UK's Energy Security at Risk as Domestic Gas Supplies Loom Large
The UK is facing a growing energy security crisis, with gas supplies coming under increasing scrutiny. In a wake-up call to policymakers, the National Energy System Operator (Neso) has warned of the dangers of inadequate subsurface storage and secure supply chains, echoing concerns that date back to March 2013 when the country teetered on the brink of a catastrophic gas shortage.
With 85% of UK homes relying on gas for heating and cooking, it's clear that pivoting away from this energy source is not an option anytime soon. Moreover, gas provides over half of the UK's electricity base load, particularly during cold, windless, and dark periods, making reliable supplies a national security imperative.
Two critical points of failure in the UK's gas infrastructure have emerged: the Ormen Lange gas field and the Langeled pipeline. To avoid these risks, either domestic production must continue to be prioritized or high-carbon intensity imports from countries like Qatar and the US must be ramped up and paid for β a move that would significantly increase global emissions and fuel price volatility.
To secure domestic supplies, the government must take steps to encourage and incentivize the energy sector to find and produce the gas needed as it moves towards a low-carbon future. Recent policy relaxations through transitional energy certificates are a step in the right direction, but removing the windfall tax is an essential next move to stimulate investment in domestic gas production.
Unless this happens, policymakers risk leaving the UK vulnerable to gas shortages that Neso has highlighted, with potentially devastating consequences for households and businesses alike.
The UK is facing a growing energy security crisis, with gas supplies coming under increasing scrutiny. In a wake-up call to policymakers, the National Energy System Operator (Neso) has warned of the dangers of inadequate subsurface storage and secure supply chains, echoing concerns that date back to March 2013 when the country teetered on the brink of a catastrophic gas shortage.
With 85% of UK homes relying on gas for heating and cooking, it's clear that pivoting away from this energy source is not an option anytime soon. Moreover, gas provides over half of the UK's electricity base load, particularly during cold, windless, and dark periods, making reliable supplies a national security imperative.
Two critical points of failure in the UK's gas infrastructure have emerged: the Ormen Lange gas field and the Langeled pipeline. To avoid these risks, either domestic production must continue to be prioritized or high-carbon intensity imports from countries like Qatar and the US must be ramped up and paid for β a move that would significantly increase global emissions and fuel price volatility.
To secure domestic supplies, the government must take steps to encourage and incentivize the energy sector to find and produce the gas needed as it moves towards a low-carbon future. Recent policy relaxations through transitional energy certificates are a step in the right direction, but removing the windfall tax is an essential next move to stimulate investment in domestic gas production.
Unless this happens, policymakers risk leaving the UK vulnerable to gas shortages that Neso has highlighted, with potentially devastating consequences for households and businesses alike.