UK: Ofgem Approves Agreement To Maintain Gas Import Capacity From Europe

Britain’s energy regulator, Ofgem, has approved an agreement to maintain gas import capacity from mainland Europe, helping preserve supply flexibility during periods of high demand.

Ofgem said on Thursday it had approved Interconnector Limited entering into an agreement with National Gas Transmission plc under its licence to maintain import capability through the pipeline linking Britain and Belgium.

Britain’s gas interconnectors with Belgium and the Netherlands allow supplies to flow in either direction, depending on market demand.

The pipelines are used only occasionally to import gas. Most of Britain’s gas imports arrive through pipelines from Norway or as liquefied natural gas (LNG) from other suppliers.

Ofgem said import capacity through the continental interconnectors had declined in recent years because of weaker commercial incentives to bring gas from Europe and technical reductions in pipeline capacity.

However, the links remain an important supply option during periods of particularly high demand, including severe winter weather, the regulator said.

Ofgem has opened a consultation, running until November 20, 2026, on a proposed regulatory mechanism to recover the costs of maintaining that capability.

“Maintaining import capability through the continental interconnectors has been identified as an important action to strengthen resilience by enhancing the ability of the gas system to respond to more challenging situations in the very unlikely event that they arise,” said Glenn Bryn-Jacobsen, Director of Energy Systems and Resilience at National Gas, according to Oilprice.com

Jack Presley Abbott, Ofgem’s Director of Energy Systems Management and Security, said maintaining the links remained important as the energy system evolved.

“We have approved the agreement needed to maintain this important capability, and, as such, are consulting on the proposed regulatory mechanism for recovering its costs,” he said.

Separately, the British government on Wednesday approved the long-delayed Jackdaw gas field, marking the first approval of a new North Sea project since the war involving Iran drove up energy prices.

Jackdaw could begin supplying gas to British homes and businesses as early as later this month, after the energy secretary agreed that the regulator could grant consent for production at the field.