Press Release 15th April 2010: 'Safety Before LNG' to appeal CER decision to grant Shannon LNG a 25 year exemption to regulated third party access directly to the European Commission,  claiming that 42% of its inital LNG supply going to 450 MW Endesa and 250 MW Shannon LNG power stations gives it pivotal supplier status

'Safety Before LNG' said it will appeal directly to the European Commission the CER decision today to grant Shannon LNG a 25 year exemption from regulated third party access for the entire capacity of the proposed LNG terminal. (see http://www.safetybeforelng.ie/licensing/certhirdparty.htm )

'Safety Before LNG' says that remarks made by Hess LNG CEO Gordon Shearer to a US-based LNG journal, LNG Unlimited, proves that Shannon LNG will become a pivotal supplier to 2 power stations controlling at least 700 Megawatts, which is forbidden under EU law.

The weekly publication's main title of April 9^th 2010 ( see  http://www.lngunlimited.com/ ) read:

In his comments, Gordon Shearer, originally from Scotland, referring to the 250 MW plant it will control under the name Ballylongford Electricity Company is quoted as stating:

“the gas-fired power plant would swallow 10% to 15% of the terminal’s initial send-out  capacity of 400 million cubic feet per day”.

However, with the 450MW of the proposed gas-fired Endesa Plant plant at Tarbert which will not be able to access the national grid and will have to take gas from Shannon LNG instead, this figure rises another 27% to give a total of 42%

Endesa had asked the CER to allow 30% of the capacity of the terminal to be regulated for only 20 years (see http://www.cer.ie/GetAttachment.aspx?id=d3e4a0c0-a9ca-4bd4-ada1-c1f83467e390 ) but the CER refused. It means that Endesa will now be a hostage to Shannon LNG gas.

This gives Shannon LNG Pivotal supplier status in the power generation market, an issue not even covered by the CER in its decision report. It means that Endesa will now be a hostage to Shannon LNG gas. 

Shearer went on to state:

“The power plant would take advantage of planned upgrades to the area’s electricity grid with high voltage transmission lines due to be installed adjacent to the Shannon LNG project”

He also acknowledged that changes to the layout of the proposed LNG terminal would have to be made and that the Irish Gas market is still growing but these will require going back into the planning process, which we will fight vigorously.

'Safety Before LNG' believes that Shearer has unwittingly betrayed his plans for Shannon LNG by stating that the Irish Gas market is still growing in spite of the recession. The plan seems to be to turn the Irish into gas junkies by monopolising supply to new gas-fired power plants which will ultimately hold the country to ransom.

“If contolling access to gas for not one, but two, major power plants is not considered a monopoly in Ireland, then we are sure that the EU Commission will see differently”

'Safety Before LNG' already received a declaration from the EU Commission in January that a Strategic Assessment (SEA) should have been undertaken of the Shannon LNG project, which we believe will lead to the Foreshore Licence being refused
(see http://www.safetybeforelng.ie/pressreleases/pressrelease20100410searequiredsayseu.htm ). The coast road will now become a nightmare for local residents with this news about a massive industrial zone of high-voltage transmission lines and a 250 Megawatt gas-fired power plant to be added to the frightening LNG terminal in a still rural scenic area.

'Safety Before LNG', however, says that each new revelation about the LNG project makes the case for an SEA, as requested by the EU, now more necessary than ever.

Ends