Chief Commercial Officer
09:55 - 10:20
Wednesday, 18 September 2019
S2.3 EU Gas Package 2020 - Opportunities for Gas
The scope of the presentation is to provide an outline of current policy developments in Europe that are significantly affecting the gas industry, as part of the EU Commission’s implementation of its commitment to the Paris Agreement, and industry’s response. The objective is to provide a blueprint for others to follow to secure the role for gas in the transition to lower-carbon economies.
The Commission intends to transition to a decarbonised economy by 2050, including decarbonisation of energy in all sectors of power, transport, industry and heating. GIE Members are dedicated to fulfil the Commission’s commitments to the Paris Targets, however believe that this can not be achieved whilst guaranteeing the supply of affordable energy for all citizens without the ongoing use of gases and the gas infrastructure. It is a crucial time for the gas industry, as policy changes that look to an overly-electric world and do not value the benefits that gases contribute towards meeting the Paris Targets will have drastic effects on the demand for gas, whilst also rendering the Paris Targets unachievable.
GIE will present new insights from the process of its close liaison with, and submissions to, the Commission and other organisations during the 2018/19 review of EU gas legislation leading up to the 4th Gas Package, scheduled to be debated in the European Parliament in early 2020.
This will include an overview of the areas that have been the concern of EU policy makers in terms of achieving decarbonisation whilst ensuring a robust economy and the process of negotiation with policy makers that has influenced policy for the benefit of the gas industry. The specific impact of policy on gas demand will be explained in the key areas of trading, investment, innovation, network development, integration with electricity, pricing, storage and decommissioning of gas infrastructure.
Results of studies and research supporting all claims will be provided (cost savings, potential of hydrogen, biomethane, impact of decarbonisation on supply) and commentary on the optimal commercial, legal and regulatory framework and a financial framework based on a technology-neutral approach.
The positive outcomes from negotiations with the commission and its advisors will be summarised – serving as a blueprint for others to safeguard the role of gas whilst contributing in tangible ways to the development lower-carbon economies. This includes demonstrating the value of the gas infrastructure in terms of longer-term network savings and keeping energy prices as low as possible, flexibility in light of increasing solar/wind power supply, security of supply, increasing the quantities of renewable and decarbonised energy through biogas and power-to-gas technologies and how the gas industry is innovating to meet the climate change demands. These will be listed under three main pillars of infrastructure, integration, innovation.