Dutch market Based balancing regime appears to be functioning very well

10 May 2012

Gas Transport Services, the Transmission System Operator of the Dutch gas network, introduced on April 1st, 2011 the current Market Based Balancing Regime. Recently, GTS carried out an evaluation of this market based balancing regime, focusing on stakeholder opinions and experiences. It consisted of a two-round written survey among the Representative Organizations that have been involved in the design of the balancing system and several Shippers that were willing to share their experiences.

The findings have been shared with GTS' shippers today and the evaluation report, providing an overview of the findings, is available on the website of GTS.

The results of this survey reveal that the regime is functioning very well, and the market based character is highly appreciated. Furthermore, the regime has proven its strength during its first winter period, with high loads in the cold week early February 2012. GTS values the feedback that was provided by the participants, and will continue to pay attention to improvement of the robustness of the steering signals and communication in case of errors. Furthermore, GTS is preparing an update plan amongst others to accommodate the EU Network Code Balancing, including a transition from the Bid Price Ladder to the Within Day Market for buying and selling of balancing gas.