Energy Netherlands: natural gas is needed for at least another 15 years

Security of supply of natural gas in the Netherlands is at a vulnerable point. With the closure of the Groningen gas field and much less gas imports from Russia, sufficient supply to meet the demand for gas is not self-evident. Today the House of Representatives is debating the security of supply of natural gas. Energie-Nederland offers four tools to ensure the stability of our energy system.

  • Accelerate permitting procedures for North Sea gas extraction
  • Fill the gas stores for a reliable energy supply
  • Equalize taxes on gas and electricity
  • A concrete Gas Protection and Recovery Plan (BH-G)

Accelerate permitting procedures for the North Sea The licensing procedure for offshore gas extraction is currently unpredictable and slow. In order to offer companies more certainty, it is essential that the acceleration plan for gas extraction in the North Sea is implemented in concrete terms. Energie-Nederland calls for strict deadlines for granting permits. This prevents companies that are prepared to invest in Dutch gas production from choosing to make their investments elsewhere, in countries where the permit process is faster.

Fill the gas stores for a reliable energy supply The interruptions of gas supplies from Russia proved the importance of well-stocked gas storage facilities. Full gas storage is therefore a requirement in the context of security of supply. It is therefore important to be careful when closing the Norg and Grijpskerk gas storage facilities. This should only happen after a thorough impact analysis. In addition, Energie-Nederland calls for a subsidy scheme to be kept in reserve for exceptional cases in which gas prices are higher in the summer than in the winter. The subsidy then makes it possible for energy companies to still fill the gas storage facilities and ensure stability.

Equalize taxes on gas and electricity Energy-saving measures and investments in renewable energy sources are necessary. Energie-Nederland calls for equalizing the tax on gas and electricity. At the moment, gas is taxed relatively lower for households than electricity, which in fact stimulates gas use. Furthermore, it is important to maintain sufficient financial resources, including those in the Climate Fund, to spend on natural gas replacement technologies such as green hydrogen. Subsidies, demonstration projects and the construction of infrastructure are crucial for launching new energy chains, for example green hydrogen, which can reduce natural gas use in the long term.

A more concrete Gas Protection & Recovery Plan This plan comes into effect if the Netherlands is faced with a threat or actual shortage of gas. The plan includes various measures aimed at minimizing the social and economic impact of this shortage. In the event of an acute crisis, such as in 2022, a clear and decisive plan is indispensable. The current BH-G provides a good start, but needs to be more concrete to actually deal with a crisis.

Energie-Nederland’s full contribution to the House of Representatives can be found here.

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