Gas balancing in transmission networks

     

The rules on Gas Balancing in Transmission Systems shall facilitate cross-border gas trade and the further development of competitive and efficient gas wholesale markets in Europe, on a non-discriminatory and transparent basis. Gas balancing rules are of particular importance for new market entrants and these rules are based on a number of principles and measures, such as:       

  • the introduction of a market-based and harmonised daily balancing regime;
     
  • clearly defined and shared balancing responsibilities between TSOs and network users, with a view to move towards residual TSO balancing, where market liquidity allows;
     
  • the principle of TSO neutrality with respect to all related costs and revenues;
     
  • the harmonisation of (re-)nominations procedures (e.g. timing and communication procedures);
     
  • new rules on imbalance charges, within-day obligations and operational balancing between transmission systems; as well as
     
  • accurate and timely provision of information on balancing related matters.       

The development of the Balancing rules:

Based on the Agency’s Framework Guidelines on Gas Balancing in Transmission Systems  of October 2011, ENTSOG developed a draft Network Code in close cooperation with the Agency and with the extensive involvement of stakeholders.       
The Agency evaluated the draft, which ENTSOG published for consultation on 13 April 2012, and gave its preliminary views on the network code to ENTSOG on 14 June 2012. In its letter of 2 October 2012 to ENTSOG, the Agency highlighted ten issues, where the amended draft remained incompliant with the objectives of the Gas Regulation and the Framework Guidelines.       
On 26 October 2012, ENTSOG officially submitted to the Agency and to the Commission the Network Code on Gas Balancing of Transmission Networks. The Agency provided its Reasoned Opinion on 25 January 2013 and in it the Agency acknowledged the high degree of compliance of the network code with the Framework Guidelines. However, particular measures regarding (re)nominations, principles of neutrality and several other issues required further adjustments to the network code. ENTSOG officially submitted an amended Network Code on Gas Balancing to the Agency on 21 February 2013.      
On 25 March 2013, the Agency issued its Recommendation  to the Commission to adopt the revised Network Code, as      
  • the code close compliance with the Framework Guidelines;      
  • ENTSOG coherently described and justified its amendment choices in  an explanatory document.      
The formal Comitology procedure  comprised meetings of the ‘Gas Committee’ on 11 July and 1 October 2013 and finished with a positive vote by the Member States on the BAL Network Code on 2 October 2013.       
The Network Code was published in Commission Regulation (EU) No 312/2014 of 26 March 2014.      

Implementation of the Balancing Network Code:

The BAL Network Code shall be implemented by the 1 October 2015, to the extent transitory or interim measures do not apply. The Agency will monitor the proper implementation of the BAL Network Code and its effect on the completion of the internal energy market.      
ACER and ENTSOG have started a joint follow up on the early implementation of the Balancing Network Code. A first joint report was published in October 2014 and its main findings were presented during the 26th meeting of the Madrid Forum. The Second joint report was published on 9 November 2015.     
On 7 November 2016 the Agency published its first Report (with Technical Annexes) on the implementation of the Balancing Network Code. The Report describes the status of the implementation and application of the Network Code across the EU Member States.   
   

Gas Network Codes Functionality Platform

The joint “Gas Network Codes Functionality Platform” is available at www.gasncfunc.eu.     
  
On the platform all relevant parties can notify implementation and operational issues related to the gas Network Codes and Guidelines in force.   
 
     
More description about the platform:     
     
 

Related documents and links

  1. ACER Report on the implementation of the Balancing Network Code​ – 7 November 2016   (Technical Annexes​)

  2. Framework Guidelines on Gas Balancing in Transmission Systems      

  3. ACER Public Consultation on the Framework Guideline      

  4. Network Code on Gas Balancing of Transmission Systems  and related ENTSOG documentation      

  5. ACER’s Reasoned Opinion on the network code      

  6. ACER’s Recommendation on the network code      

  7. COMMISSION REGULATION (EU) No 312/2014 of 26 March 2014 establishing a Network Code on Gas Balancing of Transmission Networks     

  8. ACER-ENTSOG Report on the early implementation of the Balancing Network Code (BAL NC) - October 2014      

  9. Second ACER-ENTSOG Report on the status of the implementation of the Balancing Network Code – 9 November 2015      

     

       

     

       

     

       

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