Northern Gas Pipeline Tariffs

Northern Gas Pipeline Tariffs
Read the NGP Gas Transportation Agreement here

To incentivise the future development of Northern Territory’s gas resources, Jemena has designed a rolled in tariff (RiT) regime. This regime incentivises other shippers to contract capacity by enabling all shippers to obtain access to pipeline transportation services on fair and reasonable terms. It also ensures foundation shippers are not disadvantaged by contracting early and that all shippers will benefit from future growth.

Our RiT regime includes a number of features that will be attractive to future shippers. In real terms, there are no circumstances where the initial tariff will increase. For any pipeline expansion where the marginal cost of the additional capacity is lower than the average tariff for all existing capacity, the tariff level for all customers will be adjusted downwards to reflect the average cost of capacity in the newly expanded pipeline. If the marginal cost of additional capacity is above the average cost of capacity, then the RiT is not adjusted and the party seeking the additional capacity will pay a shipper expansion capacity charge.

As Available services and other pipeline charges (such as overrun charges and imbalances) will all be based on the RiT, and therefore a reduction in the RiT over time will also see a reduction in all applicable charges. We will also offer an As Available Park and Lend service to provide customers with access to any available park capacity on a day at a competitive price.

https://jemena.com.au/industry/pipelines/northern-gas-pipeline/services