Blog 18_ Gas Concerns

"Where do you stand on the construction of a liquified natural gas (LNG) storage facility in Ireland ?", asks one questioner. The first thing to check is how secure our current gas arrangements are and what would happen if our gas supply was interrupted.

Previously, we have been able to rely on our own reserves of gas starting with the Kinsale field following which we had Corrib. Kinsale is finished and Corrib is fast running out and now supplies only about 10% of our needs. Accordingly we rely on imports for about 90% of the gas we use. This gas is supplied via two undersea pipelines from Moffat in Scotland and originates in Norweigan or UK North Sea gas fields, so we are at the end of a long pipeline from the source of the gas.

Damage to undersea pipelines (and indeed cables) has occurred in European waters over the past few years, caused either accidently or deliberately. Even if it is unlikely that it could happen to our Irish Sea pipelines or indeed to those supplying us from the North sea, nevertheless it is a risk. That risk is made more serious by the fact that, if it did occur, because of the undersea location of the fault, it could take many weeks if not months to repair.

About half of gas is supplied by Gas Networks Ireland to Industry/domestic customers here and the other half goes to the generation of electricity. To quantify the impact on electricity we can take a look at the very informative Dashboard on the Eirgrid website. Currently the fuel mix generating our electricity is as follows: Gas (60.80%), Renewables (14.86%), Imports via our UK electricity Interconnectors (13.72%), Coal (7.27%) and other (3.35%). So a risk to our gas supplies is also a serious risk to the electricity network.

If damage to our pipelines occurs, then what reserve in Ireland do we have to call on, apart from the 10% supplied by Corrib? I asked someone who should know this and he said about 48 hours! So then, in 48 hours, the lights will go off, no heat, no cooking. industry will collapse. It would be economic armageddon. I presume the 48 hours was an exaggeration but it surely indicates that we would have limited time to find a remedy.

In 2023, the Department of the Environment, Climate and Communications, published an Energy Security in Ireland to 2030 Report. It concluded that Ireland needed a state controlled Floating Storage Regasification Unit (FSRU). This is a ship that can store LNG at high density and is temporarily docked at a port where a connection to the Gas network is available. In the event of undersea pipeline disruption, it can supply gas as required until the emergency ends. If in due course, we develop a sufficiently large local biogas or green hydrogen supply then the FSRU ship can be disconnected as no longer needed.

Given the severe consequences of pipeline disruption, I support the provision of an FSRU as soon as possible.

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Blog 17_ Rent Freeze