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The state-led strategic gas emergency reserve will address Ireland’s energy security needs while avoiding fossil fuel lock-in, Ireland’s Department of the Environment, Climate and Communications said in a statement.
Ireland is one of five EU member states without domestic gas storage, something which has been identified as a “considerable risk” in the event of damage to one or both of Irealnd’s subsea gas interconnections.
The delivery of a temporary gas reserve is “critical to Ireland’s energy security as we continue to transition to indigenous, clean renewable energy,” the statement said.
“Crucially, the strategic gas emergency reserve will also ensure compliance with EU standards and regulation,” it said.
Emergency use
According to the Department, the emergency reserve will be in the form of a floating storage and regassification unit (FSRU), to be owned on behalf of the state by the system operator, Gas Networks Ireland (GNI).
This is a similar approach to that used for oil security by the National Oil Reserves Agency.
“In identifying this as the optimal approach, the Department has built upon the extensive review of security of Ireland’s gas and electricity systems which was approved by government in the ‘Energy Security in Ireland to 2030’ plan in November 2023,” it said.
Under Action 17 of that plan, GNI was tasked with reviewing and recommending the optimal approach to deliver the strategic gas emergency reserve.
“The development of a state-led reserve in the form of an FSRU is consistent with Ireland’s climate law. It is a transitional measure – reducing the risk of stranded fossil fuel assets, for emergency use only, and does not support increased gas demand,” the Department said.
FSRU
Accordin to the Department, the appropriate location for the FSRU will need to be a coastal site suitable for development with access to the gas network and sheltered deep-sea access.
“There is a limited number of locations in Ireland that are likely to meet the required site conditions for berthing a transitional FSRU,” it said.
The FSRU will have capacity of 170,000 cubic meters of LNG when full, which would be sufficient to supply 200,000 average domestic gas customer demand for six months, the Department said.
Alternatively, the FSRU would have the ability to supply the entire gas demand for Ireland for seven days and would be refilled to continue to supply the national gas network, it said.
“GNI will ensure appropriate contractual arrangements are in place to refill the FSRU throughout an emergency situation to provide consistent gas supplies via the FSRU for the duration required,” the Department said.
According to the Departmnet, GNI have advised that the FSRU “may be procured on a long-term leasing arrangement or an outright purchase.”
Previously, there were proposals to install an FSRU in Ireland.
Back in 2021, UK-listed Predator Oil & Gas joined forces with Norway’s floating LNG player Hoegh and Dutch contractor Jumbo Offshore on its planned FSRU-based import project in Ireland.
The company was looking to install an FSRU some 50km off the Cork coast, and it named the 2.6 Bcm/year project Mag Mell after the mythical Irish kingdom beneath the ocean.
US LNG player New Fortress Energy also previously planned to build an LNG import terminal in Ireland.