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    Polish, Lithuanian Companies Agree on Non-Binding Open Season Procedure for GIPL

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Summary

The outcome of this phase of the Open Season Procedure will result in respective decisions on launching the Binding Open Season Procedure

by: Sergio

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Natural Gas & LNG News, , Gas Interconnection Poland–Lithuania (GIPL), News By Country, Lithuania, Poland

Polish, Lithuanian Companies Agree on Non-Binding Open Season Procedure for GIPL

The Gas Interconnection Poland – Lithuania (GIPL) project promoters, the Polish and Lithuanian gas transmission system operators, Gas Transmission Operator GAZ System S.A. and AB Amber Grid, agreed to conduct the Non-Binding Open Season Procedure.

‘During this phase, the Polish and Lithuanian gas transmission system operators seek to estimate the market participants’ demand for the firm capacity at the Entry/Exit Point PolandLithuania of the GIPL in both directions of the gas flow’ reads a note released on Thursday

According to GAZ System, the outcome of this phase of the Open Season Procedure will result in respective decisions on launching the Binding Open Season Procedure, where the binding orders on capacity booking will be collected. 

‘The main aim of the Gas Interconnection Poland – Lithuania Open Season Procedure is to identify market interest which shall be confirmed by long-term pipeline capacity booking as well as to define the optimal way of financing of the project.’

In July 2015, AB Amber Grid concluded a contract with UAB Ardynas, a private company that will perform the territorial planning and designing works. Started in 2013, the environmental impact assessment procedure is nearing completion. Another important step – the preparation of the GIPL special plan has been initiated.

Last week, Amber Grid wrote that the two companies launched the preparation of the special plan on the pipeline connecting Poland and Lithuania.

‘This phase will include the development of the territorial planning solutions for the implementation of the GIPL in the territory of the Republic of Lithuania; identification of the optimal locations (strips or areas of land) for the construction of the new pipeline (the gas interconnection between Poland and Lithuania) in the territory of Lithuania ensuring an efficient use of land and forests during the construction and/or operation… It is estimated that the territorial planning tasks will be completed in 2016’ reads the press release

In May, the European Union granted financial assistance to the Spatial Planning and Engineering Design Works of the Poland-Lithuania Gas Interconnection project. Under the agreement signed by Amber Grid and Poland’s Gaz-System, the European Union’s Innovation Network Executive Agency (INEA) granted EUR 10.6 million under the Connecting Europe Facility (CEF).