GRI 102-10, 103-3
   
 

Who­le­sa­le bu­si­ness

Ope­ra­tions in Po­land

Operations involving wholesale of natural gas produced from domestic fields and imported by pipelines and by sea are conducted by PGNiG. Through its specialised organisational unit, the Wholesale Trading Branch, it trades in natural gas, LNG, crude oil, electricity, CO2 emission allowances, and property rights. The Wholesale Trading Branch is also responsible for the import policy and diversification of gas fuel supply sources to Poland. 

As part of its bu­si­ness, PGNiG holds a li­cen­ce to tra­de in gas fu­els, tra­de in na­tu­ral gas abro­ad, ge­ne­ra­te elec­tri­ci­ty, tra­de in elec­tri­ci­ty, li­qu­efy na­tu­ral gas, and re­ga­si­fy li­qu­efied na­tu­ral gas at LGN re­ga­si­fi­ca­tion plants.

Gas im­ports

In 2019, PGNiG pur­cha­sed na­tu­ral gas ma­in­ly un­der the lon­g-term agre­ements and con­tracts spe­ci­fied be­low:

  • Contract with PAO Gazprom/OOO Gazprom Export, for sale of natural gas to the Republic of Poland, dated September 25th 1996, effective until 2022 (the Yamal contract);
  • Contract with Qatar Liquefied Gas Company Limited (3) for sale of liquefied natural gas, dated June 29th 2009, effective until 2034 (the Qatar contract), and supplementary agreement to the long-term agreement of March 2017 (effective from the beginning of 2018 to 2034);
  • Contract with Cheniere Marketing International, LLP for sale / purchase of liquefied natural gas, dated November 8th 2018, effective until 2042.

PGNiG al­so re­ce­ived gas un­der me­diu­m- and shor­t-term con­tracts for grid de­li­ve­ries and LNG sup­ply (e.g. the fi­ve­-y­ear con­tract which en­te­red in­to for­ce in 2019 for ni­ne li­qu­efied na­tu­ral gas ship­ments from Cen­tri­ca LNG Com­pa­ny Li­mi­ted).

Im­ports of na­tu­ral gas to Po­land in 2015–2019 (bcm)

In 2019, the im­por­ted gas vo­lu­me was 162.9 Twh (14.9bcm). Gas pur­cha­ses from co­un­tries east of Po­land fell by 1.0TWh (ap­pro­xi­ma­te­ly 0.1 bcm) com­pa­red with 2018. LNG de­li­ve­ries in­cre­ased si­gni­fi­can­tly, from 29.8 Twh (2.7bcm) in 2018, to 37.6TWh (3.4 bcm) in 2019.

In 2019, PGNiG to­ok fur­ther steps to di­ver­si­fy its gas sup­ply so­ur­ces and bu­ild the gas port­fo­lio. On Sep­tem­ber 12th 2019, PGNiG exe­cu­ted an an­nex to the lon­g-term con­tract for the sup­ply of LNG with Ven­tu­re Glo­bal Pla­qu­emi­nes LNG, LLC, da­ted Sep­tem­ber 28th 2018.Un­der the an­nex, the vo­lu­me of LNG de­li­ve­ries to PGNiG from the plan­ned Pla­qu­emi­nes LNG li­qu­efac­tion ter­mi­nal in Pla­qu­emi­nes Pa­rish, the US, was in­cre­ased from 1m ton­ne to 2.5m ton­nes an­nu­al­ly, which cor­re­sponds to a to­tal vo­lu­me of ne­ar­ly 3.4 bcm of na­tu­ral gas after re­ga­si­fi­ca­tion. Fol­lo­wing exe­cu­tion of the An­nex, the to­tal vo­lu­me of LNG de­li­ve­ries from Ven­tu­re Glo­bal Pla­qu­emi­nes LNG, LLC and Ven­tu­re Glo­bal Cal­ca­sieu Pass, LLC to PGNiG in 2023–2043 may re­ach 3.5m ton­nes of LNG per year, i.e. over 4.7 bcm of na­tu­ral gas after re­ga­si­fi­ca­tion per year. The de­li­ve­ries will be ma­de on a fre­e-o­n-bo­ard ba­sis.

PGNiG ac­ti­ve­ly sup­ports all ef­forts aimed at the con­struc­tion of an in­fra­struc­tu­ral con­nec­tion that wo­uld gi­ve Po­land di­rect ac­cess to gas from North Sea fields. In Ja­nu­ary 2018, a con­tract was conc­lu­ded for the pro­vi­sion of gas trans­mis­sion se­rvi­ces in the pe­riod from Oc­to­ber 1st 2022 to Sep­tem­ber 30th 2037, as part of the 2017 Open Se­ason pro­ce­du­re of the Bal­tic Pi­pe pro­ject, con­cer­ning gas trans­mis­sion from Nor­way to Po­land via Den­mark. Conc­lu­sion of trans­mis­sion con­tracts with trans­mis­sion sys­tem ope­ra­tors, i.e. GAZ-SYSTEM and Ener­gi­net, with a to­tal va­lue of PLN 8.1bn, was the last sta­ge of the Open Se­ason 2017 pro­ce­du­re.

Re­ne­go­tia­tion of pri­ce terms un­der the con­tract with OOO Gaz­prom Export

In 2019, PGNiG con­ti­nu­ed its ef­forts to chan­ge the pri­ce terms un­der the Ya­mal con­tract, for­mal­ly com­men­ced on No­vem­ber 1st 2014. On Ju­ne 29th 2018, the Ar­bi­tra­tion In­sti­tu­te is­su­ed a par­tial award in the ar­bi­tra­tion pro­ce­eding in­sti­ga­ted by PGNiG aga­inst OOO Gaz­prom Export. In the par­tial award, is­su­ed on an ad hoc ba­sis, the Ar­bi­tra­tion In­sti­tu­te:

  • Found that in November 2014 PGNiG had filed a valid and effective request to renegotiate the contract price;
  • Found that the condition set forth in the Yamal contract, which entitled PGNiG to demand a reduction of the price for the gas supplied by OOO Gazprom Export under the Yamal contract had been satisfied, thus confirming that, in principle, PGNiG’s request to agree on a new, lower contract price was justified; and
  • Found, contrary to OOO Gazprom Export’s contention, that PGNiG had the right to change the contract price within the limits of the claim, also declaring that PGNiG’s initial demand regarding the new price formula was too far-reaching; the Institute also decided ad hoc that the issue of a new contract price would be resolved later in the proceeding.

In ac­cor­dan­ce with the pro­vi­sions of the Ya­mal con­tract, the new con­tract pri­ce de­ter­mi­ned by the Ar­bi­tra­tion In­sti­tu­te sho­uld ap­ply with re­tro­ac­ti­ve ef­fect as of No­vem­ber 1st 2014.

On No­vem­ber 1st 2017 and De­cem­ber 7th 2017, PGNiG and OOO Gaz­prom Export, re­spec­ti­ve­ly, sub­mit­ted fur­ther re­qu­ests for re­ne­go­tia­tion of the pri­ce terms.

Dec­la­ra­tion of will to ter­mi­na­te the Ya­mal con­tract. 

On No­vem­ber 15th 2019, PGNiG se­rved a no­ti­ce upon PAO Gaz­prom and OOO Gaz­prom Export to ter­mi­na­te the Ya­mal con­tract with ef­fect from De­cem­ber 31st 2022 . On De­cem­ber 12th 2019, the Com­pa­ny an­no­un­ced that the Ar­bi­tra­tion In­sti­tu­te clo­sed the evi­den­ce­-he­aring pro­ce­du­re and expects to is­sue the fi­nal judg­ment in Fe­bru­ary or March 2020. 

LNG sup­plies

In 2019, PGNiG re­ce­ived a to­tal of 31 LNG ship­ments to Po­land, with a to­tal vo­lu­me of 2.46m ton­nes, which is ca. 37.58 TWh or 3.43 bcm of na­tu­ral gas after re­ga­si­fi­ca­tion, in­c­lu­ding:

  • 18 shipments under long-term contracts with Qatargas, with the volume of LNG imports from Qatar totalling 1.65m tonnes, i.e. ca. 25.08 TWh or 2.17 bcm of natural gas after regasification;
  • 10 spot deliveries;
  • 2 deliveries under the PGNiG Group’s medium-term contract with Centrica;
  • 1 shipment under a long-term contract with Cheniere.
Sa­le of gas by PGNiG

Cu­sto­mers buy gas from PGNiG at mar­ket pri­ces, in li­ne with the for­mu­las and pri­cing me­cha­ni­sms set out in the con­tracts. The pri­ces in con­tracts exe­cu­ted by PGNiG are es­ta­bli­shed on a ca­se­-by­-ca­se ba­sis using a uni­form, ob­jec­ti­ve pri­cing me­tho­do­lo­gy. Set­tle­ments with cu­sto­mers are ba­sed on pri­cing for­mu­las or fi­xed pri­ces lin­ked to exchan­ge in­di­ces.

In 2019, PGNiG suc­cess­ful­ly con­ti­nu­ed its sa­les stra­te­gy as a re­sult of which it suc­ce­eded in re­ta­ining its cu­sto­mer ba­se. The lar­gest amo­unts of na­tu­ral gas are sold in Po­land to in­du­strial cu­sto­mers. Ma­jor cu­sto­mers pur­cha­sing na­tu­ral gas in­c­lu­de: PKN Or­len S.A., Pol­ska Gru­pa Ener­ge­tycz­na S.A., KGHM Pol­ska Miedź S.A., Ar­ce­lo­rMit­tal Gro­up, Gru­pa LOTOS S.A., and Gru­pa Azo­ty S.A.

In Ju­ne 2019, Gru­pa Azo­ty S.A. se­rved a no­ti­ce exten­ding the term of gas sup­ply con­tracts exe­cu­ted on Ju­ne 21st 2017 until Sep­tem­ber 30th 2022. The to­tal va­lue of the fo­ur-y­ear con­tracts, i.e. co­ve­ring the de­li­ve­ry pe­riod from Oc­to­ber 1st 2018 to the end of Sep­tem­ber 2022, is es­ti­ma­ted to exce­ed PLN 8bn.

In 2019, PGNi­G’s sa­les of hi­gh-me­tha­ne grid gas in Po­land amo­un­ted to 175 TWh (ca. 16 bcm). The sa­les vo­lu­me fell year on year by 1.7%, from 172 TWh (15.7 bcm) in 2018.

Sa­le of gas by PST

In 2018, PST ope­ned a branch in Po­land with a view to es­ta­bli­shing re­la­tions with cu­sto­mers pur­cha­sing ener­gy in Po­land and other Eu­ro­pe­an co­un­tries by bu­il­ding on exi­sting con­tacts with bran­ches of in­ter­na­tio­nal com­pa­nies. 

In 2019, a se­pa­ra­te cu­sto­mer port­fo­lio was trans­fer­red from PGNiG to PST (the last con­tract was trans­fer­red in Ja­nu­ary 2020). Du­ring the year, PST acqu­ired three new cu­sto­mers. The com­pa­ny be­ca­me a mem­ber of the Po­lish Po­wer Exchan­ge (PPX) and ope­ned a tra­ding of­fi­ce in War­saw.

In 2019, PST supplied gas to 20 customers and 37 delivery points in Poland.
Exports 

In 2019, PGNiG con­ti­nu­ed to sell na­tu­ral gas to the Ukra­inian mar­ket, in co­ope­ra­tion with the ERU Gro­up of Ukra­ine. Its 2019, the sa­les to Ukra­ine to­tal­led 544 mcm (5.97 TWh).

PGNiG exe­cu­ted con­tracts with Ukra­inian ope­ra­tors of gas trans­mis­sion pi­pe­li­nes and gas sto­ra­ge fa­ci­li­ties (Tran­smis­sion Sy­stem Ope­ra­tor of Ukra­ine LLC and JSC Ukr­trans­gaz). The Com­pa­ny mo­ni­tors growth op­por­tu­ni­ties on the Ukra­inian mar­ket.

Gas sold by PGNiG on the PPX

The vo­lu­me of gas sold by PGNiG on the PPX in 2019 (sa­les with de­li­ve­ry da­tes in 2019) in­cre­ased year on year by ap­pro­xi­ma­te­ly 4.7 Twh to 97.8 TWh (8.91 bcm). 

Smal­l-sca­le LNG sa­les

In 2019, PGNiG de­ve­lo­ped its ope­ra­tions in the smal­l-sca­le LNG bu­si­ness seg­ment, whe­re gas is sold in the form of LNG trans­por­ted by ro­ad tan­kers to re­ga­si­fi­ca­tion fa­ci­li­ties or sta­tions with no ac­cess to the di­stri­bu­tion ne­twork. The vo­lu­me of fu­el de­li­ve­red to end users in the form of li­qu­efied na­tu­ral gas is gro­wing ste­adi­ly. 2,306 ro­ad tan­kers we­re lo­aded with LNG in Świ­no­uj­ście in 2019, com­pa­red with 1,794 in 2018, and 1,523 in 2017. In 2019, the ag­gre­ga­te amo­unt of LNG the Com­pa­ny pla­ced on the mar­ket was 59.2 tho­usand ton­nes, of which 39.9 tho­usand ton­nes was so­ur­ced thro­ugh Świ­no­uj­ście and 20.1 tho­usand ton­nes from Odo­la­nów and Gro­dzisk Wiel­ko­pol­ski. The ag­gre­ga­te amo­unt of LNG the Com­pa­ny pla­ced on the mar­ket in 2016–2019 was 195.5 tho­usand ton­nes, of which 107.7 tho­usand ton­nes was so­ur­ced thro­ugh Świ­no­uj­ście, whi­le 87.8 tho­usand ton­nes from Odo­la­nów and Gro­dzisk Wiel­ko­pol­ski.

Sa­le of elec­tri­ci­ty

On the elec­tri­ci­ty mar­ket, PGNiG is en­ga­ged pri­ma­ri­ly in who­le­sa­le tra­ding. To­tal sa­les of elec­tri­ci­ty to tra­ding com­pa­nies and on the Po­lish Po­wer Exchan­ge ac­co­un­ted for mo­re than 90% of its to­tal elec­tri­ci­ty sa­les in 2019. 

PGNiG al­so pro­vi­ded se­rvi­ces un­der a com­mer­cial ba­lan­cing agre­ement to PGNiG OD and the PGNiG TERMIKA Gro­up. 

Ca­pa­ci­ty mar­ket

Fol­lo­wing auc­tions or­ga­ni­sed by Pol­skie Sie­ci Ener­ge­tycz­ne in 2018 and 2019 (re­la­ted to the im­ple­men­ta­tion of the ca­pa­ci­ty mar­ket and the ca­pa­ci­ty obli­ga­tion), PGNiG conc­lu­ded the fol­lo­wing agre­ements:

  • Power plant at Wierzchowice UGSF – annual supply contracts for 2021–2024 (net capacity of 17 MW);
  • Radoszyn-Lubiatów-Połęcko generating units complex – annual supply contracts for 2021–2023 (net capacity of 4.5 MW);
  • Radoszyn-Lubiatów generating units complex – annual supply contract for 2024, net capacity of 3.5 MW.

Fo­re­ign ope­ra­tions

The PGNiG Group expands its business in Europe, in the wholesale and end user supply segments, through PST (wholesale) and PST Europe Sales GmbH (retail sale). As part of its business, PST holds a licence to trade in gas fuels.

PST is an ac­ti­ve play­er on or­ga­ni­sed mar­kets (exchan­ges) and in OTC tra­ding. It tra­des with over 100 co­un­ter­par­ties un­der EFET (ma­ster agre­ements for tra­ding in gas and elec­tri­ci­ty) or si­mi­lar stan­dar­di­sed con­tracts. In or­der to con­duct tra­ding ac­ti­vi­ties on the glo­bal LNG mar­ket, the com­pa­ny has es­ta­bli­shed a branch in Lon­don. For mo­re in­for­ma­tion on the Lon­don Of­fi­ce pro­ject.

PST ope­ra­tes in Ger­ma­ny and in ne­igh­bo­uring co­un­tries: Au­stria, the Czech Re­pu­blic, the Ne­ther­lands, on the UK gas mar­ket (NBP), and has re­ached ope­ra­tio­nal re­adi­ness in Fran­ce and Po­land. PST is al­so re­gi­ste­red as a for­war­ding ope­ra­tor in Den­mark, Slo­va­kia and, sin­ce 2018, in Hun­ga­ry. PST is a mar­ket ma­ker on the PEGAS exchan­ge for the GASPOOL gas hub mar­ket area.

PST con­ti­nu­es ope­ra­tions in the area of tra­ding in fu­tu­res con­tracts for Brent cru­de on the ICE Fu­tu­res Eu­ro­pe exchan­ge and se­cu­ring LNG sup­plies thro­ugh the ICE Fu­tu­res U.S. exchan­ge. It al­so sells elec­tri­ci­ty on the Ger­man mar­ket in exchan­ge (EEX) and OTC trans­ac­tions.

Sa­les of PST, in­c­lu­ding its sub­si­dia­ries, by pro­duct (in vo­lu­me terms)

Sa­les of PST, in­c­lu­ding its sub­si­dia­ries, by co­un­try (in vo­lu­me terms)

Pro­duct sa­les and ope­ra­tions in 2019 

In 2019, PST sold 84.2 TWh of gas de­li­ve­red by pi­pe­li­nes, 10.4 TWh of LNG, and 5.5 TWh of elec­tri­ci­ty, in exchan­ge and OTC trans­ac­tions. Po­land is PST’s lar­gest mar­ket, ac­co­un­ting for 40% of its sa­les vo­lu­mes, whi­le the Dutch and Ger­man mar­kets ac­co­unt for 32% and 27%, re­spec­ti­ve­ly.

PST’s key con­tracts ef­fec­ti­ve in 2019 in­c­lu­ded a con­tract for the pro­vi­sion of the tic­ke­ting se­rvi­ce in­vo­lving ma­in­te­nan­ce of man­da­to­ry gas stocks in Po­land of 576 GWh (with PGNiG) and con­tracts for the ma­na­ge­ment of Au­strian gas sto­ra­ge ca­pa­ci­ties (a wor­king vo­lu­me of 17 GWh).

Re­ta­il bu­si­ness

Re­ta­il bu­si­ness in Po­land

On Au­gust 1st 2014, PGNiG OD was spun off from PGNiG to con­duct re­ta­il sa­le of na­tu­ral gas and pro­vi­de re­ta­il cu­sto­mer se­rvi­ces. PGNiG OD fo­cu­ses on the sa­le of na­tu­ral gas (pur­cha­sed ma­in­ly on the PPX), elec­tri­ci­ty, com­pres­sed na­tu­ral gas (CNG), and li­qu­efied na­tu­ral gas (LNG). As part of its bu­si­ness, PGNiG OD holds a li­cen­ce to tra­de in gas fu­els and in elec­tri­ci­ty.

So­ur­ces of gas

Hi­gh-me­tha­ne gas is pro­cu­red from three ma­in so­ur­ces:

  •  
  • Purchase of gas on the Polish Power Exchange (PPX);
  • Purchase of gas under a bilateral contract executed with PGNIG, with deliveries to a virtual trading point in the transmission network operated by GAZ-SYSTEM;
  • Purchase of gas under a bilateral contract executed with PGNIG, with deliveries to a physical trading point in Słubice.

The lar­gest sha­re in the vo­lu­me of hi­gh-me­tha­ne gas pur­cha­ses is at­tri­bu­ta­ble to trans­ac­tions on the PPX. Apart from na­tu­ral gas, PGNi­G’s pur­cha­se port­fo­lio al­so in­c­lu­des hi­gh-me­tha­ne and ni­tro­ge­n-rich gas, and li­qu­efied na­tu­ral gas (LNG). Ni­tro­ge­n-rich gas and LNG are pur­cha­sed un­der bi­la­te­ral con­tracts with PGNiG.

Sa­les of gas 

PGNiG OD’s cu­sto­mer ba­se in­c­lu­des con­su­mers and non-con­su­mers (small and me­dium en­ter­pri­ses). Cu­sto­mers are clas­si­fied in­to ta­riff gro­ups ba­sed on the fol­lo­wing cri­te­ria:

  • Type of gas fuel received: high-methane gas or nitrogen-rich gas;
  • Contractual capacity;
  • Annual volume of gas taken: for customers receiving up to 110 kWh/h of gas fuel;
  • Billing system – as per the billing frequency applicable to customers with a contractual capacity of not more than 110 kWh/h.

Gro­up 1-4 re­ta­il cu­sto­mers pur­cha­se gas used ma­in­ly for co­oking and for wa­ter and spa­ce he­ating, as well as in sho­p-flo­or pro­ces­ses. Na­tu­ral gas for ho­use­holds is bil­led ba­sed on a ta­riff va­lid until Ja­nu­ary 1st 2024. In 2019, PGNiG OD ap­plied the fol­lo­wing gas fu­el tra­ding ta­riffs:

  • Amendment No. 2 to PGNiG OD Tariff No. 6 – from August 10th 2018 to February 14th 2019, resulting in a 5.9% increase in gas fuel prices;
  • Tariff No. 7 effective until December 31st 2019, resulting in a 2.5% increase in gas fuel prices.

In De­cem­ber 2019, the Pre­si­dent of URE ap­pro­ved Ta­riff No. 8 to be ef­fec­ti­ve from Ja­nu­ary 1st 2020 to Ju­ne 30th 2020, which re­du­ced gas fu­el pri­ces by 2.9%.

In 2019, PGNiG OD acqu­ired ap­pro­xi­ma­te­ly 163,000 new re­ta­il ac­co­unts in ta­riff gro­ups 1–4 (both hi­gh-me­tha­ne and ni­tro­ge­n-rich gas). Bu­si­ness cu­sto­mers buy gas both for the pur­po­ses of the­ir in­du­strial pro­ces­ses and for he­ating, and are bil­led at pri­ces set in the bu­si­ness ta­riff and in spe­cial of­fers.

Sa­les of other hy­dro­car­bons

PGNiG OD of­fers a ran­ge of LNG and CNG pro­ducts and se­rvi­ces ad­dres­sed to end users. The com­pa­ny­’s of­fer in­c­lu­des:

  • Sale of CNG at CNG refuelling stations – to customers with CNG car fleets;
  • Sale of CNG along with infrastructure – a comprehensive service offered by PGNiG OD, where gas fuel is delivered along with the necessary infrastructure;
  • Sale of LNG fuel – to end users with own infrastructure for the receipt of LNG deliveries (transport or industry);
  • Sale of LNG along with infrastructure – irrespective of how LNG is used by the end customer (transport or industry), a comprehensive service is offered where gas fuel is delivered along with the necessary infrastructure;
  • LNG bunkering – a service launched in 2019, consisting in LNG ship bunkering from road tankers berthed in ports (truck-to-ship method).

As re­gards LNG, PGNiG OD fo­cu­ses on in­du­strial cu­sto­mers, whi­le cu­sto­mers in the CNG seg­ment are ma­in­ly mu­ni­ci­pal trans­port com­pa­nies. Other CNG cu­sto­mers in­c­lu­de com­mer­cial ve­hic­les and re­ta­il cu­sto­mers. In 2019, 29 LNG fu­el sa­le con­tracts we­re exe­cu­ted, in­c­lu­ding con­tracts with Syn­thos Dwo­ry 7 Sp. z o.o., Miej­skie Za­kła­dy Au­to­bu­so­we Sp. z o.o. of War­saw, LOTOS As­falt Sp. z o.o. - for the sup­ply of LNG to a fle­et of ves­sels.

In the ca­se of the CNG fu­el, 76 sa­le con­tracts we­re conc­lu­ded, and the vo­lu­mes sold at CNG sta­tions in 2019 re­ached 20.6m Nm3. The lar­gest con­tract for the sa­le of CNG in 2019 was si­gned with Ar­ri­va for a pe­riod of eight years.

Gas fu­el sa­les un­der emer­gen­cy / stand­by / last re­sort sup­plier pro­ce­du­res

In 2019, PGNiG OD ac­ted as an ‘e­mer­gen­cy sup­plie­r’ (in con­nec­tion with the Re­gu­la­tion of the Mi­ni­ster of Ener­gy of Sep­tem­ber 21st 2018 Amen­ding the Re­gu­la­tion on Spe­ci­fic Con­di­tions for the Ope­ra­tion of the Gas Sy­stem), as well as ‘stan­d-by sup­plie­r’ and ‘last re­sort sup­plie­r’ (in con­nec­tion with the Act Amen­ding the Ener­gy Law and Cer­ta­in Other Acts of No­vem­ber 9th 2018). In 2019, fol­lo­wing di­scon­ti­nu­ation of gas fu­el sup­plies by ener­gy com­pa­nies, in­c­lu­ding Ener­gy Match Sp. z o.o., Her­mes Ener­gy Gro­up S.A. and Oran­ge Ener­gia, PGNiG OD en­su­red un­di­srup­ted sup­ply of gas fu­el to the­ir cu­sto­mers. Cu­sto­mers ta­ken over from other sup­pliers are bil­led at pri­ces set in the re­ta­il ta­riff of PGNiG OD (con­su­mers) or the ‘Gas for Bu­si­nes­s’ ta­riff (non-con­su­mers), as ap­pli­ca­ble.

Sa­le of elec­tri­ci­ty

PGNiG OD’s cu­sto­mer ba­se in­c­lu­des con­su­mers and non-con­su­mers who ha­ve conc­lu­ded com­pre­hen­si­ve se­rvi­ce con­tracts for the sup­ply of elec­tri­ci­ty or con­tracts for the sa­le of elec­tri­ci­ty. As at the end of 2019, PGNiG OD had ap­pro­xi­ma­te­ly 89,000 cu­sto­mers on du­al fu­el (elec­tri­ci­ty and gas) plans, in­c­lu­ding 89% con­su­mer ac­co­unts and 11% non-con­su­mer ac­co­unts. 

Re­ta­il bu­si­ness abro­ad

In 2015, PST spun off its re­ta­il ope­ra­tions, which ha­ve sin­ce be­en car­ried out thro­ugh its sub­si­dia­ry, PST ES, sel­ling gas and elec­tri­ci­ty to end users in Ger­ma­ny and Au­stria. Tar­get cu­sto­mers in­c­lu­de small and me­diu­m-si­zed en­ter­pri­ses (SMEs) and ho­use­holds with stan­dard con­sump­tion pro­fi­les.

The num­ber of cu­sto­mers de­cre­ased to 39 tho­usand as at De­cem­ber 31st 2019 from 43 tho­usand as at the end of the pre­vio­us year. In 2019, PST ES exe­cu­ted 26.3 tho­usand new con­tracts, with de­li­ve­ries sche­du­led to be­gin in 2019 and the fol­lo­wing years con­fir­med un­der 45% of them.

Sto­ra­ge bu­si­ness

The seg­ment uses the wor­king ca­pa­ci­ties of the Wierz­cho­wi­ce, Hu­sów, Stra­cho­ci­na, Swa­rzów and Brzeź­ni­ca un­der­gro­und gas sto­ra­ge fa­ci­li­ties, as well as the Mo­gil­no and Ko­sa­ko­wo un­der­gro­und ca­vern fa­ci­li­ties for its own ne­eds. A part of the wor­king ca­pa­ci­ty of the Mo­gil­no fa­ci­li­ty which was ma­de ava­ila­ble on a TPA ba­sis to GAZ-SYSTEM is not a sto­ra­ge fa­ci­li­ty wi­thin the me­aning of the Po­lish Ener­gy Law. The ca­pa­ci­ties of gas sto­ra­ge fa­ci­li­ties are ma­na­ged by GSP, con­duc­ting ac­ti­vi­ties in the fol­lo­wing two co­re are­as:

  • Regulated activities comprising the provision of gas fuel storage services at storage facilities owned by PGNiG, as well as operation of the Mogilno and Kosakowo underground gas storage caverns;
  • Non-regulated activities comprising services related to design, construction and extension of underground gas storage facilities.

Un­der­gro­und gas sto­ra­ge fa­ci­li­ties

So­ur­ce: In-ho­use ana­ly­sis ba­sed on da­ta from the Ge­olo­gy and Hy­dro­car­bon Pro­duc­tion Branch. 

As part of its bu­si­ness, GSP holds a li­cen­ce to sto­re gas fu­el in sto­ra­ge fa­ci­li­ties. Set­tle­ments of gas fu­el sto­ra­ge se­rvi­ces with sto­ra­ge se­rvi­ce cu­sto­mers are ba­sed on the fol­lo­wing ta­riffs:

  • Amended Tariff No 1/2018, effective until April 15th 2019 – in relation to the former Tariff No 1/2018, the average storage fee was increased by 0.4%.
  • Tariff No 1/2019, effective from April 15th 2019 hours onwards – in relation to the previous tariff (Tariff No. 1/2018), the average storage fee rate was reduced by 6.3%;

Un­der an out­so­ur­cing agre­ement, GSP pro­vi­des sto­ra­ge se­rvi­ces at un­der­gro­und hi­gh-me­tha­ne gas sto­ra­ge fa­ci­li­ties owned by PGNiG.

Shor­t-term pe­ak fluc­tu­ations in de­mand for na­tu­ral gas are ba­lan­ced by sup­plies from the Mo­gil­no and Ko­sa­ko­wo fa­ci­li­ties, whe­re gas is sto­red in wor­ke­d-o­ut salt ca­verns. The ca­pa­ci­ties of the Wierz­cho­wi­ce, Hu­sów, Stra­cho­ci­na, Swa­rzów and Brzeź­ni­ca UGSFs are used to ba­lan­ce out chan­ges in de­mand for na­tu­ral gas in the sum­mer and win­ter se­asons, to me­et the obli­ga­tions un­der ta­ke­-o­r-pay im­port con­tracts, to en­su­re the con­ti­nu­ity and se­cu­ri­ty of na­tu­ral gas sup­plies, and to me­et the obli­ga­tions un­der gas sup­ply con­tracts with cu­sto­mers.

GSP, in its ca­pa­ci­ty of the sto­ra­ge sys­tem ope­ra­tor, pro­vi­des gas fu­el sto­ra­ge se­rvi­ces to sto­ra­ge fa­ci­li­ty users un­der stan­dar­di­sed pro­ce­du­res, on a no­n-di­scri­mi­na­to­ry, equ­al-tre­at­ment ba­sis, so as to en­su­re the most ef­fi­cient use of the sto­ra­ge ca­pa­ci­ties. Sto­ra­ge se­rvi­ces are pro­vi­ded un­der stan­dard sto­ra­ge se­rvi­ce agre­ements (SSSA).

As at De­cem­ber 31st 2019, un­der SSSA, GSP pro­vi­ded a to­tal of 166.8 tho­usand lon­g-term sto­ra­ge ca­pa­ci­ty pac­ka­ges, in­c­lu­ding 68.9 tho­usand pac­ka­ges of sto­ra­ge se­rvi­ces pro­vi­ded on a firm ba­sis, and 97.8 tho­usand pac­ka­ges on an in­ter­rup­ti­ble ba­sis. As part of shor­t-term sto­ra­ge se­rvi­ces on an in­ter­rup­ti­ble ba­sis as at De­cem­ber 31st 2019, GSP al­lo­ca­ted up to 931 sto­ra­ge ca­pa­ci­ty pac­ka­ges/flexible pac­ka­ges.

Thir­d-par­ty ac­cess (TPA) sto­ra­ge ca­pa­ci­ties

As at De­cem­ber 31st 2019, GSP had a to­tal wor­king sto­ra­ge ca­pa­ci­ty of  3,074.8 mcm, of which a to­tal of 3,039.59 mcm was ma­de ava­ila­ble, on a TPA (thir­d-par­ty ac­cess) ba­sis and to GAZ-SYSTEM, as part of lon­g-term se­rvi­ces ca. 23 mcm, out of ca. 30 mcm, of wor­king ca­pa­ci­ty was ma­de ava­ila­ble as part of shor­t-term se­rvi­ces, on an in­ter­rup­ti­ble ba­sis, due to tech­ni­cal con­di­tions. In ad­di­tion, GSP al­lo­ca­ted ca. 5 mcm of wor­king ca­pa­ci­ty for the ne­eds of the Mo­gil­no CUGSF’s and Ko­sa­ko­wo CUGSF’s tech­no­lo­gi­cal units.

Total working storage capacities and TPA working storage capacities

 

Working storage capacities  (mcm)
TPA working storage capacities (mcm)
TPA working storage capacities (GWh)

 

2019
2018
2019
2018
2019
2018
Kawerna Storage Facilities Group
825
825
813
813
8,915
8,915
Wierzchowice SF
1,200
1,200
1,200
1,200
13,166
13,166
Sanok Storage Facilities Group
1,050
1,050
1,050
1,050
11,521
11,521
Total
3,075
3,075
3,063
3,063
33,602
33,602
* Converted to gas with a calorific value of 39.5 MJ/m3.

 

Tic­ke­ting se­rvi­ce – PGNiG

PGNiG of­fers a tic­ke­ting se­rvi­ce which al­lows gas im­por­ters and tra­ders to me­et the­ir ga­s-stoc­king obli­ga­tions in ac­cor­dan­ce with the ap­pli­ca­ble Po­lish re­gu­la­tions. The Com­pa­ny per­forms tic­ke­ting se­rvi­ce con­tracts conc­lu­ded for the gas year 2019/2020 with six ener­gy com­pa­nies. The to­tal vo­lu­me of na­tu­ral gas stocks ma­in­ta­ined by PGNiG for thir­d-par­ty cu­sto­mers exce­eds 370 GWh. 

As part of the tic­ke­ting se­rvi­ce, PGNiG ma­in­ta­ins gas stocks in gas sto­ra­ge fa­ci­li­ties ope­ra­ted by GSP. 

Pow­rót do gó­ry en

This me­nu al­lows you to go to ano­ther sub­pa­ge in this chap­ter