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The US, Africa, Qatar and Iran will help Italy replace Russian gas. Copasir report

The US, Africa, Qatar and Iran will help Italy replace Russian gas. Copasir report

All Copasir recommendations on Italian energy security in the report on the consequences of the war in Ukraine

The Parliamentary Security Committee of the Republic (Copasir) today published the Report on the consequences of the conflict between Russia and Ukraine in the field of energy security .

In the approved document (speakers Senator Paolo Arrigoni of the Lega and the honorable Federica Dieni of M5s), we read that the reliance on Russia as the main supplier of natural gas to Italy (in 2020 it held a share of approximately 43 per cent of the total imported) "coincided with Putin's rise to power and can be traced back to the choices made in the past by different executives in a certainly different international context. In any case ", continues Copasir," the dramatic events of today denote how that orientation has objectively underestimated the problem of energy dependence and the diversification of supplies which has progressively amplified also due to the considerable increase in the share of Russian gas recorded in the recent years, giving rise to an instrument of pressure that was thus exerted by the Russian power ”.

THE RUSSIAN PRESSURES ON EUROPE

Russia is the main supplier of gas not only to Italy but, on average, to the European Union, with a share of around 40 per cent at EU level. Copasir writes that it has "been evident for a long time that Russia is using this position to put pressure on the EU".

In recent months, for example, before the invasion of Ukraine, Moscow voluntarily limited the flows of gas to Europe, favoring the increase in prices, with the aim of inducing the European regulatory authorities to rapidly approve the North. Stream 2, the pipeline with Germany.

HOW MUCH GAS PRODUCES AND IMPORTS ITALY

"Against a marginal domestic production of 3 billion cubic meters (bcm) in 2021, which represents 4% of the supply, Italy imported 73 bcm of gas", reads the report. About 40 per cent of this is gas coming from Russia through the TAG system which connects to the Italian network in Tarvisio.

29 per cent comes from Algeria, via Tunisia, with the Transmed interconnector arriving in Mazara del Vallo. Gas from Azerbaijan accounts for 9 percent and arrives, through the TAP system, in Melendugno.

From Libya, then, 4 per cent of total gas reaches Gela with the Greenstream interconnector. Gas from the North Seas, which accounts for 3%, reaches Passo Gries through Germany and Switzerland, with the TENP / Transitgas system.

DO YOU NEED STATE INTERVENTION IN THE GAS SECTOR?

According to Copasir, “the gas crisis [has] placed the emphasis on the fact that solutions entrusted solely to the market do not appear to be either sufficient or effective; in fact, in this sector it is clear that a state public intervention – exerts an indispensable rebalancing push to mitigate the impact both on the productive-economic and on the social front, particularly shaken by such an intense and rapid surge in energy prices, moreover in a post-pandemic recovery phase ".

ADVICE TO THE GOVERNMENT

The Committee, chaired by Adolfo Urso (Brothers of Italy), invites the Italian government to "focus on its own assets, pursuing a new energy policy that is characterized by rapid decision-making: this strategy could in fact lead to medium-long term benefits , reducing the frictions of a gas race that is already experiencing strong competition, especially from the Asian markets – China and India among all ”.

Copasir indicates as alternative gas suppliers to Russia "in the first place" Algeria, Libya and Azerbaijan, "but also from Egypt, Qatar, Congo, Mozambique, Angola and Nigeria as regards above all liquid gas, moreover of ENI production ".

The Italian government's plan to replace Russian gas is actually focusing heavily on increasing supplies from Africa , relying precisely on Eni's presence in many countries of the continent.

LIQUEFIED GAS

Regarding the possibility of importing liquefied gas (LNG) by ship, Copasir points out that the European regasification capacity (necessary to return the fuel in gaseous form, in order to be able to enter it into the network) is mainly concentrated in Spain, which however is not well connected to the rest of the continent.

"The European Union", reads the report, "if it really wants to have the liquefied gas quotas from the United States, but also from Qatar and Argentina, it will have to invest in the construction of new regasification plants that will require at least a couple of years and therefore additional costs to be incurred. The internal gas pipeline network must also be adequate, having been conceived above all for routes in the east-west direction ", while in the future it could be the opposite, because" Portugal, Spain and France [….] would present themselves as mooring points natural gas for ships coming from areas that make liquefied natural gas available ".

WHERE DOES THE LNG IMPORTED FROM ITALY COME FROM?

13 per cent of Italian gas imports consist of liquefied gas, "which is injected into the Italian network through the regasification terminals of Panigaglia, Livorno and Cavarzere".

70 percent of LNG comes from Qatar, 14.5 percent from Algeria, 8 percent from the United States and 7.5 percent from other countries.

IRAN?

Copasir suggests, to reduce energy dependence on Russia, to increase gas trade with Iran: a supplier that, however, may not prove to be reliable.

The Committee writes that the war in Ukraine "has provided a new impetus for the resumption of nuclear agreements between the United States and Iran which, although opposed by Israel and some Arab countries [such as Saudi Arabia, ed .] , could give rise to new balances in the energy game. Iran ", reads the Copasir report," could in fact once again become a leading partner, taking into account the size of the gas fields in which its territory is rich. Italy could take advantage of the excellent trade relations with this country which could constitute a further alternative outlet for the procurement of gas to replace the Russian one. Moreover, Tehran has expressed its intention to build a fleet of LNG carriers and ships with the aim of developing its own LNG industry and therefore this prospect could also represent an opportunity for the Italian market ”.

According to Copasir, even Turkey, led by a president with authoritarian tendencies, "in a not distant time perspective, can become a major gas hub in the Mediterranean basin, increasing its influence as an alternative to Russian gas for many European countries. ".

THE COMMENT OF URSO

In a post on his LinkedIn profile, Senator Urso – president of Copasir – pointed out that "with reference to gas as an energy bridge in the ecological transition process and the construction of certain infrastructures for which a streamlining of the authorization procedures is essential, the 'Italy [can] apply for the leading role of Mediterranean and therefore European Hub with the aim of achieving energy autonomy ”.


This is a machine translation from Italian language of a post published on Start Magazine at the URL https://www.startmag.it/energia/copasir-relazione-sicurezza-energetica-italia/ on Wed, 27 Apr 2022 14:41:14 +0000.