ENTSOG Implementation and Monitoring Report 2017 - Balancing Network Code

2.2 INDICATOR BAL.2: TOTAL TSO BALANCING VOLUME AS % OF MARKET VOLUME

2.2.1 Description

The establishment of a residual balancing role for the TSO while leaving the primary balancing responsibility to the network users is one of the key principles of the BAL NC. ENTSOG proposes an indicator BAL.2 which is calculated by dividing the daily total quantity of gas conducted by the TSO for balancing purposes through the daily total gas market entry volume. 1) The entry volumes into the balancing zone (or market area)  2) are used as the market volume. The entry volumes mean the quantity allocated at all entry points into a balancing zone (or market area) including e. g. virtual IPs, LNG, productions and storages and excluding entries from the VTP. As the TSO has the knowledge about its own traded gas volumes for balancing purposes as well as an overview of the gas entering and leaving the system, the data for the calculation of the indicator should be available for all TSOs.

The number of gas days when a TSO is taking balancing actions during a year shall not be seen as an indicator to compare balancing zones since it depends of intrinsic features of each balancing zone. On the contrary, the evolution from one year to the other, for a specific balancing zone, will demonstrate if the TSO residual balancing role is reducing or is increasing. Finally, to take into account these two dimensions (daily balancing volume and number of days a TSO is taking balancing actions), a table with the yearly percentage of TSO gas traded compared to the market volume and another table with the yearly percentage of TSO gas traded compared to the domestic consumption are presented. The difference between these two tables is the removal of the cross-border flow and the injection in the underground storages which is assumed to be balanced (per se). If we would like, however, to compare balancing zones together, it could be better to take away the transit flow and the injection in the underground storages.

INDICATOR BAL.2

DEFINITION

BAL.2: Total TSO balancing volume as % of market volume

The BAL.2 indicator is calculated (per gas day) by dividing the total quantity of gas traded by the TSO divided by the market volume within a balancing zone. The indicator is provided for each gas day in GY 2016/2017 when TSO balancing actions occur. If no balancing actions have been undertaken by the TSO for a gas day, the BAL.2 indicator is not calculated. Formula: Indicator BAL.2 = Total quantity of gas traded by the TSO(s) for balancing purposes within a balancing zone/market volume.

Unit

TSO balancing volume as % of market volume

Aim

Decrease of % rate, minimised value.

1) An indicator which is calculated by dividing the total quantity of gas traded by the TSO for balancing purposes through the total volume of all balancing trades in the market cannot be calculated without the knowledge of the trading purposes of the shippers. As neither ENTSOG nor the TSOs have this information, it is proposed to use the market entry volumes instead. 2) In France.

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ENTSOG BAL NC Implementation and Effect Monitoring Report 2017