UK-Norway Interconnectors Show How Europe Will Achieve Energy Security
Europe’s energy security will come from interconnectors rather than from domestic production. On Thursday, two events made this even clearer.
“Shell UK plans to reduce the number of staff and agency contractors who support the company's UK North Sea operations by at least 250 in 2015” the UK-headquartered company wrote on Thursday, adding that the industry has to change its business model to maintain the attractiveness of the North Sea region.
The company already announced 250 job losses in August.
On the other hand, despite the grim prospects of production in the North Sea, the same area will host a project to increase energy security in the UK. On Thursday, Oslo and London announced the final investment decision by the National Grid and Statnett. The two companies will cooperate in a 730-kilometre interconnector between the two countries.
"Access to low-carbon energy from Norway hydro power stations will help us meet the challenge of greener, affordable energy. It also adds to the diversity of energy sources for UK and potentially can reduce peak prices with benefits for consumers and businesses” Alan Foster, director of European Business Development for National Grid, commented in a press release.
The project, whose costs are estimated at €1 billion for each company, should be completed by 2021. It should transmit 1.4 GW of electricity.
‘By connecting our two countries, the decision announced by National Grid and Statnett today marks a strengthening of our energy partnership’ the Norwegian government wrote on its website, calling the project the “world’s longest interconnector”. The British government released the same comments.