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For
Immediate Release
Press
Release September 22nd 2025
No policy support for
Multiple LNG terminals in Ireland should see New Fortress Shannon LNG
being refused Planning permission.
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Expectation
is growing that New Fortress Energy will see its
planning application for an LNG terminal being refused, this, the
fourth time it is being assessed by An Coimisiún Pleanála.
In the latest submissions received by the national planning authority
after the High Court sent the planning decision back to An Coimisiún
Pleanála for reappraisal, new hurdles appeared for the project
attempting to import US fracked gas into Ireland with a proposed
commercial Shannon LNG terminal and its associated 600MW power station:
- The commercial LNG terminal would run counter
to the Government decision to only approve the construction by Gas
Networks Ireland of an emergency-use-only LNG terminal.
- It would instantly flood Ireland with treble the amount of gas, which the
renewable energy sector would not be able to compete with.
- It would breach all obligations under Section
15(1)(e) of the Climate Action and Low Carbon Development Act 2015
(as amended) “of mitigating greenhouse gas emissions and adapting to
the effects of climate change in the State”.
Section 4(8) of the Climate Act also obliges assessment of carbon
leakage in the Climate action plan and national long term climate
action strategy (the Minister and the Government “shall have
regard to [...] the risk of substantial and unreasonable carbon
leakage as a consequence of measures implemented by the State to pursue
the national climate objective”). Carbon leakage is defined in the Act
as “the transfer, due to climate
policies, of production to other countries with less restrictive
policies with regard to greenhouse gas emissions”. There is no point
in cutting emissions in one place if that leads to
worse emissions elsewhere. That is why the
Government must take carbon leakage
effects into account when making climate action plans.
- It would breach sectoral emissions ceilings
leaving Ireland exposed to millions more in fines from Europe. It would
also undermine all the emissions
reduction efforts in other sectors of the economy such as Agriculture
(“Farming Not Fracking”).
- The Minister for Energy has refused to clarify
the Government position on the commercial Shannon LNG planning
application requested directly of him by An Coimisiún Pleanála.
- The emissions figures are mind-boggling.
Trebling the amount of fossil gas in the market trebles the
territorial emissions. The 600MW Power Station would account for, on
its own, 1/3rd of all budgeted emissions from the entire electricity
sector in 2030. Even if fracked LNG was to take a plausible 50% share
of today's Irish gas market this would lead to carbon leakage
comparable to half of Ireland’s annual Greenhouse Gas emissions from
Agriculture when considered under Global Warming Potential over a
twenty-year period (GWP20).
- 3 gigawatts of gas-fired stations already have
planning consent, breaching the 2 gigawatts government policy target
for new gas plants as identified in the National Development and
Climate Action plans, with a further 2.7GW in the planning process.
Gas-Fired power stations are paid to be on standby – in this case, a
10-year capacity contract worth €494 million would be paid to Shannon
LNG – to ensure supply during peak demand or low renewable output.
These costs are passed on to electricity customers in their domestic
electricity bills via ‘capacity payments’ tariffs when Ireland is
already one of the most expensive countries in the EU for electricity.
Electricity bills increase for each unnecessary gas-fired power station
that gets planning permission.
- The Government has already recognised in its
policy statements that “fracked gas can have significantly higher
greenhouse gas emissions than conventional natural gas, both nationally
and globally, and the widespread use of fracked gas”, as proposed by
Shannon LNG “would not be consistent with Ireland’s 2030 and 2050
climate objectives nor globally with the Paris Agreement”
- Ireland does not import any fracked gas or any
Russian gas because all its imported gas is sourced from the UK and
Norwegian North Sea gas fields. The UK's National Energy System
Operator (NESO) confirmed in its Gas
Network Capability Needs Report 2024 that "NTS compression does not
currently support the transport of gas to the high-demand parts of
Scotland from the southern zones or from the zone’s more southerly
terminals at Teesside & Barrow" meaning only North Sea gas and no
fracked gas is currently being imported into Ireland.
- An Coimisiún Pleanála is being obliged by the
High Court to make a decision for the second time on this planning
application by Shannon LNG because when it made the decision to refuse
planning permission the first time, the ongoing draft Energy Review and
interim policy was incorrectly classified by the Commission as national
policy. This time, the Energy Review has been completed, having been
approved without change by the Government. It would be reasonable to
return the same decision to refuse planning consent because the Energy
Review clearly does not support a private commercial LNG terminal being
developed in Ireland.
- There is no policy support for Multiple LNG
terminals. On March 4th, 2025, the Government approved the development,
as an
interim measure, of a temporary “State-led strategic Gas Emergency
Reserve” in “the form of a Floating Storage and Regassification Unit
(FSRU), to be owned on behalf of the State by the system operator, Gas
Networks Ireland (GNI)”, as the optimal approach in Action 17 of the
'Energy Security in Ireland to 2030' plan approved by government in
November 2023. It would reduce the risk of stranded fossil fuel assets,
be for emergency use only, and would not support increased gas demand.
This “plan” did not consider or support the development of a private
commercial FRSU in parallel to a state-led emergency-use-only one.
- Gas Networks Ireland is assessing viable
alternative locations for the State-led Strategic Emergency Gas Reserve
approved by the Government in March and has recently received approval
to conduct marine site surveys in both Cork harbour and the Shannon
estuary to assess the suitability of both locations for the strategic
gas reserve. The false distinction between private and public ownership
put forward by Shannon LNG must be seen in the light of the decision
made by the government that on climate and energy security grounds it
is only approving the development of a State-led emergency-use-only
gas reserve, one which would not constitute a new entry point to the
gas network and therefore be consistent with Ireland's climate law and
the EU Gas Directive. The State already argued in the High Court that
“the ownership of the
facility isn’t the issue it’s the function of the facility”
- If the Commission is to decide that no
distinction may be made from a planning perspective between a private
commercial LNG terminal and a public State-led, emergency-use-only
reserve then it would be necessary to reassess the Energy Plan approved
by the Government and undertake a corresponding Strategic Environmental
Assessment of all the options.
- It would increase demand for gas contrary to
Action 17 of the 'Energy Security in Ireland to 2030' plan approved by
government in November 2023, which stated that any proposal for an
emergency gas reserve in the country would have to satisfy 4 criteria:
- A proposal which can be implemented quickly
- A proposal which does not inadvertently
increase gas demand by increasing the supply available on the market
- A cost-effective proposal at the appropriate
scale which provides sufficient resilience if a disruption to gas
supply occurs
- A proposal which is compatible with the
Climate Action and Low Carbon Development Act 2015-2021.
Central Statistics
Office figures show that total gas consumption in Ireland in 2024 was
53,563 GWh. Shannon LNG’s EIA volume 2 states “The LNG vaporisation
equipment onboard the FSRU will be designed to meet a send-out capacity
of up to 22.6 million Sm3/d (approximately 250 GWh per day) natural
gas“. 250 GWh per day equals 91,250 GWh per year. This means that the
proposed Shannon LNG terminal would supply 170% more gas into the Irish
gas grid than is currently being consumed in Ireland and action 17
automatically defines that as increasing gas demand.
The Power Plant in this planning application, Shannon LNG’s EIA states,
would “use up to 2.8 million Sm3 per day (approximately 25.5 GWh per
day) when operating at full capacity”. Therefore, the power plant, by
itself, would represent a 17% increase in new gas demand in Ireland.
Shannon LNG also states in its EIA that “As part of the Masterplan, a
Data Centre Campus is to be constructed to the west of the Proposed
Development. This will be subject to its own EIAR and planning
application.”
Wes Edens, owner of Shannon LNG, admitted that his project would
“create our own demand” when he stated in an Earnings call in August
2019:
“I can't emphasize enough, I think the downstream assets we develop
around these terminals are, in many respects, our most important
projects. We basically end up creating our own demand. We're,
essentially, negotiating with ourselves, so we know the guy who owns
the data centers if we're building data centers.”
The full
submission of 'Safety Before LNG' and 'Communities for Environment
First' to An Coimisiún Pleanála, expanding on these issues in more
detail can be downloaded here.
ENDS
Contact:
John McElligott - Tel.: 087-2804474 - Email:
[email protected]
www.SafetyBeforeLNG.ie
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