The importance of LNG for natural gas consumption in the EU

Abstract

The World market of liquefied natural gas (LNG) is growing rapidly. In 2015 LNG production exceeded 333 bcm with its predicted increase up to 450 bcm in 2019. The analysis of LNG role in natural gas import to the EU in recent years shows variability: LNG share in overall import reached 25% in 2011 and it went down to 15% in 2014. The smaller demand for natural gas including LNG in the EU can be due to, among others, a slower economic growth and a dynamic development of the use of renewable energy sources. The article shows the role of natural gas in the structure of consumption of primary energy as well as the changes in demand for natural gas in the years 2007–2014 for the main groups of end users: industry, energy production and individual households. The biggest fall in demand for natural gas has been observed in energy production sector in recent years. This publication continues to analyse the structure of natural gas supplies to the EU, with special emphasis on the directions of LNG import to the countries such as: The UK, Spain, France, Greece, Belgium, Portugal, Italy, Lithuania and The Netherlands. The significance of LNG in the balance of consumption of natural gas in these countries has been presented as well as the infrastructure connected with LNG and plans of development of regasification terminals. In the summary the most important conclusions have been drawn and a chance of the increase in significance of the role of LNG in the balance of natural gas supplies has been pointed out, which is due to the steep fall of LNG prices which has taken place in recent years.