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The regulation and quality of services

Ensuring a reliable infrastructure KPI's (Graphic)

Snam is committed to constantly improving the quality of the services it offers and its relationship with its customers (shippers and traders, i.e. market users who buy and sell gas), constantly guaranteeing a high level of reliability in the service provided by its infrastructures and operating in accordance with the principles of efficiency, continuity, transparency, quality and market orientation, promoting collaborative relationships with regulators and institutions and guaranteeing adequate economic returns to make investment strategies sustainable.

Achieving a high level of ‘Customer Centric’ service that places the customer increasingly at the centre of the company’s strategies is an essential objective for the Company.

Tariff regulation is an essential element for enhancing the infrastructure capital from an economic perspective and necessary for channelling investments into the network. Today, in fact, 92% of Snam’s revenues are from regulated business.

The gas tariff

The tariff criteria are usually defined every four years and guarantee a coverage of the operating costs, the depreciation/amortisation and a fair remuneration of the net invested capital.  Incentives are laid down, differentiated based on the type of capital expenditures made during the course of each regulatory period. Every year, each Snam subsidiary formulates a tariff proposal which is submitted to the Authority for approval.

Relations with the ARERA (Graphic)
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Relations with the ARERA

Description

Transport

Storage

Regasification

Responses to consultation documents and proposals on services (No.)

4

0

0

Tariff proposals (no.)

6

2

1

Data collection (no.)

97

33

22

Investigations (no.) *

0

0

0

Proposed changes to codes and contractual documents (no.)**

9

1

1

Proposed changes to approved codes and contractual documents (no.)

8

1

2

*

Information transmitted to the Authority during the year with reference to investigations within the industry. This includes exploratory investigations.

**

This also includes proposals still being assessed by the ARERA, including agreements and contracts with operators regarding regulated services.

Snam collaborated in the development of the regulatory system by providing the Authority with numerous contributions and proposals. In particular, the activity concerned the revision of mechanisms for recognising energy costs, innovative uses of the transportation network and technologies for integrating renewable gases (such as biomethane and hydrogen), as well as the reorganisation of gas transport metering activities, for which Snam also prepared and consulted a document on operational lines of action through a process open to the participation of all stakeholders. Specifically, Snam ensured:

  • the finalisation of the rules for determining the quantities of energy withdrawn from the transmission network by users as part of the implementation of the new gas settlement regime launched in 2020;
  • the simplification of the process of connection to the national network of methane pipelines and the management of service users’ credit requirements for the transport service;
  • the development of storage services with a view to fostering better predictability of performance;
  • the revision within the regasification service of the products that can be traded on the secondary market with the aim of supporting the growing flexibility needs of users.
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