Natural Gas Shipping and Supply Licence
In the gas retail sector there are two distinct activities – that of a shipper and that of a supplier. A gas shipper brings gas into the transportation system for delivery to individual homes and premises. The transportation system is managed by Gas Networks Ireland (GNI) under contractual arrangements (the Code of Operations) between shippers and GNI. Some very large final customers act as their own shipper. However, most customers must have a gas supplier who contract with them for the sale of gas. Both natural gas suppliers and natural gas shippers must be licensed by the CRU.
Natural Gas Shipping:
Natural Gas Supply:
Prospective gas shippers and suppliers must fulfil a number of industry requirements. More information is available on the following website:
- GNI – Gas Networks Ireland is responsible for the management of access to the Irish natural gas pipeline system for all Shippers.
The fee for a Gas Shipping Licence application is €5,000. This fee may be reviewed from time to time. Please note that this amount includes the assessment of a Gas Supply Licence should the applicant wish to apply for such licence.
The fee for a Natural Gas Supply Licence application is €5,000. This fee may be reviewed from time to time. Please note that this amount includes the assessment of a Natural Gas Shipping Licence. Condition 2 of the Natural Gas Supply Licence requires Licensees to hold a Natural Gas Shipping Licence
Assignments and Transfer, Change of Control, Extensions and Revocation
Following the granting and issuing of a licence, licensees may request consent from the CRU for subsequent actions.
- Assignment & Transfer
- Change of Control
1. Assignment and Transfer – Condition 5
Every issued Gas Shipping/Supply Licence contains provisions regarding the assignment/ transfer of the licence. The licence can be assigned to anyone else once they are capable of fulfilling the conditions of the licence. They must have the same capabilities as the original licence holder.
In the case of an assignment/transfer there is a requirement to notify CRU PRIOR to assignment/transfer. This allows CRU to analyse the suitability of the proposed new licence holder.
2. Change of control – Condition 6
The term change means that the majority control of the licensee changes by way of an asset sale or sale of shares. Where a change of control arises there is no licence requirement to obtain prior permission from the CRU However CRU should be notified within 3 months of the change of control.
Under Schedule 2 of the Gas Shipping/Supply Licence, the Commission may revoke the licence if the Licensee has not commenced carrying on the Supply Business within 6 months of the date the licence comes into force. CRU can grant an extension where is satisfied that the delay is beyond reasonable control of the licensee.
Once the CRU is satisfied that an extension can be granted a letter is issued via post to the licence holder along with a scanned copy via email.
Revocation can be made at the consent of the licensee or grantee or by the CRU in accordance with the grounds for revocation provided in Schedule 1 of the licence. It requires the agreement of the licensee and/or 30 days’ notice. CRU would engage with the licensee before a revocation was considered.