Recommendations GTS to the Minister: Definitive closure Groningen is possible more than three years earlier than planned
Gasunie Transport Services (GTS) – a fully owned subsidiary of Gasunie – as the independent national grid operator for gas, has indicated to the Dutch Minister of Economic Affairs that it is possible that the final closure of the Groningen field takes place as early as 2023. This is more than three years ahead of schedule.
The goal is to stop gas extraction in Groningen by 2022. The Groningen field would then remain on standby for several years for the extraction of gas in extra cold periods and/or in case of severe outages. Because of the accelerated conversion in Belgium of the end consumers and the possible conversion of the Grijpskerk gas store from high- to low-calorific gas (the same type as Groningen gas), the final closure of the Groningen field can be realised sooner than planned.
Accelerated conversion
Belgium is currently still using low-calorific gas from the Netherlands. With the cessation of production in Groningen, agreements were made between the Dutch and Belgian governments to make the various gas installations of Belgian consumers suitable for high-calorific gas, so that they would no longer be dependent on Dutch supplies. The Belgian government has indicated that it will be able to complete the conversion process several years earlier than previously agreed.
Gas store Grijpskerk
Before the Groningen field is finally closed, it is important that the L-gas stores are used to supplement and support the nitrogen facilities in Zuidbroek, in order to ensure security of supply. Gas stores can quickly supply low-calorific gas in times of extra demand for gas. The gas store at Grijpskerk is currently a high-calorific gas storage facility and therefore cannot supply low-calorific end consumers directly. By switching to low-calorific gas, the gas store at Grijpskerk can take over the backup role of the Groningen field. Taking into account a possible delay in the conversion of Grijpskerk from high- to low-calorific gas (permits have not yet been granted) or if the domestic demand for gas does not decline, full closure will be possible no later than the third quarter of 2024.
Conversion of large industrial consumers
A number of large industrial consumers of natural gas depend on low-calorific gas for their production processes. The conversion of the industrial wholesale customers from low- to high-calorific gas was therefore necessary in order to end gas production from the Groningen field as soon as possible. Since two large consumers will be converted after the possible closing date of the Groningen field, GTS believes conversion is no longer necessary.
Nitrogen installation Zuidbroek
To bring gas production in Groningen to zero as soon as possible, the expansion of the nitrogen installation near Zuidbroek is a necessary measure. By adding nitrogen to imported gas from Norway and Russia, this high-calorific gas can be turned into low-calorific gas. This is the same quality as Groningen gas and therefore suitable for, among other things, our boilers and stoves. From the moment that the nitrogen installation at Zuidbroek is operating at full capacity, gas extraction from the Groningen field will be reduced to a minimum. It is expected that – despite COVID-19 – this installation will be ready in the spring of 2022. Construction involves an investment of 500 million euros.