Fluxys Belgium SA Class D · EURONEXT:FLUX
Fluxys Belgium SA Class D — Corporate Update (September 2014)
25 slides from Fluxys Belgium SA Class D's corporate update, Sep 23, 2014
Slide 1: Industry Update
Industry Update 23 September 2014 Brussels 25 September 2014 London
Slide 2: Agenda & Timings
Agenda & Timings 14:00 – 14:30 Registration and coffee 14:30 – 14:40 PART 1: INTRODUCTION 14:40 – 15:15 PART 2: INTERCONNECTOR NEW MODEL 15:15 – 15:40 PART 3: FLUXYS BE EE Model 15:40 – 16:00 PART 4: CONCLUSIONS & NEXT STEPS 16:00 – Coffee & Networking
Slide 3: PART 1: Introduction
PART 1: Introduction
Slide 4: ZIGMA: Reminder of the Proposition
ZIGMA: Reminder of the Proposition Merged cross-border entry-exit zone • Interconnector pipeline and Zeebrugge • Between the GB (NBP) and Belgian (ZTP) gas markets Compliant with the CAM and BAL Network Codes Combines • Interconnector services offered by IUK • Services in the Zeebrugge area of
Slide 5: Consultation Feedback
Consultation Feedback Fluxys BE and IUK Consultation on ZIGMA, CAM, BAL and WDO • 15 respondents Support from stakeholders • ambition to increase market liquidity and provide greater flexibility for the market Recurrent concerns • New Entry-Exit zone with additional balancing requirements • Cr
Slide 6: New Model Characteristics
New Model Characteristics Based on your feedback Create a simpler model, with no new Entry-Exit zone or new balancing regime Preserve Zeebrugge Beach as a physical hub Preserve Zeeplatform Allow Shippers the option of bundling their IUK capacity with either ZTP or Zeebrugge Beach Create ne
Slide 7: New Model Diagram
New Model Diagram SILK SILK Zeebrugge ZZ1 Beach ZPT ZZ2 ZVLH GRA Interconnector NBP IBT IBT IBT IBT IZT ZTP EYN1 ZLNG EYN2 LHT GD IUK Lux BLAT Storage BLAS NGG IUK FLXB CAM point Non-CAM point Zeeplatform point (Zeebrugge Beach , IZT, ZLNG, ZPT) OCUC point (ZeebruggeBeach, ZZ1, ZZ2, BLA-S, BLA-T)
Slide 8: PART 2: Interconnector New Model
PART 2: Interconnector New Model
Slide 9: Interconnector Model
Interconnector Model 2 CAM compliant Interconnection Points (2IP) Nov 2015 - Sept 2018 IAA contract for capacity made available from CMP, STA in parallel Oct 2018 IAA contract for all capacity 2 IP allow for commodity transfer inside the Interconnector pipeline IBT Interconnector IBT IZT B
Slide 10: Interconnector Model: Extra features
Interconnector Model: Extra features SILK SILK and other possible future connections integrated into IUK model, whilst implementing CAM at IPs IBT Interconnector IBT IZT Fast Acting Storage will be added to IUK Storage commercial offer for use from 1/10/2018 Opportunity of other Virtual Storag
Slide 11: New Model: Bundling
New Model: Bundling SILK SILK Zeebrugge ZZ1 Beach ZPT ZZ2 ZVLH GRA Interconnector NBP IBT IBT IBT IBT IZT ZTP EYN1 ZLNG EYN2 LHT GD IUK Lux BLAT Storage BLAS Bundling to NBP Bundling to ZTP Bundling to Zeebrugge Beach NGG IUK FLXB CAM point Non-CAM point Zeeplatform point (Zeebrugge Beach , IZ
Slide 12: Contracts Features
Contracts Features IAA FEATURES FROM APPROVAL UNTIL 1 NOV 2015 – 30 SEPT 2018 1 OCT 2018 ONWARDS 1 NOV 2015 Amount of Capacity From CMP: From CMP: All technical capacity* Available Oversubscription, Oversubscription, Surrender Surrender & LT UIOLI & LT UIOLI Duration of Capacity Day-Ahead Annual, Qu
Slide 13: Balancing
Balancing Input = Offtakes on hourly basis • Includes flows to/from storage (available from Oct 2018) • Allows for fuel gas and shrinkage provided as gas in kind – Fixed percentage deducted from entry/exit flows Shipper always balanced -> no balancing services required • no domestic consumption
Slide 14: Balancing Example 1
Balancing Example 1 Shipper 1 IN IBT = +30 OUT IZT-ZB = - 20 OUT IZT-ZTP = - 10 Imbalance = 0 (Example ignores fuel gas and shrinkage)
Slide 15: Balancing Example 2
Balancing Example 2 Shipper 1 Shipper 2 IN IZT-ZB = +40 IN Shipper 1 = +30 OUT Storage = - 10 OUT IBT = - 30 OUT Shipper 2= - 30 Imbalance = 0 Imbalance = 0 (Example ignores fuel gas and shrinkage)
Slide 16: PART 3: Fluxys BE EE model
PART 3: Fluxys BE EE model ;
Slide 17: Fluxys Belgium EE model (1/2)
Fluxys Belgium EE model (1/2) Key features of the Fluxys Belgium EE model: Physical trading in Zeebrugge Beach, Virtual trading in ZTP Market based balancing for ZTP and ZTPL Storage @ Loenhout 680 million m³(n) Interconnecting NW European market areas: Link with trading places NBP, TTF, Gas
Slide 18: Fluxys Belgium EE model (2/2)
Fluxys Belgium EE model (2/2) Two Bundled products with Interconnector at IZT: Interconnector – ZTP (and vice versa) Interconnector – Zeebrugge Beach (and vice versa), via Zeeplatform
Slide 19: Fluxys Belgium – key role of Zeebrugge (1/2)
Fluxys Belgium – key role of Zeebrugge (1/2) Interconnector pipeline ⇆ Zeepipe from Norwegian United Kingdom gas fields LNG TERMINAL (ZLNG) INTERCONNECTOR 1987 ZEEBRUGGE 9 bcm/y TERMINAL (IZT) 1998 To Zeebrugge : 20 bcm/y To UK : 25.5 bcm/y ZEEPIPE ZEEBRUGGE BEACH TERMINAL (ZPT) 1998 1993 66 bcm/y 1
Slide 20: Fluxys Belgium – key role of Zeebrugge (2/2)
Fluxys Belgium – key role of Zeebrugge (2/2) Zeeplatform: facilitate transfer of natural gas within Zeebrugge area • Offered for Zeebrugge Beach, IZT, ZLNG and ZPT • Between registered points: unlimited transfer rights (*) (2, 3 or 4 points) ZPT ZEE Beach IZT ZLNG (*) All firm, except towards ZPT an
Slide 21: PART 4: Conclusions & Next Steps
PART 4: Conclusions & Next Steps
Slide 22: Benefits of the New Model (1/2)
Benefits of the New Model (1/2) Reduced complexity: • No new Entry-Exit zone with balancing model • No new Balancing Agent Zeebrugge Beach maintained as a physical trading point Zeeplatform service unchanged New bundled product from IUK to Zeeplatform, and options to bundle capacity: • IUK t
Slide 23: Benefits of the New Model (2/2)
Benefits of the New Model (2/2) SILK and other possible future connections integrated into IUK model, whilst implementing CAM at IPs Two IUK IPs (IBT and IZT) allows Shippers to be active in GB or Belgium and choose which capacity products they need. Ownership of gas can change legal entity wi
Slide 24: Joint TSO Timeline
Joint TSO Timeline Date Action September 2014 Written feedback on new model welcomed NGG UNC mod 500 in development, consultation expected mid- Nov to Late 2014 mid-Dec, issue to Ofgem late Dec for approval NRA ‘minded to’ opinion on IUK CAM/BAL implementation (Nov 2014) IAA Industry Consultation Q1
Slide 25: Contact Details
Contact Details Interconnector (UK) Ltd. Fluxys Belgium Lucy Manning Marlies Verhanneman Commercial Analyst Commercial Back-Office Manager Interconnector (UK) Limited Fluxys Belgium SA 8th floor, 61 Aldwych Avenue des Arts 31 London WC2B 4AE B-1040 Brussels Direct Dial: + 44 (0)20 7092 6594 Direct D