Project number: K146320
The energy crisis highlighted our dependence on energy, particularly on natural gas. After decades of tranquil energy markets, characterised by substantial exposure to Russian energy sources, the usual transmission lines were disrupted, resulting in widespread shortages and record-high energy prices.
Europe’s past reliance on cheap Russian energy sources is hardly surprising and contributed much to the EU’s competitiveness. The general optimism that Russia uses the income from energy sales to build a democracy faded over the years. Still, Russia was successful in tying the EU even closer through new pipeline constructions, such as the Nord Stream system. At the same time, attempts to channel in alternative sources have mostly been blocked. The war in Ukraine changed this attitude overnight, and now the EU’s target is to remove all dependence on Russian energy sources.
The European Union has been at the forefront of the green transition, the process of replacing fossil fuels with renewables – a process expedited by the war. The green transition also challenges the status quo, where natural gas becomes an auxiliary energy source to balance the gap between demand and unpredictable renewable production.
Our research focuses on the natural gas pipeline network, stressed by these challenges. We study the changes required to survive without Russian gas and with an increasing share of renewable production. We seek optimal developments that minimise supply costs and the ideal combination of renewable sources to benefit most from renewable sources.
At last, we study the effect of energy cost increases. We aim to get a better understanding of how energy prices fuel inflation.