The LNG dumping ground
Diversification and a drive to cut coal use should increase Europe’s LNG regasification capacity, making it a sink for spare cargoes
EUROPEAN energy demand isn’t expected to grow quickly in the rest of this decade – but liquefied natural gas should be a bright spot. The continent wants alternatives to Russian pipeline gas and dirty coal. Growing import capacity should also allow Europe to soak up excess cargoes from over-supplied Asian markets as new US exports come on stream. LNG import capacity across eastern Europe – including Croatia, but excluding Poland and the Baltic states – grew by 9.6m tonnes in 2015 to reach around 140m tonnes a year. A further 46m will be added by 2020 in the key northwest markets, predicts consultancy Douglas Westwood. Diversification, clean energy and population growth make this expansion “e
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