German TSOs Say They Managed Winter Well
FNB, the association of German gas transmission system operators (TSOs), has published its review of winter 2017/18.
The report, released in German only April 27, says that operators managed a “challenging” period, with two long cold spells this February and March. "Despite low temperatures and empty storage in March, we were able successfully to defend Germany's leading position in the field of natural gas supply security in Europe in winter 2017/2018," said FNB chairman Ralph Bahke. “Analyses in the winter review show that Germany, as a natural gas hub for Europe, also plays a key role in security of supply, even under the tense conditions of the last few weeks of winter," concurred FNB managing director Inga Posch.
During the very cold weather, imports remained undisrupted “especially from the east and southeast,” FNB added, referring to Russian gas arriving via both Nord Stream but also via Ukraine. Lower Dutch gas output and exports also did not impact Germany’s ability to balance, it added.
TSOs in northwest Germany have to add nitrogen to reduce the calorific value of some normal gas, in order to reduce its calorific value to the 'L-Gas' quality used by many homes and businesses in northwest Germany. In that context, FNB's Posch argued that, in cooperation with the market area managers Gaspool and NetConnect Germany (NCG), its members think it "worthwhile to consider raising the upper limit of the conversion fee in the coming winter in order to create the framework for a secure L-Gas supply." Much of the L-Gas used in northwest Germany has historically been produced in the Netherlands.
NCG also published its own analysis (German only) of its external balancing in winter 2017/18. Gas grid operators have to buy and sell gas purely for balancing purposes, but cannot profit from this regulated activity. NCG’s report shows that it intervened in the market to buy or sell 9.5 TWh (0.88bn m3) of balancing gas during the six-month winter period from October 2017 to March 2018, almost double the 5 TWh it handled in winter 2016-17 (both figures, high and low calorific gas combined).