Europe’s Liquefied Natural Gas Import Capacity to Increase by 34 Percent by End of 2024: EIA

Liquefied natural gas import capacity in the EU and the UK is projected to increase by 34 percent or 6.8 billion cubic feet per day (bcf/d) by 2024, in comparison to 2021, according to a Nov. 28 report from the U.S. Energy Information Administration. The projection is based on data from the International Group of Liquefied Natural Gas Importers. The demand for LNG in both the UK and Europe has risen since the Russian invasion of Ukraine.

Europe is now receiving significantly less pipeline gas from Russia and in order to meet domestic demand European importers have relied heavily on LNG imports. As it stands, Europe and the UK do not have the infrastructure to cope with additional LNG growth, as terminals are operating at close to full capacity. Additional investment is required if the UK and Europe want to increase LNG imports further. Accordingly, regasification capacity is expected to reach a total of 5.3 bcf/d by the end of 2023 and expand an extra 1.5 bcf/d by the end of 2024.

European countries have restarted expansion of formerly inactive regasification projects and have started expansion of new assignments. Floating Storage and Regasification Units, or FSRUs are being used across Europe, as well as the construction of pipelines to transfer regasified natural gas to existing pipelines on land. Additional regasification projects in Europe will enhance capacity at existing onshore terminals and employ improvements to elevate output at existing terminals.

Netherlands, Italy, Finland, Poland and Germany have added 1.7 bcf/d of new and expanded LNG regasification so far this year.  By the end of 2023 Germany is expanding three new FSRU terminals, which will add 1.4 bcf/d of regasification volume. Moreover, Poland is projected to increase volume at the existing LNG regasification terminal at Swinoujscie by 0.2 bcf/d. France is expected to add 0.4 bcf/d of regasification volume by using an FSRU by the end of 2023, whilst Finland and Estonia will add 0.5 bcf/d of capacity, as they develop a FSRU in the Finnish port of Inkoo. Italy and Greece will also increase regasification volume by 0.5 bcf/d each by the end of next year, by the implementation of FSRUs.