Statoil Criticizes British Gas Plan

Wednesday, August 15, 2001
Statoil said Britain risks losing out on gas imports if it does not change its pricing system for bringing natural gas onto the mainland from offshore fields. Rune Bjornson, managing director of Statoil (UK) Limited, said the recently introduced system of auctioning entry capacity, or access rights to the national pipeline system, produced very high, volatile prices. "We are not happy with the regime. We would like to have a predictable, stable regime which is more reflective of actual costs," Bjornson told Reuters in an interview. The erratic prices produced by the auction system will discourage producers like Statoil, one of Europe's main gas suppliers, from supplying gas into Britain where demand for natural gas is booming, he said. Britain is a gas exporter but in around 2004/2005 it is expected to become a net importer as demand is expected to continue growing while domestic supplies will start to dwindle. The government, worried by security of energy supplies, recently launched a review to take a root-and-branch look at the energy sector, including the role of the gas industry. Bjornson said Statoil would open its Vesterled pipeline in October linking Norway's main North Sea gas fields with the UK gas network but was unlikely to export large volumes of gas through the pipe until the capacity auction system is changed. "Volumes though Vesterled are not likely to grow before the entry capacity situation has found a more satisfactory solution," he said. The 50-kilometre (31-mile) Vesterled pipeline could flow between 10 and 12 billion cubic metres a year of gas, depending on the pipe pressure and gas quality. Bjornson said Statoil had held talks with the government, UK energy regulator Ofgem and national pipeline operator Transco
Maritime Reporter May 2015 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

Tanker Trends

Red Tape, Industrial Relations Could Stifle LNG Potential

Australia could develop the world’s most technologically advanced LNG industry, according to a report by Accenture. But if industry is to reach its potential

HSH Bank to Split Off Bad Shipping Loans

German lender HSH Nordbank could split off a "bad bank" for non-performing shipping loans as part of a plan to create a sustainable business model, according to a person familiar with the matter.

Gail to Sell LNG Supplies from US to Shell?

GAIL (India) Ltd has signed a preliminary deal with Royal Dutch Shell for the potential sale of liquefied natural gas (LNG) supply sourced from its portfolio, made up of US production,

Energy

Solarworld Wants Duties on Chinese Solar Goods in U.S. Extended

German solar manufacturer SolarWorld will apply to the United States for an extension of duties on Chinese panel imports that are due to end this year, weekly Euro am Sonntag said.

Red Tape, Industrial Relations Could Stifle LNG Potential

Australia could develop the world’s most technologically advanced LNG industry, according to a report by Accenture. But if industry is to reach its potential

Shell CEO Backs Fossil Fuels, Climate Change Warnings

The world's fossil fuel reserves cannot be burned unless some way is found to capture their carbon emissions, Royal Dutch Shell Plc Chief Executive Officer Ben van Beurden said on Friday.

 
 
Maritime Contracts Maritime Standards Navigation Pipelines Pod Propulsion Port Authority Salvage Ship Electronics Shipbuilding / Vessel Construction Winch
rss | archive | history | articles | privacy | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.1041 sec (10 req/sec)