# Norway plans to nationalise gas pipelines when concessions expire Author: Pal Sinha, Barnali Author URL: https://financedigest.com/author/pal-sinha-barnali Published: 2023-04-28 Category: NEWS Category URL: https://financedigest.com/category/news Meta Title: Norway to Nationalise Gas Pipelines in 2028 Meta Description: Norway plans to tighten control over gas infrastructure by nationalising most of its pipeline network in 2028. Find out more about this significant move. URL: https://financedigest.com/norway-plans-to-nationalise-gas-pipelines-when-concessions-expirehtml ![undefined](https://prod.superblogcdn.com/site_cuid_cm5qst7v3003gwirgwqtxn8i8/images/2023-04-28t092655z2lynxmpej3r0dirtroptp3poland-norway-gas-pipeline-1736814088814-compressed.jpg) # Norway plans to nationalise gas pipelines when concessions expire By Gwladys Fouche and Nerijus Adomaitis OSLO (Reuters) -Norway plans to nationalise most of its gas pipeline network when many existing concessions expire in 2028, the oil and energy ministry said on Friday, to tighten control over key infrastructure. Norway has become Europe’s largest supplier of gas, following a drop in Russian gas flows, which it supplies via a network of pipelines stretching some 9,000 kms (5,590 miles). The ministry said on Friday it was sending a letter to licensees “signalling the state aims to make use of the right of repatriation at the [end of the license period”](https://www.financedigest.com/global-tool-holders-market-is-anticipated-to-reach-over-us-1604-5-mn-by-the-end-of-the-projected-period-growing-at-a-cagr-of-5-1-fmi.html "Global Tool Holders Market is anticipated to reach over US$ 1,604.5 Mn by the end of the projected period, growing at a CAGR of 5.1%: FMI"). The state wants complete state ownership of the central parts of the Norwegian gas [transport system,”](https://www.financedigest.com/intelligent-transport-systems-its-market-2021-by-global-key-players-types-applications-countries-industry-size-and-forecast-to-2027.html "Intelligent Transport Systems (ITS) Market 2021 by Global Key Players, Types, Applications, Countries, Industry Size and Forecast to 2027") it said, without giving reasons. Norway takes an active role in its [industry and is the top owner of the country’s biggest bank](https://www.financedigest.com/digital-transformation-across-the-banking-industry.html "Digital transformation across the banking industry"), DNB, telecoms operator Telenor, and oil company Equinor, among others. The gas pipeline network is owned by Gassled, a partnership set up in 2003 by the [oil companies that were producing gas offshore Norway](https://www.financedigest.com/oil-firms-must-step-up-exploration-off-norway-to-unlock-potential-npd.html "Oil firms must step up exploration off Norway to unlock potential -NPD") at the time. It [cost billions](https://www.financedigest.com/the-inflation-quirk-that-is-costing-spain-billions.html "The inflation quirk that is costing Spain billions") of dollars to build. One of the Gassled co-owners told Reuters it was “surprised” at the move. Norwegian petroleum policy has had its foundation on combined ownership from private companies and the state and has worked well,” said Kurt Georgsen, CEO of Silex Gas, wholly owned by German [insurer Allianz](https://www.financedigest.com/allianz-trade-wins-global-banking-finance-reviews-best-trade-credit-insurance-company-asia-pacific-2022.html "Allianz Trade wins Global Banking & Finance Review’s Best Trade Credit Insurance Company Asia Pacific 2022"). We will [work with the government](https://www.financedigest.com/uk-minister-says-government-will-work-with-obr-on-economic-forecasts.html "UK minister says government will work with OBR on economic forecasts") to find a good solution for the transfer of ownership,” he added. The [Norwegian state already owns 46.7% of Gassled via](https://www.financedigest.com/norwegians-can-now-pay-their-bills-via-facebook-messenger.html "Norwegians can now pay their bills via Facebook Messenger") state-owned company Petoro, while another 5% is owned by Equinor. In some cases, the government may have to compensate other shareholders, the ministry said, without elaborating. Gassled owns the Kaarstoe and Kollsnes processing plants as well as the majority of the pipelines [delivering Norwegian gas to the European Union and Britain](https://www.financedigest.com/britain-lifts-rates-by-most-since-1995-latest-to-deliver-aggressive-hikes.html "Britain lifts rates by most since 1995, latest to deliver aggressive hikes"). It was not immediately clear which exact parts of the [network would become owned by the state](https://www.financedigest.com/seventy-three-percent-of-the-c-suite-state-that-increasing-visibility-into-network-and-application-performance-will-drive-business-innovation.html "Seventy-Three percent of the C-suite state that increasing visibility into network and application performance will drive business innovation "). The energy ministry was not immediately available for additional comment. Over time, the [oil companies](https://www.financedigest.com/hackers-hit-italian-oil-company-enis-computer-networks.html "Hackers hit Italian oil company Eni’s computer networks") have reduced, or sold entirely their stakes, often selling to investment companies. Some of the owners of Gassled include Swiss-based [asset manager](https://www.financedigest.com/french-asset-manager-amundi-posts-q3-outflows-of-13-billion.html "French asset manager Amundi posts Q3 outflows of billion") Partners Group, Allianz and private equity firm HitecVision. The technical operator of the infrastructure is Gassco and would remain so under the new regime, the energy ministry said. (Reporting by Gwladys Fouche and Nerijus Adomaitis, editing by Terje Solsvik, Elaine Hardcastle and Emelia Sithole-Matarise) --- This blog is powered by Superblog. Visit https://superblog.ai to know more. ---