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Expansion of NetConnect Germany area likely by October

31 Mar 2009 00:00:00

Another transmission system operator (TSO) is set to join the NetConnect Germany (NCG) market area, currently comprising E.ON Gastransport (EGT) and bayernets, by 1 October, ICIS Heren understands.

An EGT spokeswoman this month did not explicitly confirm the date to ICIS Heren but pointed to targets set earlier by federal regulator Bundesnetzagentur (BNetzA). Talks between the TSOs and the regulator about the matter were ongoing, she said, adding that a market area cooperation also raised problems in terms of competition, which had to be solved.

In January, Stephan Kamphues, chairman of the EGT management board, disclosed to ICIS Heren that a third partner would join the NCG zone. He also hinted that a formal announcement could be made in February, but this has not happened. The spokeswoman did not want to speculate why this was, or talk of a possible delay.

The name of the TSO to join the NCG zone is not known, but can only be either Gaz de France Deutschland Transport or Gasversorgung Süddeutschland/Eni Deutschland. This is because the remaining H-gas TSOs, WINGAS TRANSPORT, ONTRAS-VNG, Gasunie Deutschland Transport, StatoilHydro Deutschland and DONG Energy Pipelines have announced they will tie up their respective areas as of 1 October.

If all the announced mergers go ahead, the number of H-gas market zones in Germany would fall from seven to four by the start of the new gas year.

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