1. “Amendment of Network Entry Provisions at the European Interconnector NTS sub- terminal at Bacton" Transmission Workstream 1 st December 2005

2. Proposal - Summary  Interconnector UK has requested increases in its contractual limits in respect of:  upper Wobbe Number  Total Sulphur  The requested parameters remain compliant with the Gas Safety (Management) Regulations  The requested Sulphur specification is compatible with the first phase of EASEE-gas harmonisation proposed to be in place from 1 st October 2006

3. Specification of the new gases  The proposed changes to the NEPs at the European Interconnector sub-terminal at Bacton would: -  Allow more diverse sources of imported gas to be brought into the UK;  Secure greater flexibility in the operation of the European Interconnector;  The proposed limits would be implemented through amendment of the Network Entry Provisions

4. The proposed specification changes ParameterCurrent Specification Proposed Specification GS(M)R Specification Total Sulphur15 ppm (molar) 30.0 mg/m³ (Normal) 50 mg/m³ (Standard)) approx. 20.4 mg/m³ (Standard) approx. 28.4 mg/m³ (Standard) Wobbe No. upper limit: 54.0 MJ/m³ (Normal) [ ] MJ/m³ (Normal) 51.41 MJ/m³ (Standard) 51.1 MJ/m³ (Standard) 51.41 MJ/m³ (Standard)

5. Advantages of the Proposal  The Proposal, if implemented, could:  Allow access to greater volumes of European sourced gas that could be imported into the UK via the European Interconnector;  Better facilitate the achievement of securing effective competition between the relevant shippers and relevant suppliers  Enhance security of supply

6. Disadvantages of the Proposal  The Proposal, if implemented, could lead to:  CV shrinkage increases  However, National Grid NTS believes that any increases would be minimal  Increases in Sulphur content in the gas on the occasions when the European Interconnector is operating in import mode.  However, National Grid NTS believes that any increases would not exceed 4 mg/m³ (Standard)  Furthermore, any increases in either Wobbe Number or Total Sulphur would decrease as distance from the Bacton terminal increases.

7. Simplified NTS schematic Bacton Interconnector SEP

8. Potential increases in Sulphur mg/m 3 (st)

9. Way Forward  Submit Proposal at December Mod Panel