1 Gas Regional Investment Plan North West Europe GRI Meeting, November 25 th 2011.

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Gas Regional Investment PlanNorth West Europe

GRI Meeting, November 25th 2011

Agenda

• Why a Gas Regional Investment Plan (GRIP) ?• Objectives of this GRIP• TSOs from NW European countries• North West Europe Specifics• Transmission Projects • Country Profile• Border Review• Conclusion and Way Forward

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Why a Gas Regional Investment Plan (GRIP) ?

• Based on Regulation (EC) 715/2009 (July 13th 2009)• GRIP to be published once every two years (art 12.1)• TSOs may take investment decisions based on that

GRIP (art. 12.1)• TYNDP shall take into account GRIPs (art. 8.10)

• Zoom of the TYNDP on transmission projects of the NW Region having impacts on cross-border capacities

• Highlight how these projects impact the Interconnection points within the NW region

• Provide most recent useful information on Transmission projects to stakeholders

• Facilitate the market by showing which projects will increase the interconnectivity on specific x-border points

• Support informed discussion in assessing the ability of investment projects to answer regional market needs

First edition of GRIP feed back from stakeholder to

improve the effectiveness of future editions

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Objectives of this GRIP

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15 TSOs from 9 NW European countries

Belgium

Denmark

France

Germany

Ireland

Luxemburg

the Netherlands

Sweden

United Kingdom

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How did we work ?

• TSOs from one country most often coordinated by one representative to improve effectiveness

• Opinions and contribution shared and discussed mainly during meetings and conference calls

• High quality editing work and web publication by ENTSOG• High level of commitment from all parties to reach

deadlines and to cross check information

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North West Europe Specifics

• Played a central role in formation of European gas market since the 60’s (NL Groningen, UK North Sea, …)

• Increased demand and requirements for imported gas led to develop a x-border gas transportation grid

• Dwindling indigenous production led to – Bring gas from Norway and Russia and to build LNG Terminals– Construction of underground storage facilities

• Interconnection Points within the region were required and expanded to provide the region with molecules and swing capacity

Stable and secure history of cross-border co-operation

• World’s highest level of gas penetration in households, industries and power plants

• Represents 50 to 60% of total EU27 peak gas demand• Extensive gas infrastructure (pipelines, UGS, LNG) able to

supply three times as much energy to the market as the existing electricity network

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North West Europe Specifics

• Presented a list of FID and non-FID infrastructure projects

• Specific for the NW region : – network is resilient to specific disruptions– portfolio diversification will be improved when currently non FID

projects come on line

• NW region still seen as attractive for investors but continued success only in case of – stable investment climate– favorable regulatory framework

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TYNDP 2011-2020 (NW focus)

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Supply & Demand

NW region accounts for 50% to 60% of the total European demand (average and peak) importance of NW region in the European demand mix

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Supply & DemandLimited additional importation needs would be necessary to cover NW peak demand (supply potential not always fully available)

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Transmission Projects

• The focus of the NW GRIP is on TSO projects that impact cross-border capacities on the internal borders of the NW region

• Updated list of potential future transmission projects for the NW region is presented (FID, non-FID)

• “New projects” are included (not in TYNDP 2011-2020)• Matrix allows to identify which Interconnection Points (IP)

inside the NW region are influenced by the projects• Projects that impact import capacity from non EU

countries are also included in the NW GRIP

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Transmission ProjectsMatrix extract : identifying IP influenced by TSO projects

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Detailed TSO ProjectsAppendix 1 extract : TSOs presenting their projects

Country & TSO identification

Projects status & remarks

Technical & Financial informations

Changes compared to TYNDP

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Country ProfileAppendix 2 extract : Countries presenting their TSOs

Country identification

Country map (Entsog references)

Country profile overview

Country network overview

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Border ReviewAppendix 3 extract : Border review identifying impact of

projects on x-border Interconnection Points (IP)

Geographical Identification of existing / new potential Interconnection points

Border identification

Border specific matrix extract with reference corresponding to influenced IP point

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Conclusion and Way Forward

• Regional cooperation between TSOs is a key element for the effective integration of gas markets in NW Europe

• NW GRIP is an important step towards that goal

GRIP was published on 21 November 2011

www.entsog.eu

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Conclusion and Way Forward

The NW GRIP group would be very pleased to receive any comments, advice or feed back from

stakeholders and market players

Consultation document will be posted on the ENTSOG Website next to the GRIP

Consolidated feed back on consultation

will be given in Q1 2012