Euroforum, a leading German conference organiser, today published a blog article by Dr. David Bothe of Frontier Economics on the potential to use of gas as an energy carrier.

In the context of ambitious decarbonisation objectives, the prospects for the natural gas – a fossil fuel –  might appear to be limited, creating uncertainty for current business models and investments in the gas sector. However, existing infrastructure gives the gas sector a key advantage that is often overlooked. Drawing the analogy to the power grid, the article argues that gas could have a bright future, if the sector can transform itself from a fossil energy source into a network-based energy carrier.

Carbon-neutral gas produced from renewable power could be used as an energy carrier in the same way as electrons in the power grid. This would provide a long-term business case for gas infrastructure and relieve bottlenecks in the power system, thereby reducing investment needs in the power grid.

Frontier regularly advises public and private sector clients on issues relating to energy and climate policy.

For more information or to request a copy of the article (in German), please contact Miriam Rau on m.rau@frontier-economics.com, or call +49 221 337 130.