The board of directors approved the tariffs to use each of the National Gas Grid and the Regional Distribution Networks for the year 2019
In virtue of the Law No. 196 of 2017 for regulating the gas market activities, and the role of the Gas Regulatory Authority “GasReg” to set and approve all the rules and regulations of calculating tariff methodology of the usage of the networks and facilities, which taking into account the interests of all participants in the gas market and the principle of non-discrimination.
The board of directors of GasReg headed by His Excellency Eng. Tarek El Molla, the Minister of Petroleum and Mineral Resources approved the following resolutions in its meeting dated 9th April 2019:
- The tariff methodology and regulations of the usage of the National Gas Grid (transmission system).
- Approving the transmission tariff for the year in 2019 of third-party access to the National Gas Grid which equal to (29 cents per million British thermal unit “MMBTU”), which took into account the owner’s investment cost recovery, actual operating expenses and fair return on investment.
- Concerning of the Tariff to use of distribution networks, the board of directors approved the continuation of the tariff methodology which is currently applied, in the agreements signed between the Egyptian Natural Gas Holding Company (EGAS) and the distribution company for each area.
The tariffs approved are valid for one year until the end of the year 2019 and will be revised till the consultant comes up with the deliverables of National Gas Grid Assets’ assessment.