BERLIN, Feb 19 (Reuters) – The head of the International Energy Agency (IEA), Fatih Birol, has warned of a possible power shortage next winter as liquefied natural gas (LNG) hitting the market is relatively rare as China’s consumption will increase this year.
European governments made many good decisions last year to secure energy supplies, including building more LNG terminals to replace pipeline deliveries of Russian gas, Birol told Reuters on the sidelines of the annual Munich conference. on safety on Saturday.
But they were also lucky, as a mild winter dampened demand, while a weak Chinese economy led to the first drop in consumption in 40 years.
“For this winter, it’s fair to say we’re off the hook. If there are no last-minute surprises, we’ll be fine,” Birol said. “But the question is (…) what will happen next winter?”
An additional 23 billion cubic meters (bcm) of LNG is expected this year, Birol said, adding that even with a slight increase in economic production as pandemic restrictions ease, China would likely gobble up 80% of the additional gas.
“Even if we have enough LNG import terminals, there may not be enough gas to import and therefore Europe will not have it easy next winter,” said- he said, noting that this would likely push prices up. “It’s not right to relax, it’s not right now to celebrate.”
Even with a stronger push to develop new gas fields, it will be years before they come online. Households and businesses must therefore continue to strive to reduce their consumption, while the production of renewable energies must increase more rapidly.
In the interview with Reuters, Birol also warned countries that had decided to phase out nuclear power to reconsider if now was the best time to do so, saying the temporary extension of Germany’s last nuclear power plants until in April is a step in the right direction. .correct.
“We need all sources of energy to help us through the coming winter,” he said. (Reporting by Andreas Rinke; Writing by Sarah Marsh. Spanish editing by Javier Leira)