Decision on Seasonal Multiplier Factors for Gas Transmission

20 May 2020

Gas flame

Today we announce our decision on the seasonal multiplier factors to be applied to non-annual capacity bookings in the postalised tariff from 1 October 2020.

The annual consultation on these factors was published 21 February 2020 as required by EU Regulation 2017/460, the Network Code on Harmonised Transmission Tariff Structures for Gas (“TAR NC”).

Seasonal multipliers factors apply to non-annual entry capacity products, for example monthly or daily capacity bookings, by applying a multiplier which either increases or decreases the relevant proportion of the annual tariff. The factors reflect the seasonality of gas flows during the year and are set to incentivise suppliers to make more use of the network in the summer and shift demand away from the winter peak. The tariff for a non-annual capacity product is calculated by multiplying the annual tariff by the appropriate seasonal multiplier. These have been included in the gas transmission charging regime since October 2015.

We received two responses from:

The respondents were supportive of the proposal in the consultation and, as there is no signal to suggest the current factors are no longer appropriate, as those factors meet the requirements of the EU Regulation, we have decided to maintain the current factors into the Gas Year 2020/21.

Copies of all documents will be made available in large print, Braille, audio cassette and a variety of relevant minority languages if required.