Page 14 - GLNG Week 49 2022

GLNG EUROPE GLNG

LNG in Europe: ready or not?

POLICY WITH the reliable supply of Russian gas to As this infographic using Gas Infrastructure
Europe a thing of the past since the eruption Europe data shows, though, these will be the
of war in Ukraine, many European countries first terminals in the country. Where will the gas
have been scrambling to find alternative sources come from? In large part, Qatar. The state-owned
of energy. Although the EU has agreed a plan Qatar Energy announced at the end of Novem-
to reduce natural gas consumption this winter ber that a deal had been struck with German
by 15% compared to the past five-year average, firms, representing a 15-year deal to buy 2mn
gas is not going to be abandoned as a source of tonnes of liquid gas. Deliveries will start from
energy any time soon, Statista reports. 2026, with the gas being sold by Qatar to the US
One of Europe’s answers to the crisis is the company ConocoPhillips, before delivery to one
increase of liquefied natural gas (LNG) imports. of Germany’s by-then-constructed terminals.
Circumventing the use of pipelines from the east, While this may serve as a medium-term solu-
LNG terminals open up a wider variety of poten- tion, the use of LNG is controversial. The Ger-
tial suppliers. One of the main benefactors of this man Federal Environment Agency claims that
shift so far has been United States. In the first half increased use of LNG, especially compared to
of 2022, the US became the world’s largest LNG gas transported via pipeline, cannot be justified
supplier, with 71% of its exports going to the EU from a climate policy and energy efficiency per-
and the UK. spective. Nevertheless, the agency states that an
Germany, for example, which had developed expansion of LNG infrastructure over the course
a significant dependency on gas deliveries from of the transition to cleaner energy could contrib-
Russia, has announced the construction of four ute to improved supply security as well as more
LNG import terminals since the start of the war. competition.™

P14 www. NEWSBASE .com Week 49 08•December•2022