Newsletter GTS March 2023
Dear customer,
The energy market and the gas market in particular are in a constant state of flux. Already Europe’s largest gas trading hub, TTF continues to attract new parties to its trading platform, and gas transport in the Netherlands has not been stagnant either. Wherever necessary and possible, we adapt our services accordingly. With this newsletter, we want to update you on the latest changes and developments.
We see great value in personal contact, which is why we will be at the E-world trade show again this year with our own stand, where we hope to see you. On top of that, we will continue to organise in-person sessions to discuss a wide array of market-related topics with you. Obviously, you can also put any questions you may have to us through our Customer Desk.
On our website and Gasport, you can access both general information and information that is specific to you. Further improving information delivery is something that has our full attention and where we recently reached out to you to join our thought process. The response we got from you showed real commitment to this particular subject, for which we would like to thank you. We will brief you on specific developments in this area later.
This newsletter will go into a number of current topics that we have grouped together into four categories: general information, advice on gas production from the Groningen field, the latest on gas transport services, and an update on terms and conditions, regulation and tariffs.
If you have any questions that are not answered in this newsletter, feel free to contact our Customer Desk. We will be happy to help.
Enjoy reading our newsletter!
Harmen Kremer
Sales & Customer Services Manager
E-world 2023 – 23 t/m 25 mei
From 23 to 25 May, we will be at the E-world trade show in Essen, Germany. We would like to welcome you at our very own stand in Hall 2 to engage with you and answer any questions you may have.
If you would like, you can even make an appointment in advance. We will soon be sending out an email with an appointment form so that you can let us know on what date and at what time you would like to talk to us and what you would like to talk to us about.
We look forward to meeting you at E-world 2023!
Survey on the future GTS customer portal: MyGTS
At the market session held on 24 November 2022, we announced that we would be conducting a survey around the new MyGTS portal.
MyGTS is set to become the successor to the Gasport customer portal. The idea behind the survey is to be able to better meet your needs, while at the same time making processes run more efficiently. We asked for your input at the market session.
We subsequently sent out a questionnaire in January, seeking your feedback on five proposals that could be implemented in MyGTS. There was also an opportunity for you to provide separate input on features that you would like to see on the portal in the future. Your feedback showed that you welcome our proposals on customer data management, nomination management, and management of exposure within the credit limit.
Our next step now is to conduct impact analyses of these proposed features. We will keep you posted on further customer portal developments.
We are grateful to everyone who provided input; it was very valuable for us.
Licence developments in 2022
In 2022, twenty new licences were issued. Most of these licences are A licences, i.e. for access to TTF and physical gas transport, followed by C licences for TTF access only, and finally B licences for access to TTF, physical gas transport, and supply to a regional network.
In that same year, fourteen licences were terminated, either at the shipper’s request or due to prolonged inactivity.
All in all, the number of licences has gone up slightly.
Check our website for the Licence list with the most recent status of all the licences and developments over time.
Advice on the amount of Groningen gas needed for security of supply in the 2023/2024 gas year
Every year, GTS advises the Ministry of Economic Affairs and Climate Policy on how much gas will be needed from the Groningen gas field to ensure security of supply in the upcoming gas year. Based on analyses, we have concluded that the capacity of all the current Groningen gas production sites will be needed to be able to guarantee security of supply in the 2023/2024 gas year. This also means that our advice is to not implement the proposed decision to close several production sites this April. For the current gas year, it means that we advised the ministry to raise the Groningen gas production cap from 2.8 to 3.2 bcm. For the next gas year, our advice is to keep all eleven production sites open and continue to allow the associated minimum flow of 3.2 bcm. In addition, we advise maintaining the ‘back-up volume,’ i.e. the volume of gas that can be extracted from the Groningen field in acute emergency situations, at 1.5 bcm.
Changing conditions in the energy market
Over the past years, many parties have worked hard to implement measures intended to reduce gas extraction from the Groningen field, with a view to ultimately closing the field as soon as possible. Several such measures, such as scaling up pseudo-G-gas production using additional base-load nitrogen and procured nitrogen, have meanwhile been completed. A series of other measures are still in the process of being implemented, such as switching households in Belgium, France and Germany from L-gas to H-gas, switching the Netherlands’ nine largest industrial consumers from using only G-gas to using mainly H-gas, construction of the Zuidbroek II nitrogen installation for additional pseudo-G-gas production, and switching the Grijpskerk gas storage facility to G-gas. These were all factors in the advice we issued in January 2022, which included the projection that the earliest possible date for final closure of the Groningen gas field could be 1 October 2023.
However, the situation in the Dutch and European energy market changed radically following the Russian invasion of Ukraine. While, until recently, roughly a third of all H-gas supplied to north-western Europe came from Russia, the supply of H-gas to north-western Europe has stopped completely since the summer, causing shortages that pushed up prices and ultimately led to reduced demand for gas. The gap in gas supplies resulting from the cessation of Russian gas imports was partly made up by importing additional volumes of Liquefied Natural Gas (LNG) through terminals in Belgium, the Netherlands, and the UK. However, these volumes of LNG are not enough to fully replace all the gas that used to be imported from Russia. This is having major consequences for energy supply in the Netherlands.
Prior to the loss of H-gas imports from Russia, the available H-gas supply was enough to meet demand for H-gas in full while also facilitating maximum pseudo-G/L-gas production. As a result, our analysis to estimate Groningen gas needs had to look only at the supply/demand balance in the G/L-gas market, and did not have to look at the H-gas market at all. Currently, however, H-gas supplies are insufficient to be able to serve both markets fully. We have, therefore, recalibrated the basic premises for the analyses for security of supply and taken the radically changed supply/demand situation as our starting point. Given the major uncertainty in today’s energy markets, we have worked out the implications of a large number of possible scenarios. Our analysis shows that there are scenarios conceivable where the minimum flow would suffice to ensure security of supply. However, there are many uncertainties in the assumptions on both the supply side and the demand side, where setbacks are more likely than windfalls, unfortunately. In such scenarios with setbacks, minimum flow from the Groningen gas field will not suffice to guarantee security of supply.
We keep tracking developments in the gas market on an ongoing basis. It is important that we do, especially now, because the whole of Europe is facing gas shortages and taking measures to solve these shortages as soon as possible. These measures include the various LNG initiatives in Germany and the Netherlands. Should the above developments lead to changes in the planning principles and impact the projected required Groningen gas production for the 2023/2024 gas year, we will inform the State Secretary.
Link to the full report.
Implementation of Edig@s version 6.1
In the course of 2023, we will be implementing Edig@s version 6.1 within the nomination and matching process.
From that moment onwards, our shippers can switch from Edig@s version 4.0 or 5.1 to version 6.1 for their electronic communications with GTS. The switch will be made in consultation with the shippers, the service providers, and Nomination Support.
After a transitional period, Edig@s version 4.0 will be phased out and no longer be supported. For more information about Edig@s, visit https://www.edigas.org/.
Phase-out of nomination/matching emails
Besides formal electronic Edig@s communications, we provide an additional service to some of the shippers by sending them automated emails with information from the nomination and matching process. Since this information is or can also be sent in Edig@s XML messages, we intend to phase out this additional service and fully switch to electronic Edig@s communication.
The plan is to start later this year. Specific information on how long it will take will follow later. The automated emails that will be sent via Edig@s from then on are the Interruption Notice and the Message Processing Result (MPR).
For more information about this, see here.

PRISMA auctions: offering interruptible capacity after capacity conversion
Over the past year, there were several occasions where fixed capacity on a certain network point sold out completely at a Day-Ahead auction, without this triggering an auction for interruptible capacity. This is due to the fact that shippers can submit a capacity conversion request during the fixed capacity auction, thus creating combined capacity and limited fixed capacity becoming available on our side after the auction. Seeing as we are only allowed to auction interruptible capacity when all fixed capacity has sold out, the auction for interruptible capacity cannot be launched.
Although this phenomenon occurred only a few times, it led to unexpected and unwanted situations every time, especially in shippers’ portfolio planning.
GTS has meanwhile made a number of technical changes to prevent this unwanted situation from occurring again in the future. Thanks to these changes, a capacity conversion request will no longer affect whether or not an auction for DA interruptible capacity is started. The fixed capacity that may be freed up due to a conversion will be offered for sale at the next WiD auction on that day.
Publication of aggregations on ENTSOG Transparency Platform
In order to better facilitate the energy transition and the market, we have amended a number of publications on the ENTSOG Transparency Platform by supplying aggregate data on a more detailed level.
The following changes took effect on 1 July 2022:
- The aggregation with Production Points has been split up into:
- Production
- Green gas production - The aggregation with Industry Points has been split up into:
- Industry L-gas
- Industry H-gas
- Power plants L-gas
- Power plants H-gas - The aggregations with RNO and PNO points have been merged and subsequently split up into:
- LDC points L-gas
- LDC points H-gas

ACM publishes draft decision on the prevention of unwanted balancing tactics
Our regulator, ACM, recently published a draft decision to make the following changes to the Gas Transmission Code for the network operator of the national transmission network:
- Definition of what constitutes unwanted balancing tactics
- Requirement for GTS to charge programme-responsible parties whenever they use such tactics
Stakeholders can submit their views on the proposed decision to ACM before they make a final decision. The deadline for responses is 9 April 2023.
For details, see the ACM website
Capacity for LNG connection requests
We have received multiple connection requests for LNG entry into the national gas transmission network. In total, approximately 26 to 29GW of entry capacity has been requested. The projects of the various requesting parties are in different stages of development.
We are currently finishing our analysis of the extent to which we can accommodate the requested entry capacities in our network, which has thus far shown that with limited investment we can provide a considerable amount of entry capacity.
GTS intends to start offering the abovementioned capacity on the market from 3 July, coinciding with the next annual auction for transport capacity at border points. The applicable procedure will be announced on 5 June. Capacity will be offered both at the existing GATE entry point and at a number of new virtual entry points. This way, all GTS-recognised shippers are enabled to contract this existing capacity for LNG projects that are under development without needing to have a physical connection in place already.
State of play on security of supply
Partly thanks to the mild winter, the construction of several new LNG terminals, and high fill levels at gas storage facilities, there is enough gas available in Europe this winter. While prices did fall sharply thanks to these favourable developments, they are still higher than they were before the gas crisis started. The combination of high gas prices and the mild winter led to market demand shrinking by 20-25%. Where the Netherlands used to consume around 370 TWh of gas before the gas crisis, consumption has now fallen to around 293 TWh on an annual basis.
Given that H-gas supplies are still limited, we now need to convert the primarily price-driven demand reduction into a permanent reduction by insulating more homes and buildings.
It is key that gas storage facilities reach a fill level of at least 90% again before the start of next winter (1 November 2023). For the Bergermeer facility, this will be achieved partly thanks to incentives offered by the Dutch government.
However, a situation where we do not have enough gas to supply all consumers, ranging from industry to households, cannot be ruled out, which is why the Ministry of Economic Affairs and Climate Policy is further working out the specifics of the measures from the Gas Protection and Recovery Plan. The methodology the ministry has in mind is described in a letter to Dutch Parliament. In summary, the letter explains that, in the event of gas shortages, gas supply to high-volume users will gradually be reduced until there is sufficient gas left for all remaining consumers.
Interruptible capacity cap
The introduction of NC TAR brought one flat-rate tariff for interruptible capacity and switched the capacity volume to infinite. Interruptible capacity is (automatically) offered at the capacity auction on PRISMA as soon as the fixed available capacity sells out.
Due to the very high spread between NBP and TTF in 2022, unusually large volumes of capacity were sold on one specific network point (VIP-BENE), which led to a high degree of interruption and a high discount on interruptible capacity from 2024.
In order to provide a good representation of interruptible capacity as a product, GTS will cap interruptible capacity at 20% of the technical capacity as and when fixed capacity sells out at the PRISMA auction. The date for implementation of the cap is 1 April 2023.
Addendum to the Investment Plan (2022IP)
We will be subjecting an addendum to the Investment Plan (2022IP) to a four-week consultation period from April. In this addendum, we will describe a number of proposed investments that were not included in the 2022 Investment Plan.
After the consultation period, we will process the responses received and submit the addendum to ACM and the Minister of Economic Affairs and Climate Policy. They will then assess the draft addendum within the statutory term of twelve weeks, following which we will adopt the final addendum.
Energy Act update
For some time now, the Ministry of Economic Affairs and Climate Policy has been working on a bill for the new Energy Act, which brings together the Gas Act and the Electricity Act into one piece of legislation.
The Energy Act serves to implement the new EU regulation on the internal market for electricity while also giving substance to national policy objectives, like those stated in the Dutch Climate Agreement. Although the changes are less drastic for gas than they are for electricity, the Energy Act will nevertheless also have consequences for gas network users and gas network operators.
Following the Council of State’s advice on the bill, which they issued in February 2023, the ball is now in the Ministry of Economic Affairs and Climate Policy’s court to decide how to address the points of criticism and concerns raised in the Council of State’s advice before submitting the bill to the House of Representatives. The Energy Act is not likely to come into force before 2024.
MFF and BAS – MFFBAS
In order to effectively share energy data with input from all (market) parties involved, the Market Facilitation Forum (MFF) and Beheerder Afsprakensstelsel B.V. (BAS) were merged into MFFBAS in April 2022.
The MFF is geared towards consultations with stakeholders to reach the agreements needed for effective, efficient, and reliable electronic data sharing for both system processes and data sharing processes. The MFF is an association that any party operating in the energy industry in the Netherlands can join to take part in the conversation and decision-making on energy data sharing.
BAS is responsible for facilitation of data sharing and providing access to data sharing processes. BAS engages with the parties involved to reach agreements on energy data sharing and manages these agreements. BAS takes care of practical support for the MFF association.
The idea is to make energy data more broadly accessible, so as to enable households and industry to get smarter in their energy usage. Privacy protection and not sharing commercially sensitive information are crucial preconditions in this respect.
During the first phase of its existence, MFFBAS has focused strongly on setting up processes that will lead to agreements, implementing the agreements made, and reaching agreements on identification, authentication, and authorisation for access to energy data. MFFBAS has also taken on a number of tasks that used to be handled by NEDU, such as the Allocation 2.0 programme, the management of usage profiles, and the publication of sector documentation.
Find MFFBAS online at www.mffbas.nl
Auctions Regulation – Overbooking and buy-back (OBB)
On 19 December 2022, the European council adopted the proposed Council Regulation (EU) 2022/2576 - enhancing solidarity through better coordination of gas purchases, reliable price benchmarks and exchanges of gas across borders.
One part of this regulation that is particularly relevant to GTS network users is article 14. This article is intended to make sure that all transmission capacity that is sold is also actually used, so as to maximise gas flows between the various market areas during the current gas crisis.
What this article basically boils down to is that it makes it compulsory to introduce some kind of firm day-ahead use-it-or-lose-it (UIOLI) mechanism, whereby the TSO has to offer any unused contracted capacity to the market again on a monthly or daily basis. Application of this mechanism is not conditional on contractual and/or physical congestion at the border point in question. The mechanism will automatically enter into force on 1 April 2023.
Paragraph 7 of article 14 provides an exception for situations where the TSO has already implemented one of the CMP measures listed there. As far back as in 2014, we already implemented, in close consultation with the Dutch regulator (ACM), an overbooking and buy-back mechanism as specified under b in paragraph 7, meaning that we already auction unused fixed capacity at all border points. Combined with the fact that we also auction interruptible capacity on a daily basis, this ensures that all the available capacity can actually be used by network users.
Based on the above, GTS will not be under an obligation to implement the new short-term UIOLI mechanism as defined in article 14.
PRISMA Platform – bookings
Over the past few months, we have seen rising short-term capacity sales on the PRISMA Platform (concerning FCFS).
In nearly all cases, messaging between PRISMA and GTS is flawless. Shippers receive confirmation of their booking in a matter of minutes.
Sometimes, however, PRISMA returns an error message when a shipper places a booking. PRISMA then goes black or there is another kind of fault during the capacity booking process. If that happens, do not immediately assume your booking was aborted. Despite the error message or fault, your booking may still have been recorded successfully.
So be sure to check our customer portal first to see if the booking has gone ahead despite the error message.
This way, you will prevent multiple bookings from being registered for the same capacity, while it will also save you and us troubleshooting time.
We are working with PRISMA to solve this problem.
Thank you in advance for your understanding and if you have any questions, please contact our Customer Desk.
