According to data issued by the French natural gas transmission network operator (TSO) GRTGaz, the overall gas consumption on its transmission network decreased by 5% in 2018 to 442 TWh (-2% if corrected from climate-related effect).
This evolution is explained by higher temperatures and a lower demand for gas-fired power plants. The improved availability of nuclear and hydropower plants, along with a higher wind generation cut gas consumption for power generation by 36% to 35 TWh. The gas demand in the industry sector continued to grow for the fifth year in a row (+2% in 2018), covering 37% of energy demand in industry. In 2018, new industrial sites switched fuel from coal or oil to gas, representing a total volume of nearly 2.5 TWh of consumption.
On the supply side, gas pipeline imports slightly decreased (447 TWh), whereas LNG imports reached their highest level since 7 years (+13% in 2018 to 117 TWh).
The introduction of the TRF (Trading Region France) single market zone is one of 2018 main highlights and the country has a unified wholesale gas price since last November. France initially had 8 separate market zones in 2003, which were reduced to 5 in 2005, 3 in 2009 and 2 in 2015. With the strengthening of the French gas transmission network and the creation of a single market area, the risks of congestion between the North and South of the country are slated to diminish, thus increasing security of supply across the country.
The development of biogas continued throughout 2018 as 76 sites were injecting biomethane into the gas networks in of 2018 (714 GWh, +75%) and an additional 661 projects are in the pipeline.
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