Ten-Year Gas Transmission Network Development Plan for the 2017 – 2026 Period

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Ten-Year Gas Transmission Network Development Plan for the 2017 – 2026 Period Co-financed by the European Union European Energy Programme for Recovery Trans-European Energy Network TEN-YEAR GAS TRANSMISSION NETWORK DEVELOPMENT PLAN FOR THE 2017 – 2026 PERIOD December 2016 Plinovodi d.o.o, Cesta Ljubljanske brigade 11b, PO box 3720, 1001 Ljubljana; Tel.: +386 (0)1 582 07 00 Fax: +386 (0) 1 582 07 01; Email: [email protected]; VAT Reg No: SI31378285 Ten-Year Gas Transmission Network Development Plan for the 2017 – 2026 Period TABLE OF CONTENTS Preface .................................................................................................................................................................. 3 Summary ............................................................................................................................................................... 4 Introduction ........................................................................................................................................................... 5 1 Definitions ..................................................................................................................................................... 6 2 Consultations ................................................................................................................................................. 6 2.1 TSO's consultations with stakeholders ........................................................................................................... 6 2.2 Activities of the Energy Agency in relation to network development ............................................................ 6 3 Supply and demand for transmission capacity of Slovenian natural gas transmission system……………………..7 3.1 Current situation ............................................................................................................................................ 7 3.2 Domestic market ............................................................................................................................................ 8 3.3 Cross-border transmission capacity and booking ........................................................................................ 27 4 Set of planned gas infrastructure for the 2017 – 2026 period ....................................................................... 34 4.1 Projects to increase operational security ..................................................................................................... 34 4.2 Connections ................................................................................................................................................. 36 4.3 Development of interconnection points ....................................................................................................... 38 4.4 Projects in preparation and planning in the 2017 – 2019 period ................................................................ 40 5 European dimension of natural gas supply ................................................................................................... 42 5.1 Development of exchanges with other countries......................................................................................... 42 5.2 Supply of natural gas to EU countries and access to natural gas sources ................................................... 43 5.3 REGULATION (EU) No. 347/2013 on guidelines for trans-European energy infrastructure ......................... 44 5.4 ENTSOG ........................................................................................................................................................ 47 ANNEXES ............................................................................................................................................................. 50 Abbreviations ...................................................................................................................................................... 69 Legal notice ......................................................................................................................................................... 70 2 Ten-Year Gas Transmission Network Development Plan for the 2017 – 2026 Period Preface Before you is already the ninth Gas Transmission Network Development Plan for the ten-year period. As usual, it was developed in a coordinated ENTSOG process of two regional development plans and the trans-European development document. The Development Plan meets the requirements of the legislation, while in no way ignoring the national and European gas market. This market is becoming more and more dynamic and the amounts of gas are once again growing optimistically. These are the very characteristics that the development of gas transmission system (including the domestic system) pursues in the presented document. The concern for safe, reliable and economical operation has been reconnected to the process of planning. All planned investments have been carefully considered and sorted by priority, and the timeline for realisation has been set. We look forward to cooperating with you in the realisation of the plan's contents, i.e. shaping the gas transmission system and therefore the gas market. Marjan Eberlinc General Manager Sarah Jezernik Deputy General Manager 3 Ten-Year Gas Transmission Network Development Plan for the 2017 – 2026 Period Summary The Slovenian gas transmission system is part of the energy infrastructure of national importance that is present in 108 of the total 212 Slovenian municipalities. In the energy balance sheet of the Republic of Slovenia for the year 2015 it was estimated that in the final energy consumption structure the share of petroleum products will stand out with 47.3%, followed by electricity with 22.9%, renewable energy sources with 14.3%, natural gas with 9.7%, heat wtih 3.9%, solid fuels with 1.0% and industrial waste with 0.9%. Despite the fact that actual values are slightly higher than the estimates, in the primary energy consumption structure natural gas has one of the lowest shares in Europe with 10%. In Slovenia, natural gas is practically never used for the production of electricity (the European average amounts to 25%) and represents a mere 10% share in household and other consumption (the European average amounts to 37%). Nevertheless, natural gas is the leading energy product in Slovenian industry with a 33% share, which is similar to the European average. The transmission system operator (TSO) measures the demand for natural gas transmission in the domestic energy market based on queries, approvals issued and connection contracts concluded with distribution system operators (DSO), industrial users and electricity producers. In 2015, there were 41 cases of such demand, 12 approvals for connection were issued and 9 connection contracts were signed. Regarding the purpose of the gas projects in relation to security updates, development of domestic gas market and harmonisation with international projects, the TSO breaks down the planned infrastructure into 3 groups. Group A contains 18 projects to increase operational security, i.e. loops and adjustments to the pipeline system due to settlement and other circumstances. Group B contains 45 connections. Group C contains 17 projects for the development of interconnection points with the transmission systems of neighbouring countries, which include 4 projects that have been listed as projects of common interest in November 2015 by the European Commission. Regarding the achieved maturity of individual projects, the TSO estimates that it will implement (construct or begin construction on) 23 pipeline projects in the three-year period of 2017 − 2019. 4 Ten-Year Gas Transmission Network Development Plan for the 2017 – 2026 Period Introduction As the TSO in the Republic of Slovenia, the company Plinovodi is obliged in accordance with the provisions of the Energy Act (EZ-1)1 to adopt and submit for confirmation to the Energy Agency a 10- year network development plan every year after consulting the relevant stakeholders. The plan must be based on the existing and expected supply and demand and include efficient measures in order to guarantee the adequacy of the system and the security of supply. The purpose of the Ten-Year Gas Transmission Network Development Plan for the 2017 – 2026 Period (hereinafter: Development Plan) is to: determine the main infrastructure for transmission that is to be built and upgraded over the next years for players on the market, contain all the investments that have already been decided and identify new investments that have to be carried out within the next three years, provide a time frame for all investment projects. When preparing the 10-year network development plan, the TSO has formed reasonable assumptions on the development of production, consumption within the domestic energy market and exchanges with other countries. It has taken into account the investment plans for regional networks and EU-wide networks as well as investments for the natural gas storage facilities and liquefied natural gas (LNG) re-gasification facilities. 1 Official Gazette of RS, Nos. 17/2014, 81/2015 5 Ten-Year Gas Transmission Network Development Plan for the 2017 – 2026 Period 1 Definitions Unless the meaning of an expression is otherwise defined in an individual section of the 10-year network development plan, the expressions and units of measurement used have the same meaning as defined in the applicable legislation. 2 Consultations 2.1 TSO's consultations with stakeholders Between 1 February
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