DEVELOPMENT OF LNG INFRASTRUCTURE IN GERMANY: RACE AGAINST TIME

Abstract

The article considers the current problem to build terminals for the import of liquefied natural gas (LNG). The paper demonstrates that projects considered in recent years have been hampered due to lack of investment and lack of demand. Due to the aggravation of the conflict in Ukraine and the desire to reduce energy dependence on natural gas supplies from Russia, these projects is necessary for Germany’s economy. We examine the criticism of the projects by environmental public organizations. The article analyzes the unprecedented speed of investment decisions in the energy infrastructure, the newly created framework conditions by the Law on accelerating the construction of LNG terminals. The article discusses that the German federal government assigns them a key role in ensuring the security of gas supplies. On the example of key locations: Brunsbüttel, Wilhelmshaven and Stade, we examine various options potential investors. We hypothesise that in the future, these projects open up Germany the possibility of global natural gas supplies without the use of pipelines and, thus, interaction with new market players. Simultaneously, although LNG volumes from terminals in neighboring European countries are also available to the German natural gas market. This paper proved that in detail the importance for ensuring the reliability of gas supply of planned domestic investments that do not depend solely on commercial benefits. Significant positive impact of gas infrastructure is only found in the context of hydrogen energy in the country.

Keywords

• russia
• germany
• usa
• liquefied natural gas
• terminals
• infrastructure
• energy supply
• hydrogen
• ammonia