Natural gas produced in Russia is pumped into gas trunklines integrated within the Unified Gas Supply System (UGSS) of Russia. UGSS is the largest gas transmission system in the world and represents a unique technological complex comprising gas extraction, processing, transmission, storage and distribution facilities UGSS assures a continuous cycle of gas supply from the wellhead to the end user.
Thanks to centralized management, considerable ramification and parallel transmission routes, UGSS has a substantial margin of reliability and is able to uninterruptedly supply gas even during seasonal peak demand. The length of UGSS is 159.5 thousand km.
For gas transmission, 219 compressor stations and gas pumping units with a total capacity of 42.0 million kW are used. The Unified Gas Supply System of Russia is owned by Gazprom.
The year 2008 saw the commissioning of 1,381 km of gas trunklines and branches as well as seven linear compressor stations with a total capacity of 528 MW.
In the 1970s and 1980s, when the gas transmission system was built, Gazprom provided it with a substantial reliability margin. Sustainable operation of gas mains is secured through up-to-date inspection, preventive maintenance and repair methods.
Gazprom successfully implements the Comprehensive Upgrading and Modernization Program for Gas Transmission Facilities for the period between 2007 and 2010. Under the Program it is planned to modernize or replace over 500 gas pumping units, upgrade about 5 thousand km of gas pipelines and some 300 gas distribution stations. This will make it possible to boost the gas trunkline system throughput by 32 billion m3 and simultaneously save 3.5 billion m3 of gas year-on-year during transmission.
In 2008 Gazprom allocated around RUB 35.8 billion for upgrading and modernizing the gas transmission system.
As a result of repair and technical condition improvement operations the number of gas pipeline breakdowns reduced considerably versus 2002 (32 breakdowns) and stabilized over the last three years at the level of 17-20 breakdowns annually (0.11-0.13 breakdowns per 1,000 km).
Fewer breakdowns stem directly from the use of progressive gas transmission system inspection methods and scheduled preventive maintenance operations, which enable to detect efficiently wornout sections and aged equipment.
The Unified Gas Supply System is currently at the superior limit of its capacity. In 2008 Gazprom extracted 549.7 billion m3 of natural gas. Taking account of gas injected by independent and Central Asian producers, a total of 714.3 billion m3 was fed into UGSS.
The UGSS throughout capacity needs to be built up as Gazprom and other companies plan to boost gas production. For instance, the Energy Strategy of Russia sets out that by 2020 independent producers will extract up to 170 billion m3 of gas. This will enable to meet demand of solvent Russian consumers and ensure compliance with Russia’s international obligations in the natural gas supply sector, but, on the other hand, will substantially increase the gas transmission system loading.
No, it is not. Gazprom approves all requests by independent gas producers seeking access to the Unified Gas Supply System (UGSS), unless access cannot be granted for purely technical reasons. The main reason – limited capacity in the gas transmission system. Interaction between Gazprom and other players of the gas market is fully in line with the Federal Law “On Gas Supply in the Russian Federation”, which sets the terms and conditions for granting access to free transmission capacity in UGSS as well as gives Gazprom the discretion to grant or deny access, provided that access cannot be unreasonably denied.
Gazprom grants independent gas producers access to the gas transmission system if:
The requirements for gas funneled into the system, and the terms and conditions of access to gas mains are governed by law.
In order to simplify access to its gas transmission system, Gazprom improves the Provision governing the preparation and issuance of permits to independent entities seeking access to the gas transmission system of ОАО Gazprom.
ОАО Gazprom first opened up its gas transmission system to independent gas producers in 1998.
For independent producers, the rate of gas transmission via the trunklines of ОАО Gazprom is set by the Russian Federation Federal Service for Tariffs (FST).
Before August 1, 2006 a single rate was per 1,000 m3/100 km. From August 1, 2006 there is a new differentiated rate setting methodology, under which the rate is formed from two components: a charge for shipping 1,000 m3 per 100 km and a charge for using gas mains (RUB per 1,000 m3), which is approved depending on gas entry and exit points in the gas transmission system. Existing rates were approved by the December 24, 2008 Order No. 404-e/12 of the Russian Federation FST.
Underground gas storage facilities (UGSs) are an integral part of the Unified Gas Supply System of Russia and are situated in the primary gas consumption regions. UGSs help smooth out seasonal fluctuations of gas demand, reduce peak loads in UGSS and provide better flexibility and reliability of gas supply. The network of UGSs supplies Russian consumers with up to 20% of overall gas during a heating season and up to 30% during sharp cold spells.
There are 25 underground gas storage facilities in the Russian Federation with a total active capacity of 65.2 billion m3.
Expansion of UGS capacities is a strategic objective of Gazprom. Creation of UGSs for smoothing out seasonal fluctuations is 5-7 times less expensive than construction of corresponding backup extraction and transmission facilities.
To raise the flexibility and ensure the optimum loading of the system Gazprom expands UGS capacities. In May 2007, upon completion of upgrading operations, stage one has been commissioned for the Kanchurinsko-Musinsky Underground Gas Storage Complex in the Republic of Bashkortostan.
Three new underground gas storage sites are currently under construction in Russia: an aquifer facility with the Udmurtsky Reserving Complex and salt cavern facilities with the Kaliningradskoye and Volgogradskoye UGSs. The Volgogradskoye UGS site will be Europe’s largest and Russia’s first salt cavern underground gas depot with a working gas volume of 800 million m3 and daily send-out capacity of 70 million m3.
Gazprom also uses UGS facilities in Austria, Germany, the UK, Latvia and builds new storage capacities. July 2007 saw the commissioning of stage one for the Haidach UGS facility (Austria) – a joint project of Gazprom, WINGAS and Austria’s RAG.
On April 30, 2008 OAO Gazprom and Germany’s Verbundnetz Gas (VNG) signed the Agreement of Cooperation in the underground gas storage sector. According to the document the parties will construct a new UGS facility near Bernburg (Saxony-Anhalt, Germany). By the time the construction is completed, the UGS active capacity will amount to 510 million m3 of gas.
In addition, in late 2008 state run Srbijagas and OOO Gazprom export signed the Memorandum of Understanding to perform a feasibility study for the Banatski Dvor UGS facility (Serbia) for adopting an investment decision and to identify the principles for further cooperation.
The relevant documents were signed on joint development of gas storage projects in the Netherlands, Hungary, Czech Republic. Further development options are under review for the Russian underground gas storage system in European countries including in Germany, Italy, the UK, Bulgaria, Slovakia.
Total active capacity of Russian UGSs, billion m3:
