Third Party Access TPA System in Malaysian Gas Market Reform
- Zainal Abidin Zainudin (PETRONAS) | Moi Hong Lee (PETRONAS) | Nurul Farhana Abdul Rahim (PETRONAS)
- Document ID
- International Petroleum Technology Conference
- International Petroleum Technology Conference, 13-15 January, Dhahran, Kingdom of Saudi Arabia
- Publication Date
- Document Type
- Conference Paper
- 2020. International Petroleum Technology Conference
- South East Asia, Third Party Access System, Gas Market Reforms
- 9 in the last 30 days
- 15 since 2007
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|SPE Non-Member Price:||USD 23.00|
This paper presents the historical evolution of gas market reform in Malaysia. In the first part, it contains the development of gas infrastructures in the early days, introduction of regulated gas price in Malaysia, gas subsidy rationalization and price reforms execution, and the implementation of the Third Party Access (TPA) with enforcement of the Gas Supply (Amendment) Act 2016 (GSA 2016). The comparison and approach used for TPA to the infrastructures in Thailand, Indonesia and Singapore are also included.
In the second part, the paper summaries the TPA regulatory and legal framework that includes the development of TPA Codes and guidelines to promote the development of a competitive gas market, to ensure transparency, fair and nondiscriminatory practices in all transactions concerning the use of regasification terminals, transmission and distribution pipelines. The Codes are also implemented to prevent abuse of dominance and any potential anti-competitive conduct in addition to ensure a safe and reliable supply of gas to the customers. The paper further highlights on infrastructure readiness for the TPA implementation, reaction from market players to comply with GSA 2016, and the natural gas pricing mechanism under the TPA environment.
In the third part, the paper discusses current challenges by the market players to adapt to the new TPA environment, particularly on the infrastructure utilisations, pricing and commercial considerations and further supports required from the Government to continue fostering TPA to enable competition between market players, promote new business opportunities, encourage development of gas infrastructures and investments, and to continue the journey on transition to international market-based pricing. Concurrently, decisions and influences are required on the natural gas demand requirement with the support from environmental regulations, fiscal and tax incentives. As reference, the key success factors from European and North America gas market development are highlighted.
Finally, the paper reiterates the significances and the advantages of TPA implementation in Malaysia, to secure and manage energy supplies for Malaysia's growing domestic demand, as a platform for a healthy competition and to promote economic growth. This, in return, is expected to boost competition efficiency and supply electricity as well as ensuring long-term security of the country's gas supply.
|File Size||650 KB||Number of Pages||9|
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