Netherlands to offer gas storage compensation: press
The Dutch government has pledged to invest €623bn ($675mn) on gas storage incentives for the 4.1bn m3 capacity gas storage in Bergermeer, as it aims to remove Russian fuels from its energy mix before the end of this year, Reuters reported April 22.
The EU is asking all member states to ensure gas storage centres are 90% full by November 1. The Netherlands held 23.7% (34.5 TWh) of its overall gas storage capacity as of April 20, according to GIE's aggregated gas storage inventory.
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Filling Bergermeer could cost around €623mn ($673mn), with funding given to compensate gas suppliers who divert feedstock from other markets. State energy company EBN has been instructed to provide gas volumes, up to a 70% threshold, if private investors cannot be found. The storage capacity would be taken from Gazprom under a "use it or lose it" quota, should the Russian giant refuse to supply more gas.
Gazprom has the rights to 40% of capacity at Bergermeer, but did not use its allocation last year. State-owned Energiebeheer Nederland and Abu Dhabi state-owned energy group Taqa own the facility, with 60% and 40% stakes respectively, Reuters said.
Earlier reports claimed Amsterdam would consider nationalising the Bergermeer plant, as it was concerned Gazprom would leave its share empty. If the figures from the NL Times are accurate, the storage held only 10% capacity as of April 8, and it could take 150 days to reach 100%.
Aside from storage, Amsterdam says it will replace Gazprom's gas with non-Russian imports. Russia's share of Dutch gas consumption is around 15%, although the country needs gas to satisfy 45% of its energy usage, Reuters said. The government in January lifted the cap on gas production from the Netherlands' largest gas field, Groningen, also the biggest in Europe outside Russia. Amsterdam had been steadily reducing output but will temporarily permit yields to rise from 3.9bn m3 to 7.6bn m3, though only until October 1.
The Netherlands will also try to reduce energy consumption and introduce new environmental policies. Dutch demand for energy fell to 3.37 exajoules in 2020 from 4.10 exajoules ten years earlier, according to the BP Statistical Review of World Energy. Reduced Dutch consumption is perhaps an archetype for the rest of the EU. Brussels unveiled its own demand-side recommendations to punish the Kremlin on April 21, asking employees to work more often from home and to use bicycles and public transport where possible.