In 2010, Portugal’s TPEC amounted to 23.52 mtoe, a 2.4% decrease compared to 2009. Oil accounted for 11.42 mtoe while coal and gas accounted for 1.65 mtoe and 4.45 mtoe respectively. Other sectors accounted for 6.00 mtoe.  ^[1]

*other: nuclear, hydro, geothermal, solar, combustible and renewable waste

^[1]

*other: nuclear, hydro, geothermal, solar, combustible and renewable waste

^[1]

• 1. Natural Gas Information © OECD/IEA, 2011

In 2010, Portugal consumed an estimated total of 5,155 mcm of natural gas, 8.6% more than during the previous year. In 2009, Portugal consumed a total of 4,745 mcm of natural gas, which was slightly (0.5%) more than in 2008. Of this, 2,952 mcm were used for transformation and 1,096 for the industry while 554 mcm was consumed by other sectors. ^[1] Transformation includes the generation of electricity, while the demand from the ‘Energy Sector’ refers to gas used for the extraction of coal, oil, and gas and gas used in refineries, coke ovens and gas works.

*other: commerce and public, residential, agriculture, non-specified

^[1]

*other: commerce and public, residential, agriculture, non-specified

^[1]

• 1. Natural Gas Information © OECD/IEA, 2011

Portugal holds insignificant natural gas reserves.

^[1]

^[1]

In 2010, gas imports account for 99% of the total volumes of consumed gas. Around 44% of the Portuguese gas imports were transported via pipeline from Algeria, while most of the other 56% of gas imports was LNG originating from Nigeria and Trinidad and Tobago.

• 1. Natural Gas Information © OECD/IEA, 2011

Pipelines

In Portugal, the high-pressure natural gas transmission network (the only natural gas transmission network in mainland Portugal), reception, storage and regasification of LNG, and underground storage of natural gas are operated by the REN Group. REN owns and operates the entire respective infrastructure under a 40 year concession granted by the Portuguese State in 2006. REN Group’s businesses emerged as a result of the deregulation of the national electricity and natural gas markets. Concerning REN’s natural gas business, the regulated activities of Transgas (Former subsidiary of Galp) were split up through a re-organization that also included the division of natural gas transport infrastructure, underground storage, reception and regasification.

Transmission network

The Portuguese gas transmission network is made up of a main trunk line and other branch lines totaling 1,299 km. Portugal is not a gas producer, thus natural gas supplies are being purchased from other countries and fed into the national transmission network through 3 entry points: the Camp Maior entry point (from Spain), Sines LNG terminal (mostly receives gas volumes from Nigeria) and Valenca do Minho (from Spain, occasinally). ^[1]

Distribution of natural gas

The Portuguese State grants licenses and concessions for the distribution of natural gas through medium and low pressure pipelines by holding public tenders. The distribution grid operators function under an exclusive territorial public service regime. Third party access to the distribution network is ensured by the relevant concessionaires without unfair discrimination. Some distributers also accomplish regasification of LNG in order to serve local distribution networks that are not connected to the transmission system. To supply these networks, LNG is being transported via insulated taker trucks and unloaded into storage tanks (satellite LNG plants). ^[2]

Investments in natural gas infrastructure

The growing market for natural gas in Portugal and the necessity to increase security of supply determine REN to make some additional investments of €300 million in infrastructure. The main planed investments include the expansion of the Sines LNG terminal, increasing the storage capacity at the Carrico site and the construction of an additional pipeline to Spain. ^[1]  

• 1. ENTSOG Ten Year Network Development Plan 2011-2020
• 2. Natural Gas Information © OECD/IEA, 2011

At the end of 2010, there was 1 LNG regasification terminals operational in Portugal with a nominal capacity of 5.2 bcm/year.  ^[1]

^[1]

• 1. GIIGNL 2010

In June 2010 there were 2 operational storage facilities in Portugal with a combined technical storage capacity of 181 mcm, both of them are salt cavities. ^[1]

^[1]

In addition to the existing storage capacity, there are 2 projected storage facilities in Portugal with a combined technical storage capacity of 120 mcm, both of them are salt cavities. ^[1]

^[1]

• 1. Gas Infrastructure Europe: GSE Storage Map August 2011

In 2007 the liberalization of the natural gas supply began with regard to power plants. A year later, this process was extended to consumers over 1 mcm of natural gas per year and in 2009 this was further extended to cover consumers over 10.000 cubic meters of natural gas. From January 2010, the market is supposed to be fully opened and competitive, subject only to a licensing process run by the National Energy Agency (DGEG). As of the 1st of January 2010, supplier may buy and sell natural gas as they please on the open market or using bilateral agreement. At the same time, under the new organizational system, all eligible consumers are free to pick their gas supplier, whom they may decide to change without incurring additional charges. The logistics of switching suppliers will be supervised by a new entity that will in turn be regulated by the Energy Services Regulatory Authority (ERSE). The suppliers of natural gas are subjected to specific public service obligations requiring them, amongst others, to ensure the quality and continuous provisions of natural gas. The new system also establishes the role of the supplier of last resort. This role has been created to serve until the liberalized market is fully effective. For wholesale consumers, the role of last resort supplier has been taken by a wholly owned subsidiary of Galp and for retail consumers by other present concessionaires or licensed distributors.  ^[1]

• 1. International Energy Regulation Network 2006-2009

Since October 2006, each concession with regard to the transmission of natural gas, storage, of natural gas, reception and re-gasification of LNG was attributed to a third legally unbundled company belonging to the REN Group.  ^[1]

• 1. International Energy Regulation Network 2006-2009

Beginning with July 2007, DSO’s and suppliers of last resort that have more than 100,000 clients must be legally unbundled. Until the end of 2007, the tariffs for customers with a consumption larger than 10,000 cubic meters was negotiated, while consumers with smaller shares had their tariffs propose by companies and accepted by the Ministry of Economics. In the first half of 2008, all end user tariffs were homologated by ERSE. After July 2008 the end user tarrifs applied to non eligible customers and access tariffs were regulated by ERSE. ^[1]

• 1. International Energy Regulation Network 2006-2009