TNC Realization of Transmission Contracts

TNCRealization of Transmission ContractsWarsaw, 16 October 2012

the system, that connects


Implementation of Transmission Contracts

NominationsNomination submissionNomination approvalPossible re-nominations and their approval

Determination of RealizationMeasurements – at physical points Allocations between Shippers

Balancing Determining total realization for entries and exitsQuantitative comparison entries / exits - imbalancing determination HRP Preparation

Financial settlements between Shippers and TSOBalancingCapacityQuality


NominationsGeneral Principles

The nominations are made for the next day for points according to Assigned Aviability (PZ)Nominations contain the following information:

Who is making the nomination (Shipper)ID of the relevant point Hourly quantities Contractor at the point (off-taking or supplying)

For WPWEGG and WPWYGG nominations on behalf of the Shipper are made by the Gas ExchangeHourly quantities should take the following into account:

Assigned Aviability (PZ) at the given pointrestrictions resulting from the TNC or the provisions of the law

No balanced nomination requirement of given ShippersNominations are subject verification with cooperating operators

Lower stream principle


Shipper TSO DSO/SSO

2:00 pm Nomination (NOMINT)

2:30 pm Nomination (DELORD)

3:15 pm Information on results of matching of nomination

(DELRES)

6:00 pm Approval/rejection of nomination (NOMRES)

NominationsThe Course of the Process (D-1)


H0 – Every full hourH1 – hour when DSO, SSO received the re-nomination (DELORD) from TSO

Shipper TSO DSO/SSO

H0 Re-nomination (NOMINT)

H0 + 45min Re-nomination (DELORD)

H1 + 45 min Information on results of matching of nomination (DELRES)

H0 + 120 min Approval/rejection of re-nomination (NOMRES)

Re-NominationsThe Course of the Process (D-1)

Submitted by DSO for MFPWYDSO and MFPWEDSO for each subsequent gas day,

Daily from 2:00 pm D - 1,

Hourly quantities,

Take restrictions into account,

10% accuracy tolerance of forecasts


DSO TSO

2:00 pm D-1 Transmission Forecast

Transmission Forecasts


PWE

WPWE OTC

Virtual Exit Points Virtual Entry Points

PWY

PWE

WPWE GG

WPWE TSO

WPWY OTC

WPWY GG

WPWY TSO

PWESSO

PWYSSO

TSO

CustomerSSO

TSO

AllocationsEntities Performing Allocation

OBA the system, that connects

PWESSO

PWYSSO


Mea

sure

men

t

R=N

R=N

R=N

WPWE OTC

WPWE GG

WPWE TSO

WPWY OTC

WPWY GG

WPWY TSO

PWE

PWE

Shipper1

Shipper2

PWY

AllocationsAllocation Methods

Mea

sure

men

t

R=N

R=N

OBA

R=N

R=N

R=N


PWE

WPWE OTC


PWY

PWE

WPWE GG

WPWE TSO

WPWY OTC

WPWY GG

WPWY TSO

PWESSO

PWYSSO

WPWY DSO

WPWE DSO

TSO

CustomerSSO

TSO DSO

WRWS

WS

WR

WR

AllocationsEntities Performing Allocation


TSODSO

WPWY DSO

WPWE DSO

WRWS

WS

WR

WR

P2

P1

P3

P4

P5

P6

Distribution Zone

P =

Σ P –

Σ P

k β= 1

l

δ=0

wy

βw

e δ

DSO


TSODSO

WPWY DSO

WPWE DSO

WRWS

WS

WR

WR

P2

P1

P3

P4

P5

P6

AllocationsMeasurement for Distribution Zone

A = ΣA – ΣAWPWYDSO WPWEDSO DSO

ΣA = ΣP DSO DSO


Σ AWPWY DSO – Σ AWPWE DSO = Σ PMFPWY DSO – Σ PMFPWE DSO k

β=1

ln

i=1 i=0

m

δ=0

AllocationsAllocation Process for Distribution Zone

TSO

DSO

WPWY DSO

WPWE DSO

WR

WS

WS

WR

WR

P2

P1

P3

P4

P5

P6

A3 PŹDO > PWR3 imbalancing WPWEDSO

PŹDO > PWR3 imbalancing WPWYDSO

WPWY DSO

WPWE DSO

DSO

WR1WS1

WS2

WR2

WR3


TSO ISO, Customer

10:00 amProvisional allocation for the

previous gas day

7 working day of the month (M+1) Settlement allocation for the

previous gas month (M)

Allocations of estimated quantities of gaseous fuel

Allocations of settled quantities of gaseous fuel

5 working day of the month (M+1)Measurement data for the previous gas month (M)

Conveyance of measurement data

AllocationsInformation Exchange Schedule


Transmission System Balancing

Physical balancing - the actions of the TSO in order to ensure security of the transmission

system, including:

Balancing services market conducted by the TSO

Commercial balancing – settlement of imbalancing of Shipper resulting from differences

between quantities transmitted and off-take to/from the transmission system;

Commercial balancing encompasses the transmission and the distribution systems;

Distribution zone mechanisms

Shipper balance

All entry points:1. Import2. Storage Facilities3. Production4. Virtual Point

All entry points:1. Customers (including final)

connected to the TSOs system2. Customers (including final)

connected to the DSOs system3. Storage Facilities4. Virtual Point

1. All entry and exit points of a given Shipper (PZ) are balanced.2. The balance is established for each day.3. Settlement of the imbalancing quantity after each gas day.

15

BalancingGeneral Principles


16

Daily Imbalancing Limit Levels Daily Limit – 5% of the quantity introduced into the system According to the "System" Regulation of the Minister of Economy No within day obligations

Hourly restrictions resulting from hourly capacity allocation at physical points

Balancing

Daily Balancing - Limits

The Transmission System

Entry Points

restrictedmaximum allocated capacity

Daily balance: ±5%

Exit Points

WPWYWPWE

restrictedmaximum allocated capacity

the system, that connects16

BalancingMarket Model


Shipper1

PWE

WPWE OTC


WRWS

WS

WR

WR

PWY

PWE

WPWE GG

WPWE TSO

WPWY OTC

WPWY GG

WPWY TSO

PWESSO

PWYSSO

WPWY DSO

WPWE DSO

17



Shipper2

PWE

WPWE OTC


WRWS

WS

WR

WR

PWY

PWE

WPWE GG

WPWE TSO

WPWY OTC

WPWY GG

WPWY TSO

PWESSO

PWYSSO

WPWY DSO

WPWE DSO

18



PWE

WPWE OTC


WRWS

WS

WR

WR

PWY

PWE

WPWE GG

WPWE TSO

WPWY OTC

WPWY GG

WPWY TSO

PWESSO

PWYSSO

WPWY DSO

WPWE DSO

ShipperD

19



Shipper1

Shipper2

PWE

WPWE OTC


WRWS

WS

WR

WR

PWY

PWE

WPWE GG

WPWE TSO

WPWY OTC

WPWY GG

WPWY TSO

PWESSO

PWYSSO

WPWY DSO

WPWE DSO

ShipperD

20


Balancing Services MarketGeneral Principles

Balancing services market conducted by the TSOOnly a Shipper can be a Market ParticipantSeparate contract for participation in the balancing services market

Framework ContractOffers submitted for each day

Standard system servicesQuantities and prices for given hours in a day that the offer concernsSubmitted electronically

Subject to the regulations of the Public Procurement Law

Offers accepted according to set criteria:Type of service depending on the system demandsEach type of service according to the price criterion

for equivalent used proportionally to the quantity in the offer

Performance through a combination of appropriate (re)nominations subject to the normal approval procedure


FPWE FPWY

WPWY OTC

WPWY GG

WPWE OTC

WPWE GG

WPWE TSO

WPWY TSO

12

Balancing Services MarketStandard system services

1. Supplied to the TSO at the Virtual Point - WPWYTSO2. Off-take from the TSO at the Virtual Point - WPWETSO


FPWE FPWY

WPWY OTC

WPWY GG

WPWE OTC

WPWE GG

WPWE TSO

WPWY TSO

3

4

Balancing Services MarketStandard System Services

1. .2. .3. Supplied to the TSO at the Physical Entry Point4. Off-taken from the TSO at the Physical Exit Point


FPWE FPWYReduction at

the entry point

WPWY OTC

WPWY GG

WPWE OTC

WPWE GG

WPWE TSO

WPWY TSO

5


1. . 2. .3. .4. . 5. Reduction of supplies at the physical entry point + off-take from the TSO at WPWETSO


FPWE FPWYReduction at

the entry point

WPWY OTC

WPWY GG

WPWE OTC

WPWE GG

WPWE TSO

WPWY TSO

12

3

45


1. Supplied to the TSO at the Virtual Point - WPWYTSO2. Off-taken from the TSO at the Virtual Point - WPWETSO3. Supplied to the TSO at the Physical Entry Point4. Off-taken from the TSO at the Physical Exit Point5. Reduction of supplies at the physical entry point + off-take from the TSO at WPWETSO


Settlement and Fees Connected with the Performance of the ContractFees resulting from the Tariff provisionsFees resulting from the TNC

Settlement of the daily imbalancing quantityDIN x CRGAmounts determined for each day – separate items on invoiceInvoices issues every month by TSO and Shipper

Settlement of exceeding DLN Quantity at entry points < 4 mln kWh => DIN x 0.1 x GRP Quantity at entry points >= 4 mln kWh => DIN x 0.2 x GRP

Nomination Accuracy (Shipper)Tolerance 10%Amount exceeded x 0.02 x GRPFees not charged for

points where operator accounts operateWPWYDSO i WPWEDSO

Accuracy of Transmission Forecasts (DSO)Tolerance 10%Amount exceeded x 0.01 x GRPFirst year when TNC applicable - free


Thank you for your attention.

Documents

TNC Realization of Transmission Contracts