Germany’s LNG terminals to cost more than double earlier estimate

General view of the new floating LNG gas terminal, which allows Germany to import LNG via ship from other countries, in the harbour in Wilhelmshaven, Germany, November 15, 2022. REUTERS/Fabian Bimmer/File Photo

The purchase and maintenance of floating liquefied natural gas (LNG) terminals to help Germany secure energy supplies and diversify away from Russian gas, will cost more than 3 billion euros ($3.10 billion) more than planned, the economy ministry said on Sunday.

Overall, the costs are estimated at about 6.56 billion euros, the ministry said, confirming a report in Der Spiegel. That compares with 2.94 billion euros estimated in the country’s 2022 budget.

“Further costs have been determined in extensive consultations with numerous stakeholders and initial forecasts have been specified,” said the ministry on Sunday, citing operating costs and additional infrastructure on land.

The ministry said the floating terminals were essential for Europe’s biggest economy to compensate for a collapse in deliveries of Russian gas since Moscow’s invasion of Ukraine.

Germany this month completed the construction of its first floating terminal for LNG at the North Sea port of Wilhelmshaven.

The parliamentary budget committee has already approved the additional money required for the terminals.

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