Germany: Delay in delivery of liquefied natural gas terminal may challenge energy security
According to Der Spiegel magazine, the delivery of the German floating LNG terminal in Lubmin has been delayed by several weeks.
The launch of the new floating LNG terminal was scheduled for early December, but the project is still awaiting approval procedures. A spokesman for Deutsche ReGas, the operator of the terminal, told Der Spiegel that the terminal should be up and running later this year.
Demand for LNG floating storage and regasification units (FSRUs) has increased sharply this year as Europe faces a severe energy supply crisis, with Russia exiting the supply mix for many buyers . It is a race against time for Europe to get these FLNG projects operational.
The first FSRU destined for the Lubmin facility in Germany arrived at the port of Mukran at the end of November. From there, she was supposed to make her way to Lubmin, where she would be employed.
When the FSRU arrived in Mukran, all the components needed to complete the LNG terminal were in the region, but Deutsche ReGas warned that commissioning could only take place after all necessary permits had been obtained. The Federal Network Agency of Germany has exempted the terminal from the regulation of tariffs and network access for a period of 20 years.
The Lubmin terminal is expected to inject 4.5 billion bcm of gas per year into the German network. Germany also has other projects in the pipeline, including those in Wilhelmshaven, Stade and Brunsbuttel.
Germany and its EU counterparts are facing an energy crisis this winter and next, which is expected to be more critical than the current one. Like other EU members, Germany is facing very high gas prices and is in the midst of a dispute with other EU members about where to limit gas prices in the bloc.
Thanks to our Telegram channel you can stay updated on the publication of new articles from Economic Scenarios.
The article Germany: Delay in delivery of liquefied natural gas terminal may challenge energy security comes from Scenari Economici .
This is a machine translation of a post published on Scenari Economici at the URL https://scenarieconomici.it/germania-ritardo-nella-consegna-del-terminal-del-gas-naturale-liquefatto-puo-mettere-in-difficolta-la-sicurezza-energetica/ on Fri, 09 Dec 2022 07:00:04 +0000.