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Lower tariffs may boost Dutch natural gas storage capacity - TSO

31 Oct 2012 16:00:31 | esgm

Dutch transmission system operator Gas Transport Services (GTS) said on Wednesday that government plans to lower natural gas storage tariffs may stimulate development of gas storage in the Netherlands.

The comments follow Monday's announcement by Dutch minister Maxime Verhagen that the Ministry of Economic Affairs, Agriculture and Innovation will introduce new legislation that will reduce existing costs for transporting natural gas to and from storage site. The proposal aims to level out the playing field between the Netherlands and its European neighbours.

"It is our understanding that these plans aim to stimulate the investment climate for new storage facilities to create a level playing field for storage compared with neighbouring countries," a TSO spokesman said.

The spokesman added: "Our position is we support every measure that stimulates the liquidity and attractiveness of the Dutch gas market. We agree in this matter since in our opinion the further development of gas storage in the Netherlands stimulates the Dutch gas market and thus makes a positive impact on the liquidity and depth of the TTF."

As required under European law, GTS has a decoupled entry/exit system, which means transmission tariffs are applied on a non-discriminate basis to all network users and are not dependent on the type of entry/exit point.

According to the spokesman, this means tariffs for transmission to storage facilities are not higher or lower than for transmission to other entry or exit points.

The new legislation is expected to be introduced by 2014, the Dutch ministry said.

Verhagen's announcement on Monday came at the launch of the start of construction of the Bergermeer facility (see ESGM 30 October 2012). KA

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