Although the current market situation for gas fired power plants is challenging, over time it is expected to be an economically attractive business.
It also has lower CO2 emissions compared to other fossil fuels. Natural gas provides increased security of supply and gives Vattenfall a more balanced portfolio that better reflects the European energy mix.
Our natural gas operations
Natural gas can play a crucial role in our efforts to reduce CO2 emissions. In Germany and the Netherlands, Vattenfall is active in almost all parts of the gas value chain, from gas storage, trade and delivery to more than 1.7 million end consumers.
We supply 80 TWh of natural gas for heating purposes to households, small and medium enterprises, power stations and industry.
Gas-fired power is a bridging fuel to a sustainable energy system. When CO2 prices increase, natural gas will become increasingly attractive and competitive compared to, for instance, coal-fired power plants.
Natural gas storage
We store gas in caverns of disused salt mines in the German town of Epe, just across the border at Enschede. This enables us to respond flexibly to fluctuations in the supply and demand of gas on a daily basis. Furthermore Epe is also used for trading purposes and can be seen as a seasonal financial instrument to arbitrage between winter and summer prices.
At present Vattenfall has seven caverns operational in EPE with a maximum gas storage volume of 440 million m3 (4.3 TWh).