The CREG continues to give signs of certainty to investors in gas infrastructure

Machine translation was used to publish the following CREG release

The Energy and Gas Regulatory Commission (CREG) made regulatory decisions that promote the development of infrastructure to guarantee the reliability of the supply of natural gas and the security of supply in Colombia. In addition, the regulations for this link in the service chain were updated. The decisions include approving revenue to expand and improve natural gas infrastructure and adjusting the gas transportation remuneration methodology.

The CREG established an income flow to remunerate the infrastructure works approved by the Ministry of Mines and Energy in the current Natural Gas Supply Plan. Among the notable works are those approved for the TGI company, which include the expansion of the capacity of the Mariquita – Gualanday section (CREG Resolution 502 061 of 2024), the expansion of the Jamundí – Valle del Cauca branch (CREG Resolution 502 063 of 2024 ) and the Barrancabermeja – Ballena bidirectional reliability work (CREG Resolution 502 062 of 2024). TGI has already expressed its irrevocable will to execute these projects, which increase transportation capacity by 123 million cubic feet per day (MPCD).

The CREG also approved the income flows for the interconnection between the coastal and inland gas transportation system (CREG Resolution 502 064 of 2024). For this project, the Promigas company has already expressed its irrevocable will to execute it. In addition, the income flow for the expansion of the bidirectional capacity between Barranquilla and Ballena was approved. In this case, it is still pending for Promigas to express its irrevocable will to execute the project. These plans increase transportation capacity by 170 million cubic feet per day (MPCD).

In addition, the CREG adjusted the remuneration methodology for gas transportation (CREG Resolution 175 of 2021) through CREG Resolution 102 008 of 2024. This adjustment seeks to avoid the premature replacement of infrastructure. With these changes, the CREG will continue to approve charges that are efficient for natural gas transportation systems in Colombia and encourage investment.

Other regulatory advances of the CREG

Taking into account the lessons learned from the approval processes for the Gas Supply Plan projects, the CREG proposed adjustments to future procedures to make them more agile and aligned with the requirements of the system planner, the Mining-Energy Planning Unit. UPME. These adjustments were established by CREG Resolution 702 008 of 2024.

Regarding the projects proposed by the UPME in the Technical Study for the adoption of the Natural Gas Supply Plan 2023-2038, once they are approved by the Ministry of Mines and Energy, the regulations defined by the CREG will be applied to them.

Finally, in relation to the electric energy sector, the CREG reiterates that analyzes are being carried out on the balance between the firm energy supply and the demand projected by the UPME for the period 2025-2029, as indicated in our bulletin of December 25. July 2024.

"With these measures, we continue to move towards more dynamic regulation in the regulated sectors, seeking to achieve a balance between investment signals and efficiency for end users, with the aim of achieving sustainable regulation over time," he stated. Antonio Jiménez, director of the CREG.