Our project for the future

Risk management

The Enagás Group uses a risk management and control model aimed at ensuring the continuity of the business and the achievement of the objectives of the company in a predictable manner and with a medium-low profile for all of its risks. The model allows Enagás to adapt to the complexity of its business operations amid a globally competitive and economically complex environment, where risks materialise more quickly and with increasingly evident knock-on effects. The model is based on the following aspects:

  • Establishing a context of appetite for risk, a level of risk that is considered acceptable, and that is consistent with the established business goals and the market context in which the company is developing its activities.
  •  The consideration of some standard types of risk that the company is subject to: 
    • Strategic and Business 
    • Operational and Technological 
    • Financial and Tax-related 
    • Credit and Counterparty 
    • Reputational
    • Criminal Liability 
    • Compliance and Model
  •  The segregation and independence of the risk management and control function:
  • On the one hand, the individual business units are responsible for the risks they take on when conducting their ordinary business activities, and are therefore responsible for identifying and measuring them.
  • There is also a risk management function in charge mainly of ensuring that the risk control and management system works correctly, defining the regulatory framework and approach, and performing periodic monitoring and overall control of the company’s risks. 
  • Lastly the internal audit function, is in charge of supervising the efficiency of the risk controls in place.
  • The existence of certain governing bodies with responsibilities for supervising the level of risk in the company:
    • The Board of Directors is responsible for approving the risk control and management policy. Other responsibilities with respect to risks are delegated in the Audit and Compliance Committee. 
    • The Audit and Compliance Committee mainly supervises the efficiency of the risk systems and evaluates the risks to the company (identification, measurement and establishment of measures for their management). 
    • The Risks Committee establishes the overall strategy for risks, the limits of global risk for the company, and reviews the level of exposure to risk and the corrective actions, should there be any non-compliance.
  • The transparency of information supplied to third parties, to guarantee its reliability and accuracy.

The existing model is completed by the carrying out of specific risk analyses that facilitate the decision-making process based on risk-profitability criteria in those strategic Enagás Group initiatives, new businesses or initiatives of special relevance from the risk standpoint. The Group’s risk function performs this analysis independently, transversally (covering all risk types) and homogeneously (with similar operations and measuring overall risks). 

The update of the company's risk map includes the following impacts arising from both the socio-economic context and the company´s actions, as shown in the 2016 Enagás Group Risk Map.








Main risks for the Enagás Group

Main risks for the Enagás Group 

Strategic and Business Risks

 1.  Regulatory risk

2.  Risks in the evolution of demand 

3.  Legal risk 

4.  Risks in obtaining licenses, permits and authorisations 

5.  Infrastructure development risks (national and international)

6.  Commercial risk and revenue variability risk (international)

Operational and Technological Risks

7.  Industrial risks in infrastructure operation 

8.  Cybersecurity 

Financial and Fiscal Risks 

9.  Financial (interest rate, exchange rate and liquidity) and fiscal

10.  Project financing structure risks (International)

Credit and Counterparty Risks

11.  Credit and counterparty risks

Direct Reputational Risks 

12.  Direct reputational risks (national and international)


The main risks for the Enagás Group, the effects of which could be felt within 3 years. 

The classification of risks (different nature ) on a single map takes into account different scales of assessment.

Hedged risks or those covered by contingencies are not represented on the Risk Map.

Main risks for the Enagás Group



Level of risk

Controls and mitigating actions

Strategic and Business Risks

1. Regulatory risk

The activities carried out by the Enagás Group are notably affected by the current remuneration framework. Any change to this could affect the regulated revenues of business activities.

  • Ongoing working relationship with regulatory bodies and government bodies. Regulatory development proposals.
  • Participation in different associations with players in the gas sector and on projects to promote NG as a fuel. Initiatives with other companies to encourage its use.

2. Risks in the increase in demand

In the short term, the variation in the demand for transmission, regasification and underground storage of natural gas in Spain has a direct impact on a component of the regulated remuneration received by these activities.

  •  Internal analysis: evolution of demand, gas system capacity, etc.
  • Participation in projects to promote NG as a fuel, in initiative with other companies to encourage its use and continuous collaboration with regulatory institutions and governments.

3. Legal risk 

The results of the company may be affected by the uncertainties related with the different interpretation of contracts, laws or regulations which the company and third parties may have, as well as the results of any law suits undertaken.

  • Management and monitoring of legal processes and negotiation with third parties to reach out-of-court settlements.
  • Monitoring of the existing situation with corresponding administrative authorities.


4. Risks in obtaining licenses, permits and authorisations

New infrastructure developments are subject to obtaining licences, permits and administrative authorisations. These long and complex processes may cause delays owing to the obtention of authorisations and the procedures related to environmental impact studies, and may impact expected revenues.

  •  Ongoing working relationship with government bodies.
  • Monitoring processes and agility in resolving the required procedures.

5. Infrastructure development risks (national and international)

The development of infrastructure may be subject to deviations in schedules, affecting expected revenues. Also, deviations in foreseen investment costs as a consequence of variations in the planned designs.

  •  Adjustment of construction plans to reflect potential delays, establishment of local working groups with the aim of resolving disputes, as well as improving government relations.   

6. Commercial risk and revenue variability risk (international)

Certain internal regulatory frameworks stipulate that companies assume a commercial risk and that their short-term revenue can be affected by an increase in demand (gas competition compared with other sources of energy or meteorological conditions, etc.). 

Likewise, the yearly adjustment of transport rates are based on macroeconomic parameters that are subject to volatility. 

  •  Development of strategic commercial plans, detailed studies of potential markets for LNG, biogas and gas-powered electricity generation, and the development of new projects.
  • Monitoring of macroeconomic parameters in order to create action plans in case of fluctuations different from those foreseen.

7. Industrial risks in infrastructure operation

Losses in value or earnings may occur during the operation of the Enagás Group infrastructures owing to incidents (occasionally conditioned by the nature of the flow handled) taking place in transmission infrastructure, regasification plants and underground storage facilities.

  • The existence of emergency plans; creation of maintenance plans; continuous improvements to plans; the existence of control systems and alerts that guarantee the continuity and quality of service; quality, risk prevention and environmental certification; and redundancy of equipment and systems.
  • Risk transfer by means of insurance policies.

8. Cybersecurity

Possible attacks on corporate and industrial computer systems that may be the result of different factors: economic fraud, espionage, acts of activism and acts of terrorism.

  • Segmentation of the industrial telematic network and the common network between industrial and corporate systems, and the cutting off of infrastructure in an attack situation.
  • Control of access to computer systems and protection plans for critical infrastructure
Financial and tax-related

9. Financial (interest rate, exchange rate and liquidity) and tax-related risks

Risks deriving from the volatility of interest and exchange rates, as well as movements in other financial variables that could negatively affect the company’s liquidity. Possible changes to tax legislation that could affect the company's results.
  • Hedges are put in place using derivatives to establish a fixed or optimally protected debt structure.
  • A liquidity policy that is consistent in terms of contracting credit facilities that are unconditionally available and temporary financial investments in an amount sufficient to cover the projected needs over a given period of time.
  • Consultancy services provided by tax specialists.

10. Financial risk in the development of infrastructures

In the execution of large projects, Enagás Group is exposed to uncertainties owing to the effective procurement of finance in conditions similar to those forecast in business plans. 

  • Ongoing relationship with financial institutions.
  • Negotiation process with specialist personnel.
  • Working groups to obtain finance in the expected conditions.
Credit and counterparty risks

11. Credit and counterparty risks

Possible losses arising from a failure to pay the financial or quantifiable obligations owed by a counterparty to which the Enagás Group has extended net credit and is pending settlement or collection.

As well as the potential breach of obligations acquired by a counterparty in commercial agreements that are generally established in the long-term.

  • Analysis and monitoring of counterparties’ credit quality, regulatory proposals to compensate the Group for any possible failure to comply with payment obligations on the part of shippers. 
  • New mechanism for managing credit risk by means of establishing guarantees for the access of players to the Spanish Gas System.
Reputational risks

12. Direct reputational risks.

The potential reputational impact of the risks listed previously and as a result of strictly reputational events arising from the action, interest or opinion of a third party.

  • General regulations for Communications in Crisis Situations.
  • Fluent, direct communication with stakeholders.
  • Periodic tracking of information that is damaging and/or potential damaging for the company, cross-referencing of negative news items and reputational risks that are most critical to the company as a whole. Issuing of press releases.

Nivel de riesgo para enagás