Whenever a new natural gas transmission pipeline is constructed, the original harmony of nature is inevitably disturbed. FGSZ Natural Gas Transmission Ltd. (hereinafter referred to as FGSZ) is fully determined to implement its projects on the basis of strict compliance with nature conservation principles. It is essential for us to provide full-range information on the details of such projects and the actions we implement in order to secure protection to the environment and nature.

Main reasons for increasing natural gas consumption:

• Line-bound electricity and natural gas supply systems can offer the most comfortable way of energy supply for consumers.
• Natural gas as a source of energy has the unique benefit that it can be stored profitably and in huge volumes.
• Expansion of natural gas has been further supported through its consumer price that has been artificially kept at low levels in the past decades, so whereas coal and crude oil consumption have been gradually decreasing, natural gas consumption has been growing.
• The role of gas, as a primary source of energy, has also increased in the power generation.
• Consumption of natural gas can cause minimised load onto the environment, thus it is a benefit from environmental protection aspect.

Hungary is extremly exposed to natural gas (diagram), as the share of natural gas among the primary energy carriers in our country is outstandingly high, being more than twice the European average (diagram), namely 44,3%. Domestic production and depleting reserves has been unable to meet consumption, and as demands keep on rising, the import dependence is also increasing.

Natural gas is a key component of the European Union’s energy supply and its significance keeps on increasing, therefore EU is also striving for improving the security of gas supply. Strongly growing demands for natural gas can be demonstrated by the fact that the gas consumption of the European Union in 2002 was 380 billion cubic metres and this figure will grow up to nearly 640 billion cubic metres by 2030 (diagram), using fairly conservative estimates.

The seasonal volatility within the Hungarian natural gas consumption figures are far the greatest in Europe. Demands sent to MOL from the gas distributors supplying the households and our directly supplied industrial consumers both show a dynamic growth curve.  If we want to meet the ever-increasing demands for natural gas, and to secure the long term, safe and uninterrupted natural gas supply for the country, the capacity of the transmission system should be increased and new pipelines constructed.

• Completed projects

Cross-border projects

Transmission needs keep on expanding also for transit purposes, in addition to domestic market, and this requires for the development of cross-border capacities. Pipelines inter-connecting Hungary with the neighbouring countries could significantly reduce the risk in security of supply, because the sources of supply can be diversified. Furthermore, competition in the gas market would also be enhanced, as an additional benefit for the consumers.

In 2007 we started negotiations on the construction of natural gas transmission pipelines connecting Hungary with Croatia and with Romania. Both projects can perfectly fit also to the NETS Project launched by the FGSZ Ltd. in December 2007, where, inter alia, Transgaz (Romania), and Plinacro (Croatia) are also members. One of NETS’ goals is also to improve the security of supply through diversifying transmission routes and sources of supply.

You can find detailed information on these projects below:

Gas pipeline between Arad and Szeged

Gas pipeline between Városföld-Slobodnica