Regulation (EU) 2017/1938 of the European Parliament and of the CouncilShow full title

3. Identification of risks U.K.

Describe the risk factors which could have negative impact on the security of gas supply in [F1 the United Kingdom], their likelihood and consequences.

Textual Amendments

F1 Words in Annex 5 point 3 substituted (31.12.2020) by The Gas (Security of Supply and Network Codes) (Amendment) (EU Exit) Regulations 2019 (S.I. 2019/531), reg. 1(2), Sch. 1 para. 22(5)(a); 2020 c. 1, Sch. 5 para. 1(1)

Non-exhaustive list of types of risk factors that have to be included in the assessment only if applicable according to the [F2 Secretary of State]:

Textual Amendments

F2 Words in Annex 5 point 3 substituted (31.12.2020) by The Gas (Security of Supply and Network Codes) (Amendment) (EU Exit) Regulations 2019 (S.I. 2019/531), reg. 1(2), Sch. 1 para. 22(5)(b)(i); 2020 c. 1, Sch. 5 para. 1(1)

(a)

political

• [F3 gas disruption from countries outside of the United Kingdom] because of different reasons,

• political unrest (either in country of origin or in transit country),

• war/civil war (either in country of origin or in transit country),

• terrorism;

(b)

technological

• explosion/fires,

• fires (internal to a given facility),

• leakages,

• lack of adequate maintenance,

• equipment malfunction (failure to start, failure during working time, etc.),

• lack of electricity (or other energy source),

• ICT failure (hardware or software failure, internet, SCADA problems, etc.),

• cyber-attack,

• impact due to excavation works (digging, piling), ground works, etc.;

(c)

commercial/market/financial

• [F4 agreements with suppliers outside of the United Kingdom],

• commercial dispute,

• control of infrastructure relevant for the security of gas supply by third-country entities, which may imply, among others, risks of underinvestment, undermining diversification or non-respect of Union law,

• price volatility,

• underinvestment,

• sudden, unexpected peak demand,

• other risks which could lead to structural underperformance;

(d)

social

• strikes (in different related sectors, such as the gas sector, ports, transport, etc.),

• sabotage,

• vandalism,

• theft;

(e)

natural

• earthquakes,

• landslides,

• floods (heavy rain, river),

• storms (sea),

• avalanches,

• extreme weather conditions,

• fires (external to the facility, like nearby forests, grassland, etc.).

Textual Amendments

F3 Words in Annex 5 point 3 substituted (31.12.2020) by The Gas (Security of Supply and Network Codes) (Amendment) (EU Exit) Regulations 2019 (S.I. 2019/531), reg. 1(2), Sch. 1 para. 22(5)(b)(ii); 2020 c. 1, Sch. 5 para. 1(1)

F4 Words in Annex 5 point 3 substituted (31.12.2020) by The Gas (Security of Supply and Network Codes) (Amendment) (EU Exit) Regulations 2019 (S.I. 2019/531), reg. 1(2), Sch. 1 para. 22(5)(b)(iii); 2020 c. 1, Sch. 5 para. 1(1)

Analysis U.K.

(a)

identify the relevant risk factors for [F1 the United Kingdom], including their likelihood and impact;

(b)

describe the criteria used to determine whether a system is exposed to high/unacceptable risks;

(c)

set a list of relevant risk scenarios in accordance with the risk factors and their likelihood and describe how the selection was made.