TARIFF FOR THE TRANSMISSION OF HIGH-METHANE NATURAL GAS

Transcription

1 Tariff for the transmission of high-methane natural gas p. 1 Annexe No. 4 DRAFT: Version TARIFF FOR THE TRANSMISSION OF HIGH-METHANE NATURAL GAS of the Transit Gas Pipeline System EuRoPol GAZ S.A. KRS ul. Topiel Warsaw NIP No.: REGON Warsaw, December 2012

2 Tariff for the transmission of high-methane natural gas p. 2 Contents 1. General Provisions Definitions Gas transmission services physical or virtual TGPS gas transmission services, performed pursuant to a gas transmission contract Fee for gas transmission services Rules of settlements for gas transmission services under long-term contracts 9 5. Rules of settlements for gas transmission services under short-term contracts Conditions for providing interruptible transmission services Method of fee calculation for interruptible gas transmission services Method of fee calculation for provisions of virtual reverse flow gas transmission services Method of fee calculation for connection to the TGPS Fees for failure to meet Customer service quality standards Standard parameters of the transmitted gas. Rules of settlements for failure to maintain standard parameters

3 Tariff for the transmission of high-methane natural gas p General Provisions 1.1. The Tariff specifies the type, amount and conditions of applying fee rates for the provision of transmission services of highmethane natural gas via gas pipelines constituting the property of EuRoPol GAZ S.A.: a) for provision of firm or interrupted transmission services under long-term contracts, b) for provision of firm or interrupted transmission services under short-term contracts, c) for provision of virtual reverse flow gas transmission services, and d) the method of fee calculation for exceeding the contracted capacity, e) the method of fee calculation for any additional services ordered by the Customer, f) the method of fee calculation for connection to the TGPS, 1.2. The Tariff takes the following resolutions into consideration: a) The Act of 10 April 1997 on the Energy Law (Journal of Laws of 2012, item 1059) b) Regulation (EC) No. 715/2009 of the European Parliament and of the Council of 13 July 2009 on conditions for access to the natural gas transmission networks and repealing Regulation (EC) No. 1775/2005 (OJ EU.L ). c) Regulation of the Minister of Economy of 6 February 2008 on the detailed principles of shaping and calculating the tariffs and

4 Tariff for the transmission of high-methane natural gas p. 4 settlements in gaseous fuels (Journal of Laws No. 28, item 165). d) Regulation of the Minister of Economy of 2 July 2010 on the functioning of the transmission system (Journal of Laws No. 133, item 891, as amended) The Tariff shall be applicable in settlements with Customers pursuant to the scope of services provided and detailed conditions specified in contracts The fee rates fixed in the tariff are VAT exclusive. VAT in relation thereto shall be charged pursuant to the binding provisions of the tax law The quantity of natural gas to be transmitted and the amount of ordered contracted capacity is determined with accuracy of 1 m 3, unless provided otherwise by contracts.

5 Tariff for the transmission of high-methane natural gas p Definitions 2.1. Gas day the period from 8:00 a.m. of the current day to 8:00 a.m. of the following day Gas high-methane natural gas TGPS Code Transmission Network Code, in the meaning of Article 9g item 1 of The Energy Law Act, binding for the TGPS Cubic metre (m 3 ) the quantity of gas in one cubic metre at a temperature of 20 o C and under pressure of kpa Contracted capacity (Mu) the maximum daily capacity of gas specified in the agreement that can be transmitted for dispatch at the entry point to the TGPS or off-taken from the exit point with the TGPS Interrupted contracted capacity the maximum daily capacity of gas specified in the contract at the entry point to the TGPS or offtaken from the exit point with the TGPS, which may be reduced by the TGPS Operator under conditions of the contract, Tariff or TGPS Code Ordered capacity (Mz) the annual capacity of gas that can be transmitted for dispatch at the entry point to the TGPS or offtaken from the exit point with the TGPS, as specified in the contract with the TGPS Owner Settlement period the period for which the Customer shall be issued an invoice for the gas transmission service rendered by the TGPS. The settlement period shall be 1 month, unless the provisions of the contract shall provide otherwise. 2.9 TGPS Operator The Gas Transmission Operator GAZ- SYSTEM S.A. with its seat in Warsaw, ul. Mszczonowska 4 an energy company with which the TGPS Owner has concluded a contract entrusting the obligations of TGPS operator thereto, within which the said Enterprise - in the situations specified in

6 Tariff for the transmission of high-methane natural gas p. 6 the TNC of the TGPS - may perform TGPS gas transmission services Entry point (Initial collection point) the location where the gas is supplied to the TGPS, where measurement and collection of gas for transport takes place, including virtual reverse flow transport Exit point (End collection point) the location where the gas is off-taken from the TGPS, where measurement and transfer of the transported gas takes place, including the exit point for the virtual reverse flow transport of gas Gas year the period from 8:00 a.m. on 1 January of the current year until 8:00 a.m. on 1 January of the following year TGPS the Polish section of the Jamal - Europe transit gas pipeline, on which the following entry/exit points are located: for the provision of physical gas transmission services: entry point: Kondratki, exit points: Włocławek, Lwówek, and Mallnow for provision of virtual reverse flow gas transmission services: entry/exit points pursuant to details posted on the website of the TGPS Operator ( Measurement system the gas meters and other metering or metering and billing systems and connection systems between them used to measure gas quantities taken or delivered to the TGPS Contract the gas transmission contract concluded between the Service Provider and the Customer Long-term contract contract concluded for a period of one year of longer Short-term contract contract concluded for a period shorter than one year.

7 Tariff for the transmission of high-methane natural gas p Gas transmission services physical or virtual TGPS gas transmission services, performed pursuant to a gas transmission contract Customer each entity to whom the TGPS gas transmission service is rendered The Service Provider the TGPS Owner or TGPS Operator TGPS Owner with its seat in Warsaw, ul. Topiel 12 an energy company performing gas transmission services via TGPS.

8 Tariff for the transmission of high-methane natural gas p Fee for gas transmission services The rates below shall be used o calculate the fees pursuant to the principles stipulated in the subsequent chapters relative to the type of contract or service. No. Details Unit of measure Rates 1. Fee rates (s) for gas transmission services at entry/exit points 1.1. Kondratki PLN/ (ths m 3 /d)/d Włocławek PLN/ (ths m 3 /d)/d Lwówek PLN/ (ths m 3 /d)/d Mallnow PLN/ (ths m 3 /d)/d subscription fee rate (Op a ) PLN/settlement period 6310

9 Tariff for the transmission of high-methane natural gas p Rules of settlements for gas transmission services under longterm contracts 4.1. The Service Provider shall provide gas transmission services to the Customer pursuant to the binding documents regulating the work of the gas pipeline system, pursuant to the provisions of the transmission contract and the provisions of the said Tariff The fee for gas transmission services rendered under long-term contracts is calculated using the following method: For the gas transmission service performed in the settlement period under a long-term contract, the Customer shall be charged for entry to the TGPS (Op Dwe ), exit from the TGPS (Op Dwy ) and a subscription fee (Op a ) The fee for entry to the TGPS is calculated using the following formula: Op Dwe = Mu we * S we * T where: Op Dwe fee for entry to the TGPS under a long-term contract [in PLN]; S we fee rate (S) for entry (we) to the TGPS for each day (d) of the settlement period [in PLN/(ths m 3 /d)/d]; Mu we contracted capacity (Mu) at the entry point to the TGPS [in ths m 3 /d]; T number of days (d) in the settlement period;

10 Tariff for the transmission of high-methane natural gas p The fee for exit from the TGPS is calculated using the following formula: Op Dwy = Mu wy * S wy * T where: Op Dwy Mu wy fee for exit from the TGPS under a long-term contract [in PLN]; contracted capacity (Mu) at the exit point from the TGPS [in ths m 3 /d]; S wy fee rate (S) for exit (wy) from the TGPS for each day (d) of the settlement period [in PLN/(ths m 3 /d)/d]; T number of days (d) in the settlement period; Subscription fee (Op a ) is charged for each settlement period, separately for each transmission contract regardless of the number of entry or exit points which the said contract concerns The method of fee calculation for exceeding the contracted capacity is as follows: The Customer that exceeded the Contracted Capacity for the entry or exit point as agreed in the said Contract shall be charged with a fee calculated according to the formulas specified hereinbelow. This fee shall be charged for settlement periods pursuant to the Contract.

11 Tariff for the transmission of high-methane natural gas p The fee for exceeding the contracted capacity under a long-term contract at the entry point shall be calculated according to the following formula: Opm Dwe = (Mr we Mu we * T) * n * S we where: Opm Dwe fee for exceeding the contracted capacity under the long-term contract at the entry point [in PLN]; S we fee rate (S) for entry to the TGPS for each day (d) of the settlement period [in PLN/(ths m 3 /d)/d]; Mr we the capacity actually used at the entry point, resulting from the actual quantity of gas introduced during the settlement period into the TGPS at the entry point, meeting the condition of Mr we > Mu we * T [in ths m 3 /settlement period]; Mu we contracted capacity (Mu) at the entry point to the TGPS [in ths m 3 /d]; T n number of days (d) in the settlement period. ratio assuming the values of: n=1 in the event of the Customer exceeding the contracted capacity in agreement with the Service Provider, or n=3 in the event of the Customer exceeding the contracted capacity without the consent of the Service Provider.

12 Tariff for the transmission of high-methane natural gas p The fee for exceeding the contracted capacity under the longterm contract at the exit point shall be calculated according to the following formula: Opm Dwy = (Mr wy Mu wy * T) * n * S wy where: Opm Dwy fee for exceeding the contracted capacity under the long-term contract at the exit point [in PLN]; S wy fee rate for exit from the TGPS for each day (d) of the settlement period [in PLN/(ths m 3 /d)/d]; Mr wy capacity actually used at the exit point, resulting from the actual volume of gas off-taken during the settlement period from the TGPS at the exit point, meeting the condition of Mr wy > Mu wy * T [in ths m 3 /year]; Mu wy contracted capacity (Mu) at the exit point from the TGPS [in ths m 3 /d]; T n number of days (d) in settlement period; ratio assuming the values of: n=1 in the event of the Customer exceeding the contracted capacity in agreement with the Service Provider, or n=3 in the event of the Customer exceeding the contracted capacity without the consent of the Service Provider.

13 Tariff for the transmission of high-methane natural gas p The method of fee calculation for additional services performed at the request of the Customer shall be specified in the gas transmission contract The method of discount calculation for a reduction in contracted capacity resulting from the fault of the Service Provider is as follows: In the event of introducing in the settlement period reductions in contracted capacity at the entry or exit point to the TGPS resulting from the fault of the Service Provider, apart from any cases agreed and resulting from the contract, the Customer shall be entitled to a discount, calculated according to the following formula outlined below The discount for the reduction in contracted capacity under longterm contracts at the entry point shall be calculated according to the following formula: B Dwe = (Mu we * T Md we ) * S we where: B Dwe S we discount for making available in the settlement period a lower capacity than that ordered in the long-term transmission contract at the entry point [in PLN]; fee rate (S) for entry to the TGPS for each day (d) of the settlement period [in PLN/(ths m 3 /d)/d];

14 Tariff for the transmission of high-methane natural gas p. 14 Mu we contracted capacity (Mu) at the entry point to the TGPS [in ths m 3 /d]; Md we T contracted capacity available during the settlement period, left to the disposal of the Customer at the entry point to the TGPS [in ths m 3 /settlement period]; number of days (d) in the settlement period The discount for the reduction in contracted capacity under long-term contracts at the exit point, calculated according to the following formula: B Dwy = (Mu wy * T Md wy ) * S wy where: B Dwy S wy discount for making available in the settlement period a lower capacity than that ordered in the long-term transmission contract at the exit point [in PLN]; fee rate (S) for exit from the TGPS for each day (d) of the settlement period [in PLN/(ths m 3 /d)/d]; Mu wy contracted capacity (Mu) at the exit point from the TGPS [in ths m 3 /d]; Md wy contracted transmission capacity available during the settlement period, left to the disposal of the Customer at the exit point from the TGPS [in ths m 3 /settlement period];

15 Tariff for the transmission of high-methane natural gas p. 15 T number of days (d) in the settlement period.

16 Tariff for the transmission of high-methane natural gas p Rules of settlements for gas transmission services under short-term contracts 5.1. If the technical and economic conditions of providing transmission services under short-term contracts exist, the Service Provider and the Customer may enter into a short-term contract for a period of: a) one day, b) one calendar month, c) one calendar quarter, d) half a year The fee for gas transmission services rendered under short-term contracts shall be calculated using the following method: For the gas transmission service performed under a short-term contract, the Customer shall be charged for entry to the TGPS (Op Kwe ), exit from the TGPS (Op Kwy ) and a subscription fee (Op a ) The fee for entry to the TGPS is calculated using the following formula: Op Kwe = Mu we * S we * w * T where:

17 Tariff for the transmission of high-methane natural gas p. 17 Op Kwe fee for entry to the TGPS under a short-term contract [in PLN]; S we fee rate (S) for entry to the TGPS for each day (d) of the settlement period [in PLN/(ths m 3 /d)/d]; Mu we contracted capacity (Mu) at the entry point to the TGPS [in ths m 3 /d]; w corrective ratio of the fee rate (S) for entry to the TGPS or exit from the TGPS for short-term contracts; T number of days (d) in the settlement period The fee for exit from the TGPS is calculated using the following formula: Op Kwy = Mu wy * S wy * w * T where: Op Kwy Mu wy fee for exit from the TGPS under a short-term contract [in PLN]; contracted capacity (Mu) at the exit point from the TGPS [in ths m 3 /d]; S wy fee rate (S) for exit from the TGPS for each day (d) of the settlement period [in PLN/(ths m 3 /d)/d]; w corrective ratio of the fee rate (S) for entry to the TGPS or exit from the TGPS for short-term contracts; T number of days (d) in the settlement period.

18 Tariff for the transmission of high-methane natural gas p Subscription fee (Op a ) is charged for each settlement period, separately for each transmission contract regardless of the number of entry or exit points which the said contract concerns The ratios (w) correcting the fee rates (S) for entry and exit from the TGPS under short-term contracts shall be provided in the table below: Ratios (w) which correct the fee rates (S) for entry to and exit Month October from the TGPS for short-term contracts One day contract Monthly contract 1.5 November The fee for 1.7 December each gas day 1.8 shall January constitute 1.8 February 1/20 of the 1.8 March transmission 1.7 service fee as April for a monthly 1.5 May contract, with 1.4 June the ratio (w) 1.4 for a given July calendar 1.4 August month 1.4 September 1.4 Ratios (w) Quarterly contract Semiannual contract

19 Tariff for the transmission of high-methane natural gas p No short-term contracts shall be concluded for periods other than those specified in point Błąd! Nie można odnaleźć źródła odwołania The method of fee calculation for exceeding the contracted capacity under short-term contracts is as follows: The Customer that exceeded the contracted capacity agreed in the contract for the given entry or exit point shall be charged pursuant to the formulas outlined below. This fee shall be charged for settlement periods pursuant to the Contract The fee for exceeding the contracted capacity under a shortterm contract at the entry point shall be calculated according to the following formula: Opm Kwe = (Mmax we Mu we ) * T p * n * S we * w where: Opm Kwe fee for exceeding the contracted capacity under the short-term contract at the entry point [in PLN]; Mmax we the maximum capacity registered during the settlement period at the entry point into the TGPS [in ths m 3 /d]; Mu we contracted capacity (Mu) at the entry point to the TGPS [in ths m 3 /d]; T p number of days in the settlement period where the contracted capacity was exceeded;

20 Tariff for the transmission of high-methane natural gas p. 20 n S we w ratio assuming the values of: n=1 in the event of the Customer exceeding the contracted capacity in agreement with the Service Provider, or n=3 in the event of the Customer exceeding the contracted capacity without the consent of the Service Provider; fee rate (S) for entry to the TGPS for each day (d) of the settlement period [in PLN/(ths m 3 /d)/d]; corrective ratio of the fee rate (S) for entry to the TGPS or exit from the TGPS for short-term contracts The fee for exceeding the contracted capacity under the shortterm contract at the exit point shall be calculated according to the following formula: Opm Kwy = (Mmax wy Mu wy ) * T p * n * S wy * w where: Opm Kwy fee for exceeding the contracted capacity under the short-term contract at the exit point [in PLN]; Mmax wy the maximum capacity registered during the settlement period at the exit point from the TGPS [in ths m 3 /d]; Mu wy contracted capacity (Mu) at the exit point from the TGPS [in ths m 3 /d]; T p number of days in the settlement period where the contracted capacity was exceeded;

21 Tariff for the transmission of high-methane natural gas p. 21 n S wy w ratio assuming the values of: n=1 in the event of the Customer exceeding the contracted capacity in agreement with the Service Provider, or n=3 in the event of the Customer exceeding the contracted capacity without the consent of the Service Provider; fee rate (S) for exit from the TGPS for each day (d) of the settlement period [in PLN/(ths m 3 /d)/d]; corrective ratio of the fee rate (S) for entry to the TGPS or exit from the TGPS for short-term contracts The method of discount calculation for a reduction in contracted capacity resulting from the fault of the Service Provider for services rendered under short-term contracts is as follows: In the event of introducing in the settlement period reductions in contracted capacity at the entry or exit point to the TGPS resulting from the fault of the Service Provider, apart from any cases agreed and resulting from the Contract or TGPS Code, the Customer shall be entitled to a discount, calculated according to the following formulas outlined below The discount for the reduction in contracted capacity under shortterm contracts at the entry point shall be calculated according to the following formula: B Kwe = (Mu we * T Md we ) * S we * w where:

22 Tariff for the transmission of high-methane natural gas p. 22 B Kwe discount for making available in the settlement period a lower capacity than that ordered in the short-term transmission contract at the entry point [in PLN]; Mu we contracted capacity (Mu) at the entry point to the TGPS [in ths m 3 /d]; Md we T S we w contracted capacity available during the settlement period, left to the disposal of the Customer at the entry point to the TGPS [in ths m 3 /settlement period]; number of days (d) in the settlement period; fee rate (S) for entry to the TGPS for each day (d) of the settlement period [in PLN/(ths m 3 /d)/d]; corrective ratio of the fee rate (S) for entry to the TGPS or exit from the TGPS for short-term contracts The discount for the reduction in contracted capacity under short-term contracts at the exit point, calculated according to the following formula: B Kwy = (Mu wy * T Md wy ) * S wy * w where: B Kwy discount for making available in the settlement period a lower capacity than that ordered in the short-term transmission contract at the exit point [in PLN]; Mu wy contracted capacity (Mu) at the exit point from the TGPS [in ths m 3 /d];

23 Tariff for the transmission of high-methane natural gas p. 23 Md wy T S wy w contracted transmission capacity available during the settlement period, left to the disposal of the Customer at the exit point from the TGPS [in ths m 3 /settlement period]; number of days (d) in the settlement period; fee rate for exit from the TGPS for each day of the settlement period [in PLN/(ths m 3 /d)/d]; corrective ratio of the fee rates (S) for entry to the TGPS or exit from the TGPS for short-term contracts In the scope not regulated in point 5, for settlements with the Customer for the services performed under short-term contracts the remaining provisions of the Tariff shall be applicable.

24 Tariff for the transmission of high-methane natural gas p Conditions for providing interruptible transmission services 6.1. In the event of it not being possible to perform firm transmission services, the Service Provider may offer interruptible transmission services. The said service shall be settled pursuant to the principles specified in point 7, subject to the provisions of point If it is only possible to provide interruptible transmission services at the entry or exit point specified in the application, the Service Provider shall offer interruptible transmission services for all the entry points and exit points stipulated in the application At a given entry or exit point, the Customer may enter into both firm and interruptible gas transmission contracts at the same time For a given exit point, the contract with the Customer may provide for interruptible transmission services solely and exclusively with regard to one level of certainty of gas delivery referred to in point Błąd! Nie można odnaleźć źródła odwołania The conditions of the provision of interrupted gas transmission services vary depending on the level of certainty of gas delivery For long-term contracts or short-term semi-annual contracts, the levels of certainty of gas delivery shall be specified as follows:

25 Tariff for the transmission of high-methane natural gas p. 25 Degree of certainty of gas delivery Maximum length of a single reduction in interrupted contracted capacity (in gas days) Limit of gas days during the gas year / duration of the short-term semiannual contracts on which the contracted capacity may be reduced (d n ) Level Level Level Level 4 Number of contracted gas days

26 Tariff for the transmission of high-methane natural gas p The interruptible gas transmission services under short-term contracts concluded for periods shorter than half a year shall be fulfilled solely and exclusively at level 4 delivery certainty For each entry and exit point and each level of certainty of gas delivery, the possible level of interrupted contracted capacity that can be offered shall be defined by the Service Provider in a manner ensuring the equal treatment of the Customers At each entry and exit point, the Service Provider offers interrupted gas transmission services at the highest available level of certainty of gas deliveries, where Level 1 interrupted contracted capacities are understood as capacities with the highest level of certainty of gas deliveries, and Level 4 interrupted contracted capacities are understood as capacities with the lowest level of certainty of gas deliveries, subject of the provisions of point Błąd! Nie można odnaleźć źródła odwołania Under interruptible transmission services pursuant to the conditions specified for given levels of certainty of gas deliveries in the contract, the Service Provider may reduce the interruptible contracted capacity at a given entry or exit point The Customer shall observe the reductions in interrupted contracted capacity implemented by the Service Provider pursuant to the provisions of point Błąd! Nie można odnaleźć źródła odwołania At the given entry or exit point, the reductions mentioned in point Błąd! Nie można odnaleźć źródła odwołania. are introduced by the Service Provider starting from the interrupted contracted capacity of the lowest certainty of gas deliveries, subject to the provisions of point Błąd! Nie można odnaleźć źródła odwołania..

27 Tariff for the transmission of high-methane natural gas p If in a given entry or exit point the interruptible gas transmission services are performed on the same level of certainty of gas deliveries for two or more Customers, the interruptible contracted capacity are reduced according to the priority of fulfilment of long-term contracts in relation to short-term contracts, and in the case of contracts concerning the same periods, proportionally to the amounts stated in the nominations, pursuant to the provisions of Part II of the TGPS Code on nominations for interruptible gas transmission services In order to determine the duration of the introduced reduction in the interrupted contracted capacity, each reduction in interrupted contracted capacity on a given gas day shall be treated as a reduction introduced for the whole gas day. This provision shall not be applicable in calculating the discounts mentioned in point If the Customer does not observe the reductions implemented by the Service Provider in a given gas day mentioned in point Błąd! Nie można odnaleźć źródła odwołania., the reduction implemented for a given gas day shall not be treated as the use of the limit of gas days (d n ) specified in the contract on which the interruptible contracted capacity may be subject to reductions If the Customer does not observe the reductions introduced by the Service Provider mentioned in point Błąd! Nie można odnaleźć źródła odwołania., despite receiving a written notice from the Service Provider to the Customer sent by facsimile to the number stated in the contract, informing of the intention to terminate the contract and providing an additional 24-hour period to observe the reduction, the Service Provider may terminate the contract with immediate effect in its part covering the interruptible gas transmission services.

28 Tariff for the transmission of high-methane natural gas p Provision of the interruptible gas transmission services shall not exclude the possibility of the Service Provider implementing reductions caused by: a) conducted planned repair and maintenance works or connection works, b) reasons beyond the Service Provider's control: failure, explosion, fire, threat of such events or the requirement to eliminate effects of such events.

29 Tariff for the transmission of high-methane natural gas p Method of fee calculation for interruptible gas transmission services 7.1. The fee for the interruptible gas transmission services shall be determined according to the formula provided in point 4.2 (for long-term contracts) or in point 5.2 (for short-term contracts) but the fee rates (S) for entry to and exit from the TGPS shall be corrected by multiplying by ratio D calculated as outlined below: where: D = (T T o )/T D ratio for reduction in contracted capacity introduced pursuant to point 6.8, rounded up to four decimal points; T number of days in the settlement period [day]; To number of days with reduction in interruptible contracted capacity during the settlement period [day]. In the case when D < 0.05, to establish the rate for entry or exit from a given system in an interruptible service the following value shall be taken D = 0.05.

30 Tariff for the transmission of high-methane natural gas p If the Customer receiving the interruptible service fails to observe the reductions introduced by the Service Provider mentioned in point Błąd! Nie można odnaleźć źródła odwołania. or point 6.15, an additional fee shall be charged constituting the product of the maximum capacity registered in a given entry or exit point by the measurement systems in excess of the capacity not subject to reductions, the number of gas days when the Customer failed to observe the reductions and the triple fixed fee rate for entry or exit from the TGPS, as specified in point Błąd! Nie można odnaleźć źródła odwołania The fee mentioned in Błąd! Nie można odnaleźć źródła odwołania. shall be collected for each gas day in which the Customer failed to observe the reductions introduced by the Service Provider If the reductions mentioned in point 6.8 have been introduced by the Service Provider, the Customer shall not be entitled to discounts mentioned in point 4.5 or in point 5.5Błąd! Nie można odnaleźć źródła odwołania., respectively If the reductions in interruptible contracted capacity were introduced by the Service Provider for reasons not mentioned in points Błąd! Nie można odnaleźć źródła odwołania., the Customer shall be entitled to the discounts determined according to point 4.5 or point 5.5, respectively Within the scope not regulated in 6 and 7, the remaining Tariff provisions shall apply to settlements with the Customer under implementation of interruptible transmission service contracts.

31 Tariff for the transmission of high-methane natural gas p Method of fee calculation for provisions of virtual reverse flow gas transmission services 8.1. Reverse flow services is a virtual gas transmission service performed in the opposite direction to the direction of the physical gas stream flow. The service shall be performed from the entry points to exit points indicated on the website of the TGPS Operator ( once the economic and technical capacity for its performance has been warranted Virtual reverse flow gas transmission services are performed under interruptible conditions, on level 4 certainty of gas deliveries specified in point The method of fee calculation for reverse flow services shall be as follows: For the reverse flow gas transmission service performed in the settlement period, the Customer shall be charged for entry to the TGPS (Op Zwe ), exit from the TGPS (Op Zwy ) and a subscription fee (Op a ) The fee for entry to the TGPS pursuant to a virtual reverse flow gas transmission services contract is calculated using the following formula: Op Zwe = Mu we * S Zwe * D * T where:

32 Tariff for the transmission of high-methane natural gas p. 32 Op Zwe fee for entry to the TGPS under a virtual reverse flow gas transmission services contract [in PLN]; S Zwe fee rate (S Z ) for entry to the TGPS for each day (d) of the settlement period [in PLN/(ths m 3 /d)/d]; Mu we contracted capacity (Mu) at the entry point to the TGPS [in ths m 3 /d]; D ratio for reduction in interruptible contracted capacity, specified in point 7; T number of days (d) in the settlement period The fee for exit from the TGPS is calculated pursuant to the virtual reverse flow gas transmission service contract using the following formula: Op Zwy = Mu wy * S Zwy * D * T where: Op Zwy Mu wy fee for exit from the TGPS under a virtual reverse flow gas transmission service contract [in PLN]; contracted capacity (Mu) at the exit point from the TGPS [in ths m 3 /d]; S Zwy fee rate (S Z ) for exit from the TGPS for each day (d) of the settlement period, calculated pursuant to point 8.4 [in PLN/(ths m 3 /d)/d]; D ratio for reduction in interruptible contracted capacity, specified in point 7; T number of days (d) in the settlement period.

33 Tariff for the transmission of high-methane natural gas p The subscription fee (Op a ) is charged for each settlement period, separately for each transmission contract regardless of the number of entry or exit points which the said contract concerns To calculate the fees for entry to and exit from the TGPS for the virtual reverse flow gas transmission services, the fees specified in point 3 shall be used after multiplying them by the 0.40 coefficient and rounding up to 1 grosz The fee rates for the entry to and exit from the TGPS for virtual reverse flow gas transmission services shall be calculated using the applicable fee rates specified in point 8.4 without applying the ratios (w) mentioned in point The method of discount calculation for a reduction in contracted capacity resulting from the reasons stipulated in point 6.15 rendered under short-term contracts is as follows: In the event of introducing in the settlement period reductions in contracted capacity for reasons mentioned in point 6.15, at the entry or exit point, apart from any cases agreed and resulting from the Contract, the Customer shall be entitled to a discount, calculated according to the following formulas outlined below The discount for the reduction in contracted capacity at the entry point shall be calculated according to the following formula: B Zwe = (Mu we * T Md we ) * S Zwe

34 Tariff for the transmission of high-methane natural gas p. 34 where: B Zwe S Zwe discount for making available in the settlement period a lower capacity than that ordered in the virtual reverse flow gas transmission services transmission contract at the entry point [in PLN]; fee rate (S) for entry to the TGPS for each day (d) of the settlement period, calculated pursuant to point 8.4 [in PLN/(ths m 3 /d)/d]; Mu we contracted capacity (Mu) at the entry point to the TGPS [in ths m 3 /d]; Md we T contracted capacity available during the settlement period, left to the disposal of the Customer at the entry point to the TGPS [in ths m 3 /settlement period]; number of days (d) in the settlement period; The discount for the reduction in interruptible contracted capacity at the exit point, shall be calculated according to the following formula: B Zwy = (Mu wy * T Md wy ) * Sz wy where: B Zwy discount for making available in the settlement period a lower capacity than that ordered in the virtual reverse flow gas transmission services transmission contract at the exit point [in PLN];

35 Tariff for the transmission of high-methane natural gas p. 35 Sz wy Mu wy Md wy T fee rate (S) for exit from the TGPS for each day (d) of the settlement period, calculated pursuant to point 8.4. [in PLN/(ths m 3 /d)/d]; contracted capacity (Mu) at the exit point from the TGPS [in ths m 3 /d]; contracted transmission capacity available during the settlement period, left to the disposal of the Customer at the exit point from the TGPS [in ths m 3 /settlement period]; number of days (d) in the settlement period; 8.7. In the scope not regulated separately in point 8, for virtual reverse flow gas transmission services the remaining provisions of the Tariff shall be applicable.

36 Tariff for the transmission of high-methane natural gas p Method of fee calculation for connection to the TGPS 9.1. The fee for connection to the TGPS shall be agreed in the TGPS connection contract mentioned in the TGPS Code (Part I) Entities applying for connection to the TGPS shall be included in the A or C connection group, pursuant to 34 of the Regulation mentioned in point 1.2. (d) The fee for connection to the TGPS shall amount to the following: 1) Group A 25% of the actual costs incurred for performing the connection, 2) Group C - 100% of the actual costs incurred for performing the connection The costs constituting the grounds for calculation of the fee for connection to the TGPS shall include the costs of elements of the network and all actions connected with performance of the connection specified in the conditions for connection to the TGPS, particularly the following costs: design works and geodesic survey works, preparing and agreeing the documentation, obtaining location decisions or building permits, construction and investor's supervision, purchase and construction of elements of facilities necessary to perform the connection, building and construction works,

37 Tariff for the transmission of high-methane natural gas p. 37 trials and start-up of the connection, fees for purchase of land or land take, including public and legal costs and compensation paid out to real estate owners The connection fee to the TGPS is a one-time fee. The TGPS Owner can divide the fee into instalments pursuant to the conditions specified in the TGPS connection contract The said principles of establishing the fees for connection to the TGPS shall be applicable solely and exclusively to entities applying for connection, provided that the conditions for connection to the TGPS specified in the TGPS Code (Part I) have been met.

38 Tariff for the transmission of high-methane natural gas p Fees for failure to meet Customer service quality standards For the TGPS Operator s failure to meet the service quality standards, the Customer shall be eligible for fees fixed pursuant to 42 of the Regulation mentioned in point 1.2.c) The fees mentioned in point 10.1 shall be payable by the TGPS Operator at the written request of the Customer, by deduction (discount) of an appropriate amount from the amount due for the performed gas transmission service The TGPS Operator shall consider the request of the Customer no later than within 14 days from the day it was submitted.

39 Tariff for the transmission of high-methane natural gas p Standard parameters of the transmitted gas. Rules of settlements for failure to maintain standard parameters The fee rates for the transmission service performed shall be applicable to gas transmitted by the Customer for transport at the initial collection point (entry point to the TGPS), with the following parameters: a) pressure no smaller than 6.1 MPa, b) concentration in mole fractions: methane (C 1) - no less than 92.0 % ethane (C 2) - no more than 4.0 % propane (C 3 ), butane (C 4 ) and heavier hydrocarbons - no more than 2.0 % nitrogen (N 2 ) - no more than 2 % carbon dioxide (CO 2 ) - no more than 1.0 % oxygen (O 2 ) - trace amounts mercaptan sulphur - no more than 5.6 mg/m 3 hydrogen sulphide (H 2 S) - no more than 2.0 mg/m 3 total sulphur - no more than 20.0 mg/m 3 c) calorific value at a temperature of t = 20 o C and absolute pressure of bar ( 100) kcal/m 3 or MJ/m 3, d) dew point of hydrocarbons no greater than 0 o C, at head pressure,

40 Tariff for the transmission of high-methane natural gas p. 40 e) dew point of hydrocarbons no greater than -8 o C, at head pressure of 3.92 MPa, f) no mechanical inclusions, resin-forming compounds and tar In the event of any Party failing to meet the following: the TGPS Owner or Customer that concluded a contract with the TGPS Owner, the gas quality parameters specified in point 11.1, the said Party shall compensate the other Party any costs resulting from the improper performance of its obligations in the amount agreed by the Parties in the contract, and should such agreements be absent, in the amount of documented costs incurred on account of the above In the event of any Party failing to meet the following: the TGPS Operator or the Customer, the gas quality parameters specified in point 11.1, the method of discount or fee calculation for failure to meet the parameters shall be specified in the TGPS Code (Part II).