Click here download the Gas regulation 2019 report, published by Getting the Deal Through.

Jurisdictions covered

The following 24 jurisdictions are covered in this report:

Albania; Angola; Austria; Brazil; Croatia; Denmark; European Union; Faroe Islands; France; Germany; Greenland; India; Italy; Japan; Mexico; Myanmar; Nigeria; Norway; Pakistan; Portugal; Spain; Thailand; United Kingdom; United States

Questions

The set of questions relating to the topic of Gas regulation and answered by the guide for each jurisdiction covered include:

Description of domestic sector

• • Describe the domestic natural gas sector, including the natural gas production, liquefied natural gas (LNG) storage, pipeline transportation, distribution, commodity sales and trading segments and retail sales and usage.
• • What percentage of the country’s energy needs is met directly or indirectly with natural gas and LNG? What percentage of the country’s natural gas needs is met through domestic production and imported production?

Government policy

• • What is the government’s policy for the domestic natural gas sector and which bodies set it?

Regulation of natural gas production

• • What is the ownership and organisational structure for production of natural gas (other than LNG)? How does the government derive value from natural gas production?
• • Describe the statutory and regulatory framework and any relevant authorisations applicable to natural gas exploration and production.
• • Are participants required to provide security or any guarantees to be issued with a licence to explore for or to store gas?

Regulation of natural gas pipeline transportation and storage

• • Describe in general the ownership of the natural gas pipeline transportation, and storage infrastructure.
• • Describe the statutory and regulatory framework and any relevant authorisations applicable to the construction, ownership, operation and interconnection of natural gas transportation pipelines, and storage.
• • How does a company obtain the land rights to construct a natural gas transportation or storage facility?
• • How is access to the natural gas transportation system and storage facilities arranged? How are tolls and tariffs established?
• • Can customers, other natural gas suppliers or an authority require a pipeline or storage facilities owner or operator to expand its facilities to accommodate new customers? If so, who bears the costs of interconnection or expansion?
• • Describe any statutory and regulatory requirements applicable to the processing of natural gas to extract liquids and to prepare it for pipeline transportation.
• • Describe the contractual regime for transportation and storage.

Regulation of natural gas distribution

• • Describe in general the ownership of natural gas distribution networks.
• • Describe the statutory and regulatory structure and authorisations required to operate a distribution network. To what extent are gas distribution utilities subject to public service obligations?
• • How is access to the natural gas distribution grid organised? Describe any regulation of the prices for distribution services. In which circumstances can a rate or term of service be changed?
• • May the regulator require a distributor to expand its system to accommodate new customers? May the regulator require the distributor to limit service to existing customers so that new customers can be served?
• • Describe the contractual regime in relation to natural gas distribution.

Regulation of natural gas sales and trading

• • What is the ownership and organisational structure for the supply and trading of natural gas?
• • To what extent are natural gas supply and trading activities subject to government oversight?
• • How are physical and financial trades of natural gas typically completed?
• • Must wholesale and retail buyers of natural gas purchase a bundled product from a single provider? If not, describe the range of services and products that customers can procure from competing providers.

Regulation of LNG

• • What is the ownership and organisational structure for LNG, including liquefaction and export facilities, and receiving and regasification facilities?
• • Describe the regulatory framework and any relevant authorisations required to build and operate LNG facilities.
• • Describe any regulation of the prices and terms of service in the LNG sector.

Mergers and competitions

• • Which government body may prevent or punish anti-competitive or manipulative practices in the natural gas sector?
• • What substantive standards does that government body apply to determine whether conduct is anti-competitive or manipulative?
• • What authority does the government body have to preclude or remedy anticompetitive or manipulative practices?
• • Does any government body have authority to approve or disapprove mergers or other changes in control over businesses in the sector or acquisition of production, transportation or distribution assets?
• • In the purchase of a regulated gas utility, are there any restrictions on the inclusion of the purchase cost in the price of services?
• • Are there any restrictions on the acquisition of shares in gas utilities? Do any corporate governance regulations or rules regarding the transfer of assets apply to gas utilities?

International

• • Are there any special requirements or limitations on foreign companies acquiring interests in any part of the natural gas?
• • To what extent is regulatory policy affected by treaties or other multinational agreements?
• • What rules apply to cross-border sales or deliveries of natural gas?

Transactions between affiliates

• • What restrictions exist on transactions between a natural gas utility and its affiliates?
• • Who enforces the affiliate restrictions and what are the sanctions for non-compliance?