As part of the fallouts of the Russian Ukraine conflict, Germany has announced plans to build two liquefied natural gas (LNG) terminals that would make the country less dependent on Russian gas.
The European Union as well as the North Atlantic Treaty Organization (NATO), has tightened biting sanctions against Russia, including shutting out the Country’s central bank, which is also affecting the countries doing business with Russia.
Russia is a leading member of non-OPEC countries, which export crude oil and are termed as OPEC plus countries. OPEC plus countries include Azerbaijan, Bahrain, Brunei, Kazakhstan, Malaysia, Mexico, Oman, Russia, South Sudan and Sudan.
The announcement for the building of new LNG terminals was made yesterday by the German Chancellor, Mr. Olaf Scholz, at a special session of the Bundestag where he addressed German nationals on the implications of the ongoing Russia’s invasion of Ukraine.
There are currently several liquefied natural gas (LNG) terminals in Europe, but none of them are located in Germany. The German Chancellor said the LNG terminals would be located in Brunsbüttel and Wilhelmshaven.
Scholz also confirmed the country will increase the amount of natural gas in storage via long-term options to two billion cubic meters.
Furthermore, Germany will acquire additional natural gas on the world markets – in consultation with the European Union. With these decisions, the government wants to guarantee a secure energy supply for Germany and eliminate dependence on imports from individual energy suppliers.
Following the crises ignited in Ukraine by Russia, Germany was forced to stop the process of certifying the Nord Stream 2 gas pipeline from Russia. Nord Stream 2 construction was completed in September 2021 but the project requires regulatory certification from Germany before gas delivery could begin.
“The events of recent days and weeks have shown us that responsible, forward-looking energy policy is not just crucial for our economy and our climate,” Chancellor Scholz was quoted by Offshore Energy.
“It is also crucial for our security. This means that the faster we make progress with the development of renewable energies, the better.” Scholz said the short-term goals are in line with Germany’s long-term strategy that includes the ongoing transition to a low-carbon economy. The country aims to become carbon neutral by 2045.
“Our current short-term needs can dovetail with what is already needed long-term for the transformation to succeed. An LNG terminal that today receives gas can tomorrow be used to import green hydrogen,” Scholz added.
The Chancellor also touched upon high energy prices and said the government has agreed on a relief package that includes lifting the surcharge under the Renewable Energy Sources Act by the end of this year.
By Chidi Ekpewerechi
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