The gas storage in Norg is completely filled with 6 billion cubic meters of gas. Good news with a view to winter, says energy expert and lecturer at Hanze University of Applied Sciences Martien Visser. “It gives you a little more peace of mind.”
Last year, the Dutch gas storages – of which Norg is by far the largest – were only 80 percent full at the beginning of September. These storages are an important buffer and must ensure that sufficient gas is available in times of high demand for gas – for example in the winter – so that the security of supply is not jeopardized and the heating in homes and factories continues to burn.
“This is a great development,” says spokesman Jan Hendrik Annema of gas trading company GasTerra. “These are large quantities of gas that are now available for cold periods. This is also good for the Netherlands. We are happy that it worked out.”
“If the prices in the market are favourable, the tendency to fill the stores is great. There are significant differences between summer and winter prices. And they do matter. You can now also see that things are going in the right direction with other storage facilities”, he adds.
The market remains uncertain
,,It is very good news”, says Martien Visser. “Because the market remains very uncertain, prices are still high, even if they are lower than a year ago. But as those storage facilities are fuller, there is more confidence in the market among traders that things will be fine in the coming winter. This ensures that there is less chance of a price increase. All countries in Europe are now doing their best to fill those gas storages,” says Visser.
He thinks that three things played a role in the smooth filling of the Dutch storage facilities. “There is an agreement with the Minister of Economic Affairs to fill the storages. Last year all that had to be done in cans and jugs, there was still discussion about it. This year it runs smoother. We also started this year with much fuller storage spaces, because we had a mild winter. That makes it a lot easier. The third factor is the gas price, it is lucrative to buy gas at the moment.”
Nothing has to happen
With the 6 billion cubic meters of gas in Norg, the Netherlands can go ahead for four weeks. Will we no longer have to worry in the winter? “In itself, the amount of gas in the storage facilities is not enough to get through the entire winter, let alone a cold winter. But we still produce gas in the Netherlands ourselves, particularly in the North Sea. And we import gas, especially liquefied gas, including in Eemshaven. That together is enough, but then nothing has to happen,” says Visser.
He warns against too much optimism. It is not for nothing that gas prices are so high. If a harsh winter comes, it will still be a squeeze. Moreover, producers of LNG have now become so important that they can play games to drive up prices. That is one of the reasons why there are warnings about filling the gas extraction locations in Groningen with concrete. If those wells are out of use, you give those parties even more power in their hands.”
Gas market continues to move
The gas market is also constantly changing. At the moment, for example, a strike in Australia is causing slightly higher prices, Visser knows. “The LNG they produce there does not go to Europe, but to Asia, which is closer. But as Asians worry that there might be less gas coming out of Australia, they are now buying more from the Middle East. And we had actually counted on that gas.”
The Netherlands has three large gas storage facilities. In addition to Norg, these are Grijpskerk and Bergermeer. In addition, there are two smaller ones, at Zuidwending and Alkmaar.