Major grid capacity reservation interest expressed at DESFA auctions

Gas grid operator DESFA’s auctions offering grid capacity reservations, held last week, have confirmed an increase in interest from Greek and foreign companies, energypress sources have informed.

Capacity reservations for the Greek gas grid’s Sidirokastro exit point and Nea Mesimvria entry point – both are in the north – reached 98.5 percent and 100 percent, respectively.

The Nea Mesimvria entry point, it should be noted, is the interconnection point linking the country’s gas grid with the TAP pipeline for import of Azeri natural gas.

An auction is still in progress for the Greek grid’s Amfitriti entry point, in the northeast. Five rounds of auctions are being held daily, in accordance with EU rules. This ongoing procedure, sources noted, comes as confirmation of the heightened interest of users for this specific entry point.

The Amfitriti entry point is planned to receive natural gas from the prospective Alexandroupoli FSRU for transmission into the Greek grid before gas quantities are redirected north of the border, via the Greek-Bulgarian IGB pipeline.

Participants at DESFA’s auctions last week showed minimal interest for long-term grid capacity reservations. DESFA launched 15-year offers at these auctions. Most system users focused on agreements for the next gas year, covering October 1, 2023 to September 29, 2024.

Natural gas consumption hits record level in 2021, up 10.9%

Natural gas consumption in Greece reached an all-time high in 2021, increasing by 10.87 percent to 69.96 million MWh, up from 63.1 million MWh in 2020, according to annual data provided by DESFA, the country’s gas grid operator.

Natural gas-fueled power stations represented the greatest share of this consumption, using 68.65 percent in 2021, while household consumers and suppliers linked to the grid followed with 18.77 percent. Industrial enterprises directly linked with DESFA’s high-pressure supply system consumed 12.56 percent of the country’s total natural gas inflow.

Sidirokastro in Greece’s northeast remains the main natural gas entry point, while considerable natural gas quantities were also brought in from the new Nea Mesimvria entry point, in the north, which, since late 2020, has linked the country’s grid with the TAP pipeline running across northern Greece.