ENTSOG TYNDP 2017 - Executive Summary

More generally, when taking a theoretical approach to price differentials between sources, with one source being more or less expensive than all other ones by an arbitrary price spread  1) , the impact on countries would relate to their ability to access diversified supply sources, as shown on Figure 4.10 to the right. While the price impacts presented in this figure derive from a standardised approach and would not materialise as such in reality, they indicate that diversification enables countries to benefit from low prices, whilst at the same time being able to protect themselves from high prices.

5,00 Euro/Mwh

-5,00

-4,00

-3,00

-2,00

-1,00

0,00

1,00

2,00

3,00

4,00

BG

FI

MK

Access to

1 supply source

EE

ES

GR

LT

LV

PT

RO Access to 2 supply sources Access to 4 supply sources Access to 5 supply sources DK DEn DEg FR HU IE LU NL PL RS SE SK UK HR AT BA BE CH CZ IT SI

Access to supply sources refers to possible commercial access and include access to indigenous production, including from a different country.

RU Low Price (-5€/MWh) LNG Low Price (-5€/MWh) NO Low Price (-5€/MWh) DZ Low Price (-5€/MWh)

RU High Price (+5€/MWh) LNG High Price (+5€/MWh) NO High Price (+5€/MWh) DZ High Price (+5€/MWh)

Figure 4.10: Impact at country level from high or low price of specific supply sources (standardised approach using arbitrary 5 €/MWh price spreads) in relation to their access to supply sources – Situation for 2017 – Low infrastructure level (existing infrastructure and FID projects)

 1) For a given source same import price whatever the import point, and arbitrary price spread of 5 €/MWh between the expensive or cheap sources and the other ones

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Ten-Year Network Development Plan 2017– Executive Summary