E.ON UK Submits Scoping Application For New Gas Storage Facility

E.ON UK, the company that runs Powergen, has submitted a scoping application to build an underground gas storage facility in East Yorkshire. E.ON carried out geological investigations earlier this year to determine the area's suitability for the facility. The company now intends to apply for planning permission to build its proposed scheme on a site to the north of Aldbrough.

Dr Paul Golby, Chief Executive of E.ON UK, said: "There is an urgent need for more gas storage in the UK as production from the North Sea declines.

"As we have seen from the recent Energy Review, a diverse energy mix is vital to secure supplies and gas storage facilities have a vital role to play in ensuring we have enough gas for our customers and our power stations that help keep the country's lights on.

"We are once again about to go into a winter which will be challenging for energy companies. The UK needs gas storage facilities to come on line to ensure security of supply and help stabilise energy prices."

"Our proposed facility is of strategic importance and would be able to store an amount of gas equivalent to that used by the whole of the UK on a cold winter's day¹."

The scoping application was submitted to East Riding of Yorkshire Council this week and outlines the proposed project. The council is invited to comment on the proposed scope for the Environmental Impact Assessment which is needed to support a planning application. It is hoped that a full planning application will be made in the autumn. If the scheme gets the green light, construction is expected to start late in 2007 with the first phase operational in 2010 and project completion in 2012.

Dr Golby said: "I was heartened by the Secretary of State's comments earlier this year outlining the national need for more gas storage but I believe that there's still more to be done to streamline the planning process.

"Going forward, it's essential that gas storage projects, like the one we're proposing, are seen as nationally important and progressed transparently with local planners who are free to deal with the local issues and the views of the community."

Work is currently underway at E.ON UK's Holford site in Cheshire which, once fully developed, will be able to store the equivalent to half of the gas used by the country on an average day².

¹ = The facility is expected to have total working gas capacity of 420 million standard cubic metres of gas.

² = The facility expected to have total working gas capacity of 165 million standard cubic metres of gas stored in eight caverns.

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Posted 17/08/06

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