Advice Mijnraad: prepare Groningen for the reopening of the gas field | Financial

Although Climate Minister Rob Jetten (D66) and D66 State Secretary Hans Vijlbrief (Mining) have maintained to date that the Groningen field will remain ‘on a pilot light’ this year, and will close definitively in 2023 or 2024, the experts advise due to the great uncertainty on the gas market because of the Ukraine war different. The fact that the Mijnraad – consisting of, for example, professors from several universities – has now issued a warning for the second time in a few months is striking, because soothing words are heard from the cabinet about security of supply. The experts note that there is insufficient certainty, as did the employers’ clubs VNO-NCW and MKB-Nederland, which recently expressed their concerns.

The Mining Council argues in favor of filling the storage facilities much more quickly to prevent shortages in the winter, precisely because Russia has partly turned off the gas tap to Europe. “The security of gas supply is under considerable pressure and is not guaranteed in a number of future scenarios. Thinking about and preparing for government intervention is therefore justified”, warns ir. Staf Depla, chairman of the Mining Council. He sees ‘every reason to strive for a filling level of one hundred percent’. This should serve as a ‘strategic stock’ of about twenty percent extra. “Set against the costs of the possible social disruption – especially those in the more extreme scenarios – the Mijnraad thinks these costs are worth it.”

Compensation for Groningen residents

According to them, the latest cabinet plans with emergency measures are insufficient to prevent a winter in the cold. For example, the Netherlands is committed to an additional supply of liquefied gas (LNG). It is not certain whether attracting LNG imports can replace all Russian gas. In it, the experts call on Groningen to prepare for reopening. “In the eyes of the Mijnraad, the use of the Groningen field for filling the storage and as an emergency measure is a realistic option to consider and prepare for.”

According to the experts, it must also become clear how much production is needed in the various scenarios to fill the gas storage to the maximum. “And how much gas can be extracted from the Groningen field within the applicable safety standards.” There must also be good compensation for the Groningers.

Normally, only the Minister of Economic Affairs and Climate Policy was authorized to take decisions in this regard. Since this cabinet term, a State Secretary has also been responsible for dealing with the earthquake problem. There is a risk in this, the Mijnraad concludes. “In the gas crisis that has now arisen, this means that the security of supply, the use of the gas storage and the Groningen field, and the consequences for the economy have not been brought together in one portfolio, with the risk that the relationship between these subjects will not be presented in a balanced way. .”

strong words

Climate Minister Rob Jetten and State Secretary Hans Vijlbrief say they are “studying the advice. We will include it in our follow-up actions to ensure security of supply.” Last week, Vijlbrief stated in fierce terms that he does not want to open Groningen any further, unless hospitals or schools are left out in the cold. “Producing extra gas in Groningen is not safe,” Vijlbrief stated.

However, the latest advice from the Mijnraad also maps out scenarios that not only affect Groningen, but also anticipate any mandatory shutdown of large consumers (such as industry) and SMEs. According to the Mijnraad, this also causes major economic damage and even ‘social disruption’. They call on the cabinet ‘to also prepare ourselves for the most extreme, difficult-to-imagine scenarios’, as is also the case with, for example, flood risk management. The Netherlands must now “in a short period of time consider the possible strategies and measures to prepare for a possible gas crisis due to the further loss of Russian gas”, the advice states.

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