US doubling its UK gas exports in deal to end dependence on Russia

Joe Biden and Rishi Sunak said it is 'more important than ever' for allies to work together to build 'resilient international systems' - REUTERS
Joe Biden and Rishi Sunak said it is 'more important than ever' for allies to work together to build 'resilient international systems' - REUTERS

The US is to double gas exports to UK, it will be announced on Wednesday as the country faces the first major test of energy resilience in the wake of the Ukraine conflict.

With temperatures set to plunge below freezing, Rishi Sunak announced the new partnership designed to wean Britain off Russian gas.

The PM said it would boost energy security, efficiency and affordability, will cut prices and ensure the UK's national supply can "never again be manipulated by the whims of a failing regime".

It comes as Britain enters a cold snap with temperatures expected to plunge to as low as minus eight in a major test of energy resilience.

National Grid narrowly avoided enacting its blackout plan last month but a chilly winter will present a greater threat of shortages.

'Troll from Trondheim' on the way

The weather front, dubbed the "Troll from Trondheim", is set to see households pay more than £10 a day to heat their homes on average.

The Energy Utilities Alliance estimates that a typical household is paying £6.67 a day for heating this winter – up from £2.67 for the same months in 2021 - but a plunge to sub-zero temperatures will add an extra £4 to this.

The energy partnership with the US will see at least nine to 10 billion cubic metres of liquified natural gas exported to UK terminals over the next year, more than doubling the level in 2021.

Europe is aiming to reduce demand for energy from Russia - MAXIM SHIPENKOV/EPA-EFE/Shutterstock
Europe is aiming to reduce demand for energy from Russia - MAXIM SHIPENKOV/EPA-EFE/Shutterstock

It has an "immediate goal" of stabilising energy markets and reducing demand for energy from Russia, while seeking to build long-term resilience by accelerating the shift to clean alternatives.

This will involve promoting nuclear fuels as a "safe" and "reliable" part of the transition, expediting the development of clean hydrogen, and driving international investment in offshore wind and carbon capture.

The partnership will be steered by a new UK-US joint action group, led by senior officials from the British Government and the White House, with the first meeting held virtually on Thursday.

The Prime Minister and US president Joe Biden are not expected to attend.

Aim to end Russian energy dependence 'once and for all'

Mr Sunak said the partnership will help end Europe's dependence on Russian energy "once and for all" and bring down prices for British consumers.

"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," he said.

"We have the natural resources, industry and innovative thinking we need to create a better, freer system and accelerate the clean energy transition."

Citing the war in Ukraine, Mr Sunak and Mr Biden said in a joint statement that it is "more important than ever" for allies to work together to build "resilient international systems".

"Our immediate shared goal to stabilise energy markets, reduce demand, and ensure short-term security of supply is underpinned by the longer-term objective of supporting a stable energy transition to achieving net zero emissions by 2050, which in itself will strengthen our energy security," they said.

"To this end, we are establishing a Joint Action Group for Energy Security and Affordability to accelerate our immediate cooperation on short-term action to support energy security and affordability in the United Kingdom and across Europe."