A Framework for Modelling Investment Decisions in Gas Infrastructures

Natural gas is expected to play a significant role in the support of the global market growth. The consequent transformation of the energy portfolio mix will be accompanied by dramatic changes in the natural gas supply and important questions will arise about the relative accessibility of reserves as well as the need of long distance transportation infrastructures.This paper proposes a cost minimisation model to study the evolution of the natural gas transportation system. A case study was developed where the interregional links of the natural gas supply were studied on a global scale. Results show potential underutilization of assets in the gas transmission industry.