ENTSOG GRIP SNC 2014-2023

6.2 Project Rationales

Traditionally there has been a substantial southward oriented flow from gas producers in the North Sea and Netherlands across Switzerland to Italy. In the medium to long term there is now a potential to build up the capacity for a new pattern of flows, from the South to the North of Europe. This new pattern of Northwards flows from Italy would clearly improve Europe’s security of supply and competition by connecting the main European gas markets. Future European gas flows will not only be determined by demand but also pro­ duction. With stable-to-declining Norwegian sources, UK and Dutch productions already going down at a steeper pace than projected, more gas will need to come from other sources and the related infrastructure will have to be put in place to connect these new sources of gas. One of the most obvious and least-costly options for diversifying supply sources is to create reverse flows. This is a core EU goal, which enjoys widespread support by the European Commission and in legislation, as demonstrated by the recent publication of the ‘Projects of Common Interest’ list (PCIs). With supply diversification expected to be one of the main rationales for reverse flows, recent events in Crimea and Ukraine could push for a reduced dependency on Russian gas, further favoring such a diversification policy.

Image courtesy of OGE

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South-North Corridor GRIP 2014–2023