French Gas Stocks Relatively Reassuring Despite Rising Market Prices
France's natural gas stocks are at 'relatively reassuring' levels ahead of winter, according to Emmanuelle Wargon, president of the energy regulator CRE. However, the cost of filling storage tanks is rising due to market pressures from the ongoing war against Iran.
The government aims for stocks to reach 85 percent capacity by the start of winter, and as of now they are at 71.3 percent full. Companies have committed to fill them, and Wargon expressed confidence in meeting this target.
France imports 95 percent of its gas needs, but can rely on a direct pipeline from Norway. Nonetheless, it remains exposed to surging market prices, with the Dutch TTF contract for October deliveries hitting 75.33 euros per megawatt-hour, the highest since January 2023.
Wargon attributed the price increase to the ongoing conflict in Iran, which is driving up costs. This could lead to higher gas prices for millions of French households, particularly those relying on gas for heating, which account for around 35 percent of the country's population.