Wholesale Gas Quadrant BPS Work Paper on R16007

By Sylvia Munson

Discussion:

The purpose of the R16007 request is to create changes in the NAESB standards, that enable a pipeline that is offering a service that permits a shipper to submit a nomination with hourly flexibility within a daily quantity, to do so using the NAESB standards.

FIS currently has two customers that offer this service to customers. Each of them accept the nominations on the NAESB standard cycles. The nomination can contain up to 24 different hourly flows (fewer for an intraday cycle), that define the shape of the nomination flow throughout the gas day.

In one case, the shipper submits a daily quantity for each of the 24 hours and we then calculate an hourly flow from that quantity by dividing by 24.

In the other case, the shipper submits an hourly quantity for each of the 24 hours.

To provide a standard approach, we would recommend an hourly quantity. By using an hourly quantity, we avoid the pipeline having to round and balance the quantities mathematically and give the shipper a clearer expectation.

FIS is not asking for a level of detail of nominations lower than an hourly quantity.

This nomination may be for one day or multiple days. If the change is submitted on an intra-day basis, then it applies to only one day or the remainder of that day.

Example 1:

A Shipper submits a shaped nomination in the Timely or Evening Cycle with a nomination containing 24 hours of quantities. Without the shaped nomination, the shipper’s nomination would have been 36,000 for the day.

9am / 10am / 11am / 12pm / 1pm / 2pm / 3pm / 4pm / 5pm / 6pm
1,000 / 1,000 / 1,000 / 1,000 / 1,000 / 1,000 / 2,000 / 3,000 / 4,000 / 5,000
7pm / 8pm / 9pm / 10pm / 11pm / 12a / 1am / 2am / 3am / 4am
5,000 / 2,000 / 2,000 / 1,000 / 500 / 500 / 500 / 500 / 500 / 500
5am / 6am / 7am / 8am
500 / 500 / 1,000 / 1,000

Example 2:

The same shipper submits an Intra-day 1 change to the previous nomination. This nomination increases the flow of gas for the hours 4pm-5pm, 5pm-6pm, 6pm-7pm and 7pm-8pm by 1,000 each giving a total nomination for the day of 40,000.

2pm / 3pm / 4pm / 5pm / 6pm
1,000 / 2,000 / 4,000 / 5,000 / 6,000
7pm / 8pm / 9pm / 10pm / 11pm / 12a / 1am / 2am / 3am / 4am
6,000 / 2,000 / 2,000 / 1,000 / 500 / 500 / 500 / 500 / 500 / 500
5am / 6am / 7am / 8am
500 / 500 / 1,000 / 1,000

Example 3:

The same shipper submits an Intra-day 2 change to the previous nomination. This nomination decreases the flow of gas for the hours 9pm-10pm by 1,000 giving a total nomination for the day of 39,000.

6pm
6,000
7pm / 8pm / 9pm / 10pm / 11pm / 12a / 1am / 2am / 3am / 4am
6,000 / 2,000 / 1,000 / 1,000 / 500 / 500 / 500 / 500 / 500 / 500
5am / 6am / 7am / 8am
500 / 500 / 1,000 / 1,000

Example 4:

The same shipper submits an Intra-day 3 change to the previous nomination. This nomination increases the flow of gas for the hours 5am-6am, and 6am-7am by 500 each giving a total nomination for the day of 40,000. (Frankly, this shipper needs to learn to forecast better!)

6pm
6,000
7pm / 8pm / 9pm / 10pm / 11pm / 12a / 1am / 2am / 3am / 4am
6,000 / 2,000 / 1,000 / 1,000 / 500 / 500 / 500 / 500 / 500 / 500
5am / 6am / 7am / 8am
1,000 / 1,000 / 1,000 / 1,000

In FIS’s customer case, the shipper submits a daily number and then selects to specify an hourly shape. This service, for informational purposes, is only available to electric generator customers, and has associated contract terms for those customers.

Recommended Solution to be incorporated into combined recommendation with R16003B:

Additional NAESB standards required:

1.2.z1A Shaped Nomination is a nominationin which a Service Requester provides both adaily quantity and a quantity for each hour of the Gas Day.

1.3.z1Where a TSP offers a service under its tariff, general terms and conditions, and/or contract provision(s) which expressly provides for a Service Requester to submit a Shaped Nomination, such nomination should be submitted using the NAESB standards.

Instruction to IR and Technical Subcommittees:

Modify the Nominations and corresponding datasets to accommodate the ability for a shipper to submit Shaped Nominations during each of the NAESB nomination cycles. Investigate whether the solution should accommodate daylight savings time variances of 23-hour days and 25-hour days.