German Chancellor Olaf Scholz visited Belgian Prime Minister Alexander De Croo today to talk about cross-border hydrogen, gas and electricity grids. It is a rarity that such a “Belgian-German energy summit” is organised. The great absentee at the top? Netherlands.
“The North Sea Summit was also organized last year with Denmark, the Scandinavian countries, the Netherlands and Belgium,” says German correspondent Derk Marseille. “But now Scholz is visiting Belgium, and that doesn’t happen very often.”
According to Marseille, this has everything to do with the growing importance Belgium has for Germany in the field of energy, especially when it comes to natural gas. For example, there is a large gas terminal in Zeebrugge and the Germans would like to do business with Belgium in view of future hydrogen networks. “The gas used to come from the east and from Russia via Germany to Belgium, but now it passes through a natural gas hub like Zeebrugge to Germany to supply local industry.”
Run ahead
According to Marseille, the fact that Scholz is now visiting Belgium does not mean that he has an advantage over the Netherlands. “The Netherlands is still the country that does ‘big business’,” he says. “For example, yesterday two German ministers were in the port of Rotterdam to sign an innovation pact and finalize a deal on a German energy grid.”
However, Belgium’s importance should not be underestimated, Marseille believes. The Belgians have years of experience with hydrogen and have a lot of knowledge regarding LNG, while Germany has only recently had three floating terminals. According to Marseilles, these were “dragged from all directions” in order to bring about the shutdown of Russian gas.
Draw on the wall
The fact that Scholz will visit Belgium – as had been prepared last year when De Croo visited Scholz – is, according to Marseille, the writing on the wall, but he stresses that trade between the Netherlands and Germany cannot be beaten. “It is more than nine times the trade between Belgium and Germany, but it is a strategic signal that Scholz is sending.”
In addition to collaboration and knowledge sharing in the field of natural energy sources, cross-border electricity grids are also discussed. Especially since Germany is stopping nuclear power and there is a nuclear power plant near the German border in Belgium. He can play an important role, thinks Marseille.
Stop
The German decision to shut down nuclear power plants had already been taken under former chancellor Angela Merkel, and the Belgians are eager to dive into the void that has arisen. “The Germans are now saying that nuclear power plants have already been shut down to such an extent that they cannot be restarted like this,” concludes Marseille. “Two power plants can be kept on standby, but nothing should be expected to happen to them in the short term.”
However, where the Germans prefer not to produce nuclear power themselves, it is eagerly imported. And the Belgians are responding to this. “The Belgians can be a godsend for Germany if that nuclear power plant is already running at full capacity. This will allow the Germans to import a little more energy which is so much needed.’
Source: BNR
Andrew Dwight is an author and economy journalist who writes for 24 News Globe. He has a deep understanding of financial markets and a passion for analyzing economic trends and news. With a talent for breaking down complex economic concepts into easily understandable terms, Andrew has become a respected voice in the field of economics journalism.
