UK, German 2016 Gas Use Grew Strongly

The EU’s two largest gas markets -- Germany and the UK -- saw consumption rise steeply last year, according to recent data.

UK gas consumption grew by 12.6% to 83bn m³ (892 terawatt-hours of gas) in 2016, according to government data last week, representing the highest annual increase since 2011; this was driven by a 39% rise to 27.4bn m³ in gas used by power generators to 27.4bn m³ (295 TWh). 

In 4Q2016, it was 25% higher year on year at 25.3bn m³, the most that quarter since 2010, including a 48% rise to 7.7bn m³ used by generators. Gas consistently displaced coal in the power sector last year with coal-fired plants shut down, and one large gas-fired CCGT in Manchester opened.

The 885 MW Carrington gas-fired CCGT near Manchester started up in September 2016 and was inaugurated this March (Photo credit: ESB)

German gas use grew by 9.5% in 2016, according to AG Energiebilanzen (AGEB), a think-tank of German energy industry associations and academic institutes, to 3,022 petajoules (or 80.7bn m³ although this depends on conversion rates, and a recent NGW article put this at almost 90bn m³).

AGEB's statement earlier last month also said that gas use increased strongly in 4Q2016 not only because it was cooler year on year but also because of greater use of gas-fired combined heat and power plants (CHPs) and the start-up of new gas-fired generation units were factors for gas’s growth.

Overall energy demand in Germany last year increased by only 1.1% in 2016 to 13,383 PJ, said AGEB earlier last month. Despite economic growth, it estimated that CO₂ emissions fell by 0.7% in 2016, because coal and lignite consumption fell by 5.1% and 2.8% respectively. Oil accounted for 34% of Germany’s 2016 energy mix, followed by gas with 22.6%, renewables 12.6% for the first time ahead of coal 12.2%, then lignite 11.4%, nuclear 6.9%, and power imports 0.3%, said AGEB.

UK production rises

Turning to UK indigenous gross gas production, this was 3.6% higher year on year in 2016, continuing the upward trend that began in 2014, helped by the Laggan-Tormore field start-up in February 2016.

UK gross gas imports were 5.9% higher last year: as whilst piped imports grew by 17.9% they were offset by a 20% decline in LNG imports. UK gas exports fell by 23%, as Irish self-sufficiency grew with the early 2016 start-up of the Corrib gas field. Thus UK net imports in 2016 were up by 19.9%.

Mark Smedley