In December 2020, German LNG Terminal GmbH received the decision from the German Federal Network Agency granting it exemption from network access and tariff regulation. As requested, it applied to the annual throughput capacity of 8 billion cubic meters of gas in the long term from the date of commercial commissioning of the terminal.
Under European and German law, an LNG terminal is subject to tariff and network access regulation. This means that an LNG terminal operator is not free to set its tariffs or access rules or its services. The Federal Network Agency is the independent German regulatory authority that sets tariffs and network access rules.
Exemption from regulation is possible for LNG facilities if, among other things, the investment improves competition in gas supply and security of supply.
In December 2022, we applied for a renewed exemption to 10 bcm/yr which was granted in June 2023. The expansion of terminal capacity is appropriate based on current market conditions, demand for capacity at the terminal, and recent geopolitical developments.