Shippers Keen on Poland-Ukraine Capacity

Neighbouring grid operators Ukrtransgaz and Polish Gaz-System have concluded their market screening for capacity between Ukraine and Poland after 2019, they said July 16.

The non-binding survey was to enable shippers to declare expressions of interest in flowing gas across the border in either direction. The results of the procedure will be now analysed and taken into account by both transmission system operators in the future works concerning the expansion of the capacity, they said.

The TSOs found "substantial interest" from market participants, with about 3.9bn m³/yr demand from Poland to Ukraine and 1.6bn m³/yr in the opposite direction. Gaz-System said that any new capacity in the Ukrainian direction may be made available starting from 2022. Poland's long-term gas import contract with Gazprom expires in 2022.

The above results of the non-binding market screening constitute a "very sound basis to conduct further joint analysis and studies on development of the infrastructure between the transmission systems of Poland and Ukraine. The analysis shall also give the ground to the decision on potential binding capacity allocation procedure as the next step of the process," they said.