UK faces gas shortage risk in 2030s without unprecedented action, official assessment warns

Great Britain risks running out of gas in the 2030s despite its growing clean energy sources, unless ministers take "unprecedented" action to guard against a future gas supply shock, according to an official assessment of the country's gas security.

The government is considering plans to provide direct financial support to safeguard the country's ageing gas infrastructure after a consultation found that a "high stress scenario" could mean homes and businesses run out of gas within the next decade.

A range of measures to support Britain's gas sector is now being considered after most respondents said the industry was not likely to prepare for "low probability, high-impact events," which could see gas supplies run dry as North Sea supplies continue to deplete.

Three-quarters of respondents agreed with a warning issued last year by the National Energy System Operator that an "emerging risk to gas supply security" could mean that by 2030 homes and businesses would be left without gas during a prolonged period of cold weather.

Michael Shanks, the energy minister, said: "Any form of government intervention or investment in the gas market would be unprecedented and cannot be a decision we take lightly."

These could include offering financial support to the owners of gas storage facilities and gas pipeline operators, to make it economic to upgrade and maintain them in the decades ahead.

Shanks said the UK would continue to cut the UK's reliance on fossil fuels by growing its clean energy source. "However, we recognise that this transition will not happen overnight; the gas system will still play an important role in our energy system for decades to come."

"We have a responsibility to the millions of households that will be heated by gas for years ahead, the industries that rely on it for essential production, and the power system in which gas continues to play a key role," he added.

The government set out its renewed focus on securing the country's gas supplies as it prepares to decide on the future of major North Sea projects.

Proposed measures and reactions

The plans, published by the Net Zero department, are designed to protect against turmoil in global supply chains. However, the government admitted they would require an unprecedented investment in the gas market and added no decision had been made.

According to one report, Prime Minister Andy Burnham is considering spending billions to store foreign natural gas to help protect Britain's energy security. Ministers are said to be looking at buying a huge ship to house liquefied gas or creating a government stockpile for emergencies.

Critics argue the PM should prioritise drilling in the North Sea rather than relying on fuel from overseas.

David Whitehouse of OEUK, representing the North Sea sector, said: "It makes no sense to increase Britain's dependence on imported gas. With pragmatic Government action the North Sea can continue to play a significant role in meeting Britain's gas needs."

It was reported earlier that the PM told US President Donald Trump that he will take a "pragmatic" approach to oil and gas exploration. Jackdaw, a major gas project operated by Shell, is expected to be given the green light towards the end of summer.

But Labour MP Clive Lewis said there was "no legitimate reason" to push ahead with the drilling. Another, Rachael Maskell, also hit out at the proposals.