The EU is supporting the modernisation of gas transmission pipelines and the construction of a liquefied natural gas (LNG) terminal, co-financed by the European Regional Development Fund (ERDF)
Podziemny Magazyn Gazu, a gas terminal supported by the ERDF. Credit: EU website
The EU is supporting the modernisation of gas transmission pipelines and the construction of a liquefied natural gas (LNG) terminal, co-financed by the European Regional Development Fund (ERDF).
From 2014 to 2020, ERDF co-financed an additional increase in the capacity of the LNG terminal with an additional storage tank and re-gasifiers. After this LNG extension, Poland will be able to import almost 33 % of its gas demand by sea from the US, Qatar or other LNG producers.
Poland is by far the largest beneficiary of the CEF in the energy sector, with over €920 million in the last five years for gas and electricity projects. The projects contribute significantly to supply security by diversifying and increasing the import capacity of gas. These include the Poland-Lithuania GIPL interconnector (recently opened), the Baltic Pipe pipeline (Poland, Denmark and Norway), and the Poland-Slovakia interconnector (opening soon).
In addition, EU cohesion policy funds financed the construction and expansion of four underground gas storage facilities from 2007 to 2013, contributing to a total increase in active gas storage capacity of 1,024 million m³, an increase of one-third of the storage capacity at that time.
The funding demonstrates that the EU’s contribution is crucial to developing Poland’s gas transmission network and improving the diversification of the gas market and the storage of gas.
In line with the political action plan agreed by Poland, Lithuania, Latvia, Estonia and the Commission for the synchronisation of the Baltic States, a new high-voltage submarine cable (Harmony Link) connecting Poland and Lithuania will be built as a solution. The Commission supports the Baltic States politically and financially in achieving their objective of operating their electricity system independent of Russia’s systems. Harmony Link has received CEF funding and its construction is under way. The project is planned to begin operations by 2026 and will double capacity to 1,000 MW.
Investments from cohesion policy in electricity grids amount to around €400 million for 2014 to 2020. Investments in electricity networks aim at improving the security of the electricity supply (transmission and distribution networks and smart grids). The high-voltage power line Krajnik-Baczyna-Plewiska project, which is connected to the German electricity system, is significant in this regard.
