Gasunie gaat verder in gastransport Sharing lessons from unbundling Dutch unbundling, a long and winding road 4 November 2005, Athens
Jan 02, 2016
Gasunie gaat verder in gastransport
Sharing lessons from unbundlingDutch unbundling, a long and winding road
4 November 2005, Athens
Agenda
The internal process
The position in the market
The new infrastructure level playing field
Overview of organisation of Gasunie’s transport activities 2000 – 2005
Transmission Services division was organisationally split from Gasunie
01-01-2000
Organisational unbundling of Gasunie into Gastransport Services and Gasunie Trade & Supply
01-01-2002
Establishment of Gas Transport Services B.V. as independent and regulated TSO with its own board
01-07-2004
Establishment of N.V. Nederlandse Gasunie as independent gas transmission company including GTS as TSO
01-07-2005
On July 1ST vertical integration has ended
100%
Dutch StateMinistry of Finance
DutchState
Ministry of Economic Affairs
Exxon
50%25%
Shell
25%
Ownership structureAfter July 1st, 2005Two separate companies
Gasunie
Gasunie Trade & Supply
DutchState
Exxon
25%
Shell
25%50%
Ownership structureBefore July 1st, 2005One company
Gasunie
Source:Gasunie
Transport company
Trading company
Conclusions unbundling process
•Unbundling has been a costly process
•Unbundling requires major adjustments in:
management process
corporate governance
mindset
Agenda
The internal process
The new infrastructure level playing field
The position in the market
Main transmission systemMain transmission system(end of (end of 20012001))
Pipeline Groningen gas
Pipeline high-calorific gas
Pipeline low-calorific gas
Pipeline desulphurized gas
Pipeline - nitrogen
Feeder station(s)
Compressor and blending station
Compressor station
Blending station
Underground gas storage
Export station
LNG facility
Nitrogen plant
Zevenaar
Hilvarenbeek
Zandvliet
Oude Statenzijl
Balgzand
Zelzate
Facts and figures Gasunie
Facts (2004)
• Gas volumes– 97 billion m3 transported– Max daily capacity of 420 million m3
• 1350 employees
• Infrastructure base– 11.600 km pipelines– 1,100 Gas-distribution stations– 10 Export stations
• Customer base– 40 Shippers– 10 gas distribution companies and
~400 industrial consumers/ power generators
• Leading record of safety and continuity in operations
Emden
Source:Gasunie
Main transmission systemMain transmission system(end of (end of 20012001))
Pipeline Groningen gas
Pipeline high-calorific gas
Pipeline low-calorific gas
Pipeline desulphurized gas
Pipeline - nitrogen
Feeder station(s)
Compressor and blending station
Compressor station
Blending station
Underground gas storage
Export station
LNG facility
Nitrogen plant
Other assets of Gasunie
Source:Gasunie
Zevenaar
Hilvarenbeek
Zandvliet
Oude Statenzijl
Balgzand
Zelzate
Owner of TTF-hub
Operating six quality conversion stations
Emden
33% owner of Eurohub
LNG peak shaver
Majority owner of BBL
EDIGasunie Engineering & Technology
‘s-Gravenvoeren
Access to two under-ground storage facilitates
Source: Gasunie
Transmission flows Gasunie2004, contracted flows
Dutch gas for domestic market
97 Bcm
Dutch gas for Domestic market
Import
Import
ExportTransit
Export
Export
Majority of gas streams handled by Gasunie are international
Throughput for international markets
Gasunie mission
To provide safe and reliable transport of natural gas and related services to the integrating European market. Efficient, profitable and sustainable
Agenda
The internal process
The new infrastructure level playing field
The position in the market
Changing environment
Restructuring of (regional) sales and distribution companies within countries
Marketstructure
Not only between traders but also between transmission companies
Increasedcompetition
New policy: unbundling of trading and transport activities and establishment of transmission system operators. Different tariff structures and new products
Liberalisationand regulation
Decline in European production and rise in demand will increase imports (mainly Russia and LNG)
New gas streams
Increasing number of gas transport companies in Europe
Source: GIE
European level playing field for gas infrastructure
• Gas distribution assets in the UK & US
• LNG terminal
• Involved in storage in o.a. Austria and the UK
• Transmission pipes in Slovakia, Lithuania, Latvia, Estonia and Romania
• MND (Czech R.) involved in storage
• Pending majority stake in Hungarian MOL
• BBL participation (20% stake)
• UK Gas Management Services
• Transmission and/ or distribution assets in Germany, Belgium, Slovakia, Russia, Germany, Hungary, Mexico, Canada, Italy and India
BBL:• Gasunie• Fluxys• E.ON/Ruhrgas NEGP:
• Gazprom• E.On Ruhrgas• Wingas
Interconnector:• Amerada Hess • BP • BG • ConocoPhillips • Distrigas • ENI• E.ON/Ruhrgas • Gazprom • International Power • Total
Examples
Concerns regarding restructuring EU gas market
• Uneven paths to unbundling
• Regulatory “patchwork”
• Infrastructure investors of a different kind
• Does infrastructure fragmentation hinder the attractiveness of Europe as a market for new gas?