Energy Seminar - Week 8: Gas in decline – what to do with the gas grid when we no longer need it?

The use of gas will decline dramatically as part of the transition to net zero. Modelling at European level shows that by 2050 about 70% less gaseous fuels will be used. Significant regulatory reform is needed to deal with the impacts of this decline on the gas grid. Fossil gas today serves many end uses, from power generation to residential cooking. In order to transport gas, vast gas grids have been built over the past decades. At the moment, regulation in most European countries treats gas distribution networks broadly as if they are expected to operate in perpetuity though there are some exceptions. This poses a significant challenge for policy makers: if fewer and fewer people use gas, how is the decline of the system managed, who pays for it and how does this work support a rapid energy transition?