Biden and Sunak strike deal to double UK gas imports from US
The US wants to more than double its gas exports to Britain next year, after Rishi Sunak and Joe Biden struck a landmark deal yesterday.
Biden said he wants the US to send at least 9bn cubic metres of liquefied natural gas (LNG) to the UK in 2023, which would be enough to power millions of homes.
For context, the latest mega-deal between Centrica and Equinor to power 4.5m homes provides 3bn cubic meters of gas over three years.
The new UK-US Energy Security and Affordability Partnership will see both countries “work to proactively identify and resolve any issues faced by exporters and importers” to hit the target.
It comes as the UK faces potential energy shortages over winter and with prices set to peak in 2023.
National Grid has included the prospect of rolling blackouts in its worst-case scenario for its winter outlook this year – and stopped short of triggering emergency plans last month after scrambling to secure power.
Number 10 said the government will “look to identify opportunities to support commercial contracts that increase security of supply”.
The White House said it would provide “the necessary enabling regulatory environment to deliver” on the target.
“Together the UK and US will ensure the global price of energy and the security of our national supply can never again be manipulated by the whims of a failing regime,” Sunak said.
“We have the natural resources, industry and innovative thinking we need to create a better, freer system and accelerate the clean energy transition. This partnership will bring down prices for British consumers and help end Europe’s dependence on Russian energy once and for all.”
Sunak also announced a new Energy Efficiency Taskforce, which will aim to “reduce the UK’s energy consumption from buildings and industry by 15 per cent by 2030 against 2021 levels”.