Source · Select Committees · Energy Security and Net Zero Committee
Recommendation 21
21
Deferred
Require Government to publish plans and cost analysis for gas network repurposing by 2025.
Recommendation
The Government must set out comprehensive plans and an analysis of the costs and benefits for repurposing the gas network and clarifying who would bear the costs. It should set out a preliminary analysis by the end of 2025, including a clear timeline and a progressive approach to funding the costs. (Recommendation, Paragraph 120) 63
Government Response Summary
The government acknowledges the need to consider the gas network's future but states a longer timeline is needed due to the complexity and need for evidence gathering. They will publish a Call for Evidence in 2026 to explore optimal operational transition and future uses of the network.
Government Response
Deferred
HM Government
Deferred
As we make the transition to become a Clean Energy Superpower, the government welcomes the Committee’s recognition of the need to consider the future of the gas network. This is set out in more detail in the government’s recent Midstream Gas System Update to Market, which identifies managing a planned and orderly operational transition as one of the three key strategic challenges for the future of the gas system. There are various options for the future of gas networks, including its continued use with carbon neutral or negative gases like biomethane, and repurposing part of the infrastructure for other energy uses, such as the conveyance of hydrogen or carbon dioxide. Any repurposing or decommissioning approach needs to be consistent with enduring natural gas demand, for example, peak power generation, as an industrial feedstock, and, in the longer term, the production of blue hydrogen. Given the critical role the gas sector plays in the energy system, it is essential that the government first builds a comprehensive evidence base and engages with regulators and industry prior to setting policy direction. The department therefore anticipates a longer timeline to be needed than the Committee’s recommendation but recognises the urgency of this work and will be publishing a Call for Evidence in 2026 that seeks views on the optimal operational transition of the gas system, to ensure it is fair, safe and orderly. It will also explore how to best use the gas network in the future, considering a range of options. We recognise that the government will need to play a key role in planning what this phased, well-paced transition might look like and work closely with consumers, industry and stakeholders across the energy system to understand the key risks and opportunities, provide clear communication, minimise any impact or disruption and ensure there is sufficient support throughout the transition.