EU Energy Ministers to Debate Domestic Gas Production for Energy Security
EU Considers Domestic Gas Production Amid Energy Crisis
By Kate Abnett
BRUSSELS, May 5 (Reuters) - European Union countries' energy ministers will take the unusual step of discussing domestic natural gas production next week, as governments seek ways to limit the economic impact of the Iran war, an internal document seen by Reuters showed.
The EU relies on gas imports - which cover about 80% of its needs - and has been highly exposed to the surge in international energy prices after the Middle Eastern conflict has led to unprecedented disruption.
EU's Energy Security Strategy
Since U.S.-Israeli airstrikes began the war at the end of February, Brussels has said it remains committed to its plan to improve Europe's energy security and achieve goals to reduce climate-warming emissions by replacing fossil fuels with clean energy and reducing its exposure to volatile oil and gas markets.
Discussion on Domestic Gas Production
However, a preparatory document for a meeting of EU energy ministers next week, seen by Reuters, showed countries also plan to discuss domestic gas production.
The document is prepared by Cyprus, which holds the EU's rotating presidency and will chair the meeting. Cyprus has offshore natural gas reserves.
Key Questions and Challenges
"Given the current price shocks and the volatility of the global LNG market, how do you see the role of indigenous gas resources to act as a collective mechanism for price stability for the entire Union?" the document asks.
It says the challenge is to incentivise the use of domestic reserves "without locking us into carbon-intensive systems that undermine our long-term climate goals".
Perspectives from Cyprus and Other EU Members
CYPRUS SAYS THE AIM IS 'PREPAREDNESS AND BALANCE'
A spokesperson for Cyprus' EU presidency said the aim was to take "a pragmatic look" at how the EU ensures energy security and manages energy shocks in future years. "This is about preparedness and balance, not about reversing the energy transition," the spokesperson said.
Some EU diplomats said the planned discussion reflected a growing openness in the EU to consider domestic production.
National Responsibilities and Production Trends
Individual countries, not Brussels, are responsible for their national energy resources.
EU domestic gas production has halved over the last decade, driven by low investment in new exploration and the Netherlands' decision to close its massive Groningen gas field to prevent seismic activity that damaged thousands of buildings.
Romania and Cyprus, which have the biggest commercially recoverable gas reserves in the EU, both plan to increase domestic production.
(Reporting by Kate Abnett; editing by Barbara Lewis)
