ANPGas extraction site of the NAM in Muntendam.
NOS Nieuws•vandaag, 06:00
Rob Coster
Economics reporter
Rob Coster
Economics reporter
From next Sunday, gas will no longer be pumped from the Groningen field at all, due to the risk of earthquakes. Only the gas fields in the North Sea still supply a substantial amount of Dutch gas. The vast majority of gas used in the Netherlands now comes from abroad.
Due to the war in Ukraine, pipeline gas no longer comes from Russia. The Netherlands is therefore mainly dependent on gas from Norway and liquefied gas (LNG) from the United States and the Middle East.
NOS
The total amount of gas that the Netherlands imports is greater than the amount used, because the Netherlands is a transit country for gas. Some of the gas goes further into Europe via Germany and Belgium.
The capacity for importing liquefied gas from other parts of the world has been significantly expanded. For example, the Gate Terminal in Rotterdam has been expanded and the capacity of the new floating terminal in Eemshaven is also being further increased.
NOSLng tankers in the Eemshaven
Last year, after the outbreak of war in Ukraine, there were major concerns about security of supply due to the loss of Russian gas. The Netherlands is in a much better position this winter, says Bart Jan Hoevers, director of Gasunie Transport Services: “The gas storage facilities are almost 100 percent full and that is the best position you can wish for at the beginning of winter given the circumstances. “
NOS
Filling the gas stores did not go completely without a hitch. The Dutch government, through Energie Beheer Nederland, has persuaded companies to store gas for next winter despite the high gas prices. This summer, the cabinet allocated an additional 210 million euros for this purpose, in order to increase the filling rate above 80 percent.
Import gas must be adjusted
The gas that the Netherlands imports is not directly suitable for Dutch gas stoves and central heating boilers. The Groningen field contains low-calorific gas and the import gas is high-calorific. Dutch households are not forced to purchase other equipment because the Dutch government wants to get rid of gas completely in the coming years.
That is why Gasunie adds nitrogen to the import gas. This makes it similar in composition to Groningen gas and makes it suitable for cooking and heating homes. The amount of gas that needs to be supplied with nitrogen has increased significantly. That is why a new nitrogen factory has been built next to the mixing plant in Zuidbroek in Groningen.
Despite problems during construction, the factory managed to be partially operational this weekend, when the Groningen field is closed.
NOSLatest work at the Zuidbroek nitrogen factory
In principle, there is enough gas to get through the winter, but the global gas market remains tight and is therefore extremely sensitive to price fluctuations. For example, the gas price in the Netherlands rose sharply because maintenance work on a gas installation in Norway took longer than expected.
A threatened strike in Australia also immediately led to higher gas prices in the Netherlands. These prices are determined by supply and demand on the world market and not by Gasunie.
Gas prices are more likely to rise than fall
But the chance that gas prices will rise even further is greater than the chance of a decline in the short term, Hoevers from Gasunie thinks. “At the moment, gas costs 2.5 to 3 times as much as we were used to. If there are new setbacks, the price could rise further. The room for reduction is relatively limited because the market is currently so tight. So my expectation is that the price will remain high for a while.”
Due to the well-stocked gas reserves, the Netherlands can also cope with a cold winter. Yet in theory it could still be exciting if such a cold winter coincides with technical problems with the supply of gas from abroad.
Groningenveld stand-by
In that case, the discussion about pumping gas from the Groningen field could also flare up again. Partly due to pressure from abroad, the Netherlands has not yet completely closed the gas wells. Due to the tightness on the international gas market, the Groningen field will be on standby for another year. If necessary, Groningen gas can still be extracted.
On the one hand, Groningen natural gas has made the Netherlands a lot of money, on the other hand it is driving people in Groningen to despair:
Groningen gas: a billion-dollar treasure that became a curse for many Groningen residents
2023-09-28 04:00:01
#Netherlands #entering #winter #Groningen #gas #time #years
