depends on the scheduled exit quantities at PIR Midi up to 70GWh per day Interruptible exit capacity from t from the South zone for PITS Centre e South zone for PITS Centre Sud Sud depends on the use of the South to North link: unused capacity on the South to North link can be used on the South to PITS Centre

From April 1 to October 31, 2009 (excluding maintenance impact)

Similar rules apply

IMPACT of MAINTENANCE WORK on CAPACITY

During maintenance: GENERAL RULE CANNOT APPLY Example 1: maintenance work on the Beauce pipeline

Firm capa rm capacity city re reductions on N ductions on N > S a > S and e d exit from N it from North z rth zone to Se

• ne to Sediane Littoral

diane Littoral published are based only on minimal out published are based only on minimal output at t put at the Montoir e Montoir LNG terminal ( NG terminal (restrictive restrictive scenario scenario) Possibly increase in available capaci Possibly increase in available capacity if t ty if the Montoir e Montoir output is higher utput is higher

Sediane Littoral

North - South zones boundary

Beauce Maine Seine B

• u

r g

• g

n e S

• l
• g

n e Vendômois Centre

Montoir

IMPACT of MAINTENANCE WORK on CAPACITY

Example 2: maintenance work on the Vendômois pipeline

Reducti Reductions in published firm ca

• ns in published firm capacity on N > S and exit fr

pacity on N > S and exit from North z

• m North zone to Sedia
• ne to Sediane

ne Littoral are based onl ttoral are based only on mi y on minimal output nimal output at Montoir at Montoir LNG terminal (rest NG terminal (restrictive ictive scenario) scenario) Po Possib ssible le increase in increase in available capacity only for N > S available capacity only for N > S if Montoir if Montoir is is higher higher

Montoir Sediane Littoral

North - South zones boundary

Beauce Maine Seine B

• u

r g

• g

n e S

• l
• g

n e Vendômois Centre

Engineering work

Why do engineering work?

What is a regulatory inspection?

• Pigging (year n)
• Safety groundwork (year n)
• Results analysis (year n)
• Groundwork (year n+1)
• Repairs (year n+1)
• Deferred work (year n+2)

To increase capacity

• Major projects

Maintenance operations

• In order to maintain the system’s transmission capacity

Regulatory requirements

• First inspection
• f the whole transmission system
• ver 10 years

10 years

Look back to 2008

Over 2008, 98.9% of capacity made available is at least equal at least equal to planned capacity.

• This means that 1% of planned capacity has not been made available;

The restriction his higher than expected

• Reference = the works schedule published in March 2008.

Look back to 2008

3.4% of capacity has been released, compared with initial plans

• Reference = works schedule published in March 2008
• This indicator only includes released firm capacity, not interruptible capacity

Look back: trends and summary

The published works schedule was maintained more closely in

2008 than in 2007

The data supplied in March is reliable

1.1% 1.1%

2.5% Case where capacity is reduced below forecast levels Trend 2008 2008 2007 2007

Forecasts create clarity

So far, you have been sent regular surveys. We are going to produce surveys that apply to a longer period

• i.e. the duration of the works schedule

In principle, they will make it possible to analyse the impact of the works schedule

• This will make it possible to adjust it

Responses are not contractually binding Possibility of setting the precision of responses?

• Precise responses will make the whole schedule more reliable

Schedule implementation timetable

June GRTgaz collects all engineering work by its contractors. July-August Consolidation of ongoing engineering work Autumn Calculation of capacity reductions Publication of an indicative works schedule for year n Ye Year n- n-1 December Coordination with adjacent operators January Publication of the works schedule for year n Publication of associated restrictions Presentation to shippers February Bilateral meetings with interested shippers March 1 Publication of the finalised works schedule Ye Year n n April 1 Beginning of engineering works for year n

2009 Works Schedule 2009 Works Schedule

GRTgaz’s industrial assets

One of the largest One of the largest transmission systems in Europe with: 31,600 km 31,600 km of pipelines:

• 6,800 km

6,800 km on the main transmission system,

• 2
• 27 compression sites,
• 4,300

,300 delivery stations,

• 5
• 5 main

interconnections at border points,

• 2
• 2 interconnections

with LNG terminals,

• 1
• 12 interconnections

with storage facilities

Main works in 2009 (H-gas network)

INSPECTIONS - INSTRUMENTED PIGGINS SAFETY GROUNDWORK & LAND RESTORATION MAJOR NATIONWIDE PROJECTS COMPRESSOR MAINTENANCE

A few figures:

• In 2008:

602 interventions as of March 1, 2008 (5,504 days) 221 interventions deemed as having an impact as of March 1, 2008 (1,786 days)

• In 2009:

607 interventions as of Feb 13, 2009 (6,210 days) 211 interventions deemed as having an impact as of Feb 13, 2009 (1,655 days) Conclusion: Works schedule as significant as in 2008, with the introduction of a new tariff structure based on two zones.

Impact on capacity Impact on capacity

3 consistent geographic areas have been retained: North, Centre and South

CALCULATION PRINCIPLES FOR RESTRICTIONS

Two major principles that are clearly understandable and transparent

Restrictions shall only apply to PIRs and links within the infrastructure’s perimeter Impact on PIRs and links that are geographically close shall be considered primarily

Additional principle

(as far as possible)

The sum N > S + injection Sediane Littoral shall be restricted to the pro-rata proportion

• f subscribed firm capacity

(same physical infrastructures!)

Change in restrictions

Comparison of availibility rates of PIR capacities between 2008 and 2009

86,8% 87,5% 90,2% 77,6% 85.2% 97,0% 96,2% 81,4% 93,1% 79.7% 52.0%. 98,4%

0,0% 10,0% 20,0% 30,0% 40,0% 50,0% 60,0% 70,0% 80,0% 90,0% 100,0% Offtake Dunkerque Offtake Obergailbach Offtake Taisnières B Offtake Taisnières H Delivery Midi Delivery Oltingue

Apr 1, ‘09 to Oct 31, ‘09 Apr 1, ‘08 to Oct 31, ‘08

Comparison of availibility rates of PITM capacities between 2008 and 2009

96.6% 85.1% 84.68% 90.55%

0,0% 10,0% 20,0% 30,0% 40,0% 50,0% 60,0% 70,0% 80,0% 90,0% 100,0%

Fos Montoir

All the year 2009 All the year 2008

North zone to South zone 2009: Injection Storage Group Sediane Littoral

71.6% 111.1% 73.1% 115.2%

0,0% 20,0% 40,0% 60,0% 80,0% 100,0% 120,0% 140,0%

Availibility rate of major links and PITS

Apr 1, ‘09 to Oct 31, ‘09

Firm

Apr 1, ‘09 to Oct 31, ‘09

Firm + Interruptible

Contractual path

PIR ENTRY DUNKERQUE firm capacity with GRTgaz works - 2009

100 200 300 400 500 600 01/01/2009 15/01/2009 29/01/2009 12/02/2009 26/02/2009 12/03/2009 26/03/2009 09/04/2009 23/04/2009 07/05/2009 21/05/2009 04/06/2009 18/06/2009 02/07/2009 16/07/2009 30/07/2009 13/08/2009 27/08/2009 10/09/2009 24/09/2009 08/10/2009 22/10/2009 05/11/2009 19/11/2009 03/12/2009 17/12/2009 31/12/2009

Date Capacities GWh/day

Firm Capacity with works Firm Capacity

• Eng. work

500 Villiers le Bel

• Restor. 900

Artère du Nord 2 Test Cuvilly

• Restor. 900

Artère du Nord 2

• Eng. Works 602

Villiers le Bel

• Restor. DN 750

Artère de Seine

• Restor. 900

Artère du Nord 2

• Eng. works in Plateaux du Vexin

and Fontenay Stopple welding Artère du Nord 1 Upgrade Férolles DN 500 Workshop Repairs Cuvilly Preventive mainten. Cuvilly

Contractual path

PIR ENTRY TAISNIERES H firm capacity with GRT-Gaz works - 2009

100 200 300 400 500 600 700 1 / 1 / 2 9 1 5 / 1 / 2 9 2 9 / 1 / 2 9 1 2 / 2 / 2 9 2 6 / 2 / 2 9 1 2 / 3 / 2 9 2 6 / 3 / 2 9 9 / 4 / 2 9 2 3 / 4 / 2 9 7 / 5 / 2 9 2 1 / 5 / 2 9 4 / 6 / 2 9 1 8 / 6 / 2 9 2 / 7 / 2 9 1 6 / 7 / 2 9 3 / 7 / 2 9 1 3 / 8 / 2 9 2 7 / 8 / 2 9 1 / 9 / 2 9 2 4 / 9 / 2 9 8 / 1 / 2 9 2 2 / 1 / 2 9 5 / 1 1 / 2 9 1 9 / 1 1 / 2 9 3 / 1 2 / 2 9 1 7 / 1 2 / 2 9 3 1 / 1 2 / 2 9

Date Capacities GWh/day

Firm Capacity with works Firm Capacity Quality Conversion L to H with works Quality Conversion L to H A12 : Cherré

• Restor. 750

Artère de Seine

• Restor. 900

Artère du nord 2

• Eng. work

Villiers le Bel A12: Cherré MSU overhaul Taisnières Comp. Manifold conn. No.3 Morelmaison

Inspection

EKOFISK Valve tightness Artère du Nord 2 Repair work on valves Taisnières Compr. Inspection TROLL E37 Conn. Nord 1 Taisnières

• Restor. groundwork 900

Artère du Nord 2 Test Artère Nord 1 Switchover Laneuvelotte (F33) MSU overhaul Laneuvelotte Eng.w. Fontenay + test PVX Upgrade Ferolles DN500 Maintenance Cuvilly Overhaul Taisnières

• Compr. maintenance

Cuvilly

• Restor. 900

Artère du Nord 2

Contractual path

PIR ENTRY OBERGAILBACH firm capacity with GRTgaz works - 2009

100 200 300 400 500 600 700 1 / 1 / 2 9 1 5 / 1 / 2 9 2 9 / 1 / 2 9 1 2 / 2 / 2 9 2 6 / 2 / 2 9 1 2 / 3 / 2 9 2 6 / 3 / 2 9 9 / 4 / 2 9 2 3 / 4 / 2 9 7 / 5 / 2 9 2 1 / 5 / 2 9 4 / 6 / 2 9 1 8 / 6 / 2 9 2 / 7 / 2 9 1 6 / 7 / 2 9 3 / 7 / 2 9 1 3 / 8 / 2 9 2 7 / 8 / 2 9 1 / 9 / 2 9 2 4 / 9 / 2 9 8 / 1 / 2 9 2 2 / 1 / 2 9 5 / 1 1 / 2 9 1 9 / 1 1 / 2 9 3 / 1 2 / 2 9 1 7 / 1 2 / 2 9 3 1 / 1 2 / 2 9

Date Capacities GWh/day

Firm Capacity with works Firm Capacity

Restoration of DN 600 Artère de Lorraine F33 Project Laneuvelotte – Phase2 F33 Project Laneuvelotte – Phase2 Smart pig DN900 Artère du Nord Est Smart pig DN900 Artère du Nord Est Restoration of DN 750 Artère de Seine Overhaul HV-LV station Laneuvelotte Restoration w. Obergailbach Restoration w. DN900 Artère du Nord

Contractual path

NORTH > SOUTH Link firm capacity with GRTgaz works - 2009

50 100 150 200 250 300 350 400 450 500 1 / 1 / 2 9 1 5 / 1 / 2 9 2 9 / 1 / 2 9 1 2 / 2 / 2 9 2 6 / 2 / 2 9 1 2 / 3 / 2 9 2 6 / 3 / 2 9 9 / 4 / 2 9 2 3 / 4 / 2 9 7 / 5 / 2 9 2 1 / 5 / 2 9 4 / 6 / 2 9 1 8 / 6 / 2 9 2 / 7 / 2 9 1 6 / 7 / 2 9 3 / 7 / 2 9 1 3 / 8 / 2 9 2 7 / 8 / 2 9 1 / 9 / 2 9 2 4 / 9 / 2 9 8 / 1 / 2 9 2 2 / 1 / 2 9 5 / 1 1 / 2 9 1 9 / 1 1 / 2 9 3 / 1 2 / 2 9 1 7 / 1 2 / 2 9 3 1 / 1 2 / 2 9

Date Capacities GWh/day

Firm Capacity with works Firm Capacity Interruptible Capacity A12 Project Cherré Inverter maintenance Saint Victor Regulatory checks Evry Block valve checks Grande Ceinture Parisienne Pigging Cherré Block valves 752 Grande cein. Paris. Unavail., restor. 900 Artère de Beauce Calibration Maintenance Vindecy Restor. Artère de Bourgogne 2nd regulatory check Evry 2nd Unavail., restor. 900 Artère de Beauce Station filter overhaul Cherré MSU annual overhaul Cherré Safety groundwork Artère du Charolais MSU without Decomp. Beynes Ligne Workshop overhaul Beynes

Coordination with adjacent operators

Gassco: Dunkerque shutdown on June 2-3-4, 2009 shutdown of Zeebrugge terminal in Week 22. Eon GasTransport / Gaz de France Deutschland Transport: Coordination at Obergailbach. Fluxys: Coordination at Taisnières Transitgas: Ruswill compression work in Week 35 with impact on Oltingue TIGF: Establishment of a reference schedule. Storengy and Elengy: Regular coordination meetings

Filling study assumptions

Study carried out for each day from April 1 to October 31, 2009 with: Average monthly consumption. Average monthly delivery to TIGF and OLTINGUE recorded in the last 3 years. Inclusion of the ELENGY output schedule at Montoir and Fos and the performances

• f STORENGY including their

maintenance schedule. History of inventory levels and target levels provided by STORENGY. Inclusion of restrictions due to GRT engineering works. Maximisation of the N > S Link and the Sediane Littoral PITS including the interruptible proportion generated by Montoir in accordance with the rules set and published on GRTgaz.com

Key Points

In February 2009, the works schedule is in its consultation and adjustment phase (bilateral meetings would be a possibility). Publication of the reference works schedule in March 2009. 2009 works schedule comparable with 2008 with increased complexity as a result of the new tariff structure. In putting together its maintenance programme, GRTgaz has included the problem of filling the storage plants on the basis of previous assumptions. GRTgaz is doing its best to optimise its work schedule in cooperation with the Regions and adjacent operators (concealed work).