EU Faces Gas Price Pressure Ahead of Winter

European Energy Commissioner Dan Jørgensen has warned that the European Union is facing mounting pressure on gas prices and supplies ahead of winter.

The current storage levels in Europe stand at approximately 70%, which is about 12 percentage points lower than last year, according to Jørgensen. However, he noted that there is currently no immediate shortage of gas supplies in the market.

Jørgensen encouraged EU governments to take voluntary measures to reduce gas and electricity consumption during peak hours, such as shifting consumer usage to other times and lowering temperatures in public buildings. He also emphasized the importance of leveraging flexibility in gas storage regulations to avoid a rush to purchase gas.

The European Commission believes that global competition for liquefied natural gas (LNG) shipments could drive up prices, potentially exceeding €100 per megawatt-hour during winter. Jørgensen warned that purchasing large volumes amidst tight global supplies could further drive up prices.