Shale gas could employ millions in Europe
The development of shale gas in Europe could add as many as one million jobs to the economy, make industry more competitive and decrease the region’s dependence on energy imports, according to a new study.
The research, commissioned by OGP and carried out by the independent consultancies Poyry Management Consulting and Cambridge Econometrics, has quantified for the first time how much Europe’s economy could benefit from domestic shale gas production. Shale gas could add a total of 1.7 trillion to 3.8 trillion euros to the economy between 2020 and 2050.
“Europe is still in a period of difficult economic and social recovery. This new study shows that shale gas production could have significant economic benefits,” said Roland Festor, OGP’s EU affairs director. “While it may not be a game changer as in the United States, shale gas development in Europe could take full advantage of the lessons learned.”
“We cannot afford to forego such an opportunity; every cubic meter of gas produced from EU shale resources means one cubic meter less of imported gas. That would translate into more jobs, more disposable income, better security of supply and ultimately more prosperity,” Festor said. “We encourage policy makers to create the right conditions for exploration.”
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The study modeled the impact of domestic shale gas development on the economy of the EU28, using three different scenarios, each with differing production levels.
According to the results, shale gas operations could trigger the creation of between 400,000 and 800,000 new jobs by 2035, and between 600,000 to 1.1 million by 2050. Many of these jobs would be in industries most affected by Europe’s crisis – and would be in net addition to any new jobs generated by other sectors, including the renewable energy industry.
Domestic production could reduce dependence on gas imports to between 62 percent and 78 percent, down from an otherwise predicted 89 percent of demand in 2035. The less Europe spends on energy imports, the more it can invest internally, stimulating national and local economies. Between 2020 and 2050, investment in the EU could increase by 191 billion euros, while tax revenues could increase by 1.2 trillion euros.
Indigenous gas production could also reduce energy prices compared with a no-shale gas scenario. Relatively lower prices would increase the income available to households and reduce costs for industry, making European products more competitive internationally.
The full study is available at: http://www.poyry.co.uk/news/poyry-study-investigates-macroeconomic-effects-european-shale-gas-production
Hydrostor receives $4m funding for A-CAES facility in Canada
Hydrostor has received $4m funding to develop a 300-500MW Advanced Compressed Air Energy Storage (A-CAES) facility in Canada.
The funding will be used to complete essential engineering and planning, and enable Hydrostor to plan construction.
The project will be modeled on Hydrostor’s commercially operating Goderich storage facility, providing up to 12 hours of energy storage.
Hydrostor’s A-CAES system supports Canada’s green economic transition by designing, building, and operating emissions-free energy storage facilities, and employing people, suppliers, and technologies from the oil and gas sector.
The Honorable Seamus O’Regan, Jr. Minister of Natural Resources, said: “Investing in clean technology will lower emissions and increase our competitiveness. This is how we get to net zero by 2050.”
A-CAES has the potential to lower greenhouse gas emissions by enabling the transition to a cleaner and more flexible electricity grid. Specifically, the low-impact and cost-effective technology will reduce the use of fossil fuels and will provide reliable and bankable energy storage solutions for utilities and regulators, while integrating renewable energy for sustainable growth.
Curtis VanWalleghem, Hydrostor’s Chief Executive Officer, said: “We are grateful for the federal government’s support of our long duration energy storage solution that is critical to enabling the clean energy transition. This made-in-Canada solution, with the support of NRCan and Sustainable Development Technology Canada, is ready to be widely deployed within Canada and globally to lower electricity rates and decarbonize the electricity sector."
The Rosamond A-CAES 500MW Project is under advanced development and targeting a 2024 launch. It is designed to turn California’s growing solar and wind resources into on-demand peak capacity while allowing for closure of fossil fuel generating stations.
Hydrostor closed US$37 million (C$49 million) in growth financing in September 2019.