FT: “Britain came within hours of running out of natural gas during a prolonged cold snap this year when there was disruption to an import pipeline and prices spiked. But natural gas storage projects that could insure against this risk are being held back by a lack of clarity over government policy and market conditions that make many uneconomic.” “Up to eight projects worth as much as £3bn are on hold, according to analysis by the Energy Contract Company, as the industry waits for a decision by the government this autumn on whether to provide incentives for investment.
The UK has about 4-5 per cent of annual demand in storage, compared with 17-18 per cent in many European countries. This was not regarded as a cause for concern during the heyday of North Sea production.”
Future Today
