Geopolitics is Changing Interface Management Requirements for Transnational Clean Fuel Projects
Keywords:Geopolitics , Nord Stream , Gas Pipeline, Interface Management, Energy Transition, SDGs
Under the consensus future development planning through UN SDGs, renewable energy will be the fastest growing source of energy. However, the world has recently witnessed that transition to renewables cannot be fast – European Nations have suffered in winter 2021 – 2022 paying high LNG, Gas and Oil prices partly due to their un-realistic expectations from renewables and partly because of geopolitical interference to stop Nord Stream 2 Gas Pipeline Project from achieving COD. Realistically, the demand for oil and other gaseous fuels will not decline till 2040 and the businesses in oil and gas sector have been operating under strict regulatory oversight. This has made IOCs / NOCs more responsible and sensitive towards reducing environmental and social damage to the society through their operations. Under the world’s quest for Cleaner Energy / Fuels Transition and an over-arching focus on reducing carbon footprint, oil and gas projects are currently more complex. Additional burden due to involvement of SDGs, increased globalization (multi-national interests) and geopolitics is making it difficult for project managers to reasonably manage the risk in Mega Projects.
The changing transnational project management requirements in energy sector call for enhanced capabilities of project managers towards agile project planning & design supported by effective interface management – enabling unrelated entities (systems, equipment, services, software and data) to successfully co-function as part of a larger project asset. Traditionally, interface management is an enabling process that defines, controls, and communicates the information needed by independent project stakeholders for fulfillment of responsibility towards successful project completion across a common boundary. Today, these requirements appear to have crossed the defined project boundries. It is shown in this study that the interface management requirements have gone beyond the traditional view and scope – social and geopolitical convergence of “determinations of world’s political leaders” has been found as an essential interface management aspect affecting success or failure of any transnational clean fuel project – e.g., Nord Stream 2 Gas Pipeline Project.
“BP Energy Outlook, 2019 edition”, https://www.bp.com/content/dam/bp/business-sites/en/global/corporate/pdfs/energy-economics/energy-outlook/bp-energy-outlook-2019.pdf, Feb. 14, 2019 [May 11, 2022]…….
AlMarar, Mohamed Saeed. "EPC Strategies for a Successful Project Execution." Paper presented at the SPE Gas & Oil Technology Showcase and Conference, Dubai, UAE, October 2019. doi: https://doi.org/10.2118/198578-MS
Morris, P. W. (1983). Managing project interfaces–key points for project success. Project management handbook, 2, 16-55.
Thompson, J. D. “Organizations in Action”. New York: McGraw-Hill, 1967
Ahmed El?Sheikh & Stephen D. Pryke (2010), “Network gaps and project success, Construction Management and Economics”, 28:12, 1205-1217, DOI: 10.1080/01446193.2010.506643
Olayele, Fred B., 2015, “The Geopolitics of Oil and Gas”, International Association for Energy Economics, Proceedings of the 37th IAEE International Conference, New York City, June 15 – 18, 2014, pp. 29 – 31 - http://mideast.shisu.edu.cn/_upload/article/c1/ab/0a6214434a27b8f27a4e4eb36f1f/3fc10aac-2cc6-48c7-a291-7e0c154a8044.pdf
EPRS | European Parliamentary Research Service, Gregor Erbach (April 2016), “At a Glance – Nordsteram 2 Pipeline Project, Members”, Research Service PE 580.875 - https://www.europarl.europa.eu/RegData/etudes/ATAG/2016/580875/EPRS_ATA(2016)580875_EN.pdf
Julian Wettengel, 22 February 2022, “Gas pipeline Nord Stream 2 links Germany to Russia, but splits Europe”, 2022, Clean Energy Wire (online), - https://www.cleanenergywire.org/factsheets/gas-pipeline-nord-stream-2-links-germany-russia-splits-europe#:~:text=According%20to%20Nord%20Stream%202,the%20Nord%20Stream%202%20consortium. [May 13, 2022]
Mikaila Adams, 2 March 2022, “Wintershall to Write Off Nord Stream 2 Financing, Will Cease Additional Projects in Russia, Oil and Gas Journal, Mar 2022 - https://www.ogj.com/pipelines-transportation/pipelines/article/14234834/wintershall-to-write-off-nord-stream-2-financing-will-cease-additional-projects-in-russia [ May 15, 2022]
DIRECTIVE OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL, EUROPEAN COMMISSION, Brussels,8.11.2017, COM(2017) 660 final, 2017/0294(COD), ……. EU Document: 52017PC0660
Morrison, Lee. “SOUTHERN GAS CORRIDOR: THE GEOPOLITICAL AND GEO-ECONOMIC IMPLICATIONS OF AN ENERGY MEGA-PROJECT.” The Journal of Energy and Development, vol. 43, no. 1/2, International Research Center for Energy and Economic Development (ICEED), 2017, pp. 251–91, https://www.jstor.org/stable/26539576.
World Bank document: EUROPE AND CENTRAL ASIA | Europe and Central Asia | Energy & Extractives Global Practice | IBRD/IDA | Investment Project Financing | FY 2017 | Seq No: 5 | ARCHIVED on 04-Jun-2019 | ISR37003 | - http://documents.worldbank.org/curated/en/305771559656504474/pdf/Disclosable-Version-of-the-ISR-Trans-Anatolian-Natural-Gas-Pipeline-Project-P157416-Sequence-No-05.pdf
“Shell LNG Outlook 2022 edition”, https://www.shell.com/energy-and-innovation/natural-gas/liquefied-natural-gas-lng/lng-outlook-2022/_jcr_content/par/relatedtopics.stream/1645193450146/ed695841d8b65ab7ac1caf58bd3718808b8f0a93/shell-lng-outlook-2022-infographic.pdf, Feb. 21, 2022 [May 19, 2022]
Key Facts about Clair Ridge – Lloyd’s Register website – https://www.lrqa.com/en-gb/case-studies/bp-verification-services/, [10-March-2022]
BP Press Release, 2018 - https://www.bp.com/content/dam/bp/business-sites/en/global/corporate/pdfs/news-and-insights/press-releases/bp-starts-up-clair-ridge-production.pdf, Nov. 23, 2018 [May 19, 2022]
OGJ Editors, 2018, “BP Starts Up Claire Ridge Production”, Oil and Gas Journal, https://www.ogj.com/drilling-production/article/17296276/bp-starts-up-clair-ridge-production , Nov 26, 2018 [May 19, 2022]
CMS Admin, 2019, “Prelude FLNG Project, Browse Basin”, Offshore Technology Magazine (online), https://www.offshore-technology.com/projects/shell-project/ , 24 Jan. 2019 [May 19, 2022]
“Shell Kicks Off Production at Prelude FLNG”, 2019, Offshore Energy Today, https://www.offshoreenergytoday.com/shell-kicks-off-production-at-prelude-flng/ , Dec 26, 2019 [May 20, 2022]
“Shell Prelude Factsheet”, Shell Australia website - https://www.shell.com.au/about-us/projects-and-locations/prelude-flng/prelude-e-news/hydrocarbons-introduced-to-prelude-for-the-first-time/_jcr_content/par/textimage_7b9f.stream/1528437551755/f8610bd84388fb2d2cefa4139b75029b84c67c12/shell-prelude-factsheet.pdf [May 19, 2022]
“Tanap Now Fully Ready To Deliver Gas to Europe”, 2019, Daily Sabah, https://www.dailysabah.com/energy/2019/07/02/tanap-now-fully-ready-to-deliver-natural-gas-to-europe , July 02, 2019 [May 16, 2022]
Dr Klaus, R., “Trans Anatolian Pipeline Ready for Prime Time”, Pipeline Technology Journal, https://www.pipeline-journal.net/news/trans-anatolian-pipeline-ready-prime-time July 08, 2019 [May 20, 2022]
“Tanap Natural Gas Pipeline Opens on Tuesday”, Enerji Ekonomisi, https://www.enerjiekonomisi.com/tanap-natural-gas-pipeline-opens-on-tuesday/1897/ June 11, 2018 [May 19, 2022]
British Petroleum website - https://www.bp.com/en_az/caspian/operationsprojects/Shahdeniz/SDstage1.html
Tekfen Construction and Installation Co., Inc., contractor of TANAP website - http://www.tekfeninsaat.com.tr/pipeline_project_detail.asp?id=26
Robert Brelsford, 2019, “Aramco, Petronas Near Startup of Malasia’s RAPID Refinery”, Oil and Gas Journal, https://www.ogj.com/refining-processing/refining/operations/article/17278815/aramco-petronas-near-startup-of-malaysias-rapid-refinery , Jan 04, 2019 [May 20, 2022]
Ooi Tee Ching, 2018, “Petronas and Saudi Aramco form 2 Joint Ventures at RAPID Pengerang”, 2018, New Straits Times, https://www.nst.com.my/business/2018/03/350479/petronas-and-saudi-aramco-form-2-joint-ventures-rapid-pengerang Mar 28, 2018 [May 20, 2022]
Maniranjan Ramasamy, 2019, “Pengerang Refinery to Start Commercial Operations in 4th Quarter”, FMT News, https://www.freemalaysiatoday.com/category/nation/2019/06/18/pengerang-refinery-to-start-commercial-operations-in-4th-quarter/
How to Cite
Copyright (c) 2022 International Scientific Research and Researchers Association (ISRRA)
This work is licensed under a Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 International License.
Authors who submit papers with this journal agree to the following terms.