Norway gas to benefit from end to coal in Germany – Equinor
Norway, one of Germany’s top three gas suppliers with Russia and the Netherlands, could make further inroads into the German market as the country phases out coal, a top executive at Norwegian oil and gas firm Equinor told news agency Reuters. Germany’s gas demand would increase with a coal exit plan, said Irene Rummelhoff, member of Equinor’s executive committee. “I think it could be an increasing market for us going forward,” she told Reuters.
In 2018, natural gas was responsible for 12.8 percent of German gross power generation, while more than a third was generated from coal. However, with the aim to reduce carbon emissions in line with climate targets, the German government has set up the coal exit commission tasked with proposing a path for phasing out the fossil fuel. The effect it will have on total gas demand is unclear, as it depends on many factors such as the speed of the coal exit, the expansion of renewable sources, or the weather. Natural gas currently covers almost a quarter of German primary energy consumption and is mainly used for heating and cooling in households and public buildings and for process heat in industry.