Workshop

1. Gas Logistics - the new information system supporting the commercial planning and balancing processes Workshop Antonio Anchora, Milly Aimi MILAN, 16 July 2014

2. Agenda Introduction Scope The application solution New Platform Features Release Strategy Functionality Functions anticipated for the single release Interim Interactions with users & B2B communications Next Steps Contacts

3. Introduction • In order to overcome the constraints and technological obsolescence of theapplication currently being used (CAMINUS/AltraWEB), as well as direct the management and the support for the development ofnew commercial processes resulting from national and Europeanregulations, Snam Rete Gas has started a specific project to create a new information system dedicated to the commercial area • The initiative was launched in November 2012 with the establishment of a transversal work group dedicated to directing the various requirements to all the internal and/or external processes involved

4. Agenda Introduction Scope The application solution New Platform Features Release Strategy Functionality Functions anticipated for the single release Interactions with users & B2B communications Interim Next Steps Contacts

5. Scope New application for the management of the Gas Logistics area to cover the planning process of the transportation, allocation and gas statement. • Calculation of the quantities of gas to be allocated to the users of the transportation • As an example: • Provisional Allocation and Statement • Final Allocation and Statement • Adjustment session • Default service • Temporary Supplier • Contracting of the transportation capacity on National and Regional network. Verification and management access services • Planning and Programming of the transportation service • As an example: • Annual Planning • Half Year Planning • Monthly Planning • Weekly Planning • Planning at 30 days • Planning Authority • Daily Planning (Nomination) • Intraday Planning (Re-Nomination) • Management of products of trading capacity • Balancing session • Invoicing of the transportation capacity, the commodity, considerations for disequilibrium, other considerations • Dispatching and physical management of the transportation network; measurement of the volumes and the quality of the gas Related processes NOT Related processes

6. Agenda Introduction Scope The application solution New Platform Features Release Strategy Functionality Functions anticipated for the single release Interim Interactions with users & B2B communications Next Steps Contacts

7. The application solution (1/3) • The decision-making process relative to the application solution to be created has gone through: • a software selection of the solutions available on the market • a verification of the functional coverage offered relative to the distinctive features of the Italian market • a verification of the constraints imposed by the various packages • a comparison with the implementation choices made by other European Transporters, who have turned to custom applications to meet their needs • The new application solution identified anticipates the realisation of a custom application based on the latest technologies.

8. The application solution (2/3) Portale Capacità Portale Fatture Portale GPIT Portale A/D PdR PSV Bacheca PSV BachecaCapacità Portale Mercato M- gas Portale OBS

9. The application solution (3/3) NLG «SNAM Applications in use» «WEB Applications in use» Under construction

10. The application solution: conceptual model National & Foreign Transportation Companies SRG Shipper Storage and Regasification Companies Balancing Trader GME Op. Extra Business USER INTERFACE Protocols X12 / Edig@s … Planning Daily and Intraday Planning Allocation & Statement of Provisional Transportation Allocation & Statement of Final Transportation Shipper / Foreign Transportation Companies Adjustment Sessions Integration other systems PSV / Portal M Portal GPIT Portal SRG M-Gas Portal OBS Sampei Capacity Portal

11. Agenda Introduction Scope The application solution New Platform Features Release Strategy Functionality Functions anticipated for the single release Interim Interactions with users & B2B communications Next Steps Contacts

12. Features of the new platform (1/2) High reliability in the continuity of the service guaranteed by adopting the latest generation technologies Reduction in the processing times and guarantee of their stability Easier to adopt new functional and/or regulatory changes through application modularity and configuration / parameterisation tools Preparation to support various communication protocols (Edig@s) Optimisation and expansion of the integration capacities and degree of accessibility of the system both in the internal SRG context and externally with third parties Exceeding the technological limits imposed by the current system (increase in performance, greater compliance and flexibility of adjustment relative to the regulations, the standards of ICT security....)

13. Features of the new platform (2/2) • Improvement in the operating methods for all the Users of theTransportation Service (Users of the Balancing, Storage Companies, Regasification Companies, Foreign and National Transportation Companies, Balancing Traders...) • Complete management of the versioning and tracking of the data • Availability of the business data on the new system going back 5 years, which can be viewed in a single environment of reference • Introduction of the Multi-Language option (Italian and English) • Availability of integrated Help Online & Manuals features

14. Agenda Introduction Scope The application solution New Platform Features Release Strategy Functionality Functions anticipated for the single release Interim Interactions with users & B2B communications Next Steps Contacts

15. Release strategy 4 subsequent releases according to a "by process" organization Daily Nomination/Re-Nomination (Release 1) Allocation and Provisional Statement (Release 2) Planning Allocation and Final Statement (Release 3) Adjustment session /Intraday Allocation (Release 4) Post Launch Support

16. Agenda Introduction Scope The application solution New Platform Features Release Strategy Functionality Functions anticipated for the single release Interim Interactions with users & B2B communications Next Steps Contacts

17. Functionality: Access • Explorer 11 certifiedapplication • Guaranteecompatibily with the mainBrowser (Firefox, Chrome) • Access mode asis: onepointaccess with uniqueauthentication by Single Sign On (SSO) of Snam Illustrative

18. Functionality (1/4) • Home Page Nuova Logistica Illustrative

19. Functionality (2/4) • Filters: everyupper part of the screenshasfiltersthat can be used by the dedicatedfunction

20. Functionality (3/4) • The user can select the language (Italian or English). • After the selectionevery screen will be translated Illustrative

21. Functionality (4/4) • Everyinternal User can refer to on line Manual in Italian or English • Also the Users of theTransportation Service (Users of the Balancing, Storage Companies…) can refer to dedicated On Line Manual (in Italian or English)

22. Agenda Introduction Scope The application solution New Platform Features Release Strategy Functionality Functions anticipated for the single release Interactions with users & B2B communications Next Steps Contacts

23. Functions for the single Release With reference to the strategy for subsequent Releases according to a "by process" organization, following are the particulars of the functions/features anticipated for each release Release 1 Release 2 Release 3 Release 4 • Daily Planning • Intraday Planning • Adjustment Session • Edig@s • kWh • Intraday Allocation • Matching • Allocation & Provisional Statement • Allocation & Final Statement • Short, medium and long term planning

24. Release 1: Nominations Release 1 Release 2 Release 3 Release 4 • Principal innovations introduced compared to AS IS • Master data harmonization • Intraday Renomination • Detail Nominations ShipperPair • Required EIC code • Communications relative to the Nomination through Protocol X12/GISB: • Nomination on RN for the Intraday Cycle pertaining to the Balancing Session G+1 (by 5:00 p.m. on the Gas G day) • Intraday renomination on all the points of the RN • Capacity check on the import/export points at the same time as the receipt of the Nomination • Enter Nominations through file upload • More information to support the Nomination processes • Principal Features in Release 1 • User Profiling (access to features and rights to relevant data) • Identification Base • Management Nomination Cycles • Supporting reports

25. Release 1 : Nominations – Receiving nomination • The function ‘Receive Nominations' makes it possible for every authorized outside user to enter and change the nomination data relative to the meters on National Network RN and on Regional Network (NOR, NOC, etc.) for their own area of responsibility, in compliance with the deadlines set in the system for the receipt of the nominations. Illustrative Illustrative

26. Release 1 : Nominations – Inputnomination

27. Release 1 : Nominations - Displaying nomination • The function 'Display Nomination', supporting the nomination process, displays with daily details and schedule the nominations, entered in the NLG system by the users of the transportation service. Illustrative Illustrative • Every authorized outside user, through this feature, can display the nominations for which they are responsible in the Collection Areas and on the National Network, including the nominations at the import points, national production, interconnections with regasification and storage plants and at the export points.

28. Release 1: Nominations – Details: nominations status

29. Release 1: Nominations – Report • Aggregation and comparison reports: Illustrative Illustrative

30. Release 2: Provisional Allocation & Statement Release 1 Release 2 Release 3 Release 4 • Principal Features in Release 2 • Provisional Allocation • Provisional Statement • Supporting reports • Principal innovations introduced compared to AS IS • Adjustment of the Reporting of the SCADA files of Provisional Allocation • Adjustment of the SNP Reporting (Nomination Statistics Collected) • Use of easier formats for reporting and integration of the information supplied

31. Release 2: Provisional Allocation & Statement - File SCADA Below is theProvisional SCADA Report File template to display the data of the Provisional Allocation for every Meter for the Gas Day, User of the Transportation, Publication Version of the Provisional Statement:

32. Release 2: Provisional Allocation & Statement - SNP Report File Template (1/3) Below is the SNPReport templateto display Provisional Nominations and Allocations by User of the Balancing and by single Area of Collection: Illustrative

33. Release 2: Provisional Allocation & Statement - SNP Report File (2/3) Below is the SNPReport templateto display Provisional Nominations and Allocations by User of the Balancing with details of the Meters for Area of Collection selected: Illustrative

34. Release 2: Provisional Allocation & Statement - SNP Report File (3/3) Below is the SNP Report templateto display the Nomination, Collection and Measurement/Estimate by Physical Meter and Pool of the Collection Area selected: Illustrative Illustrative

35. Release 2: Provisional Allocation & Statement – Appropriate capacity Report The "Appropriate Capacity" report provides evidence of the capacity used in the provisional allocation (appropriate capacity - adequate capacity - booked capacity) for the meter selected and for the period of interest Illustrative

36. Release 2: Provisional Allocation & Balancing - Allocation by Collection Area (1/2) Below is the template of the Collection Area Allocation report to display the provisional allocation of the meter selected and of the relative period of interest:

37. Release 2: Provisional Allocation & Balancing - Template Allocation by Collection Area (1/2) Below is the template of the Collection Area Allocation report to display the provisional allocation for all the points of all the collection areas of the relative period of interest: Illustrative related to cycle 1 and 2 of the day G-1 related to cycle 1 and 2 of the day G-1

38. Release 2: Provisional Allocation & Statement– Template Report Provisional Statement Below is the template of the Provisional Statement report to display the provisional statement for the relative period of interest: Illustrative

39. Release 3: Final Allocation & Balancing, Transportation Planning Release 1 Release 2 Release 3 Release 4 • Principal Features in Release 3 • Final Allocation • Final Statement • Short, medium and long term planning • Supporting reports • Principal innovations introduced compared to AS IS • One input template for planning data • Management in "rolling" mode of the missing Nomination information with the Planning data and relative supporting report preparation • Use of easier formats for reporting and integration of the information supplied

40. Release 3: Final Allocation & Balancing, TemplateFinal Statement Report Belowis the template of the Final Statement report to display the Final Statement for the relative period of interest: Illustrative Ritaglio schermo acquisito: 07/07/2014 09:32 Ritaglio schermo acquisito: 07/07/2014 11:07

41. Ritaglio schermo acquisito: 07/07/2014 09:32 Ritaglio schermo acquisito: 07/07/2014 09:32 Ritaglio schermo acquisito: 07/07/2014 11:07 Release 3 -Planning– Overview Planning Template The templatefor the input of planning data has the followingstructure: • Head Informations (dislpayed in authomatic by LG) • Name of the users: Company name of the User • Period of interest: time interval for the planning • Unit of Measure: Unit of Measureused for planning data • Planning informations • Meter: code meterdisplayed • Month/Day: quantity of gas to be transporteddisplayed • % Market Shares: displayedas % of the quantity of gas • Total: displayedastotalquantity of gas to be transportedthrough a Meter for a Day/Month

42. Ritaglio schermo acquisito: 07/07/2014 09:32 Ritaglio schermo acquisito: 07/07/2014 09:32 Ritaglio schermo acquisito: 07/07/2014 11:07 Release 3: Planning– TemplateAnnual and Half-Yearly Planning Belowis the template for the input of Annual and half-Yearly Planning Head Informations Planning Informations Head Informations Planning Informations

43. Ritaglio schermo acquisito: 07/07/2014 09:32 Ritaglio schermo acquisito: 07/07/2014 09:32 Ritaglio schermo acquisito: 07/07/2014 11:07 Release 3: Planning – TemplateMonthly and Weekly Planning Belowis the template for the input of Monthly and Weekly Planning Head Informations Head Informations Planning Informations Planning Informations

44. Ritaglio schermo acquisito: 07/07/2014 09:32 Ritaglio schermo acquisito: 07/07/2014 09:32 Ritaglio schermo acquisito: 07/07/2014 11:07 Release 3: Planning– Template 30-days planning Belowis the template for the input of 30-days planning Planning Informations Head Informations

45. Release 4: Sess. of Adjustment, Intraday Allocation, ... Release 1 Release 2 Release 3 Release 4 • Principal Features in Release 4 • Adjustment session • Intraday Allocation • Display Matching data • Additional supporting reports • Principal innovations introduced compared to AS IS • kWh • Introduction protocol Edig@s to manage the Nomination and Allocation messages

46. Agenda Introduction Scope The application solution New Platform Features Release Strategy Functionality Interim Access method B2B Communications Next Steps Contacts

47. Interim: Release 1 For the planning of the activities for subsequent releases in accordance with an organization by process, below is an outline of the operations in relation to the application systems (old and new) given their coexistence during the transitional phase relative to the Nomination Management activities NLG System Caminus System • It will be used for the following activities: • Display of supporting identification information • Input, change, display Nomination information, both in web mode, for the authorized shippers, and X12 • Display Reports • Display nomination information with 5 year history • It will continue to manage: • Display and availability data of Provisional and Final Statement • Adjustment Session • Input, change, display of Planning information

48. Interim: Release 2 For the planning of the activities for subsequent releases in accordance with an organization by process, below is an outline of the operations in relation to the application systems (old and new) given their coexistence during the transitional phase relative to the Allocation and Statement activities NLG System Caminus System • In addition to the functions already highlighted for Release 1, the NLG system will be used for the following additional activities: • Display and availability data of Provisional Statement • Display Allocation and Provisional Statement information with 5 year history • It will continue to manage: • Display and availability data of Final Statement • Adjustment Session • Input, change, display of Planning information

49. Interim: Release 3 For the planning of the activities for subsequent releases in accordance with an organization by process, below is an outline of the operationsin relation to the application systems (old and new) given their coexistence during the transitional phase relative to the Allocation and Final Statement activities NLG System Caminus System • In addition to the functions already highlighted for Release 1 & 2, the NLG system will be used for the following additional activities: • Display and availability data of Final Statement • Input, change, display of Planning information • Display Allocation and Final Statement information with 5 year history • It will continue to manage: • Adjustment Session

50. Interim: Release 4 With regard to Release 4, focused on functional and regulatory enhancement, operations will be conducted entirely on the new system NLG System Caminus System • In addition to the functions already highlighted for Release 1, 2 & 3, the NLG system will be used for the following additional activities: • Adjustment Session • kWh • Management of the Nomination and Allocation messages through protocol Edig@s • Intraday Allocation • Display Matching data • n.a. due to complete decommissioning