ANRE Press Release on the regulatory framework for the underground storage activity

In order to improve the regulatory framework on the underground gas storage activity, the Regulatory Committee of ANRE approved today, 13 February 2019, the Methodology for the establishment of regulated tariffs for the underground gas storage activity.

In developing the Methodology consideration was given to the recognition of prudent costs incurred by storage operators for carrying out the activity, while aiming at increasing the transparency of the modality in which operators’ revenues are related to the required level of the costs of the regulated activity conducted.

Encouraging investments in the objectives of the storage system was also considered, in order to improve functioning and increase the safety and flexibility in operation of underground gas storage systems, as well as to increase the storage capacity, by granting a rate of return and incentives for new investments. 

The new Methodology sought to create balance between the necessities and resources needed to carry out the underground gas storage activity in order to make it more efficient in all aspects, including through successive injecting-extraction flows within an annual storage cycle, in the current European context, in which a major focus is placed on the flexibility and security measures in the supply of natural gas.

Among the main provisions introduced by the Methodology, we mention the following:

• establishing the underground storage tariffs for each annual underground storage cycle included in the interval of 12 consecutive months 1 April – 31 March, based on data from the regulated accounting records corresponding to the last annual storage cycle financially closed;
• imposing rules on the acquisition of goods, works and services by the storage operator, considering economic efficiency criteria;
• the obligation to submit to ANRE the justification of costs generated by the storage activity;
• strengthening ANRE’s monitoring of the activity of economic operators, the latter being required to report on a quarterly basis the total costs and revenues achieved from the provision of underground gas storage services.

The enforcement of the Methodology ensures the development of gas storage capacities, both in the short term and in the long term, while also achieving balance between the objectives of storage operators and the interests of users, beneficiary of underground gas storage services.

Directorate for Communication, Cooperation and Relationship with the Parliament

13.02.2019