Major investment package into Poland’s natural gas transmission network
The construction of a liquefied natural gas (LNG) terminal on Poland’s Baltic Sea coast connected to seven new high-pressure gas pipelines is boosting the roll-out of an integrated natural gas market in Central Europe, and improving Poland’s energy security.
The largest element of the investment package is the construction of liquefied natural gas terminal at the seaport of Świnoujście in the province of West Pomerania. The LNG terminal is the first such terminal in the Baltic Sea and its construction is supported by the building of over 1 000 km of connecting gas pipelines.
The EUR 1 566 million strategic investment package, to be implemented by 2014 by the state-owned gas transmission operator GAZ-SYSTEM SA, allows Poland and Central Europe to diversify sources as well as the direction of natural gas supplies.
The diversification of supplies should improve energy security for the region as well as allowing the region to benefit from gas imports at more competitive prices.
Diversifying the region’s energy supply
The construction of two smaller gas pipelines has already been completed. In 2011, the 64 km Włocławek–Gdynia gas pipeline became operational. This was followed, in the first half of 2012, by the commissioning of the 65 km Jeleniów-Dziwiszów gas pipeline.
The remaining five gas pipelines under construction – which are important for the development of the gas transmission system in central, north and north-western Poland – include the Szczecin-Gdańsk pipeline (265 km), the Szczecin-Lwówek pipeline (188 km), the Rembelszczyzna-Gustorzyn pipeline (176 km), the Gustorzyn-Odolanów pipeline (168 km) and the Polkowice-Żary pipeline (66 km).
The investment package is expected to lead to a greater proportion of gas being used in the region’s energy source mix. The package is also expected to reduce the operating costs of Poland’s gas transmission network and thereby boost the competitiveness of the Polish economy.
Jan Chadam, president of the management board of Gas-System SA, said that the capacity increase and performance improvements made to Poland’s national gas transmission network would benefit the wider European gas network. “The integration of the transmission systems in Central and Eastern Europe contributes to the fulfilment of the goals and objectives of European energy policy,” he said.
“It is worth highlighting that the projects from the gas sector belong to the most advanced investments in the energy sector within the Operational Programme Infrastructure and Environment 2007-2013."
Jarosław Orliński, Deputy Director, Ministry of Regional Development
Total investment and EU funding
Total investment for the eight projects amounts to EUR 1 566 000 000, of which the EU’s European Regional Development Fund is contributing EUR 382 300 000 for the 2007 to 2013 programming period. The project is funded through the “Infrastructure and Environment” Operational Programme.