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Nov 23 - Government Confirms That Current LNG Plans Are Designed To Supply Power Station Only

The Government has reiterated the assurances given to the ESG immediately after they approached the Minister for the Environment on Friday, that Minister Joe Bossano’s comments on a television debate have no bearing on the current plans for the power station and LNG storage, which is designed specifically to supply the power station only.

Number Six says that consideration of the small capacity of the tanks will confirm that the LNG stored there would not be sufficient to sustain a bunkering industry of any magnitude whatsoever, and is not intended to do so.

The Government says it has always been clear about the fact that it separately wishes to explore LNG bunkering as an industry for the future. LNG is predicted to markedly increase in importance as a fuel for shipping. This is largely as a result of pressure on the shipping industry to reduce the significant pollution that it currently causes and in an effort to reduce its carbon footprint.

The Government says that liquid hydrocarbons such as diesel and heavy fuel are a constant threat to the shoreline and marine life of our region, something about which the ESG has expressed concern in the past, and which led to the GSLP/Liberal policy of not extending this type of bunkering to the east side of the Rock due to the danger to beaches and natural shoreline habitats. The Government says that the corresponding decrease and long term replacement of bunkering with liquid hydrocarbons by LNG which would evaporate before reaching the shore, would remove this threat of oil pollution and damage to marine life, small craft and water intakes.

However, the Government also says that any move to LNG bunkering by Shell or any other operator would require, and Government is fully committed to, “a full and quite separate assessment of any potential project” from both a ‘HAZID’ (hazard identification) and an environmental impact point of view, with full public consultation and discussion with stakeholders, including environmental groups, before any such project would be allowed to proceed.

“Our interest in LNG bunkering is nothing new and has been publicly discussed on a number of occasions, including during Parliamentary discussions,” said the Minister for Energy, Dr John Cortes.

“A move to LNG bunkering would bring huge environmental benefits by drastically reducing the threat of oil pollution and the damage that causes. I would of course ensure that it absolutely did not happen without all the full and thorough assessments necessary and in a way that was completely safe. However, it is quite some way away and not part of the power station project. The power station project will bring its own benefits to Gibraltar, most particularly to the residents of the Waterport area who will benefit hugely from the closure of the noisy and polluting Waterport diesel power station.”


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