BBL introduces non physical interruptible reverse flow services (IRF) by 1st October 2010

BBL Company introduces non physical interruptible reverse flow services (IRF) as of 1st October 2010. With this service it will be possible for shippers to book IRF capacity from the UK to the Netherlands. This service will be offered by means of auctions as approved by regulatory authorities in the United Kingdom and the Netherlands.

In order to enable IRF-shippers to prepare themselves for the introduction of this IRF service BBL Company has convened a clarification meeting on Monday 16 August 2010. In this meeting it was amongst others explained how the IRF service will look like and that it will be auctioned by means of software from Ariba.
Ten shippers attended this meeting.

The IRF service will be available in quarterly, monthly and daily products. The first IRF product to be auctioned will be for Q4 2010. The auction for the Q4 2010 product opens on 25 August 2010 and closes on 1 September 2010. As of this date, shippers can book tranches of transport capacity through the BBL. Shippers need to take into account that NNO obligations at both sides of the BBL pipeline need to be taken care of. At the Dutch side shippers need to book entry capacity. At the UK side shippers need to conclude an Connected System Exit Point (CSEP) ancillary agreement with National Grid and develop and enter into an agency agreement with an exit agent responsible for the allocation process. The agreement has to be approved by Ofgem.
BBL Company trusts that these necessary arrangements can be concluded in the immediate future.

To be able to contract IRF by auctions shippers need to accept the General Terms and Conditions IRF, that are published on the BBL website, by signing the Declaration of Acceptance.
All details on the auction procedure are laid down in Exhibit C.