Question 4.2.7 Reporting of capacity conversion and capacity upgrade

Question 4.2.7 Reporting of capacity conversion and capacity upgrade

Reference to Article 7(5) of the Implementing Acts in case of transformations of the contract

Examples for transformations of the contract:

  • The contractual nature of a capacity contract can change. For instance, it is possible to convert interruptible capacity into firm capacity.
  • Transformation of capacity from interruptible to firm.

According to Article 7(5) of the Implementing Acts, details of contracts referred to in Article 3(1)(b)(i) of the Implementing Acts shall be reported as soon as possible but no later than on the working day following the availability of the allocation results. Any modification or the termination of the concluded contracts shall be reported as soon as possible but no later than on the working day following the modification or termination.

How to understand the provisions of Article 7(5) of the Implementing Acts in case of transformation of the contract – as a new or as a modified contract?

Should the case of capacity conversion from interruptible to firm be reported as contract modification?


Answer

It is the Agency’s current understanding that in case of capacity conversion from unbundled to bundled capacity the initial capacity contract needs to be modified after the conversion by indicating the following information in the modified report:

Scenario 1: The capacity conversion applies to the entire period of the initial capacity contract:

  • Data Field (5) Transportation transaction identification shall be populated with the same transaction ID as of the initial capacity contract.
  • Data field (14) Action type shall be populated with ‘66G’ for ‘Changed’.
  • Data field (15) Quantity shall indicate 0 (zero) quantity in order to flag that all the capacity has been converted into bundled capacity.
  • Data Field (23) Bundling shall indicate ‘ZEP’ for ‘Unbundled capacity’.

Scenario 2: The capacity conversion applies only to a certain part(s) of the total period included in the initial capacity contract. In this case, both periods - where the capacity conversion applies and where it does not - shall be reported in the same file (i.e. in the modified report) in the following way:

TRUM field

Schema field

Section in the schema

To report

 Data field (14) Action type

<process_Transaction.action_Status.code>

GasCapacityAllocations_Document

‘66G’ for ‘Changed’

­Data Field (23) Bundling

<process_Transaction.capacityType.code>

'ZEP’ (=‘Unbundled capacity’)

­Data Field (5) Transportation transaction identification

<identification>

 Transportation_Transaction

The same transaction ID as of the initial capacity contract.

For SUB-PERIOD A: the period(s) where the capacity conversion is applicable

 Data Field (10) Start date and time

 

Data Field (11) End date and time

<timeInterval>

 Transportation_Period

The period referring to the converted capacity

Data field (15) Quantity

<contract_Quantity.amount>

The field shall indicate 0 (zero) quantity.

For SUB-PERIOD B: the period(s) where the capacity conversion is not applicable

 Data Field (10) Start date and time

 

Data Field (11) End date and time

<timeInterval>

 

Transportation_Period

The period to which the capacity conversion does not apply.

Data field (15) Quantity

<contract_Quantity.amount>

The field shall indicate the quantity included in the initial capacity contract.

 

In both scenarios, since capacity conversion constitutes a change in the main contractual aspects (product quality), TSOs will have to report the transformation of the initial capacity contract also as a new contract to the Agency by indicating the following information in new the report:

  • Data Field (5) Transportation transaction identification shall be populated with a new transaction ID compared to that of the initial capacity contract.
  • Data Field (10) Start date and time and Data Field (11) End date and time shall indicate only the period(s) for which the capacity conversion is applied.
  • Data field (14) Action type shall be populated with ‘62G’ for ‘Active’.
  • Data Field (23) Bundling shall indicate ‘ZEO’ for ‘Bundled capacity’.

The same approach is expected to be applied when the capacity underlying the initial capacity contract has been upgraded from interruptible to firm capacity. In this case, Data Field (13) Capacity category shall be populated with ‘Z05’ for ‘Interruptible (booked)’ in the modified report of the initial capacity contract. While for the new contract which results from the capacity upgrade, Data Field (13) shall be populated with the code of the relevant capacity type/category, e.g. ZEQ, Z06, ZES, ZET etc.

Updated: 
13/03/2024