As the EU Methane Regulation moves into implementation, regulatory authorities face a delicate balancing act in the midstream gas sector. When approving tariffs for regulated gas entities, they are required to take into account the costs and investments incurred to comply with the Regulation—but only insofar as those costs are transparent and reflect those of an efficient and structurally comparable regulated operator. Determining what this means in practice is emerging as a key regulatory challenge.
Under Article 3 of the Regulation, ACER is tasked with monitoring cost developments and developing indicators and reference values related to methane measurement, monitoring, reporting, verification, and abatement for regulated midstream gas operators, including TSOs, DSOs, storage operators, and LNG terminal operators. This fireside chat offers an early look into ACER’s approach ahead of its first cost-monitoring exercise, which will inform a public report expected in late 2026 or early 2027.
The discussion will explore how data will be collected from operators and national regulatory authorities, how structural differences across assets and countries will be addressed, and what ACER aims to achieve in this initial exercise and future reviews.
• Discuss how regulators can take methane compliance costs into account in tariff-setting while safeguarding efficiency and transparency
• Explore ACER’s planned approach to monitoring investment and cost developments across midstream gas infrastructure
• Examine challenges around comparability across networks, storage sites, and LNG terminals
• Look ahead to how the framework may evolve as implementation experience and mitigation practices mature