Code Modification Forum Ashling Hotel, Dublin Wednesday, 11 th - PowerPoint PPT Presentation

Code Modification Forum Ashling Hotel, Dublin Wednesday, 11 th October 2017

Agenda (1 of 2) 1. Review of minutes from last meeting 2. Review of Action Items from last meeting 3. Natural Gas Emergency at Corrib 4. General Items Update 5. GNI Scheduled Maintenance Update 6. Code Modification Proposal ‒ A071 Alternative Capacity Arrangements in event of GNI Interruptions to Flows 7. Code Modification Proposal ‒ A080 Option to Provide Monthly Settlement from Disbursements Account 8. Code Modification Proposal ‒ A083 Interruptible Capacity at Non IP Entry Points 2

Agenda (2 of 2) 9. Code Modification Proposal ‒ A084 Replace the NTS SO & TO exit Commodity cost element in the Balancing Transportation Cost formula with the Optional Commodity Charge 10. Intra-day Nomination Patterns and Profiles 11. Balancing 12. VRF Tariffing Structure 13. Gas Electricity Interaction 14. BrExit and ROI Gas Market 15. Transparency Data 16. AOB Next Code Modification Forum Meeting 3

1. Review of minutes from last meeting 4

2. Review of Action Items from last meeting 5

Code Modification Forum – Open Actions (Slide 1 of 2) ID Action Responsibility Status Priority Transporter is to investigate adding further enhancements to the VRF product: 1. Notification if additional VRF capacity available. C483 Transporter Open High 2. Within-day auctions 3. Interruption time-stamping Release revision Version 5.02 of the Code of Operations which reflects any outstanding C530 Transporter Open High Code Modifications approved by the CRU subsequent to the 1st of October 2015 Transporter to consult with each shipper about issues surrounding their nomination patterns and profiles. Propose to C538 Transporter High close Transporter to provide an overview on the outcomes of such industry consultation at the August CMF Meeting. Transporter to further provide timelines of next steps to further review and consult on C539 potential amendments to cashout prices and tolerances, after finalisation of the tender Transporter Open Medium process to secure a Trading Platform Service Provider. Regulator to look into Entry Point Procedures at domestic entry points, and revert back Propose to C541 Regulator High close to industry Transporter to look at the applicability of CMP measures at IP Entry Points to domestic Propose to C542 Transporter High close entry points, and revert back to industry 6

Code Modification Forum – Open Actions (Slide 2 of 2) ID Action Responsibility Status Priority Upstream Operator(s) asked to look into Entry Point Procedures and contractual Upstream C543 arrangements at domestic entry points, and revert back to the Regulator/CMF regarding Open High Operator(s) same Propose to C544 Regulator to issue a Commission Instruction regarding Code Mod A078 Regulator Medium close Propose to C545 Regulator to issue a Commission Instruction regarding Code Mod A084 Regulator Medium close Industry to provide views as to whether it considers it necessary to extend the current Propose to C546 Industry High Financial Security Policy to Trading Platform trades involving the TSO and counterparties close Transporter to issue a Gantt chart of provisional expected timelines in terms of the Propose to C547 outstanding steps to be completed, prior to the TSO participating on an IBP Trading Transporter Medium close Platform Industry to provide its views on potentially amending the 2nd Tier imbalance multipliers Propose to C548 Industry High (75% and 125%), previously introduced via Code Mod A074 close Regulator to review potential amendments to the current VRF registration fee, as an Propose to C549 Regulator High interim VRF pricing solution close Transporter to circulate a proposed model to calculate an amended VRF interruption Propose to C550 Transporter High algorithm for industry review and input close 7

Code Modification Forum 3. Natural Gas Emergency at Corrib 8

Code Modification Forum 4. General Items Update 9

Code of Operations 5.02 • Version 5.02 will be released in due course, to reflect: ‒ Code Mods A071, A079, A080, A081 and A082 (all of which have been approved by the CRU). 10

Code Modification Forum 5. GNI Scheduled Maintenance Update 11

Network Maintenance Update 1. Upstream Operator Maintenance GNI have been advised of the following scheduled Maintenance Upstream of Entry Points: Entry/Exit Impact on flows at Planned Timings Duration Location Nature of Works Points entry/exit points (Subject to change) (days) Affected affected 12

2017/ 2018 GNI Proposed Maintenance Days Maintenance Programme Gas Year 2017/2018 Entry Date Duration Commentary Points May be required for meter upgrade works at Cappagh. Depends on if all works are completed during 1 day Corrib the Corrib initiated shut-down in September Note: Maintenance day no longer needed 8th Nov 2017 1 day Inch Will be required to install a new UPS at Middleton. May not affect flow. 1 day Corrib Not scoped yet. 7th Feb 2018 1 day Inch ILI run between Inch, Lochcarrig Lodge and Caherlag. Date to be finalised with the pigging contractor. 1 day Corrib Not scoped yet. 9th May 2018 1 day Inch Odorant tank refill at Inch. Zero flow whilst this takes place. 1 day Corrib Fuel gas skid connection at Cappagh South. May not affect flow 4th Jul 2018 1 day Inch Not scoped yet 1 day Corrib Not scoped yet 12th Sep 2018 1 day Inch Not scoped yet Note: Dates and maintenance programme may be subject to change 13

IT Maintenance Update Nature of Works Planned Timings (Subject to change) Duration (days) Systems Affected Nothing to report Please note the above works/timings/duration are subject to change 14

Code Modification Forum 6. Code Modification Proposal A071: ‘ Alternative Capacity Arrangements in event of GNI Interruptions to Flows ’ 15

A071: Update • Legal Drafting circulated for Industry Consultation. • Following discussions with an industry respondent, proposed amended Legal Text has been agreed. • Provisions of Code Mod A071, which is now effective: 1. Maintenance Plan published on/before 31 May, in advance of Gas Year. 2. Maximum Maintenance Day limits for IP Entry Points/Entry Points is 5 days. 3. Minimum Notice Period for variation of scheduled Maintenance Days in Maintenance Plan is 7 days. 4. Capacity Charge Rebate payable to affected Shippers at IP Entry Points/Entry Points for days where Restricted Capacity Days are declared for Maintenance at IP Entry Points/Entry Points which are in excess of 5 day limit (or where variation from scheduled date has not been notified within Notice Period). 5. Capacity Charge Rebate is payable on the basis of the difference between Shippers’ Active (IP) Entry Capacity and Shippers’ Available (IP) Entry Capacity at the Affected (IP) Entry Point on the Day at the applicable Tariff. 6. Capacity Charge Rebates will be included in the invoice, in respect of the Month following the Month in which the relevant Restricted Capacity Day occurs. 16

Code Modification Forum 7. Code Modification Proposal A080: ‘Option to Provide Monthly Settlement from Disbursements Account’ 17

Update on A080 • Commission Instruction circulated, approving A080 and directing GNI to proceed to legal drafting. • Legal Drafting is currently being finalised. • Transporter has established the Oracle and IT interface requirements to implement A080. • A080 has been implemented since 1 st October 2017.

Code Modification Forum 8. Code Modification Proposal A083: ‘Interruptible Capacity at Non IP Entry Points’ 19

A078 and A083: Update from Regulator Re Action Item C544: The Regulator has issued a Commission Instruction and Rationale re Code Mod A078 . • The Commission has decided to reject Code Modification A078 on the basis that A083 is now a proposed alternative to Code Modification A078 which the Commission is currently reviewing. 20

A083: Update from Regulator Action Item: C541: Regulator to look into Entry Point Procedures at domestic entry points, and revert back to industry. Following this review, the Regulator notes the following: • Entry Point Procedures are referenced in Section 3.2 Part C of the Code of Operations and where such procedures have been adopted at an entry point, they can impose conditions and/or restrictions on shippers who wish to reserve capacity at that entry point. • The CRU has been advised by GNI that Entry Point Procedures are not in existence at any domestic entry point. • Furthermore the CRU understands that no request has been made for their introduction. • The CRU understands that all shippers who requested capacity at domestic entry points have been allocated such capacity, and hence the CRU is satisfied that the capacity market is working effectively . 21

A083: Update from Transporter Action Items: C542: Transporter to look at the applicability of CMP measures at IP Entry Points to domestic Entry Points, and revert back to industry. • The Transporter has reviewed the applicability of the IP Congestion Management Procedures at IP Entry Points to domestic Entry Points. ‒ The Transporter wishes to confirm that concerning capacity bookings, no Shipper has breached the ‘average 80% usage requirement’ at domestic Entry Points. ‒ The Transporter will continue to monitor capacity booking usage at domestic entry points and notify the Regulator immediately if any breaches of an 80% usage threshold occur. 22