GRI North-West Meeting State of play and (future) functionalities of the PRISMA capacity platform 27 November 2013.

GRI North-West Meeting

State of play and (future) functionalities of the PRISMA capacity platform

27 November 2013

07/11/2013 | Chart 2

After only 1 year the early CAM implementation1 by PRISMA started successfully on 1 April 2013…

Application of the uniform-price auction

algorithm

First DA auctions

1 Apr 2013

Registration start for shippers in order to

prepare April 1st

Registration start

20 Feb 2013

Platform go-live step by step. From idea to launch in less than a year.

Application of the ascending-clock auction

algorithm

First monthly auctions

15 Apr 2013

Application of the ascending-clock auction

algorithm

First yearly auctions

6 May 2013

1 – Early implementation of CAM NC was asked and encouraged by ACER and European Commission

07/11/2013 | Chart 3

PRISMA has implemented almost all of the NC CAM requirements. Two years ahead of time.

Capacity products- Bundled products between hubs- Unbundled products- Products as defined in the CAM Network code- Firm & Interruptible

All products available on one platform: PRISMA European Capacity Platform

Allocation – Auction mechanisms as described in the NC CAM

• Uniform price auction: day-ahead products• Ascending clock algorithm: monthly, quarterly and yearly products

The platform can also handle regional specificities, ensuring that European TSOs comply with their national regulation until NC CAM comes into force.

www.prisma-capacity.eu

07/11/2013 | Chart 4

Beyond the future European requirements, PRISMA also provides additional services to TSOs and Shippers…

Centralised shipper and user registration on the platform

First-come-first-served booking at domestic points

Surrender of capacity

Conversion of interruptible into firm capacity

Multiple kinds of firm capacity, multiple interruptible levels

Competing capacity

1:n bundling

Credit limit check

Booking assignment to balancing groups and portfolios

Automated interface to deal capturing systems of shippers

Comfort functions for automated bidding

With a high number of state-of-the-art functionalities, the PRISMA platform provides an advanced way to fulfil the EU requirements.

07/11/2013 | Chart 5

PRISMA has already reached significant acceptance and utilization in the market.

303 shippers with more than 900 users are using the platform to book transport capacity across European borders.

More than 28,000 auctions have taken place since the platform start

PRISMA held a public consultation on the platform functionalities and new GT&Cs. The public consultation ended on 16 September 2013 and an evaluation is currently being prepared. The evaluation will be published in Mid December along with the final version of the new GTCs.

The majority of the European shippers are using PRISMA daily to buy capacity.

07/11/2013 | Chart 6

Since PRISMA’s start, platform operations have been secure & stable with a large number of auctions taking place…

Capacity Auction Results:

Yearly Capacity (243 auctions):- Offered: 571.3 GWh/h/y- Allocated: 172.2 GWh/h/y

Quarterly Capacity (364 auctions):- Offered: 932.4 GWh/h/q- Allocated: 21.0 GWh/h/q

Month-Ahead Capacity (587 auctions):- Offered: 1,474.6 GWh/h/m- Allocated: 37.9 GWh/h/m

Day-Ahead Capacity (26,883 auctions):- Offered: 53,563.1 GWh/h/d- Allocated: 1,328.0 GWh/h/d

07/11/2013 | Chart 7

Country / TSO(s) currently discussing with PRISMA to become involved in PRISMA as shareholder and/ or using the platform for a pilot project

Country / TSO(s) already part of PRISMA

Pilot Project

Our view

From Jan. 2014, National Grid (UK),

Gaslink (Ireland) will become PRISMA

shareholders PRISMA is currently in discussion with

two further TSOs concerning a

participation from January 2014 We foresee that in 2014 and 2015

several further EU countries / TSOs

will join PRISMA as shareholders Some TSOs may start auctioning

capacity via pilot projects

Current discussion with TSOs

07/11/2013 | Chart 8

In the following months PRISMAs current features will be extended and continuously improved…

CAM NC requirements

Special national requirements

Market, shipper and

regulatory demands

Integration of further TSOs

systems with the platform

back-end system

The PRISMA platform will be further extended based on:

07/11/2013 | Chart 9

In the following months PRISMA will provide further features to connected TSOs and Shippers…

Integrated secondary functionality on the platform

Secondary functionality to be launched in January 2014

First two shipper trainings were held in Brussels and Vienna

Further Workshops in Milan in December as well as in Feb/Mar in Brussels and Paris

Multi-currency trading

Launch of multi-currency currently foreseen for 2014

Within-Day

Launch of within-day is foreseen

While ensuring stable operations of the PRISMA platform, PRISMA also continues the further platform development to fulfil both European and TSO

individual requirements.

07/11/2013 | Chart 10

JOINT PRISMA

PLATFORM

capsquare

TSO booking platforms

PRISMA secondary

From January 2014, primary and secondary capacity will be available through one single platform.

07/11/2013 | Chart 11

PRISMA Public Consultation

The questionnaire was sent to the

then around 850 users (290 shippers)

of the platform

25 companies, coming from different

European and non-European

countries, sent responses on the

questionnaire

One European Association of Traders

also took part in the consultation

07/11/2013 | Chart 12

Main Results of the Consultation Process

PRISMA website / Transparency & Usability:- Users consider the PRISMA platform a secure tool to buy capacity- Ease of navigation has been identified as a topic to be addressed by some users.

PRISMA will internally evaluate how to improve this aspect. Support

- The helpdesk was considered friendly and helpful in solving the user’s problems- Some users suggested that it may be useful to extend the support hotline to 20:00.

PRISMA will evaluate whether such an extension of the hotline times may be useful.

Communication- The overall communication was well evaluated

GTCs- The GTCs as well as the respective communication was considered good and no

comments were raised asking for urgently needed improvements.

07/11/2013 | Chart 13

Back up

07/11/2013 | Chart 14

Number of Bundled Auctions that Ended with a Surcharge

Since the start of the PRISMA platform in April 2013, 63 out of 5,454 bundled auctions ended with a surcharge.

3

1

453

1

1Oberkappel

Eynatten

Lasów

Mendelsheim/Obergailbach

Zelzate

Blaregnies/Taisnières

X Number of concluded auctions with a surcharge X Xentry exit

07/11/2013 | Chart 15

Number of Unbundled Auctions that Ended with a Surcharge

Since the start of the PRISMA platform in April 2013, 29 out of 22,614 unbundled auctions ended with a surcharge.

1

1

13

3

11

32

1

Oberkappel

Arnoldstein

Drohne

EmdenEllund

Oude Statenzijl

Mendelsheim

Überackern

Wallbach

X Number of auctions with a surcharge (entry) X Number of auctions with a surcharge (exit)

3

07/11/2013 | Chart 16

Offered and allocated yearly capacities

13/14 14/15 15/16 16/17 17/18 18/19 19/20 20/21 21/22 22/23 23/24 24/25 25/26 26/27 27/28 28/29 29/30 30/31 31/320

20

40

60

80

100

120

140

160

180

6.94

4.41

2.71

1.59

1.59

1.59

1.59

1.59

1.59

1.64

16.5

4

16.5

4

16.4

9

16.4

9

16.4

9

16.4

9

16.4

9

16.4

9

14.9

5

offered allocated

Gas Year

Cap

acit

y in

GW

h/h

07/11/2013 | Chart 17

Offered and allocated quarterly capacities

Q1 Q2 Q3 Q40

50

100

150

200

6.58 9.27 2.26 1.74

offered allocated

GW

h/h

Q1 Q2 Q3 Q40

20

40

60

80

0.00 0.32 0.42 0.42

offered allocated

GW

h/h

Q1 Q2 Q3 Q40

2

4

6

8

10

offered allocated

GW

h/h

27.0

5.13

29.0

5.13

04.0

6.13

07/11/2013 | Chart 18

Offered and allocated month ahead capacities

Apr-13 May-13 Jun-13 Jul-13 Aug-13 Sep-13 Oct-130

50

100

150

200

250

3.72 3.92 5.13 6.94 4.62 3.71 9.80

offered allocated

GW

h/h

07/11/2013 | Chart 19

Offered and allocated day ahead capacities

Apr-13 May-13 Jun-13 Jul-13 Aug-13 Sep-13 Oct-13 Sum0

1,000

2,000

3,000

4,000

5,000

6,000

7,000

8,000

9,000

10,000

0

2

4

6

8

10

12

allocated capacities offered

Off

ered

cap

acit

ies

in G

Wh

/h

All

oca

ted

cap

acit

ies

in G

Wh

/h