The European Commission raised last week the obligation to reduce gas consumption by 15% from next August 1 linear for all countries. Spain refused – the phrase of the vice president and minister for the Ecological Transition, Teresa Ribera, was famous, in which she warned that “Spain had not lived beyond its energy possibilities & rdquor; as a message to Germany – and a week later that obligation is diluted. “Achieved! & rdquor ;, has written the Ministry for Ecological Transition on his Twitter account. “Each member state will contribute according to your possibilities and needs& rdquor ;, he adds. Once again, Spain gets a new ‘exception’ given its special characteristics as almost an ‘energy island’.
What are the exceptions that Brussels allows?
Europe proposes a 15% cut in gas demand between August 1, 2022 and March 31, 2023, which will become mandatory in the event that an emergency is declared on the continent. But There will be exceptions for many countries. Specifically, the European Commission proposes six cases: one for those states that have a electrical system synchronized with RussiaLike the Baltic countries; other specific for the islands, because they are not directly connected to the mainland, as Ireland, Malta and Cyprus; a third party for those countries that achieve a filling level of their gas storage above 80% during this year, and a quarter that applies in the case of critical industries that need gas for their production.
Fifth, members with limited interconnections could also reduce its mandatory reduction & rdquor; If they can show that their export capabilities of interconnection or its national LNG infrastructure are used to redirect the gas to other member states to the maximum, while a last option may be applied by those countries whose gas consumption has increased by at least 8% in the last year compared to the average of the last five years.
Which affects Spain?
Spain plans to benefit from the last two exceptions, as indicated by the vice president at the end of the meeting. On the one hand, and mainly to that which alludes to those countries that use their gas infrastructure and maximize them in favor of the rest of the partners, either through the gas that is sent by gas pipeline or methane tankers or through storage (in order to have that gas available when it is needed). On the other hand, it could also benefit from the exception due to the increase in gas demand as it needs to be used to produce electricity.. With all The Government has agreed with Brussels to voluntarily reduce its consumption by between 7% and 8%as reported by the vice president herself Theresa Rivera after the meeting in Brussels.
How does this 7% voluntary reduction in consumption affect?
That rate of between 7% and 8% of reduction in consumption is enough to not having to introduce any type of limitation measure or compulsory rationing of the activity and it can be covered with the savings and efficiency plans of the Administration –both that of the General State Administration (AGE), and those designed by the autonomous communities and municipalities that Ribera has called this week for a meeting–, as well as through the saving and efficiency measures in homes and businesses and of “flexibility” of the industry, according to Rivera. For this, the vice-president foresees a new round of meetings with political parties, the energy sector, consumers and industry to fit the measures that can best be applied and design the national contingency plan.
In the case of industry, proposals of the sector go through being able to interrupt the volume of gas without penalty or with joint purchase formulas, as well as with a greater presence of renewable gases or a greater use of cogenerations (which can be more efficient than the progressive electrification of the system, given that this electricity generation needs to be produced with gas).
Why did Spain and Portugal oppose the previous Brussels plan?
The reason for anger of both countries is based on two key arguments. On the one hand she did not like the imposition and lack of dialogue. Sources from the Ministry for the Ecological Transition assure that a week before the announcement of the plan by Brussels, the Spanish Government did not know that the cut in consumption would be binding and the amount of the mandatory reduction. On the other hand, they consider that it was necessary highlight the differences between countries because it is useless for Portugal to save energy if it does not have a way to get it out of the country to take it to the countries of central and northern Europe and the same in the case of Spain, which complained that with its low penetration of gas in Spanish homes and the high level of electricity generation in recent months –very difficult to reduce in the absence of other technologies other than renewables, unless the As Pontes (A Coruña) coal-fired power plant is reactivated— would penalize the industry and it would not help the rest of the countries. “We are in solidarity but we cannot be asked to make a disproportionate effort,” said Teresa Ribera a week ago after announcing her opposition to the European plan.
Isn’t there a supply risk in Spain if there is a Russian gas cut?
The Government and the energy sector have been defending for months that the enormous diversification of gas suppliers (Russian gas barely represents 10% of the total) and the fact of having a third of the regasification capacity of Europe (with six regasification plants in the country) that allow the arrival of liquefied natural gas (LNG) through methane tankers means that Spain does not have great risks in the face of a cut in supply from Russia. And so the vice-president repeated this Tuesday in Brussels: “We believe that Spain it is very difficult that you could have any supply problem. On the contrary, we believe that it is insured.”