Page 7 - EurOil Week 01 2021

EurOil COMMENTARY EurOil

climate neutrality from such different positions,” On the nuclear side there is France, whose
the Commission said. “Taking account of scien- President Emmanuel Macron recently
tific advice and current technologically progress, announced that the country would resume the
as well as varying transition challenges across construction of nuclear power plants (NPPs) to
member states, the Commission considers there ensure a stable and affordable supply of clean
is a role for natural gas and nuclear as a means to energy. Poland too supports atomic energy, with
facilitate the transition towards a predominantly plans to construct its own NPP by 2030.
renewable-based future.” Some member states were not happy with
The EC included some caveats, however. either gas or nuclear being labelled as sustain-
There would be “clear and tight conditions” for able, including Austria, which has threatened to
classifying gas and nuclear investments as sus- sue the Commission if its proposals are adopted.
tainable, it warned. By 2035, these gas invest- But in upcoming negotiations on the taxonomy,
ments must produce low emissions, it said, it is likely that gas will be included, given its
potentially through their conversion to renew- broad support among member states. Critically
able sources such as bio-methane and hydrogen. both France and Germany, the EU’s most influ-
ential members, are in favour of gas.
Differing views What is less clear is whether nuclear will
The Commission’s position will be welcomed remain on the list. Germany is staunchly
by those member states that have positioned against its inclusion, putting it on a collision
gas and nuclear as central parts of their strategy course with France. Indeed, Berlin’s firm com-
for reaching net-zero emissions. Leading the mitment to ending nuclear energy use was
gas lobby is Germany, which has turned to gas demonstrated when it followed through on its
as a near-term solution for replacing coal and plan to shut down 4 GW, or half, of its atomic
nuclear, both of which it is phasing out, until its energy capacity at the end of last year, in spite
renewable capacity has been sufficiently scaled of the crunch in its energy supply. And there
up. Many former eastern bloc countries will also are other member states without any current
be satisfied, including Poland, the Baltic States, nuclear capacity that would be against its label-
Romania and Hungary. ling as sustainable. ™

PIPELINES & TRANSPORT

Montenegro eyes LNG-to-

power projects

MONTENEGRO MONTENEGRO is progressing plans for using reliable energy security in Montenegro!”
LNG as a power use, to reduce its reliance on It first emerged that Montenegro was con-
Gas currently has no sometimes unreliable hydroelectricity and dirt- sidering LNG imports in February 2020, when
place in Montenegro’s ier coal. officials from theTrump administration visited
energy mix. The small Balkan country currently does Bar to discuss prospects for US LNG deliveries
not use gas, lacking any infrastructure to to the country.
import or distribute it. However, state power “That port is ideally positioned to accept
company EPCG has signed a memorandum LNG and would be a hub from which to trans-
of understanding with Singapore-based LNG port liquefied gas to other countries; it is a deep
Alliance on studying the construction of gas- water port and can accommodate ships coming
fired power stations in Montenegro’s port of from the United States,” the US department of
Bar and in its capital Podgorica. These termi- energy’s then assistant secretary for fossil fuels,
nals would be connected to a proposed LNG Steven Winberg, said at the time. “Whenever
terminal in Bar that LNG Alliance will also you have a new energy source, it creates energy
build. stability and security.”
How long the study will take, and the time- There is also a plan to build a pipeline through
frame envisaged for the project’s development, Montenegro that would provide it with access
were not disclosed. to Azeri gas entering Europe via the Southern
“We invest into new sustainable projects Gas Corridor in the south and LNG imports at
and develop partnerships for a greener future,” a regasification terminal in Croatia in the north.
EPCG and LNG Alliance said in a joint state- But a final investment decision on this pipeline
ment announcing the memorandum on January has not been taken and the project has been
2. “We are aspiring to create clean, affordable and stuck in limbo for several years. ™

Week 01 06•January•2022 www. NEWSBASE .com P7