EU Warns Member Countries to Cut Energy Demand Amid Low Gas Reserves

The European Union is urging its member countries to reduce their energy demand amid low gas reserves. According to Gas Infrastructure Europe, EU gas storage facilities are approximately 70% full, which is around 12 percentage points lower than at the same time last year.

Analysts warn that possible price spikes above 100 euros per MWh in the depths of winter could occur if LNG exports from the Persian Gulf do not increase or if maintenance work in Norway continues to restrict supplies.

The EU's energy bloc head, Dan Jørgensen, notes that lower electricity consumption during peak hours is easing pressure on both gas supplies and electricity prices. However, he cautions that governments are under pressure to protect consumers from the price shock.