ENTSOG GRIP CEE 2014-2023 / Main Report

circumstances a new model for the planning and implementing gas projects is indispensable. However, the design of such model should envisage support from regulatory authorities (i.e. methods to reduce risk for project promoters) and the EU, in case of projects of European interest. The current conditions on the European gas market influence behaviour of market participants in utilising UGS facilities whose inventories are currently at low levels in some countries in the CEE region. Such situation poses a risk of guaranteeing unin- terrupted supplies for gas consumers in the peak demand periods and may increase requirements for transmission infrastructure so as to design it for much higher peak capacities due shorter injection and withdrawal periods.

6.4 Financial

Economic crisis in many EU member states increases the challenges for investors in securing sources of funding. Therefore, the access to direct support (e.g. EU grants via CEF and ERDF) and innovative financial mechanisms (e.g. equity partic- ipation and support to infrastructure funds, loan guarantees, leveraging loan finance from international financial institutions and targeted) is of primarily importance.

6.5 Political

Inconsistent or partially contradictory political messages on the role of natural gas in the long-term perspective may have a direct effect on whether the market feels confident to invest. Natural gas has been labelled as a bridging fuel, however it needs to be noted that its role in the EU’s energy mix may well extend beyond 2030 and remain significant also in 2050. This potential should be utilized given, among other things, favourable carbon foot- print of natural gas. Investments in natural gas infrastructure should be promoted especially as natural gas is the most environmentally-friendly fossil fuel that paves the way for an efficient and competitive transition into a low-carbon energy system in Europe. This is especially the case of the CEE region.

GRIP Central Eastern Europe 2014–2023 |

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