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Ten Year Network Development Plan 2015 |

175

6.4.3 SUPPLY SOURCE PRICE DIVERSIFICATION (SSPDi)

The Supply Source Price Diversification indicator measures the ability of each

country to benefit from a decrease of the price of each import source. The approach

is based on marginal gas prices and therefore a country can benefit from a source

while not having physical access or being physically dependent on that source.

However, a well-integrated gas infrastructure is a pre-condition to benefit from the

decrease of the price of one supply source.

The diversification of a country represents its ability to mirror the price decrease of

any import source. Each supply source is tested one-by-one without consideration

of its maximum supply scenario meaning that the diversification is not simultaneous.

The higher the indicator is, the higher the supply price diversification. A country

having a SSPDi of thirty percent towards Russian gas means that if Russian price

decreases by ten percent then the gas bill of that country would decrease by three

percent.

The following graphs show the magnitude of the price diversification of each coun-

try toward each source by the addition of the SSPDi toward each supply source.

A one hundred percent value indicates that a Zone can fully benefit from the price

decrease of a source, therefore the stack graph can go beyond one hundred percent

in case of diversification toward several sources.

Under the Low scenario, the slow and overall reducing trend along the TYNDP time

period illustrates the decreasing supply price diversification of Europe. This results

from a combination of increasing demand and stable import capacities beyond

2020 under this infrastructure scenario.

The commissioning of new import infrastructure up to 2025 improves the situation,

compared to the Low scenario, as it enhances the import availability. With no addi-

tional import projects beyond 2025 the indicator decreases as a result of increasing

demand. Details can be found in Annex E.

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See figures 6.29 and 6.30 on pages 176–179