Legal framework: permissions and restrictions (and Ownership constraints (unbundling))

This LAP concerns the permitting framework and processes (or restrictions) on hydrogen based SNG (via methanation) and injection at varying concentrations into the gas grid at the TSO or DSO level, along with technical requirements for and oversight of local grid connections

Glossary:

The existing national legal framework for the TSO/DSO to carry out hydrogen activities, which is normally restricted to natural gas. Ownership constraints refer to the constraints related to ownership associated with the process of injecting.
Is it a barrier?
Yes
Type of Barrier
Regulatory gap
Assessment Severity
3

Questions:

Question 1 Is the legislation with regard to injection of Methane (SNG) via methanation from hydrogen the same as for hydrogen? If yes, question 2-9 are the same as for category 7, application 1: injection of hydrogen in the gas grid and do not have to be answered
There isn’t any methanation from hydrogen and injection of Methane (SNG) in the grid as any injection of hydrogen, therefore there is not regulation on these matters. The only regulation available is the Gas Network Code of SNAM Rete Gas (the Italian gas Transport System Operator), passed by the Authority for the electricity, gas and water market, on 14 November 2002 and continuously updated ever since, which includes provisions that define the terms of service, the obligations and responsibilities that the parties must mutually respect. In particular, it defines the chemical–physical characteristics of the natural gas to be carried in the Snam Rete Gas pipeline network. The only allowed presence of hydrogen in the grid is related to bio–methane fed to the grid. In particular, the maximum allowed concentration of hydrogen in bio–methane s 0.5% by volume. .
Question 7 As TSO/DSO, do you see legal and administrative restrictions with regard to the ownership of your part of the connection facility (the injection installation is related to the connection facility) of SNG from hydrogen into the grid?
n//a
Describe the comparable technology and its relevance with regard to hydrogen
Bio–gas

National legislation:

EU Legislation:

  • Directive 2009/73/EC concerning common rules for the internal market in natural gas
    Directive 2009/73/EC establishes common rules for the transmission, distribution, supply and storage of natural gas.

    Its provisions and obligations apply to Hydrogen Gas by virtue of Article 1 (2), which states that the rules established by this Directive for natural gas, including LNG, shall also apply in a non–discriminatory way to biogas and gas from biomass or other types of gas in so far as such gases can technically and safely be injected into, and transported through, the natural gas system.

    Article 25 establishes the “Tasks of the distribution system operator” which include: ensuring the long-term ability of the system to meet reasonable demands for the distribution of gas […];shall provide any other distribution, transmission, LNG, and/or storage system operator with sufficient information […] as well as to ensure that the system operator does not discriminate between system users or classes of system including, including e.g. when setting rules for the charging of system users, etc

    Article 32 sets the rules on “Third party access”: access to the transmission and distribution system, and LNG facilities shall be based on published tariffs, applicable to all eligible customers, including supply undertakings, and applied objectively and without discrimination between system users.
  • Regulation 715/2009 on conditions for access to the natural gas transmission networks
    Regulation 715/2009 sets non-discriminatory rules for access conditions to (a) natural gas transmission systems; (b) LNG facilities and storage facilities taking into account the special characteristics of national and regional markets

    To achieve this, it sets harmonised principles for tariffs, or the methodologies underlying their calculation, for access to the network, but not to storage facilities, the establishment of third-party access services and harmonised principles for capacity-allocation and congestion-management, the determination of transparency requirements, balancing rules and imbalance charges, and the facilitation of capacity trading.
  • Regulation (EC) No 713/2009 of the European Parliament and of the Council of 13 July 2009 establishing an Agency for the Cooperation of Energy Regulators
    Article 1 Project matter and scope
    This regulation aims at:
    (a) setting non–discriminatory rules for access conditions to natural gas transmission systems taking into account the special characteristics of national and regional markets with a view to ensuring the proper functioning of the internal market in gas;

    Article 8 “Tasks as regards terms and conditions for access to and operational security of cross border infrastructure
  • Commission Regulation (EU) 2015/703 of 30 April 2015 establishing a network code on interoperability and data exchange rules
    The network code on interoperability aligns the complex technical procedures used by network operators within the EU, and possibly with network operators in the Energy Community and other countries neighbouring the EU.Article 7, Measurement principles for gas quantity and quality. In addition to interconnection points, Article 17 shall apply to other points on transmission network where the gas quality is measured. Article 18 shall apply to transmission systems. This Regulation may also apply at entry points from and exit points to third countries, subject to the decision of the national authorities.