New GIE study unveils the critical contribution of terminal operators

June 26, 2024

Decarbonisation & Security of supply:
New GIE study unveils the critical contribution of terminal operators

Discover the study

Brussels, 26 June 2024

Today, Gas Infrastructure Europe (GIE) published its new study titled “The Contribution of Terminal Operators to Securing and Greening Energy for Europe”. Findings were discussed by experts during an exclusive study launch involving the European Commission, ACER, the industry and academia.

The study was developed following the request of the European Commission during the 37^th European Gas Regulatory Forum in Madrid. Conducted by DNV and Frontier Economics, it highlights LNG terminals’ critical role in enabling a climate-neutral and resilient energy system to rise.

Organised at the heart of policymaking in Brussels, the workshop featured a series of international project presentations carried out by terminal operators. Lively discussions took place both on stage and during the networking sessions, enabling the European Commission, ACER, industry and academia leaders to exchange on the policy levers that will enable import terminals to unlock their full potential.

As the energy transition unfolds, decarbonisation efforts have been increasingly coupled with measures to enhance Europe’s energy supply security to cope with geopolitical instability and supply chain disruptions. The study investigates the different pathways that import terminals can follow to deliver both, including the import of renewable and low-carbon gases and indicative costs. It sheds light on the development of EU markets in terms of volumes for natural, renewable, and low-carbon gases and the relevance of imports. It also covers the techno-economic suitability and a comprehensive assessment of the pathways.

“LNG terminals will continue playing a key role in both ensuring EU security of supply and helping decarbonising our gas system. We need flexible multi-molecular terminals that are cost-effective and able to partner with all actors in the hydrogen ecosystem” highlighted Tatiana Marquez Uriarte, Member of Cabinet of the Commissioner for Energy at the European Commission.

	“Import terminals prove vital for Europe’s security of energy supply and for advancing Europe’s green energy agenda. Given that terminals are central to opening up new markets and value chains (such as CO2), ensuring a stable policy environment, investment certainty, and a level playing field across the markets is essential for competitive dynamics to enhance market efficiency”, stressed Luis Ignacio Parada, President of Gas LNG Europe (GLE).
	Matthias Janssen, Associate Director at Frontier Economics, explained: “Terminals allow for different carrier and end-use pathways, as well as other activities, and do not prescribe a single use case. The analysis shows that there is no “silver bullet” import pathway, but that different pathways have different strengths and weaknesses. In addition, they can perform non-import activities, act as carbon hubs or provide regional flexibility through truck/ship loading and virtual liquefaction”.
	Rogier Roobeek, Senior Consultant for Energy Markets & Strategy at DNV, added: “Europe’s crucial LNG terminals enable import of renewable and low-carbon energy from overseas. As such, they provide access to lower cost renewable energy around the world. Maritime imports of hydrogen derivatives through terminals can create more competitive and more liquid European markets. Existing terminal sites are hugely valuable as they have deep docks, space for processing and storage, and access to connecting infrastructure”.
	Anne-Sophie Corbeau, Global Research Scholar at the Center on Global Energy Policy, moderated the session. She underlined that “A diverse use of terminals across the EU for hydrogen, e-methane, biomethane, ammonia, and carbon, allows for a parallel ramp-up of a renewable economy while still maintaining security of supply for methane demand. In addition, terminals can facilitate local and regional emission reduction options by providing access to green carriers before, or while, alternative designated infrastructure, like the one for hydrogen, is developed”.

Note to editors

Who is GIE?

Gas Infrastructure Europe (GIE) is the association representing the interests of European gas infrastructure operators active in gas transmission, gas storage and Liquefied Natural Gas (LNG) regasification. GIE is a trusted partner of European institutions, regulatory bodies and industry stakeholders. It is based in Brussels, the heart of European policymaking. GIE currently represents 70 member companies from 26 countries. GIE’s vision is that by 2050, the gas infrastructure will be the backbone of the new innovative energy system, allowing European citizens to benefit from a secure, efficient and sustainable energy supply.