The SET-Nav project www.set-nav.eu has the overarching goal of supporting strategic decision making in Europe’s energy sector, enhancing innovation towards a clean, secure and efficient energy system. The project is financed by the European Commission’s Horizon 2020 programme.
Several case studies are assessed as part of the project, defined to deal with policy related questions of technology development in specific fields. This workshop will present results from the case study on Projects of Common Interest and gas producers pricing strategy. Achieving deep decarbonisation policies for the energy system might require modifications to Europe’s gas network. Strengthening and diversifying the connections to major suppliers as well as investing in LNG capacity could be instrumental to reduce supply risks. Coupled with the fact that more variable renewables are entering the system, more flexibility will be required.
Some of that flexible capacity is likely to be provided by gas turbines, therefore, the relative location of gas demand should be incorporated into the planning for gas infrastructure upgrades. In this workshop, a list of Projects of Common Interest (PCIs) is discussed and analysed by using different modelling approaches.
Outputs include a top down priority list of PCIs in order to avoid spending on underutilised or stranded infrastructure as well as recommendations for optimal use of gas networks and measurements of country-specific price vulnerability against gas producers’ market power.
The research aims to answer the following questions:
What will be Europe’s gas infrastructure needs?
What are the gas infrastructure projects that should be prioritised?
How vulnerable will Europe be to the suppliers’ pricing strategy?