Changes from plenary report to adopted text

RemovedArticle 8 Market assessment for renewable gas and low carbon gas by LNG and storage system operators

RemovedLNG and storage system operators shall, in cooperation with relevant regulatory authorities and at least every two years, assess market demand for new investment, allowing the use of renewable gas and low carbon gas in the facilities, including repurposing for hydrogen derivatives and hydrogen terminals. When planning new investments, LNG and storage system operators shall assess market demand and take into account security of supply, as well as market demand for liquid hydrogen and new related investments. LNG and storage system operators shall make publicly available any plans regarding new investments allowing prioritising the usage of renewable gas and low carbon gas in their facilities.

RemovedArticle 9 Principles of capacity-allocation mechanisms and congestion-management procedures concerning transmission system operators

Removed1. The maximum capacity at all relevant points referred to in Article 30(3) shall be made available to market participants, taking into account system integrity and efficient network operation.

Removed2. The transmission system operator shall implement and publish non-discriminatory and transparent capacity-allocation mechanisms, which shall:

Removed(a) provide appropriate economic signals for the efficient and maximum use of technical capacity, facilitate investment in new infrastructure and facilitate cross-border exchanges in natural gas, taking into account investments in decommissioning, cost-savings from repurposing to hydrogen and investments in alternative demand-side solutions not requiring new infrastructure investments;

Removed(b) be compatible with the market mechanisms including spot markets and trading hubs, while being flexible and capable of adapting to evolving market circumstances; and

Removed(c) be compatible with the network access systems of the Member States.

Removed3. The transmission system operator shall implement and publish non-discriminatory and transparent congestion-management procedures which facilitate cross-border exchanges in natural gas on a non-discriminatory basis and which shall be based on the following principles:

Removed(a) in the event of contractual congestion, the transmission system operator shall offer unused capacity on the primary market at least on a day-ahead and interruptible basis; and

Removed(b) network users who wish to re-sell or sublet their unused contracted capacity on the secondary market shall be entitled to do so.

RemovedAs regards the first subparagraph, point (a), a Member State may require notification or information of the transmission system operator by network users.

Removed4. Transmission system operators shall regularly assess market demand for new investment taking into account the joint scenario as developed for the integrated network development plan based on Article 51 of [recast Gas Directive as proposed in COM(2021) xxx] as well as security of supply.

RemovedArticle 10 Principles of capacity-allocation mechanisms and congestion-management procedures concerning natural gas storage, hydrogen terminals, hydrogen storage facilities and LNG facilities

Removed1. The maximum capacity of a natural gas storage and LNG or hydrogen storage facility as well as of hydrogen terminals shall be made available to market participants, taking into account system integrity and operation.

Removed2. LNG and hydrogen storage facilities as well as hydrogen terminal and natural gas storage system operators shall implement and publish non-discriminatory and transparent capacity-allocation mechanisms which shall:

Removed(a) provide appropriate economic signals for the efficient and maximum use of capacity and facilitate investment in new infrastructure;

Removed(b) be compatible with the market mechanism including spot markets and trading hubs, while being flexible and capable of adapting to evolving market circumstances;

Removed(c) be compatible with the connected network access systems.

Removed3. Contracts for LNG terminals, hydrogen terminals, and hydrogen and natural gas storage facilities shall include measures to prevent capacity-hoarding, by taking into account the following principles, which shall apply in cases of contractual congestion:

Removed(a) the system operator shall offer unused LNG facility, hydrogen terminal and storage capacity on the primary market without delay; for storage facilities this shall be at least on a day-ahead and interruptible basis;

Removed(b) LNG facility, hydrogen terminal and storage facility users who wish to re-sell their contracted capacity on the secondary market shall be entitled to do so; LNG facility, hydrogen terminal and storage system operators, individually or regionally, shall ensure a transparent and non-discriminatory booking platform for LNG facility, hydrogen terminal and storage facility users to re-sell their contracted capacity on the secondary market no later than 18 months after [date of entry into force of this Regulation].

RemovedEach transmission, storage, LNG and hydrogen system operator shall take reasonable steps to allow capacity rights to be freely tradable and to facilitate such trade in a transparent and non-discriminatory manner. Every such operator shall develop harmonised contracts and procedures for transport, LNG facility, hydrogen terminals and natural gas and hydrogen storage facilities on the primary market to facilitate secondary trade of capacity and shall recognise the transfer of primary capacity rights where notified by system users.

RemovedThe harmonised contracts and procedures shall be notified to the regulatory authorities.

Removed1. Balancing rules shall be designed in a fair, non-discriminatory and transparent manner and shall be based on objective criteria. Balancing rules shall reflect genuine system needs taking into account the resources available to the transmission system operator. Balancing rules shall be market-based.

Removed2. In order to enable network users to take timely corrective action, the transmission system operator shall provide sufficient, well-timed and reliable on-line based information on the balancing status of network users.

RemovedThe information provided shall reflect the level of information available to the transmission system operator and the settlement period for which imbalance charges are calculated.

RemovedNo charge shall be made for the provision of information under this paragraph.

Removed3. Imbalance charges shall be cost-reflective to the extent possible, whilst providing appropriate incentives on network users to balance their input and off-take of gas. They shall avoid cross-subsidisation between network users and shall not hamper the entry of new market entrants.

RemovedAny calculation methodology for imbalance charges as well as the final values shall be made public by the competent authorities or the transmission system operator, as appropriate.

Removed4. Member States shall ensure that transmission system operators endeavour to harmonise balancing regimes and streamline structures and levels of balancing charges in order to facilitate gas trade carried out at the virtual trading point.

RemovedArticle 13 Certification of transmission system operators and hydrogen network operators

Removed1. The Commission shall examine any notification of a decision on the certification of a transmission system operator or a hydrogen network operator as laid down in Article 65(6) of [the recast gas Directive as proposed in COM(2021)xxx] as soon as it is received. Within two months of the day of receipt of such notification, the Commission shall deliver its opinion to the relevant regulatory authority in regard to its compatibility with Article 65(2) or Article 66, and Article 54 of Recast Gas Directive for transmission system operators, and Article 65 of that Directive for hydrogen network operators.

RemovedWhen preparing the opinion referred to in the first subparagraph, the Commission may request ACER to provide its opinion on the regulatory authority's decision. In such a case, the two-month period referred to in the first subparagraph shall be extended by two further months.

RemovedIn the absence of an opinion by the Commission within the periods referred to in the first and second subparagraphs, the Commission shall be deemed not to raise objections against the regulatory authority's decision.

Removed2. Within two months of receiving an opinion of the Commission, the regulatory authority shall adopt its final decision regarding the certification of the transmission system operator or hydrogen network operator, taking the utmost account of that opinion. The regulatory authority's decision and the Commission's opinion shall be published together.

Removed3. At any time during the procedure regulatory authorities or the Commission may request from a transmission system operator, hydrogen network operator and/or an undertaking performing any of the functions of production or supply any information relevant to the fulfilment of their tasks under this Article.

Removed4. Regulatory authorities and the Commission shall preserve the confidentiality of commercially sensitive information.

Removed5. The Commission is empowered to adopt delegated acts in accordance with Article 63 to provide guidelines setting out the details of the procedure to be followed for the application of paragraphs 1 and 2 of this Article.

Removed6. Where the Commission has received notification of the certification of a transmission system operator under Article 54(10) of recast Gas Directive as proposed in COM(2021) xxx, the Commission shall take a decision relating to certification. The regulatory authority shall comply with the Commission decision.

Removed1. Transmission system operators shall cooperate with other transmission system and infrastructure operators in coordinating the maintenance of their respective networks in order to minimise any disruption of transmission services to network users and transmission system operators in other areas.

Removed2. Transmission system operators shall cooperate with each other as well as with other infrastructure operators with the objective to maximise technical capacity within the entry-exit system and minimize the use of fuel gas to the extent possible.

RemovedNetwork access

Removed1. Tariffs, or the methodologies used to calculate them, applied by the transmission system operators and approved by the regulatory authorities pursuant to Article 72(7) of Recast Gas Directive, as well as tariffs published pursuant to Article 27(1) of that Directive, shall be transparent, take into account the need for system integrity and its improvement and reflect the actual costs incurred, insofar as such costs correspond to those of an efficient and structurally comparable network operator and are transparent, whilst including an appropriate return on investments. Tariffs, or the methodologies used to calculate them, shall be applied in a non discriminatory manner.

RemovedTariffs may also be determined through market-based arrangements, such as auctions, provided that such arrangements and the revenues arising therefrom are approved by the regulatory authority.

RemovedTariffs, or the methodologies used to calculate them, shall facilitate efficient gas trade and competition, while at the same time avoiding cross-subsidies between network users and providing incentives for investment and maintaining or creating interoperability for transmission networks. They shall aim to avoid creating incentives for the practice of blending hydrogen into the natural gas system for the purpose of increasing the volume of natural gas transported or stored or of prolonging the lifetime of natural gas infrastructure.

RemovedTariffs for network users shall be non-discriminatory and set separately for every entry point into or exit point out of the transmission system. Cost-allocation mechanisms and rate setting methodology regarding entry points and exit points shall be approved by the regulatory authorities. Member States shall ensure that network charges shall not be calculated on the basis of contract paths.

Removed2. Tariffs for network access shall neither restrict market liquidity nor distort trade across borders of different transmission systems. Where differences in tariff structures would hamper trade across transmission systems, and notwithstanding Article 72(7) of Recast Gas Directive, transmission system operators shall, in close cooperation with the relevant national authorities, actively pursue convergence of tariff structures and charging principles.

Removed2a. The regulatory authority may apply a discount of up to 100% to capacity-based transmission and distribution tariffs at entry points from and exit points to underground storage facilities and LNG facilities, unless and to the extent that such a facility is connected to more than one transmission or distribution network and is used to compete with an interconnection point. The Commission shall re-examine that tariff discount by ... [five years after the date of entry into force of this Regulation]. The Commission shall assess whether the level of the discount set out in this paragraph remains adequate for the purpose of increasing security of supply and in light of the storage obligation pursuant to Article 6a of Regulation (EU) 2017/1938 of the European Parliament and of the Council.

RemovedRegulatory authorities shall assess whether to offer support to lower grid connection costs and fees for renewable gas and low-carbon gas production facilities.

Removed1. As of [1 year after transposition], the relevant regulatory authority shall ensure transparency on the methodologies, parameters and values used to determine allowed or target revenues of transmission system operators. The regulatory authority shall publish the information referred to in Annex I, or shall require the publication by the relevant transmission system operator. This information shall be made available in a user-friendly format, and to the extent possible, in one or more commonly understood languages.

Removed2. The costs of the transmission system operator shall be subject to an efficiency comparison between Union transmission system operators, to be appropriately defined by ACER. ACER shall publish on [3 years after transposition] and every four years thereafter a study comparing the efficiency of Union transmission system operators’ costs. The relevant regulatory authorities and the transmission system operators shall provide ACER with all the data necessary for this comparison. The results of such comparison shall be taken into account by the relevant regulatory authorities, together with national circumstances, when periodically setting the allowed or target revenues of transmission system operators.

Removed3. The relevant regulatory authorities shall assess the long-term evolution of transmission tariffs based on the expected changes in their allowed or target revenues and in gas demand until 2050. To perform this assessment the regulatory authority shall include the information of the strategy described in the national energy and climate plans of the respective Member State and the scenarios underpinning the integrated network development plan as developed in accordance with Article 51 of [recast Gas Directive as proposed in COM(2021)xxx].

Removed1. By ... [one year after the transposition deadline referred to in Article 5(1), first subparagraph, of RED III Directive [COD 2021/0218]], Member States shall establish regional maps that identify the areas that, due to the availability of raw materials, such as waste or residues, or to existing operating biogas or biomethane plants, have the highest potential for production of sustainable biogas and biomethane from biomass fuels. Such biomass fuels shall fulfil the sustainability criteria in accordance with Article 29 of Directive (EU) 2018/2001. Before establishing those regional maps, the Member States shall consult the competent regulatory authority, regional and local authorities, the transmission system operators and the distribution system operators and other relevant stakeholders. Regional maps may be updated to consider new sources of sustainable feedstock for biogas and biomethane production.

Removed2. Distribution system operators and transmission system operators shall map connection potential on the basis of existing and expected capacity to facilitate connection requests, taking into consideration the potential for an increase of production of sustainable biogas and biomethane from biomass fuels as referred to in paragraph 1.

Removed3. By ... [two years after the date of entry into force of this Regulation], each Member State shall, taking into account the regional maps referred to in paragraph 1, establish national strategies on the production of sustainable biogas and biomethane and their use in order to assess the potential for the production of sustainable biogas and biomethane, evaluate any barriers for the production or injection of biomethane in the grid as well as establish a trajectory to reach the identified national potentials by 2030 and 2050. Member States’ national strategies shall be closely linked with their integrated national energy and climate plans under Regulation (EU) 2018/1999. Member States shall report on the progress in achieving their contribution to the 35 bcm Union target as part of their biennial reporting pursuant to Regulation (EU) 2018/1999.

Removed4. By 2024 and regularly thereafter, regulatory authorities shall, in cooperation with relevant stakeholders, issue a progress report on the production, transport and uptake of biomethane.

Removed5. National standardisation body shall adopt appropriate gas quality standards, based on the European standards adopted by the European Committee for Standardisation (CEN), allowing for injection of biomethane in the existing gas networks while ensuring the integrity of the system.

RemovedTransmission, storage, LNG and hydrogen terminal system operation

RemovedArticle 18 Firm capacity for renewable gas and low carbon gas to the transmission system