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10-Year Network Development Plan Every Year After Consulting the Relevant Stakeholders

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10-Year Network Development Plan Every Year After Consulting the Relevant Stakeholders Ten-Year Gas Transmission Network Development Plan for the 2016 − 2025 Period October 2015 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 2016 - 2025 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 ........................................................... 28 4 Set of planned gas infrastructure for the 2016 − 2025 period ......................................... 35 4.1 Projects to increase operational security ................................................................... 35 4.2 Connections ....................................................................................................... 37 4.3 Development of interconnection points ..................................................................... 39 4.4 Projects that will be carried out by the TSO between 2016 and 2018 ................................. 41 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 ............................. 42 5.3 REGULATION (EU) No. 347/2013 on guidelines for trans-European energy infrastructure ......... 44 5.4 GRIP CEE ........................................................................................................... 46 5.5 GRIP Southern Corridor ......................................................................................... 47 5.6 Placement of the TSO's development plan within the scope of PCIs ................................... 47 ANNEXES .................................................................................................................. 49 Abbreviations ............................................................................................................ 67 Legal notice .............................................................................................................. 68 2 Ten-Year Gas Transmission Network Development Plan for the 2016 - 2025 period Preface In the company Plinovodi d.o.o. the process of planning the Slovenian transmission network is a regular fixture that is based on national legislation and is constantly adapting to the increasingly extensive analyses and planning of the trans-European natural gas network. The situation on the gas market is changing and certain operating conditions that were once considered improbable are becoming a reality. Our work and the planning of the transmission system are adjusting to that and our central task is to stimulate the operation of the natural gas market. The new development plan presents the central tasks and orientations of our company for the period of the next ten years. From the perspective of development of the transmission system, the foremost projects are the ones intended for the domestic gas market, the ones that ensure the optimal technical and economical operation and security, and the ones that are integrated in the development of the trans-European network. The provision of natural gas in the country is of special importance to us. Despite the reduced natural gas consumption we are carefully researching the existing and potential users, while at the same time analysing the areas in the country where there is potential for the use of natural gas. In terms of operational security, our previous development and construction have met the very demanding standards regarding accessibility to resources and storage facilities, which means that the natural gas market in the country can develop even more efficiently. That is the desire and goal of us all. We would like to thank everyone that participated in the process of public proceedings for their help and support in providing their suggestions and proposals during the preparation of materials for this document. Marjan Eberlinc General Manager Sarah Jezernik Deputy General Manager 3 Ten-Year Gas Transmission Network Development Plan for the 2016 - 2025 period Summary The Slovenian gas transmission system is an energy infrastructure of national importance. It is present in 108 of the total 212 municipalities. In the Slovenian energy balance sheet, natural gas represents 10% of the primary energy consumption structure, which is one of the lowest shares in Europe. The reason for this lies in the fact that natural gas is practically never used for the production of electricity in Slovenia (the European average amounts to 28%) and represents a mere 10% share in household and other consumption (the European average amounts to 37%). Nevertheless, natural gas is the leading energy source 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. During the preparation of the Development Plan, there were 35 cases of such demand, two approvals for connection were issued and one connection contract was signed. Regarding the purpose of the gas projects in relation to security updates, development of domestic gas market and harmonisation with international projects, the transmission system operator breaks down the planned infrastructure into 3 groups. Group A contains 16 projects that will increase operational security. They involve loops and adjustments to the pipeline system due to settlement and other circumstances. Group B contains 40 connections and Group C contains 16 projects for the development of interconnection points with the transmission systems of neighbouring countries. These include 5 projects that have been listed as projects of common interest in the year 2013 by the European Commission. Regarding the achieved maturity of individual projects, the TSO estimates that it will implement (construct or begin construction on) 15 pipeline projects in the three-year period of 2016 − 2018. 4 Ten-Year Gas Transmission Network Development Plan for the 2016 - 2025 period Introduction Pursuant to the provisions of the Energy Act (EZ−1)1, the transmission system operator (TSO) is obliged 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 Ten-Year Gas Transmission Network Development Plan for the 2016 − 2025 Period (hereinafter "10- year network development plan") defines the main infrastructure for transmission that is to be built and upgraded over the next ten years for players on the market, contains all investments that have already been decided, identifies new investments that have to be carried out within the next three years and provides 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 LNG re-gasification facilities. It has also researched the initiatives received during consultations and taken them into account. 1 Official Gazette of the Republic of Slovenia, No. 17/2014 5 Ten-Year Gas Transmission Network Development Plan for the 2016 - 2025 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 3 April and 4 May 2015, the TSO published a draft of the 10-year network development plan on its website. Within the public consultation procedure, it has invited
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