The Federation of European Tank Storage Associations (FETSA) and the Union Pétrolière Européenne Indépendante (UPEI), Europe’s Independent Fuel Suppliers, have published a new study, entitled Implications of the energy transition for the European storage, fuel supply and distribution infrastructure.
The study, which was carried out by economic consultancy Trinomics, considered how substituting conventional fuels with low-carbon fuels would affect established supply chains. The authors developed 11 case studies with different spatial configurations, safety, equipment and costs.
The main conclusion of the report is that for most major supply chains, existing infrastructure will be compatible with the sustainable liquid fuels that will be necessary for Europe to meet its climate targets under the European Green Deal. Investments will be necessary, but are largely in line with normal upgrade costs. Some supply chains, such as for hydrogen, will require more investment. The industry’s experience in handling liquids and liquefied gases of all kinds make it ideally positioned to thrive in a sustainable future.
‘The study shows that current tank terminal infrastructure will be critical to the energy transition as well as the strategic autonomy and resilience of the EU,’ says Ravi Bhatiani, FETSA executive director, adding: ‘Specific investments will be needed to store many of the liquids of the future and our sector is already modernising terminals, adapting infrastructure, exploring new trade routes and updating handling and safety procedures to prepare.’
Tank Storage Magazine held a webinar on 6 July 2021 to coincide with the report’s publication. A playback and review will be available on the website shortly.