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Projects: Projects for Investigator
Reference Number NGGDLGN04
Title Future Billing Methodology
Status Completed
Energy Categories Fossil Fuels: Oil Gas and Coal(Oil and Gas, Other oil and gas) 50%;
Other Cross-Cutting Technologies or Research(Energy Economics) 50%;
Research Types Applied Research and Development 100%
Science and Technology Fields SOCIAL SCIENCES (Economics and Econometrics) 100%
UKERC Cross Cutting Characterisation Not Cross-cutting 100%
Principal Investigator Project Contact
No email address given
Cadent Gas
Award Type Network Innovation Allowance
Funding Source Ofgem
Start Date 01 April 2017
End Date 01 March 2020
Duration ENA months
Total Grant Value £5,381,000
Industrial Sectors Energy
Region London
Programme
 
Investigators Principal Investigator Project Contact , Cadent Gas (100.000%)
Web Site https://smarter.energynetworks.org/projects/NGGDLGN04
Objectives Recommend a revised energy assignment methodology that is robust and equitable to consumers and industry stakeholders to meet future needs.
Abstract This Project explores options for a fair and equitable billing methodology for the gas industry which will be fit-for-purpose in a lower-carbon future. It aims to integrate diverse gas sources without needing to standardise energy content and will inform the industry on billing options for a sustainable gas future. Great Britain (GB) has relied on North Sea Gas since the 1970s with regulations and billing regimes designed for this stable and reliable source of gas. The supply market is changing rapidly with liquefied natural gas (LNG) imports making up 18% of supply in 2015. By 2030 biomethane and bio-substitute natural gas from a large number of sources could account for 10% of domestic gas usage. The current Flow Weighted Average Calorific Value (CV) billing regime may restrict entry to unconventional gases that comply with Gas Safety (Management) Regulations, GS(M)R. Additional, expensive processing is required to match the CV of the primary inputs. The Project explores options for assigning CV at a more specific level, to avoid processing, and could provide a more robust attribution of gas energy to customers generally for decades to come.
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Added to Database 15/12/22