A part of Watch Media

ShippingWatchSaturday28 January 2023

  • Search
  • Log in
  • Carriers
  • Logistics
  • Regulation
  • Suppliers
  • Search
  • Log in
  • Latest
  • Search
  • Log in
  • Carriers
  • Logistics
  • Regulation
  • Suppliers
  • Offshore
  • Ports
08/10/2013at 15:52

DONG loses million dollar dispute to Maersk

A.P. Moeller-Maersk is set to receive millions of dollars in return from DONG, which overcharged the company for transporting natural gas. Gas traders look to save USD 27.2 million to USD 45.4 million a year.
Photo: CARSTEN INGEMANN
BY JØRGEN RUDBECK

DONG Energy stands to pay back millions of dollars to A.P. Moeller-Maersk.

The state-owned energy company has overcharged Maersk for transporting natural gas, according to a verdict that has not yet been made public and which upholds the Danish Energy Agency's verdict from October 2012.

Maersk Energy Markets (MEMAS), which trades gas, amonger things, has seen its complaint upheld, namely that DONG's tariffs are too high, and the Danish Energy Appeal  - the final appeals authority before a case goes to the court - has ruled that the tariffs should be lowered by USD 0.01, to between USD 0.009 and USD 0.012.

Do you want to stay up to date on the latest developments in Danish and International shipping? Subscribe to our newsletter – first 40 days are free

It now up to the Danish Energy Agency to determine the exact rate, but the verdict means that DONG stands to lose more than USD 18 million a year.

MEMAS filed a complaint about the price rate in a specific signed contract, but the verdict also means that the prices must be lowered in future contracts.

"The Danish Energy Agency's ruling on October 30th 2012 is summoned for renewed treatment, for the agency to determine an exact price in the interval USD 0.009 to USD 0.012 per cubic meter for services related to transport contracts between DONG and MEMAS signed in the period from July 2011 to October 2012. Furthermore, the Danish Energy Agency's ruling on October 30th 2012 is upheld," says the Energy Appeal in its ruling.

USD 27.2 - 45.4 million a year

Even though the case concerns minuscule sums the energy company stands to lose many millions of dollars, and gas traders including Maersk can look forward to major savings.

In 2011, five billion cubic meters of gas were transported through the upstream pipes in the North Sea, a majority of which are owned by DONG.

"This decision will not only impact transport contracts between DONG Naturgas and Maersk Energy Marketing, it will also influence the price rate of future contracts related to transporting natural gas to the Danish market, as other energy companies can make claim to the same fair price rate when entering agreements for transporting natural gas to the Danish market," said the Danish Energy Agency in its ruling on October 30th 2012, a ruling that has now been upheld.

The Energy Appeal reached its decision yesterday, Monday, October 7th 2013.

Due to the principle nature of the case the decision was treated by a board of seven people. This marks the first time that the Energy Agency - and the Energy Appeal - has made a ruling concerning fair price levels related to transporting gas in the upstream pipe system.

Do you want to stay up to date on the latest developments in Danish and International shipping? Subscribe to our newsletter – first 40 days are free

Newspaper: Goldman Sachs looking to co-own Dong 

Auditor-General criticises Dong investment programme 

Related articles:

  • Photo: DONG ENERGY

    Newspaper: Goldman Sachs looking to co-own Dong

    For subscribers

  • Photo: Lars Krabbe

    Auditor-General criticises Dong investment programme

    For subscribers

Sign up for our newsletter

Stay ahead of development by receiving our newsletter on the latest sector knowledge.

!
Newsletter terms

Front page now

Foto: Höegh Autoliners
Carriers

Car carriers have rarely seen such profits: "We are probably at an all-time high"

After a difficult time during the pandemic, 2022 has exceeded all expectations for car carriers, says chief exec of Höegh Autoliners. Low capacity and electric cars out of China are main factors in elevating prices.
  • Norwegian carrier lands another large gas deal with Germany
  • Höegh Autoliners joins climate coalition

For subscribers

Foto: Markus Scholz/AP/Ritzau Scanpix
Container

Maersk rebrands Hamburg Süd and several other well-known subsidiaries

For subscribers

Foto: Ints Kalnins/Reuters/Ritzau Scanpix/REUTERS / X02120
Tanker

Fredriksen now owns nearly as many Euronav shares as the Saverys family

For subscribers

”Blue Water wants to grow – but it will be with a focus on profitable growth, and we will hold on to our strong values, unique customer focus and high level of satisfaction among both customers and personnel,” states Kurt Skov, founder and departing chair at Blue Water Shipping. | Foto: Carsten Andreasen/Ritzau Scanpix
Logistics

Blue Water founder promises future "focus on profitable growth"

For subscribers

Foto: Tatiana Meel/Reuters/Ritzau Scanpix
Regulation

EU considers capping Russian fuel prices at USD 100 a barrel

For subscribers

Foto: Statoil/AP/Ritzau Scanpix
Offshore

Borr Drilling raises USD 400m to pay off debt

For subscribers

Further reading

One of Cadeler's large installation ships. | Foto: PR-foto Cadeler
Offshore

Semco to upgrade crane capacity on two Cadeler jack-ups

Danish contractor Semco Maritime is awarded new contract for modifications on two crane ships for offshore carrier Cadeler.

For subscribers

"We are currently reviewing a few transactions within the platform supply vessels sector and anchor handling segments and I hope we can conclude some business within the first six months of this year", says Head of Shipping with HCOB Jan-Philipp Rohr. | Foto: Hcob
Offshore

Energy crisis prompts strategy changes: German bank commits to offshore financing

Germany’s urgent need for new energy suppliers prompts Hamburg Commercial Bank to return to fossil investments after having rid its portfolio of oil and gas loan deals.

For subscribers

Foto: World Marine Offshore
Offshore

Offshore carrier goes bankrupt after major claim and dispute among owners

World Marine Offshore has filed for bankruptcy. Deficits, conflict among owners, and a large claim in the US all play a part, says the insolvency administrator, who is now searching for a buyer of the Danish carrier.

For subscribers

Latest news

  • Blue Water founder promises future "focus on profitable growth" – 27 Jan
  • Borr Drilling raises USD 400m to pay off debt – 27 Jan
  • Income for ice class tankers has surged by 1,644 percent following sanctions – 27 Jan
  • Floating power station to provide energy for one million Ukrainians – 27 Jan
  • Maersk rebrands Hamburg Süd and several other well-known subsidiaries – 27 Jan
  • Car carriers have rarely seen such profits: "We are probably at an all-time high" – 27 Jan
  • Fredriksen now owns nearly as many Euronav shares as the Saverys family – 27 Jan
  • EU considers capping Russian fuel prices at USD 100 a barrel – 27 Jan
  • New partnership to investigate potential human rights abuse at sea – 27 Jan
  • Singaporean competition authorities to probe DSME sale – 27 Jan
See all

Jobs

  • Junior Finance Business Partner - offshore wind industry

  • Financial Controller for International Shipping Company

  • Foundation Package Manager - Offshore wind industry

  • Copenhagen Shipping Company is hiring a skilled cargo broker

  • Chartering Manager for Lauritzen Bulkers A/S

  • Senior Lead, Human Sustainability at Sea

Jobs

  • Junior Finance Business Partner - offshore wind industry

  • Financial Controller for International Shipping Company

  • Foundation Package Manager - Offshore wind industry

  • Copenhagen Shipping Company is hiring a skilled cargo broker

  • Chartering Manager for Lauritzen Bulkers A/S

  • Senior Lead, Human Sustainability at Sea

See all jobs

Colophon

ShippingWatch
Search

Sections

  • Carriers
  • Logistics
  • Regulation
  • Suppliers
  • Offshore
  • Ports
  • Sitemap
  • RSS feeds

Editor

Tomas Kristiansen

tk@shippingwatch.dk

Tel.: +45 3330 8360

Editor-in-chief

Anders Heering

Publisher

JP/Politiken Media Group Ltd

Advertising

annoncering@infowatch.dk

Tel.: +45 7077 7445

Advertising

Job Advertising

job@infowatch.dk

Tel.: +45 7077 7445

Jobs

Subscription

Try ShippingWatch or get an offer for a subscription meeting the exact needs of you or your company.

shippingwatch@infowatch.dk

Tel.: +45 7077 7445

Learn more about subscriptions here

Address

ShippingWatch

Rådhuspladsen 37

1785 Copenhagen K, Denmark

Tel.: +45 3330 8360

Guidelines

  • Privacy Policy

Copyright © ShippingWatch — All rights reserved

Microsoft is in the process of discontinuing Internet Explorer – and so are we.
For a better experience, we recommend using one of the following browsers.

Kind regards,
ShippingWatch

Google ChromeMozilla FirefoxMicrosoft Edge