Premium Digest Cooperating for Security of Supply the Poland Czech Pipeline

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  • 7/27/2019 Premium Digest Cooperating for Security of Supply the Poland Czech Pipeline

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    3 PiPelines international digest | oCtoBer 2011

    key ProjeCts

    P

    lans for the Poland-Czech gas pipeline interconnector

    were first announced two years ago, in September

    2009, by Polish gas transmission operator Gaz-System

    and Czech tr ansmission system operator Net4Gas (previouslypart of RWE Transgas Net). A successful open season saw

    three gas transmission contracts signed by Gaz-System and

    one by Net4Gas, followed by the signing of a Co-operation

    Agreement between the two companies for the scope of

    construction of the interconnector.

    Components o the pipelineThe pipeline consists of two sections. The 22 km Polish section

    runs from the Polish-Czech border in the Cieszyn region to

    Skoczw, and includes one metering station in the Cieszyn region.

    This section of the pipeline crosses through the four communes of

    Cieszyn, Halach, Dbowiec, and Skoczw. Gaz-System completedconstruction of the Polish section in November 2010, and themetering station in June 2011.

    The 9.5 km Czech section known as the STORK pipeline

    was constructed by Net4Gas and extends from the Polish-Czech

    border to interconnect with the Czech gas transmission system in

    the region of Tranovice.

    STORK Project Maanger Ivo Komorous said The STORK

    pipeline was routed so as to lead outside built-up areas and

    maximise the length where it follows the existing energy corridors

    in the area. This minimised intervention in the development plans

    of local municipalities and businesses.

    This section of the pipeline took ve months to construct andwas completed in September 2011.

    Both sections have a 20 inch diameter and an operating

    pressure of 6.3 MPa, and the entire pipeline has the capacity to

    transport 500 MMcm/a of gas.

    The pipeline is European Commission co-funded from the

    European Energy Programme for Recovery, which aims to

    contribute to the economic recovery of the European Union and to

    increase the security of energy supplies through the performance

    of cross-border infrastructure.

    The Polish section of the project received approximately

    $US14 million of funding, while the Czech section received

    approximately $US4.6 million, constituting approximately 50 percent of the planned outlays.

    Starting the gas fowThe opening ceremony was held on 14 September 2011 in the

    Polish town of Cieszyn and on the Czech side near the village of

    Chotbuz. The ceremony was attended by Czech Republic Prime

    Minister Petr Neczas and Republic of Poland Prime Minister

    Donald Tusk, who jointly opened the pipeline.

    Co-operating for security of supply:

    the Poland Czech pipelineIn September 2011, an opening ceremony was held or an approximately 31.5 km gas pipeline connecting Poland andthe Czech Republic, marking the beginning o many uture years o co-operation between Gaz-System and Net4Gasor the development o the gas market in central Europe, as well as strengthening security o supply between theneighbouring countries.

    Czech Prime Minister Petr Neas and Polish Prime Minister DonaldTusk opening the Poland Czech gas pipeline interconnector.

    Transhipping storage place of the 20 inch diameter pipes for the

    STORK pipeline in Karvin.

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    4 PiPelines international digest | oCtoBer 2011

    key ProjeCts

    Gaz-System President of the Management Board Jan Chadam

    said "With the start-up of operation of the Poland Czech

    Republic gas pipeline we are opening up to a new direction in

    co-operation in Europe. The Poland-Czech Republic gas pipeline

    is the connection of the Polish transmission system with the

    system of the European Union (EU), and at the same time the

    fullment of one of the most important EU priorities ensuring

    the unrestricted ow of gas between member states.

    The connection performed on the southern border of Poland

    is an element of the strategy implemented by Gaz-System toincrease the integration of the gas markets in central Europe by

    building cross-border transmission infrastructure within the so-

    called North-South Gas Corridor.

    RWE Polska President Filip Thon said The construction of

    this interconnector will allow diversication of supplies, thus

    improving the energy supply security of Poland. This may,

    however, only be the beginning of a larger expansion and

    further diversication.

    The Czech Government has expressed strong support to

    extend the Nabucco Pipeline from the Austrian Baumgarten

    point to Lanzhot. This would enable Poland to directly access

    gas supplies from the Caspian and central Asian regions via theNabucco Pipeline to Lanzhot, through the Czech transit system

    and onwards via an expanded Czech/Polish interconnector. The

    further interconnection with the European gas pipeline system

    should also add value by contributing to the increase of liquidity

    of gas the markets which is so essential for proper functioning of

    liberalised and deregulated European gas markets.

    In the last consequence, the interconnector may contribute

    to development of low-emission generation capacities so much

    needed in Poland. Availability of fuel will be an additional stimulus

    for the energy utilities to invest in exible gas power stations.

    The Nabucco Pipeline is a proposed 3,900 km, 56 inch diameter

    pipeline that will link the eastern border of Turkey to Baumgarten

    in Austria via Bulgaria, Romania and Hungary.

    Increasing capacityGaz-System and Net4Gas are currently in the process of dening

    the scope of works necessary to increase the Poland Czech

    interconnectors capacity to approximately 2.5 Bcm/a and to

    convert the pipeline to bi-directional operation. According to Gaz-

    System, this will require modernisation of the Polish and Czech

    gas transmission systems, which are already being prepared.

    Following this, the two proponents intend to further increase

    the pipelines capacity beyond 2.5 Bcm/a. At the beginning of this

    year, Gaz-System and Net4Gas submitted a joint application to the

    European Commission for the granting of nancial aid to analyse

    the scope of works that will need to be undertaken to achieve

    this. The European Commission has since approved this request,

    recognising the signicance of developing this connection toadvance the integration of the European gas market.

    A route map of the Poland Czech pipeline.

    Construction of the STORK pipeline.

    Gaz-System President of the Management Board Jan Chadam,

    Polish Prime Minister Donald Tusk and Czech Prime Minister Petr

    Neas.