1. Implementation of the Network Code Balancing in the Netherlands
Marcel Neef
28 November 2013

2. Programme Introduction Network Code (NC) Balancing
Process steps in the Netherlands
Current balancing regime
Daily imbalance charges
Balancing actions on the gas exchange
Lessons learned
28 November 2013

3. 1. NC on Gas Balancing of Transmission Networks Harmonization of EU-wide rules on balancing
Goal: to enable network users throughout the EU to manage balancing positions economically efficient and to be able to do it in a non-discriminative manner
EU timeline
2011 ACER Framework Guidelines
ENTSOG Network Code Balancing
NC approved in comitology process
2014 NC expected to be in effect as of October 2014
2015 Expected end of implementation period is October 2015
28 November 2013

4. 2. Process steps in the Netherlands
GTS assessed the impact of the NC Balancing on the Dutch market based balancing regime. Number of changes needed and two choices to be made
Implementation decisions made in close consultation with network users, representative organizations and regulator ACM
Implementation as of June 2014

5. 3. Current balancing regime
Continuous market based balancing
Network users have primary balancing responsibility
Maximal linepack flexibility available for network users
Near real time information provision
06:00
Shipper A
SBS
Shipper B

6. 4. Daily imbalance charges End of day settlement
NC Balancing states two implementation options:
end of day settlement and Linepack Flexibility Service
06:00
Shipper A
SBS
Shipper B

7. 4. Daily imbalance charges Linepack Flexibility Service
NC Balancing states two implementation options:
end of day settlement and Linepack Flexibility Service
06:00
Use of Linepack Flexibility Service
Shipper A
Use of Linepack Flexibility Service
SBS
Use of Linepack Flexibility Service
Shipper B
Use of Linepack Flexibility Service
Selected option

8. 5. Balancing actions on the gas exchange
Current regime: balancing actions via dedicated bid price ladder mechanism; our own initial balancing platform
NC states two options
Continue the balancing platform as an interim measure
Use the within-day market of the gas exchange with NC product merit order
Use of the within-day market preferred by network users and representative organizations

9. 5. Balancing actions on the gas exchange
Delivery on TTF
Use of title products in line with NC merit order
Two products: TTF Balance of day and TTF Next hour
prognosis
hh:20
06:00
SBS prognosis is in orange or red zone:
TTF Next Hour product
SBS
SBS prognosis is in light green zone:
TTF Balance of day product

10. 6. Lessons learned
Close and transparant consultation with stakeholders contributes to a succesfull implementation process
Network users prefer to have the lowest balancing costs
Interpretation NC not always easy
First step towards harmonization
Alignment with gas exchange is a lot of work

11. Thank you for your attention