Scottish & Southern Energy to reduce gas & electricity prices

mech_2

alared wrote: »

http://www.oilvoice.com/column/Gas_and_UK_Gas_Storage/8cf5a3b1f3.aspx

“You can blame the European power giants for sky-high bills: They buy the gas we can’t store and sell it BACK”!

That's another quote from the Daily Mail. Nothing else in the article suggests the author endorses that headline. Though it does explain the spin that led to it. If you consider that we still get half out gas from the North Sea you could spin it the other way and say that we have half a year's gas in storage. That would put the UK in a much better position than France or Germany if you believed that logic.

The UK is overdependent on Rough, as can be seen by what happened when Rough was taken out of commission due to a fire. The spot price soared, but what didn't hit the headlines was that after Rough came back online, prices plummeted and stayed low for quite some time as the stored gas came back into availability. Storage balances demand and reduces volatility in the marketplace. It doesn't mean cheaper gas overall as there's still the same amount of gas available. Just as it avoids peaks in price, it also sets the bottom of the market at other times, as there's always a minimum amount of demand as long as there's storage space available to fill.

Stop looking at headlines and look at actual figures. How much gas do we import from non-gas-producing countries? Is it even significant enough to come up in a table under "other"? I've never seen a figure for UK gas imports from France or Germany. Ever. Find me one.

Cardew

Pssst wrote: »

I can certainly substantiate this statement.

When the industry was nationalised and run by the mighty British Gas Corporation,they did everything and had plenty of storage.

Now we have a sitaution whereby no one is really paid to store gas.

We have those who trade gas,
Those who deal with the consumer i.e the people who sell gas eg British Gas,Ebico etc etc

Those who transport it (but dont own it) eg National Grid

There has been a widescale program for a number of years of dismantling gas holders,cleaning up the sites on which they stood, and selling it off for development.
Its ongoing.

The storage will be reduced to a bare minimum to act as a buffer for the transmission and local distribution system.

Basically,there is no money in storing gas.


.

Are you being serious? Gas storage facilities?

Like this?

http://www.sportsartworld.com/The_Fo...meter_end).htm

If they are then you will need to bring back the coal industry to UK(not a bad idea anyway). They store gas at normal pressure produced from coal.

In this terrorist age, any old gas storage facility(usually in urban areas) is a ready made bomb just waiting for an incendiary device to be fired into it! Had the Oval Gasometer not been removed the terrorists might have disrupted the cricket - and that would not be cricket!

The security on the proposed £billion storage facilities is massive.

We did have massive storage capacity - under the North sea.