Lessons

TOPIC 43 · CONCISE WORKBOOK

Gas markets, pipelines, storage and electricity fuel risk

Connect scheduling, transport constraints, imbalance and generator fuel cost.

Understand · 1 of 4Self-paced

Reconcile gas commodity and transport

Gas trading and transportation are separate rights. Pipeline capacity, nominations, imbalance and storage withdrawal can constrain a physically useful fuel position. The DWGM, STTM and gas supply hubs have different arrangements; use the relevant market procedure.

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Working relationship

Deliverable fuel = supply available within transport and withdrawal limits

What to keep separate

Do not confuse a financial gas position with firm physical delivery.

Your task

Build a gas-to-power dispatch case with commodity, transport and operational schedules shown separately.

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Supporting diagrams

Gas has a physical route and a commercial route

Trace both before assuming that gas is available to a generator.

  1. 01 · SupplyProduction / storage

    Commodity availability and supply contract

  2. 02 · TransportPipeline capacity

    Capacity rights, nominations and constraints

  3. 03 · UseDelivered fuel

    Generator or industrial demand at the delivery point

Conceptual chain; arrangements differ across Australian gas markets and pipeline contracts. Buying a quantity of gas does not by itself secure every transport or delivery right.