Nederlands
EBN's history
Groningen 1959
After 1960 it gradually became clear that the size of the 1959 Groningen natural gas discovery would have a significant impact on the Dutch energy supply. The government decided not to leave this strategic interest to oil companies alone, as had been the case with previous oil and gas finds. Instead, a structure was sought so that the State would be involved, together with the oil companies, in exploring for and selling this natural gas from the very start. The Dutch government had two main considerations in deciding on the organisational format. This was formulated by De Pous, then Minister of Economic Affairs, in the Natural Gas Policy Paper (Aardgasnota) submitted to the Dutch parliament in July 1962.
- "The sale and price policy should be based on economic and commercial standards, in which efforts must be made to use the natural gas to the maximum benefit of the national economy."
- "The first aim of exploiting the natural gas must be to place the gas on the market for the public gas supply (in part to replace coke oven gas) and also on the market for high-quality industrial applications."
State Mines / DSM
The government did not have the knowledge and expertise needed to produce, distribute and sell energy products. To ensure the desired industrial and commercial approach, the Dutch government decided to channel the Dutch State’s participation via State Mines in Limburg (later called DSM N.V.). In that way, the State could benefit from DSM's industrial and commercial experience as a large energy producer, with a well-established position in the Dutch gas market and thus the ability to contribute its experience in distribution and sales. As an industrial entity, DSM was also a good partner for the other participants (Shell and Esso).
The desired rapid introduction of natural gas could also be accelerated by using DSM's pipeline network and its long-term contracts to supply coke oven gas to large numbers of municipalities in the south of the Netherlands, as well as by contributing the State Gas Company and the gas market in the province of North-Holland (until then supplied by Hoogovens). As a result, the following entities were eventually established:
- Maatschap Groningen (Groningen Partnership) for producing the natural gas from the Groningen field. The operator NAM (a 50/50 subsidiary of Shell and Esso) holds 60% of the shares and DSM the remaining 40%.
- N.V. Nederlandse Gasunie for buying, transporting and selling the natural gas. The shareholders were (and still are) DSM with a 40% interest Shell and Esso (25% each) and the State itself (10%).
This structure is commonly referred to as the 'Gasgebouw’ partnership.
DSM was also instructed to hold a 40% interest on behalf of the State in gas production concessions and licences subsequently granted by the State.
DSM Aardgas B.V. / EBN
In consultation with the State, DSM's interests in the production, transportation and sale of natural gas were placed in a separate legal entity on 1 January 1973. This company, DSM Aardgas B.V., was a wholly-owned subsidiary of DSM.
A Royal Decree in 1976 also enabled the State to participate in the production of oil, while raising the State participation in licences granted from then onwards from 40% to 50%. In 1996, the increase in the participation percentage was reversed by Royal Decree, from 50% to 40%. On 1 July 2000, as part of the measures designed to enhance the mining climate, the Minister also made it possible for EBN to participate in exploration licences.
As a result of the stock market flotation of DSM N.V. (the sole shareholder of DSM Aardgas B.V.), all the DSM Aardgas B.V. shares were transferred to the State in January 1989. The company’s name was then changed from DSM Aardgas B.V. to Energie Beheer Nederland B.V. (EBN). DSM N.V.'s tasks and operating relationships remained unchanged. On 1 January 2006, the management agreement between the State, EBN and DSM was modified to end DSM's administrative responsibility for EBN. EBN’s Executive Board reports to the company’s own Supervisory Board.
An independent Supervisory Board was appointed by the State on 1 January 2006.
