In relation to the gas market interconnections we note that the introduction of a gas trading market is a significant step towards achieving the Government's policy objective of efficient arrangements for short-term trading of gas. We find no issues requiring intervention, but note that the Maui pipeline owner is concerned that market trading may cause pipeline balancing issues. While acknowledging these concerns, we consider that the risks arising from the introduction of the market are manageable. We will keep track of balancing metrics in the immediate future to identify any emerging problems.
In relation to the physical interconnections we find that the owners of the Maui and Vector transmission pipelines each had very comprehensive interconnection policies, procedures and documentation in place, closely aligned with the Interconnection Guidelines Gas Industry Co published in 2009. The recent interconnections have all been effective, with pipeline owners, and propose to continue monitoring new connections.
Material from the 2014 reviews of the 'interconnection' of the gas trading markets and physical interconnections is presented below: