Aging infrastructure coupled with energy security plans of European countries are expected to drive the investments in storage and transportation industry over the medium term future. An estimated €70Bn is required to be spent on capital projects for gas pipelines according to European Commission. Given the region’s high import dependence and huge reliance on single supplier- Russia has encouraged countries to plan several planned projects.
Despite several planned projects and strong surge in demand growth (gas demand in total Europe and FSU is forecast to grow at CAGR of 2.3%), a single competitive market could not be established. This is largely due to fragmented network structure and limited capacity to reverse gas flows, apart from low competition among .
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supply sources.
The list of common interests considers the following pipeline connections as priority-
• Bi-directional Pipelines between Ireland and the UK
• Bi-directional Pipelines between Portugal, Spain, France and Germany
• Bi-directional Pipelines between Poland, CzechRepublic and Slovakia linking the LNG terminals in Poland and Croatia
• Southern Gas Corridor- Italy Gas pipeline
• Offshore Cyprus to Greece mainland via Crete
• Baltic Energy Market Interconnection Plan in Gas
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