07 June 2019
Steps for businesses in the gas sector to take in the event of exiting the EU without a deal
In a no-deal scenario, the mechanisms of cross-border gas trade are not expected to fundamentally change.
National Grid (Great Britain’s Transmission System Operator), Premier Transmission Limited (Northern Ireland’s Transmission System Operator) and the UK’s interconnector operators currently use the PRISMA gas capacity trading platform to allocate capacity at interconnection points. PRISMA is a privately-owned gas capacity trading platform that provides services for a range of EU and non-EU countries. National Grid and Premier Transmission Limited are both PRISMA shareholders and currently hold commercial contracts for PRISMA’s services; their intention is to continue using the PRISMA platform.
There will be changes to:
- access rule approval and trading arrangements
- Transmission System Operator certification
- other gas network codes
Actions which your business may need to take
Interconnectors, code administrators and UK market participants will need to plan for a no-deal scenario. Steps are likely to include:
- Interconnector owners/operators will need to engage with the relevant EU national regulators to ensure approved access rules are in place and understand their processes for the potential reassessment of their Transmission System Operator certifications.
- The administrators of the various domestic industry codes will need to ensure that the codes are updated.
- UK market participants will need to register under the REMIT with an EU regulatory authority for the purposes of market monitoring, to avoid disruption to cross-border trade, trade within EU wholesale energy markets - find more information on the NI Utility Regulator website.
- Market participants should engage with the NI Utility Regulator where their preparations identify significant concerns. Market participants should also check the status of contracts, and licences which may be impacted by the UK’s departure from the EU.
More information for the gas sector and Brexit
Businesses in the gas sector may need to make other changes before the UK leaves the EU. There are general implications for:
- energy and climate
- importing and exporting
- regulation and standards
- your employees
- personal data
- trade associations