Centrica Storage has on June 20, 2017, announced that it is to permanently close its Rough gas storage facility.
Our first thoughts are for the staff and suppliers that will be impacted by this.
Rough has had a unique place in the UK energy system. It has made up 70% of all UK gas storage, able to hold nine days’ worth of UK gas demand, and throughout its service has been able to supply 10% of peak gas demand predominantly in the very cold months of winter.
The short-term solution for the UK will be to increase gas imports, mostly via ship, from places such as Qatar. As we have seen from recent events, this not only has a negative economic impact for the UK and consequences for global emissions consequences, but is also politically risky when it comes to ensuring our security of supply.
Ken Cronin, Chief Executive of UKOOG, said: “The solution for the UK in the medium term cannot be to transport gas across oceans and continents. The UK needs to ensure that whatever gas replaces that from Rough comes from sources that can deliver the same high levels of environmental and regulatory standards. Only the development of the UK’s onshore resources just a mile under our feet can do this, simultaneously maximising the employment and economic benefits that come with producing our energy at home.”