Gaz-System adopts new strategy and plans to build 2000 km of pipelines in Poland

24.05.2016

Gas Transmission Operator GAZ-SYSTEM S.A. reviewed its strategy to strengthen its competitive position on the gas market. The new strategy envisions building a physical gas hub in Poland using the existing transmission infrastructure and augmenting the transmission volume. Its aim is to achieve an actual diversification of deliveries and enable natural gas spot deliveries with the use of a modern, expanded infrastructure.

The new strategy of GAZ-SYSTEM has been approved by the Supervisory Board until 2025. Over the next decade, the company plans to focus on projects aimed at increasing the capacity of the Polish natural gas transmission network and creating the technical capabilities for transporting gas from various sources and directions, all the while supporting its integration with the EU gas market.

According to the strategy, modern transmission pipelines stretching over 2000 kilometres will be built in Poland by 2025, and the use of the LNG Terminal in Świnoujście will ensure access to the global gas market. New cross-border connections will also be constructed. That way Gaz-System will have created a physical gas hub serving not only as a Polish but also as the gas trading centre for the whole region using Poland’s location in Central Europe to its advantage.

The company’s goal is to offer integrated services which cover three fields: transport, regasification and storage. After the modernisation, the Polish infrastructure will be able to tap into the global market and allow spot deliveries using price fluctuations. Paweł Jakubowski, director of the development department at Gaz-System, stated that the company will adapt the national transmission system to receive 17.5-18 billion m3 of gas annually – mainly, but not exclusively, from the direction of Norway. To achieve these numbers, the company wants to enlarge the LNG terminal in Świnoujście so that it can receive at least 7.5 billion m3 of gas annually and extend the Baltic Pipeline to receiving about 10 billion m3 gas annually.

Gaz-System anticipates that the new transmission infrastructure projects combined with the LNG Terminal in Świnoujście will completely revolutionize the existing import model. “Our priorities are not limited to ensuring energy security. We are designing new technical capacities of the transmission system and creating a gas market with free selection of Poland’s gas suppliers and complete independence of any supply direction. It is Gaz-System’s ambition to become a strong, competitive transmission operator in Central and Eastern Europe.”, said Tomasz Stępień, President of the Management Board of Gaz-System.