“Amendment of Network Entry Provisions at the European Interconnector NTS sub- terminal at Bacton" Transmission Workstream 1 st December 2005

Proposal - Summary  Interconnector UK has requested increases in its contractual limits in respect of:  upper Wobbe Number  Total Sulphur  The requested parameters remain compliant with the Gas Safety (Management) Regulations  The requested Sulphur specification is compatible with the first phase of EASEE-gas harmonisation proposed to be in place from 1 st October 2006

Specification of the new gases  The proposed changes to the NEPs at the European Interconnector sub-terminal at Bacton would: -  Allow more diverse sources of imported gas to be brought into the UK;  Secure greater flexibility in the operation of the European Interconnector;  The proposed limits would be implemented through amendment of the Network Entry Provisions

The proposed specification changes ParameterCurrent Specification Proposed Specification GS(M)R Specification Total Sulphur15 ppm (molar) 30.0 mg/m³ (Normal) 50 mg/m³ (Standard)) approx mg/m³ (Standard) approx mg/m³ (Standard) Wobbe No. upper limit: 54.0 MJ/m³ (Normal) [ ] MJ/m³ (Normal) MJ/m³ (Standard) 51.1 MJ/m³ (Standard) MJ/m³ (Standard)

Advantages of the Proposal  The Proposal, if implemented, could:  Allow access to greater volumes of European sourced gas that could be imported into the UK via the European Interconnector;  Better facilitate the achievement of securing effective competition between the relevant shippers and relevant suppliers  Enhance security of supply

Disadvantages of the Proposal  The Proposal, if implemented, could lead to:  CV shrinkage increases  However, National Grid NTS believes that any increases would be minimal  Increases in Sulphur content in the gas on the occasions when the European Interconnector is operating in import mode.  However, National Grid NTS believes that any increases would not exceed 4 mg/m³ (Standard)  Furthermore, any increases in either Wobbe Number or Total Sulphur would decrease as distance from the Bacton terminal increases.

Simplified NTS schematic Bacton Interconnector SEP

Potential increases in Sulphur mg/m 3 (st)

Way Forward  Submit Proposal at December Mod Panel