Chair: Dominique JAMME Director of Gas Infrastructure and Networks

1. Chair: Dominique JAMME Director of Gas Infrastructure and Networks Commission de Régulation de l’Energie (CRE)

2. Agenda • Capacity situation in the NW region • Overview of the capacity work stream and project plans • Organization of the capacity session

3. Capacity situation in the NW region • Easy access to capacity for transport across the region seen as a priority area for action in the GRI NW • Substantial challenges confirmed by the Roadmap (April 2008) • “Capacity should be easily available and tradable” • “Capacity should be fungible, compatible with trade in the commodity and consistent across the region” • Since the Roadmap was presented in Amsterdam, progress has been made setting up the priority Projects for capacity issue • 7 projects plans tackling various aspects of capacity issue in a coherent approach • But congestion situation still existing on the majority of IPs in the region

4. Eynatten BOS ! Blaregnies / Taisnières Medelsheim / Obergailbach Capacity situation in the NW region • Percentage of firm available capacity compared to the total of technical capacity • Selected interconnection points (H gas): • Blaregnies / Taisnières • Eynatten • Medelsheim / Obergailbach • Bunde Oude / Statenzijl Preliminary remarks on data: • Time horizon: 2009 and 2010 (until may 2010) i.e. 18 months from Nov. 2008 (in accordance with Reg. n° 1775/2005 on publication of information at relevant points) • Calculation based on TSOs’ data available for consultation on GTE+ Transparency Platform (www.gas-roads.eu). These data are also available on TSOs’ websites. • On Fluxys side: conditional capacity considered as firm capacity • On GTS side, some information are mentioned as confidential (C)

5. Capacity situation in the NW region Percentage of firm available capacity compared to the total of technical capacity C = confidential data

6. Agenda 1. Capacity situation in the NW region • Overview of the capacity workstream and project plans 3. Organization of the capacity session

7. OPTIMISING USE OF CAPACITY and CREATING CAPACITY • Facilitating access to capacity = Project plan on Bundled Products = Project plan on Capacity Service Evolution • Increasing available firm capacity = Project plan on BOS • Maximising use of capacity = Project plan on Short term capacity = Project plan on Day-ahead platform at BOS = Project plan on Fluxys interruptible services Coordination of the investment project = Project plan on Open Season Pilot project plan on the IPs of Blaregnies / Taisnières & Medelsheim / Obergailbach Overview of the capacity workstream

8. Overview of the project plans • Objective • Improve the functioning of Belgian transit system • Scope • Examination of Fluxys’ new interruptible services (transit and existing entry capacity for domestic transport; overbooking situation and buy-back measures) Deliverable • Description of services (Q4-08) • Assessing market value (Q1-09) Next step Identification and analysis of “other initiatives” Project plan on Fluxys interruptible services

9. Overview of the project plans • Objective: improve functioning and capacity access at two pilot interconnection points • Possibility to get access to equal capacity on each side of the IPs • Improvement of the interoperability of adjacent networks and improvement of the gas transit • Context • First set of concrete proposals from TSOs in Feb. 08 on capacity products and service offered, capacity increase (O.S.), procedures (booking notice…) and transparency (publication of data…) Deliverable Follow-up of implementation of commitments (Q4-08) Next step Further improvements and roll-out to others IPs (Q2-09) Project plan on pilot IPs of B / T and M / O

10. Overview of the project plans • Objective • Better use of existing capacity, improve liquidity and introduce market based trading of capacity (auctioning) • Sale of primary interruptible capacity + secondary firm capacity • Sale via online trading platforms (Trac-X and APX) Status of implementation Pilot started on May 08. but success of the project highly conditioned to the liquidity of the market (few transactions took place) Some arrangements to be introduced on Jan. 09. to improve secondary trading Next step Initial evaluation of modified arrangements before going further. Possible request to extend the duration of the pilot Project plan at BOS (1) “DACA”

11. Overview of the project plans • Objective • Increase available firm capacity for the short term at Bunde/Oude Statenzjil through implementation of flow commitments (FCs) • Key milestones • Develop concept of FC • Examination of FC impact on (commodity) markets in NL and D and relation of FC to swaps • Evaluate regulatory framework and legal feasibility • Next step • Publication of a working paper on flow commitment concept (Q4-08) and solve resource issue with TSOs and stakeholders Project plan at BOS (2) “Flow Commitments”

12. Agenda 1. Capacity situation in the NW region • Overview of the capacity workstream and project plans 3. Organization of the capacity session

13. Organization of capacity session • Four projects selected for immediate attention • Interactive debate on few concrete questions to get tangible propositions

14. Organization of capacity session • Timing

15. Thank you for your attention! * * * dominique.jamme@cre.fr +33 1 44 50 41 43 www.cre.fr