EU Gas Storage Levels at Historic Lows Ahead of Winter
The European Union is heading into winter with low gas storage levels, prompting concerns about energy price and supply crises.
According to a recent letter from Energy Commissioner Dan Jørgensen to EU capitals, gas storage levels remain 'exceptionally low' after a summer of hot and dry weather forced countries to burn more gas for electricity.
The global market is also affected by the US and Israeli war against Iran, which has reduced liquefied natural gas (LNG) flows through the Strait of Hormuz to 15% to 25% of pre-war levels.
Qatar has extended its force majeure on LNG shipments to Asian and European customers until December.
The EU's storage filling target is 90% by November, but given the high prices, the Commission gave flexibility in March, allowing countries to refill as little as 75% to 80%.
Currently, gas storage levels are averaging around 70%, with Latvia, the Netherlands, and Germany registering some of the lowest fill levels at 47.1%, 52.1%, and 55.6% respectively.