Overview
Owner: Ian Wilson
Status: In Progress
Introduction
In recent years various aspects of pipeline capacity have caused concern. In Gas Industry Co’s 2006 Transmission Access Issues Review paper we identified access to short-term capacity on the Vector pipeline as an issue. More recently, in 2009, the capacity constraint in Vector’s North Pipeline has caught some pipeline users by surprise. It now seems unlikely that additional capacity will be available on the North Pipeline until system reinforcement is built. Since the North Pipeline supplies a wide range of residential, commercial, industrial and power generation customers in and around Hamilton, Auckland, and Whangarei, this could be a constraint to gas market growth in these areas.
Summary of Status: Short- term
Certain features of the commercial arrangements between Vector and it's shippers have reduced retail competition on the constrained pipeline. End users wishing to obtain bids for their gas supply find it is often only the incumbent supplier who can make an unconditional offer. Other retailers must make offers 'subject to the availability of transmission capacity'. This issue has been of great concern to Gas Industry Co.
The Bridge Commitments
Key members of the gas industry have put in place a package of measures to address the short-term issues large end users on the constrained North Pipeline are facing. Gas Industry Co assessed this package known as 'the Bridge Commitments' and considers that they should help ensure existing large end users on the constrained North Pipeline have an effective choice of supplier in the short term.
For more information on the Bridge Commitments and to view Gas Industry Co's assessment, please see the 'The Bridge Commitments' under the 'Short-term' tab.
Summary of Status: Long-term
Gas Transmission Investment Programme
Gas Industry Co has consulted on a project proposal for the Gas Transmission Investment Programme aimed at addressing issues with pipeline access and investment.
To view the proposal and industry submissions, please visit the ‘Long-term’ tab.