Public interest not demonstrably considered in billion euro investments in gas roundabout
Minister did not study the benefits and need in advance: State running risks
Two State companies, Gasunie and EBN (Energie Beheer Nederland), will have invested €8.2 billion in the Netherlands and abroad by 2014 to develop a 'gas roundabout' to make the Netherlands the hub for the transmission of gas in northwest Europe. The government describes the ambitious gas roundabout as a 'policy icon'. It was not investigated in advance whether this instrument can be effective: will natural gas be secured as a source of energy for the Netherlands, even when its own gas reserves are exhausted? Will the strategy contribute to the Netherlands' economic growth? As shareholders in the two companies, ministers must consider whether the investments made by Gasunie and EBN serve the public interest. They have not demonstrably done so. The State is also running financial risks on the investments in the gas roundabout.