The Gas Act provides for regulations to be made for the purpose of 'providing for the establishment and operation of wholesale markets for gas, including for (i) protocols and standards for reconciling and balancing gas; and (ii) clearing, setting, and reconciling market transactions'. Upstream reconciliation/title tracking is the name given to the process of transferring legal title, or ownership to a tranche of gas. The objective of the project is to consider whether the arrangements for upstream reconciliation/title tracking are fair and efficient and, if not, to recommend alternative arrangements. Specific objectives are to identify issues related to upstream reconciliation/title tracking, and, if necessary, to describe and evaluate reasonably practicable options for addressing the issues.
At present this project is on hold as it is closely linked to the
development of the balancing work stream. Once the direction for balancing is
better known, it will be possible to develop the upstream reconciliation/title
tracking project with greater certainty.