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Management of the Hungarian Energy Office - Magyar Energia Hivatal

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hungarian energy <strong>of</strong>fice<br />

outages, which is constantly lower than<br />

<strong>the</strong> total frequency <strong>of</strong> outages.<br />

The physical process <strong>of</strong> <strong>the</strong> pipelined<br />

natural gas supply can be assessed using<br />

<strong>the</strong> specifi c indicators calculated as <strong>the</strong><br />

number <strong>of</strong> events and <strong>the</strong> duration <strong>of</strong><br />

consequent outages per 1000 consumers.<br />

Figures 6 and 7 demonstrate <strong>the</strong> countrylevel<br />

frequency and duration when <strong>the</strong><br />

customers were without supply. The<br />

specifi c number and duration <strong>of</strong> outages<br />

for <strong>the</strong> total <strong>of</strong> outages is fl uctuating<br />

in <strong>the</strong> observed period, while <strong>the</strong><br />

events with direct responsibility <strong>of</strong> <strong>the</strong><br />

suppliers have a smaller proportion and<br />

show a continuous improvement.<br />

COMPETITION<br />

Wholesale market<br />

The data <strong>of</strong> <strong>the</strong> Table 9 summarizes <strong>the</strong> natural gas consumption<br />

<strong>of</strong> <strong>the</strong> country in 2009, and <strong>the</strong> composition and percentage <strong>of</strong><br />

<strong>the</strong> sources for 2009 [billion m 3 /year].<br />

Table 9 Sources and composition <strong>of</strong> <strong>the</strong> natural gas consumption <strong>of</strong> <strong>the</strong> country in 2009<br />

Natural gas consumption <strong>of</strong> <strong>the</strong> country<br />

Domestic production<br />

Import<br />

-from Eastern direction<br />

- from Western direction<br />

The import sources <strong>of</strong> natural gas are primarily <strong>of</strong> Russian<br />

origin, even <strong>the</strong> natural gas received from <strong>the</strong> Austrian Baumgarten<br />

through <strong>the</strong> HAG pipeline and bought from E.ON<br />

Ruhrgas has Russian molecular origin.<br />

The natural gas consumption <strong>of</strong> <strong>the</strong> country signifi cantly<br />

decreased from 14 billion m 3 in 2008, by 3 billion m 3 . The<br />

proportions <strong>of</strong> <strong>the</strong> natural gas sources signifi cantly changed in<br />

2009 compared to 2008 and <strong>the</strong> previous years. The volume<br />

<strong>of</strong> domestic production – after two decades <strong>of</strong> declining<br />

– increased by 17% in 2009 to over 3 billion m 3 , thank to<br />

<strong>the</strong> production from Hajdúnánás fi eld newly discovered<br />

by <strong>Magyar</strong> Horizont Kft. who newly entered <strong>the</strong> market in<br />

August. Accordingly, <strong>the</strong> domestic/import ratio, which was<br />

characteristically at 20/80% in <strong>the</strong> past years, also changed<br />

signifi cantly, to 28-72%.<br />

The import from <strong>the</strong> East decreased from 9 billion m 3 in <strong>the</strong><br />

year 2008 to 3 billion m 3 , which is mainly resulted from <strong>the</strong><br />

consumption cut resulting from <strong>the</strong> economic crisis, and from<br />

<strong>the</strong> alternative fuel consumption <strong>of</strong> residential customers.<br />

annual report 2009 | 34<br />

5.0<br />

4.5<br />

4.0<br />

3.5<br />

3.0<br />

2.5<br />

2.0<br />

1.5<br />

1.0<br />

0.5<br />

0.0<br />

2000 2001 2002 2003 2004 2005 2006 2007 2008 2009<br />

3 billion m<br />

11.115<br />

3.090<br />

8.025<br />

6.064<br />

1.961<br />

total outages<br />

outages with direct responsibility <strong>of</strong> <strong>the</strong> supplier<br />

outages with direct responsibility <strong>of</strong> <strong>the</strong> supplier, due to breakdowns<br />

Figure 7 Duration <strong>of</strong> <strong>the</strong> events causing natural gas outages per 1000 consumers<br />

(hours/1000 consumers/year)<br />

The number <strong>of</strong> registered eligible customers entering <strong>the</strong><br />

competitive market rose to 9782 in 2009 (2527 non-household,<br />

and 7255 household customers).<br />

The Resolution <strong>of</strong> <strong>the</strong> Commission <strong>of</strong> <strong>the</strong> European Union,<br />

DG Competition <strong>of</strong> 21 December 2005 (Case No COMP/<br />

M.3696-E.ON/MOL) approved <strong>the</strong> 100% acquisition <strong>of</strong> MOL<br />

Földgázellátó Rt. and in MOL Földgáztároló Rt. by E.ON<br />

Ruhrgas International AG as subject <strong>of</strong> specifi c conditions.<br />

One <strong>of</strong> <strong>the</strong> key conditions is <strong>the</strong> implementation <strong>of</strong> Gas Release<br />

%<br />

100<br />

27.8<br />

72.2<br />

54.6<br />

17.6<br />

Program, which mean that E.on Ruhrgas<br />

AG is obliged to <strong>of</strong>fer an annual amount<br />

<strong>of</strong> 1 billion m 3 natural gas for sale in<br />

<strong>the</strong> natural gas market, for a period <strong>of</strong><br />

8 years (2006-2013). The program is to<br />

be implemented in <strong>the</strong> form <strong>of</strong> auctions<br />

during <strong>the</strong> given years, where <strong>the</strong> annual<br />

1 billion m 3 quantity must be divided<br />

into <strong>the</strong> following sales units:<br />

• 5 lots <strong>of</strong> 100 million m³ units,<br />

• 5 lots <strong>of</strong> 50 million m³ units,<br />

• 10 lots <strong>of</strong> 25 million m³ units.<br />

The affi liates <strong>of</strong> E.ON cannot ei<strong>the</strong>r directly or indirectly take<br />

part in <strong>the</strong> auctions.

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