ENTSOG GRIP South - Main Report

1.2 Objectives and

Content of theReport

The main objectives of the European energy policy are security of supply, compe­ titiveness and sustainability. To achieve these goals, the European Council high­ lighted the need to create “an internal energy market that is integrated, intercon- nectedand fully operational” inorder to “benefit frommore reliableandcompetitive prices, as well as more sustainable energy”. The challenge consists in diversifying sources and supply channels, facilitating arbitrage between the most competitive sources of natural gas supply, ensuring the circulation of gas ismore fluid between the variousmarkets, and increasing the flexibility of the network. The European Commission notes that the development of new, flexible infra­ structures is a “no regrets option” likely to support a number of orientations and estimates the investment requirement for 2020 at €70 billion for gas infrastructures. 1) To support this development, on 17 April 2013, the European Parliament and the Council adopted a regulation on “guidelines for trans-European energy infrastructure”. In the field of natural gas, four priority gas corridors have been defined, considered tobe strategic for Europe, amongwhich theNorth-Southcorridor inwesternEurope being of direct interest for theRegion. Asmentionedby the EuropeanCommission: “The strategic concept of the North-South Corridor in Western Europe, that is to better interconnect theMediterranean area and thus supplies from Africa and the Northern supply Corridor with supplies fromNorway andRussia.” TheENTSOGTYNDP assesses thephysical layer ofMarket Integration through four assessments which are: The added value of theGRIPs is to go further in terms of analysis anddetails on the assessment of the transmission system and the projects that remedy these needs. This plan investigates the role of these projects which improve themarket integra- tion in theRegion and of theRegion in Europe; the objective of this document is to explain inmore depth their added value. ThisGRIPbeginswith3chaptersdescribingandanalyzing, the supply, thedemand and the projects identified in the Region. Like in the TYNDP, the horizon of the forecasts is the next 10 years. The assessment chapter is a key chapter in order to explain the needs of the gas system. Assessments of the ENTSOG TYNDP are updated, extended and analysed indepth in this document. Inparallel, simulationswithupdateddatahavebeende- veloped at European level using ENTSOG’s Nemo Tool. The main conclusions re- main in linewith TYNDP 2013 for the SouthRegion here presented. Additional analysis ismadewhen relevant, inparticular onprices and IP capacities. Additional chapter is focused on the projects which are remedy to the needs de­ tected in the assessment chapter. Projects of Common Interest (PCI) in theRegion are highlighted in this chapter. \\ the Resilience of European gas network , \\ Supply Source Dependence , \\ Network Adaptability to Supply Evolution , \\ and Capability for Supply Source Diversification .

1) "Energy Infrastructure. Priorities for 2020 and beyond - A Blueprint for an integrated European energy network", 17 October 2011

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ENTSOG–GRIPSouth 2013–2022