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Threat From Lack Of Gas Capacity, Expert Says

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http://business.timesonline.co.uk/tol/busi...icle4359781.ece

A lack of adequate gas storage has left Britain's energy market like a “house of cards”, more vulnerable to supply shocks than any other country in Western Europe, according to a leading energy analyst.

Four years after becoming a net gas importer, Britain still has one of the lowest levels of gas storage capacity in Europe - enough to supply consumers for about two weeks. That is equivalent to about 4 per cent of annual demand, compared with 20 per cent in both France and Germany.

John Hall, an energy analyst, said that this acute shortage was a key factor creating volatility in Britain's wholesale gas market, which in turn is resulting in bigger bills.

“Without more storage the UK is terribly vulnerable to supply disruptions,” Mr Hall said, adding that the situation was exacerbating tension in Britain's gas market, the third-largest in the world after America and Russia.

Perhaps an interest rate rises would help?

Interest rates always cure inflation so what we need is a big dose of interest rate rises and these supply shocks wouldn't happen, who needs gas storage when interest rates work.

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http://business.timesonline.co.uk/tol/busi...icle4359781.ece

Perhaps an interest rate rises would help?

Interest rates always cure inflation so what we need is a big dose of interest rate rises and these supply shocks wouldn't happen, who needs gas storage when interest rates work.

I agree. Why worry about fundamentals when the black art of interest rate tuning does the job for you. Though we don't have the intelligence to understand how this successful mechanism works it is obvious that it does. The market is like a Religion, you know its right but you haven't got a clue why. :lol:

Edited by Decom

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It won't be a problem. The government's leaked plans to harness the farts of the unemployed to power the country through the recession should take care of it. Darling admitted "with mass unemployment and the gas we can harness from those out of work, we are in good shape to weather the storm."

Edited by BarrelShifter

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It won't be a problem. The government's leaked plans to harness the farts of the unemployed to power the country through the recession should take care of it. Darling admitted "with mass unemployment and the gas we can harness from those out of work, we are in good shape to weather the storm."

They should connect Prescott up as well.

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Why oh why oh why did we start building gas powered power stations?

The market will provide

The market will provide

The market will provide

The market will provide

The market will provide

The market will provide

The market will provide

The market will provide

Many years back the Belguims blew their limited gas supplies on CCGT. Subsequently they said to the rest of Europe - whatever you do don't blow ya gas on electricity production

You know the rest.............

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Enron all over again so goes to show how the population in general has such short memories and are guranteed to soak up propaganda as to the resons behind the shortage.

Time we ran out of petrol and stayed at home i thinks.

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Apols if everyone knows this already - but I didn't and found it interesting

A few weeks back I decided that I didn't know where our reserves of natural gas are actually stored - I had some vague idea that it was in those gasometer things but thought they looked a bit small. So I looked it up and I was really surprised to find out that the vast majority is stored underground under pressure either in the porous rock of old oil and gas wells or in purposely formed salt caverns. The biggest store is at Hornsea in East Yorkshire.

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Apols if everyone knows this already - but I didn't and found it interesting

A few weeks back I decided that I didn't know where our reserves of natural gas are actually stored - I had some vague idea that it was in those gasometer things but thought they looked a bit small. So I looked it up and I was really surprised to find out that the vast majority is stored underground under pressure either in the porous rock of old oil and gas wells or in purposely formed salt caverns. The biggest store is at Hornsea in East Yorkshire.

Still only 12 days supply as opposed to continental Europes 70

Not to worry

The market will provide

The market will provide

The market will provide

The market will provide

The market will provide

The market will provide

The market will provide

The market will provide

.

.

.

:ph34r:

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The UK has an astonishingly laissez-faire approach towards national energy policy . Much of our LNG (Liquid Natural Gas ) now has to be imported from overseas hence the reason why huge and expensive LNG terminals have opened and in the course of been built at the Isle of Grain and Milford Haven .Only trouble is one a cargo is loaded on an LNG tanker it can still be bought and sold several times over on the spot market meaning there is very little security of supply . The terminal at the Isle of Grain has seen only one tanker in the last few months as cargoes originally bound for the UK keep on getting purchased en-route either by the Japanese or the US usual through national government underwriting .

Unfortunately this is what happens when you have no national energy policy and your entire energy industry is in the hands of French and German profiteers .

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Unfortunately this is what happens when you have no national energy policy and your entire energy industry is in the hands of French and German profiteers .

And when you haven't got joined-up thinking at government level. It obviously never occurred to them that building LNG infrastructure is useless of there's no affordable LNG available.

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And when you haven't got joined-up thinking at government level. It obviously never occurred to them that building LNG infrastructure is useless of there's no affordable LNG available.

At every level in Govt, there seems to be a total lack of planning and thinking things through. It's what you get when you have policy driven by PR, a nation dumbed down either by thought sapping spoon fed TV or a downgraded education system that merely gives the illusion of improvement.

The talk sounds good, the delivery leaves a lot to be desired.

It's like it's been one long big party for them... the morning after was a long way off. 'It'll be alright... we'll be alright."

Edited by tinker

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And when you haven't got joined-up thinking at government level. It obviously never occurred to them that building LNG infrastructure is useless of there's no affordable LNG available.

Japan has got about 8000mw of CCGT sitting idle because it can not get the LNG to run them

And thats with their buying power

Real good investment those LNG terminals at Grain & Milford :blink:

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Guest happy?

Couldn't we just get Thatcher's babies to dig for coal with their knives. Two birds with one stone.

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The UK has an astonishingly laissez-faire approach towards national energy policy . Much of our LNG (Liquid Natural Gas ) now has to be imported from overseas hence the reason why huge and expensive LNG terminals have opened and in the course of been built at the Isle of Grain and Milford Haven .Only trouble is one a cargo is loaded on an LNG tanker it can still be bought and sold several times over on the spot market meaning there is very little security of supply . The terminal at the Isle of Grain has seen only one tanker in the last few months as cargoes originally bound for the UK keep on getting purchased en-route either by the Japanese or the US usual through national government underwriting .

Unfortunately this is what happens when you have no national energy policy and your entire energy industry is in the hands of French and German profiteers .

For the benefit of those who've not seen recent OilDrum articles re UK gas prices and coming economic storm as a result of energy import costs:

Why UK Natural Gas Prices Will Move North of 100p/therm this Winter.

A State of Emergency.

I've recently installed 2 wood stoves at home...and several of my contacts have also acquired wood stoves. What we have in common is decades-long careers in the North Sea Oil and Gas Industry - those who still deny the coming energy crisis might consider why we are doing this.

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For the benefit of those who've not seen recent OilDrum articles re UK gas prices and coming economic storm as a result of energy import costs:

Why UK Natural Gas Prices Will Move North of 100p/therm this Winter.

A State of Emergency.

I've recently installed 2 wood stoves at home...and several of my contacts have also acquired wood stoves. What we have in common is decades-long careers in the North Sea Oil and Gas Industry - those who still deny the coming energy crisis might consider why we are doing this.

Whats mad is something like 11 of the 15 million houses that have cavity walls are still unfilled

11 million x say 6000kwh per annum

= approx 7% of the Uk's total gas consumption......

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At every level in Govt, there seems to be a total lack of planning and thinking things through. It's what you get when you have policy driven by PR, a nation dumbed down either by though sapping spoon fed TV or a downgraded education system that merely gives the illusion of improvement.

Those who fail to plan , plan to fail

Suprisingly Nu Lab who are great lovers of consultancy double speak have chosen to ignore one of the few business maxims that is actually worth anything.

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Those who fail to plan , plan to fail

Surprisingly Nu Lab who are great lovers of consultancy double speak have chosen to ignore one of the few business maxims that is actually worth anything.

I believe this is very true. There really is at all levels of management whether government, local government and many businesses, an inability to go beyond the 'objective setting' stage in the planning process. Thus resources aren't allocated, problems snowball and things fall apart.

Is it the calibre of people, the lack of creative thinking or a 'not-my-problem' attitude once seniority is reached - years in the job mistaken for competence by unquestioning subordinates?

Edited by tinker

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  • 395 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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