WHOLESALE GAS PRICE SURVEY 2017 EDITION - IGU

1 WHOLESALE GAS PRICE SURVEY2017 EDITIONA GLOBAL REVIEW OF PRICE FORMATION MECHANISMS2005 TO 2016 MAY 201723 WHOLESALE Gas PRICE SURVEY 2017 EditionWHOLESALE GAS PRICE SURVEY2017 EDITION A GLOBAL REVIEW OF PRICE FORMATION MECHANISMS2005 TO 2016 MAY 20174 ContentsSection1. Highlights .. 82. Introduction .. 12 : Background .. 12 : Types Of PRICE Formation Mechanisms .. 12 : Report Layout .. 123. World Results .. 14 : Introduction .. 14 : 2016 SURVEY Result .. 14 : Domestic Production .. 14 : Pipeline Imports .. 16 : LNG Imports .. 17 : Total Imports .. 18 : Total 20 : World Level Comparisons 2005 To 2016 .. 22 : Domestic Production.

2 22 : Pipeline Imports .. 22 : LNG Imports .. 23 : Total Imports .. 24 : Total 26 : Analysis Of Changes In Gas-On-Gas Competition .. 304. WHOLESALE PRICE Levels .. 32 : Introduction .. 32 : 2016 SURVEY Result .. 32 : PRICE Levels by PRICE Formation Mechanism .. 32 : PRICE Levels by Region and Country .. 33 : Comparisons 2005 to 2016 .. 35 : Changes in WHOLESALE Prices by PRICE Formation 35 : Changes in WHOLESALE Prices by Region .. 365 WHOLESALE Gas PRICE SURVEY 2017 Edition5. Regional Level Results .. 38 : Introduction .. 38 : North America .. 38 : North America 2016 SURVEY Results.

3 38 : North America Comparison 2005 to 2016 .. 39 : Europe .. 39 : Europe 2016 SURVEY Results .. 39 : Europe Comparison 2005 to 2016 .. 40 : Asia .. 44 : Asia 2016 SURVEY Results .. 44 : Asia Comparison 2005 to 2016 .. 45 : Asia Pacific .. 46 : Asia Pacific 2016 SURVEY Results .. 46 : Asia Pacific Comparison 2005 to 2016 .. 47 : Latin America .. 48 : Latin America 2016 SURVEY Results .. 48 : Latin America Comparison 2005 to 49 : Former Soviet Union .. 50 : Former Soviet Union 2016 SURVEY Results .. 50 : Former Soviet Union Comparison 2005 to 2016.

4 50 : Africa .. 51 : Africa 2016 SURVEY 51 : Africa 2016 Comparison 2005 to 2016 .. 52 : Middle East .. 53 : Middle East 2016 SURVEY Results .. 53 : Middle East 2016 Comparison 2005 to 2016 .. 546 Figure : Regional PRICE Formation 2016 Total Consumption .. 8 : World PRICE Formation 2005 to 2016 Total Consumption .. 9 : WHOLESALE PRICE Levels 2005 to 2016 by Region .. 11 : World PRICE Formation 2016 Domestic Production .. 14 : Regional PRICE Formation 2016 Domestic Production .. 15 : World PRICE Formation 2016 Pipeline Imports .. 16 : Regional PRICE Formation 2016 Pipeline Imports.

5 17 : World PRICE Formation 2016 LNG Imports .. 17 : Regional PRICE Formation 2016 LNG 18 : World PRICE Formation 2016 Total Imports .. 18 : World PRICE Formation 2016 Total Consumption .. 20 : Regional PRICE Formation 2016 Total Consumption .. 21 : World PRICE Formation 2005 to 2016 Domestic Production .. 22 : World PRICE Formation 2005 to 2016 Pipeline Imports .. 23 : World PRICE Formation 2005 to 2016 LNG Imports .. 24 : World PRICE Formation 2005 to 2016 Total Imports .. 25 : World PRICE Formation 2005 to 2016 Total 26 : Market and Regulated Pricing 2005 to 2016 .. 29 : Changes in GOG 2005 to 2016 .. 30 : WHOLESALE Prices in 2016 by PRICE Formation Mechanism.

6 32 : WHOLESALE Prices in 2016 by Region .. 33 : WHOLESALE Prices in 2016 by Country .. 34 : WHOLESALE PRICE Levels 2005 to 2016 by PRICE Formation Mechanism .. 35 : WHOLESALE PRICE Levels 2005 to 2016 by Region .. 36 : Standard Deviation of WHOLESALE Prices 2005 to 2016 .. 37 : North America PRICE Formation 2016 .. 38 : North America PRICE Formation 2005 to 2016 .. 39 : Europe PRICE Formation 2016 .. 39 : Europe PRICE Formation 2005 to 41 : Northwest Europe PRICE Formation 2005 to 2016 .. 41 : Central Europe PRICE Formation 2005 to 2016 .. 42 7 WHOLESALE Gas PRICE SURVEY 2017 EDITION : Northwest Europe PRICE Formation 2005 to 2016.

7 41 : Central Europe PRICE Formation 2005 to 2016 .. 42 : Europe PRICE Formation 2005 to 41 : Northwest Europe PRICE Formation 2005 to 2016 .. 41 : Central Europe PRICE Formation 2005 to 2016 .. 42 : North America PRICE Formation 2016 .. 38 : North America PRICE Formation 2005 to 2016 .. 39 : Europe PRICE Formation 2016 .. 39 : Europe PRICE Formation 2005 to 41 : Northwest Europe PRICE Formation 2005 to 2016 .. 41 : Central Europe PRICE Formation 2005 to 2016 .. 42 : Mediterranean PRICE Formation 2005 to 42 : Southeast Europe PRICE Formation 2005 to 2016 .. 43 : Scandinavia and Baltics PRICE Formation 2005 to 2016.

8 43 : Asia PRICE Formation 2016 .. 44 : Asia PRICE Formation 2005 to 2016 .. 45 : Asia Pacific PRICE Formation 2016 .. 46 : Asia Pacific PRICE Formation 2005 to 2016 .. 47 : Latin America PRICE Formation 2016 .. 48 : Latin America PRICE Formation 2005 to 49 : Former Soviet Union PRICE Formation 2016 .. 50 : Former Soviet Union PRICE Formation 2005 to 2016 .. 51 : Africa PRICE Formation 2016 .. 51 : Africa PRICE Formation 2005 to 2016 .. 52 : Middle East PRICE Formation 2016 .. 53 : Middle East PRICE Formation 2005 to 2016 .. 54 Table : World PRICE Formation 2016 Total Import .. 19 : World PRICE Formation 2016 Total Consumption.

9 21 : World PRICE Formation 2005 to 2016 Total Import .. 25 : World PRICE Formation 2005 to 2016 Total Consumption .. 28 81: HighlightsThe 2016 IGU WHOLESALE Gas PRICE SURVEY is the ninth to be undertaken in a series which began 10 years ago. The nine surveys have confirmed the significant changes in WHOLESALE PRICE formation mechanisms during a period of key developments and upheaval in the global gas market. The highlights of the 2016 SURVEY are: Gas-on-gas competition (GOG) had the largest share of total world consumption at 45%, predominantly in North America, Europe, the Former Soviet Union and Latin America. The oil PRICE escalation (OPE) share stood at 20%, and is predominantly Asia Pacific, Asia and Europe. The regulated categories regulated cost of service (RCS), regulated social and political (RSP) and regulated below cost (RBC) account in total for some 31%.

10 RCS is mainly the Former Soviet Union, Asia and Africa, RSP mainly the Middle East, Former Soviet Union, Latin America and Asia Pacific and RBC the Former Soviet Union, Latin America and Africa. Figure Regional PRICE Formation 2016 Total Consumption Cross border flows of gas account for some 28% of total world consumption. Pipeline imports are now over 57% GOG, with OPE at 35%, while OPE has 76% of LNG imports with GOG at 24%. Between 2015 and 2016, the GOG share was broadly unchanged, with an increase in the share in Europe being offset by declines in Asia and Asia Pacific, reflecting fewer pure spot LNG cargoes. The OPE share increased by percentage points, reflecting a small rise in Europe at the expense of BIM (in Turkey), but principally in Asia and Asia Pacific, as the share in LNG imports increased, but also reflecting a rise in domestic production in China, as the full year effect of the change in city-gate pricing came through.